GENEVA (AFP)--General Motors Corp. (GM) troubled German offshoot
Adam Opel AG is expecting the car market to stay depressed well
into next year, GM Europe head Carl-Peter Forster said at the
Geneva Motor Show Tuesday.
Launching the company's new hybrid-electric Ampera vehicle,
which promises low emissions, Forster said the company was hoping
for more government intervention around Europe to stimulate
demand.
"In Germany, one of our core markets, governmental intervention
has led to additional sales, a factor which is helping to ease the
burden of short working in some of our manufacturing plants,"
Forster said.
The German government has introduced a sales incentive for
buyers with aging cars allowing a substantial discount on a new
one.
German new car sales jumped by 22% in February from the same
month a year earlier, mainly owing to the bonus, figures released
Tuesday by the sector federation VDA showed.
Toyota also reported in Geneva that the incentive had boosted
sales in Germany in February.
But Forster added a note of caution.
"While Opel saw the highest February order intake in five years
in Germany, forecasts show that extremely low market levels are
likely to continue in the medium term and certainly well into next
year," he added.
"In view of these negative circumstances we welcome the
introduction of government initiatives around Europe to stir car
demand and consumer confidence even more."