Eurozone Car Sales Hit 20 Year Low

New car sales in Europe hit the lowest point since 1993 in May.

The continual slide in sales is attributed to the worsening recession across the continent.

Registration of new cars fell to 1.04 million in May and the trends shows a danger of falling below 1 million in upcoming months. The last time registrations fell below 1 million was May 1993.

The only country in the eurozone to show growth in new car sales was the UK with an 11% gain. Economists say the increase in sales for the UK is likely due to a government program that provides lower interest rates and very favorable financing deals.

The May sales rate fall completely erases a surprise boost of sales in April that broke 18 consecutive months of falling sales. Overall, sales are down 5.8% for the first five months of 2013.

“After five months, the situation remains tense,” automotive analyst Carlos de Silva told the BBC. “Yet, for the second month in a row the rate of decline is slowing down. This means that sales are stabilizing trend wise.”

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