Increasing car prices blamed on German buyers

Since May 1, the Germans have been purchasing new cars in Western Poland, as prices there are more than 20% lower than in Germany. In order to save profits on the strategic German market, a majority of car manufacturers are beginning to raise prices in Poland. According to sector analysts, prices should be equalized within 18 months, as by then the EU will have a fully liberalize automotive market. This situation might result in falling car sales on the Polish market, and according to Wojciech Drzewiecki from car sector analyst company Samar, despite the economic revival Poles will not buy more cars in 2004 than in 2003. Furthermore, despite the fact that Germans have been mostly purchasing cars in the Western part of Poland, prices will go up nationwide, as usually only one importer services a brand. (Rzeczpospolita, pp. A1, B1) M.M.