In October, the car sales in Spain and France fell strongly due to various reasons. To prevent a drop in the sales, the reduced subsidy of the France was not enough and as for Spain, the car sale is suffering due to the end of a scrapping scheme.

At the start of July, the car scrapping scheme ended and at the same time, the value-added tax was increased by the government. The Industry association ANFAC commented that the car sales in Spainhad fallen by 37.6 percent in October year-on-year basis which was preceded by 26.9 percent in September 2010.

In France, the scheme which was launched by the makers to encourage customers to trade in old cars was successful last year, but now there is a tough competition of comparison of sales figures to match last year's sales. Still, until the end of this year, France has scrapping bonus of 500 euros in place.

In France, the percentage of falling car sales for the first 10 months is 1.4 in comparison to last year. In October, the car sales fell down 18.7% in comparison to the last October.