Car Sales in France have Fallen Sharply Due to Chip Shortage

Car sales in France fell sharply in July compared to the same month last year. This is partly due to the worldwide chip shortage that the auto sector faces, reports the French trade association Plateforme Automobile.


In July, car sales in France were 35 percent lower than in 2020. It is a sign that the European car industry is recovering less quickly from the corona crisis than the United States and China. However, sales received an extra boost in July last year because dealer showrooms were allowed to open again. They had been closed for a while due to measures to prevent the spread of the coronavirus.

In total, almost 116,000 new cars were registered last month. In the first seven months of 2021, 16 percent more cars were sold in France than in the same period the previous year.

Car manufacturer Renault released a figure update last Friday. The French car group expects to produce 200,000 fewer cars this year due to chip shortages than it would like. Stellantis, the company behind brands such as Peugeot, Citroën, Opel, Fiat and Chrysler, will provide insight into the performance of the past six months next Tuesday.

The French company has previously announced that it is having difficulty with delivery. The car industry is significant to the French economy.

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