Auto market unlikely to fare worse than in 2010

The Romanian car market enters 2010 with growth plans, after three years where new car sales fell by nearly 70%, from 367,000 in peak year 2007 to around 120,000 units last year.
The main elements that can influence the market this year benefit producers and importers of new cars, with the government deciding to keep the scrappage scheme under the same terms as last year, with three vouchers worth 3,800 RON each per acquisition, but hiked the pollution tax as of January 1st, which will significantly dampen the enthusiasm of importers of second-hand cars, which have come to account for two thirds of the overall number of cars first registered on the Romanian market.
There are only 21 Euro 6 engine, hybrid and electric car models that will “escape” payment of the pollution tax, with 2010 car vouchers valid for use in January this year, as well, after more than 10,000 vouchers were left unused at the end of last year.
Under the circumstances, importers are now hoping for a slight rise of the market in 2011, to around 130,000 units, after monthly year-on-year increases started to emerge as early as 2010.