Western European auto industry heads for 'double-dip'

A report from the global business advisory firm AlixPartners says that, while the global automotive industry overall remains a growth industry, the Western European industry is facing the prospect of its second severe market downturn in recent years.

The study says that this year the Western European automotive market will experience a decrease of around one million units, to approximately 13.5 million vehicles. That’s down 3.3 million units compared to pre-financial crisis 2007.

With the euro crisis adding to the industry’s woes, AlixPartners forecasts that sales are unlikely to reach 16 million units again before 2020.