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CV registrations won't recover until 2014

Friday 04 September 2009 16:29

Truck registrations will continue plummeting until at least the second quarter of 2010, with a firm recovery unlikely before 2011, according to a report from the Society of Motor Manufacturers and Traders (SMMT).

In addition, registrations may not approach former volumes until 2014.

The forecast blames a sharp fall in freight transport demand, particularly for household and luxury goods.

Rising operating costs, uncertainty on transport policy and a much weaker exchange rate are also constricting truck operators' willingness and ability to buy new vehicles at this time, the SMMT says.

It adds that the renewed rise in fuel costs is a further squeeze on all businesses' road transport costs.

Frequently downgraded sales and output expectations over the course of 2009 - and the recent dramatic decline in volumes - have prompted the admission that volumes may be stuck at exceptionally low levels for the next 12 to 18 months, while the medium-term outlook remains depressed.

Tony Payne, DAF marketing director, says: "We think the truck market above six tonnes will total 28,000 for next year, which has to be the lowest projection on record."

Payne adds that this month should see a spike in sales, with the new plate change and the end of the Reduced Pollution Certificate (RPC), which saves £500 per year on Euro-5 trucks registered by 30 September.

Van registrations are also set to struggle further, though the pace of decline is bottoming, with the figure holding at just below 200,000 vehicles by autumn 2009. However no significant recovery from this stabilisation is predicted until the second half of 2010 into 2011.

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