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New car sales fall in Germany to 10.2% in May

New car sales in Germany fell by 10.2% year-on-year in May, but the decline was smaller than in April, according to data compiled by the federal motor vehicle agency KBA.

Just over 207,000 new cars were sold in Germany in May.

In April, the sales of new cars in the country decreased by 21.5% year-on-year.

The fall was fueled by Russia’s hostilities in Ukraine, which had a negative impact on supply chains, forcing Germany to reduce car production.

In the first five months of this year, a total of one million new cars were sold in Germany, which is about 5% less than a year ago.

However, car production in Germany increased by 25% year-on-year in May.

2.62 million new cars were reportedly sold in Germany last year, the lowest level since the country’s reunification in 1990.

The downturn last year was mainly due to the global semiconductor deficit, which has forced automotive companies to cut production.

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