Slovenia saw the steepest fall in new vehicle registrations in March among Central and Southeast European EU members. 

New passenger car registrations in Slovenia plunged by 62.4% year on year to 2,743 in March as a result of the coronavirus (COVID-19) crisis, data from the European Automobile Manufacturers' Association (ACEA) indicated.

Across the EU, car registrations dropped by 55.1% y/y in March to 567,308 units while in the first three months of the year new car registrations fell 25.6% to 2.48mn units.

“In March 2020, the EU passenger car market recorded a dramatic drop in registrations of new vehicles as a result of the COVID-19 outbreak,” sad ACEA in a statement. 

“With containment/lockdown measures taking hold in most markets from around the middle of the month, the vast majority of European dealerships were closed during the second half of March. Consequently, demand across the region fell by more than half last month.”

This is the sixth biggest drop among EU countries in March after Italy (85.4%), France (72.2%), and Spain (69.3%). The three West European countries were the worst affected by the coronavirus on the continent, with the number of infections passing the 100,000 mark towards the end of the month. 

Data from the World Health Organisation puts the number of cases recorded on the morning of April 1 at 105,792 in Italy, 94,417 in Spain and 67,366 in France. 

No EU country registered a growth in new car registrations in March, and other countries to see substantial dips in registrations during the month included Austria (66.7%) and Ireland (63.1%). 

In the eastern part of the union, aside from Slovenia there were substantial contractions in Bulgaria (-50.7%), Croatia (-46.2%), Slovakia (-45.6%), Lithuania (-43.5%) and Poland (-40.8%). 

The automotive and components industry was already forecast by IHS Markit to be the sector worst hit by the crisis, as people put off buying new vehicles and global supply chains are disrupted by the pandemic. 

As early as mid-February, Italian automaker Fiat suspended work at the Fiat Chrysler Automobiles plant in Serbia as it was unable to secure the required inputs. 

Later, automakers and components suppliers across Central Europe Europe took similar steps as they were unable to ensure the safety of their workers. However, manufacturers in the sector are gradually reopening after putting in place strict new hygiene and social distancing measures.