Ford Motor Co., General Motors and Fiat were the automakers worst hit as European passenger car registrations fell 10 percent to 829,359 in February.
The region's deepening recession continued to deter customers from buying cars despite steep discounting.
"This is as lousy as expected," said Gaetan Toulemonde, an analyst at Deutsche Bank AG in Paris. "We won't see any sign of recovery before the second half."
Ford's sales in the EU and EFTA countries were down 21 percent last month, according to figures released by industry association ACEA today.
The company is forecasting a loss of $2 billion in Europe for 2013.
Ford said its sales have been hit by production stoppages at its factory in Genk, Belgium, which is due to close next year.
"Our sales in the first two months of the year were significantly affected by the lack of consistent supply of the Mondeo, S-Max and Galaxy," Ford of Europe's marketing and sales head, Roelant de Waard, said in a statement. All three vehicles are built in Genk, where production restarted on Monday after workers agreed to severance terms.
"We have strong demand for these vehicles and will now move quickly to fill orders and meet the demand," de Waard said.