EU new car registrations fall for the third consecutive month, according to data from the European Automobile Manufacturers’ Association (ACEA).
The latest figures on new passenger car registrations show a decrease of 23.1% in September 2021 compared to September 2020.
This latest negative reading follows a decrease of 19.1% in August 2021, and a decrease of 23.2% in July.
From March to June, the readings were in positive territory, reflecting a recovery from the slump suffered during the first wave of the pandemic.
However, the prolonged disruptions impacting supply chains appear to have impacted production and slowed sales.
The most significant factor slowing down the sector is the shortage of semiconductors. Because of the lack of chips, many car manufacturers have had little option but to ease production.
Polymer producers, equipment makers, and compounders are feeling the impact of the slowdown in car production, reporting up to 50% reduction in orders.
If the shortage of semiconductors continues, then the slump in demand could help to balance many polymer markets.
But should the situation on semiconductors improve, then polymer producers could face a spike in demand, extending the shortages.