The sales of diesel powered engine cars have dropped by up to 25% in the United Kingdom.
According to reports, auto industries are blaming development on confusion over government policies which dragged over all sales in the industry by 6.3% when compared with January.
The Society for Motor Manufacturers and Traders said confusion over government policy was causing buyers to hesitate.
London has already introduced a higher congestion charge for higher polluting vehicles, and other UK cities including Oxford have discussed limiting their access to city centres.
The Society for Motor Manufacturers and Traders (SMMT) said replacing older cars with new diesels would still reduce pollution and emissions as they are cleaner than older vehicles.
The SMMT said demand for cars that run on petrol was 8.5% higher this January than a year earlier, but that positive move was offset by the steep decline in demand for diesels, which account for around a third of the market.
Sales of “alternatively fuelled vehicles” including electric cars rose 23.9%, but they still account for only 5.5% of the market.