Opel sales surge in Germany

Frankfurt - German car maker Opel, which was rocked this year by industrial uncertainty, said on Tuesday its German sales gained 31% in 2009 owing to a government cash-for-clunkers scrapping bonus.

Opel said the sale of 339 000 vehicles was its best result since 2005 and gave it a domestic market share of 8.9%.

While its US parent company General Motors (GM) weighed selling the loss-making division, Opel benefited from state aid worth €2 500 for drivers who junked their old cars and bought new ones.

The scheme was a boost in particular to manufacturers of inexpensive cars.

GM was set to sell Opel in September to the Canadian car parts group Magna International and its Russian partner Sberbank, but decided in the end to hang on to the German unit and its British sister brand Vauxhall.

For 2010, many car makers have however forecast slumping sales as variants of the car-scrapping plan implemented worldwide are wound down.

- AFP