FX.co ★ German Car Registrations Show Resilience Amid Market Adjustments

Germany's automotive market displayed signs of recovery in May 2025, as the latest data revealed a moderate improvement in car registrations. According to newly updated figures, car registrations in Germany have decreased by only -1.4% in May, compared to a more substantial decline of -4.2% recorded in April 2025. The new data, updated on June 25th, marks a promising turnaround for the German car market, which had been battling a series of declines in prior months.

The monthly comparison paints a vivid picture of resilience as market adjustments continue in the face of broader economic challenges. In contrast to the steeper -4.2% drop in registrations seen from March to April, May's figures illustrate a deceleration in the rate of decline, signifying potential stabilization within the sector.

While still in the negative territory, the reduced rate of decline in May gives industry stakeholders a cautious sense of optimism. As we move further into the year, the automotive industry will be closely watching for any upbeat trends that could signal a more robust recovery. The marginal month-over-month improvement might suggest the beginning of a market rebound, with German car manufacturers and dealers potentially gearing up for a more optimistic forecast as the year progresses.