Italy’s declining car output trend may be reversing

Italian passenger car production decreased last year but it increased notably in December 2025 and January 2026, Kallanish learns from preliminary data by automotive association Associazione Nazionale Filiera Industria Automobilistica (Anfia).

In 2025, car output stood at 237,800, down by 23.2% year-on-year. However, in December, the index of Italian automotive production reversed the negative trend of the previous three months, recording growth of 13.5%, according to director general of Anfia, Gianmarco Giorda in a note. In December car output stood at 21,600, jumping by 104.3% compared to the same period in 2024.

By comparison, last year the UK recorded an 8% y-o-y decline to 717,400 cars. Spain saw a production decrease of 5.7% to 1.8 million units. German production ticked up by 2% in 2025 to 4.2m units, Anfia says. The most recent data indicates that French car production during January-September experienced a y-o-y increase of 5% to 748,700 cars.

“From the perspective of annual production volumes, as we have repeatedly stressed, 2025 was an ‘annus horribilis’: vehicle output closed the year down nearly 20% compared to 2024, which had itself already been a difficult year in terms of volumes,” Giorda says.

“The hope for the current year is that, thanks to the allocation of resources earmarked by Mimit’s [The ministry of enterprises and made in Italy] automotive fund at the last automotive roundtable – which will also be dedicated to supply-side support measures – and to the launch of new models expected in 2026, domestic production volumes may soon recover,” they add.

In January the positive production trend in Italy continued. Production increased again by 34.5% to 17,500 cars.

January’s Spanish output ticked up by 2.8% to 136,700 cars while output in the UK and Germany declined by 8.2% to 65,200 cars and by 9% to 305,900 cars, respectively.

Author: Natalia Capra France

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