In September 2024, something big happened in the world of cars. Stellantis, a major car company in Europe, saw its new car sales drop by a shocking 25%. This news is important because it shows a trend in the car market that could affect many people, including buyers, dealers, and the companies themselves. Let’s take a closer look at what happened and why it matters.

A Dwindling Market

In September, there were about 1,119,320 new cars registered in Europe. This number is about 40,000 fewer than in September last year. It means that many people decided not to buy new cars, which is concerning for car makers like Stellantis. The overall European car market also saw a decline of about 3%, according to data from JATO Dynamics. This means that not only Stellantis but many other car companies are feeling the pressure too.

Who is Stellantis?

Stellantis is a big company that owns several car brands, including Fiat, Citroën, and Opel/Vauxhall. It’s one of the major players in the car industry, especially in Europe. When Stellantis has problems, it can be a sign of bigger issues in the car market.

Falling Sales Numbers

Stellantis faced a significant fall in sales across 22 of the 28 European markets. The two countries where Stellantis sells the most cars, Italy and France, saw some of the biggest drops. In Italy, sales plunged by 34%, and in France, they dropped by 17%. That’s a huge loss for a company that relies on these markets for a lot of its business.

Here’s a breakdown of how Stellantis’ brands performed:

Fiat: Sales down by 43%.
Citroën: Sales down by 41%.
Opel/Vauxhall: Sales down by 24%.

These numbers tell us that many people are choosing not to buy cars from these brands anymore. The reasons could vary from financial issues to changing tastes in what people want in a car.

The Bright Side: Electric Cars Shine

Despite the gloom surrounding Stellantis, there is a bit of good news. The demand for battery electric vehicles (BEVs) is still strong. In September 2024, new registrations for BEVs increased by 14% compared to the same month last year. This means that more people are choosing electric cars, which is a positive trend for the environment and the future of transportation.

In total, 212,197 new BEVs were registered in September, showing that electric cars are becoming more popular. However, there’s still some uncertainty about whether this trend will continue. Felipe Munoz, a global analyst at JATO Dynamics, said it’s hard to predict if BEVs will keep growing, but the monthly increase is encouraging.

Many consumers still have doubts about electric cars, including concerns about charging infrastructure and battery life. For some, traditional fuel cars might still seem like the safer choice.

Year-to-Date Numbers

Looking at the bigger picture, the numbers for the year so far aren’t great either. Total car registrations in 2024 are down by 3% compared to the same time last year, with 1.43 million units registered. This shows a clear trend that fewer people are buying new cars this year.

A Call for Change

With these disappointing sales figures, Stellantis may need to rethink its strategy. Felipe Munoz suggests that it might be time for the company to refresh its offerings and reposition its lineup of BEVs. This means they might need to create new models or improve their existing cars to attract more buyers.

Recently, there was also data showing that BEV registrations in France rose by 12% during the first eight months of 2024. However, this growth is still lower than what car manufacturers were hoping for. This indicates that while electric cars are gaining popularity, it’s not at the pace companies had anticipated.

Jeep’s Success

Interestingly, not all brands under Stellantis are struggling. Jeep stood out among the top ten brands with a 420% jump in new registrations. This suggests that Jeep is finding a way to attract buyers, perhaps by offering exciting new models or marketing that resonates with consumers. It’s a reminder that even in a declining market, there can still be success stories.