In a sign that the Irish economy may be improving, the number of new registrations of Light Commercial Vehicles (LCVs) increased marginally last year.
Freely available on their website and mobile app called beepbeep.ie, sales statistics from the Society of the Irish Motor Industry (SIMI) indicate positive trends in the market.
While down 6% from 2011, overall, sales of LCVs are up 2.5% on 2012‘s figures. Since SIMI started collecting and publishing statistics in 2010, however, overall sales have risen over 6%.
Apart from the healthy increase in sales, the big feature of 2013 is the huge bubble in the middle of the year.
With the advent of the dual registration period in 2013, registrations of commercial vehicles fell off a cliff in June and magically bounced back to new heights in July as fleet managers attempted to mitigate the risks of depreciation.
This contrasts to previous years, where the levels of sales remained consistent throughout the summer months.
Overall, the LCV market is dominated by The Big Three of Ford, Volkswagen and Renault, who command over 50% of the market between them.
King of the Road is the ever-versatile Ford Transit with 12% of the market. This represents a good effort by the Ford company too, as sales have increased nearly 11% over 2012.
Far and away the most improved performer of 2013 is Hyundai. The Korean manufacturer has exploded on the scene with a 200% increase in sales in 2013 compared to 2012. They have made particular increases in the 1-2 tonne range, gaining a foothold in the market with a 300% increase in sales in this class.
The other big surprise package of recent years is Land Rover. Up nearly 250% since 2011, the Land Rover continued a healthy 25% growth rate last year in the commercial sector.
Most disappointed will be Toyota, who have lost significant market share as sales have declined by 25% year-on-year.
Things are looking up at the heavier end also. Contrasting to the LCV sector, July 2013 started a surge in HGV sales that lasted through October before tapering off. Overall for the year, registrations are up an enormous 27% on 2012. Totals are up over 43% since 2011.
The big players (and I mean BIG) here are Volvo, Daf and Scania wtih 55% of the market between them. Iveco will be very pleased with their 165% improvement in sales, nearly doubling their market share, while Mercedes Benz, Man, Isuzu and Fuso all posted growth rates of over 50%.
While exports and incresed demand may be a factor in blossoming sales of commercial vehicles, investment in new plant can lead to improvements in fuel efficiency and drive out costs.
