Volvo’s S90 sedans are all now produced in China
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Volvo’s S90 sedans are all now produced in China
- Volvo Cars' production capacity in Europe is 600,000 vehicles per year (300,000 units in Gothenburg, Sweden and 300,000 units in Ghent, Belgium). However, the manufacturer's production is likely to reach this figure by 2017 and will surpass it in subsequent years, following the launch of new models (V40, XC40, S60, V60).
- In order to avoid being unable to meet demand, Volvo Cars decided to use its plants outside Europe:
1. By transferring part of its production to its Chinese plant in Daqing in 2017.
2. By transferring part of its production to its US plant in 2018 ( plant to be opened in 2018).
- For Volvo Cars to achieve its target of 800,000 sales in 2020 (against 600,000 in 2017), the manufacturer will have to manufacture 600,000 cars in Europe, 100,000 in China and 100,000 in the United States.
- The Volvo S90 sedans, marketed around the world since spring 2016 and manufactured in Sweden at the historic site of Volvo in Gothenburg, are now all manufactured in China and exported worldwide.
- The Gothenburg plant will continue to produce the X60, XC90 and V90, while the Ghent plant (Gent) will concentrate on the V40, XC40, S60 and V60, awaiting a possible transfer of these two models to China or the USA.
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Chinese market for battery electric vehicles (BEV) and plug-in hybrids (PHEV) in 2016
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Chinese market for battery electric vehicles (BEV) and plug-in hybrids (PHEV) in 2016
- In 2016, the market for electric vehicles (BEV) and plug-in hybrids (PHEV) in China amounted to 507 000 PC + LCV (of which 352 000 PC and 155 000 LCV), compared with 331 000 PC and LCV (of which 207 000 PC and 124 000 LCV), making China the world's largest market for rechargeable electric and hybrid vehicles, larger than Europe (223 000 units) and the USA (159 000 units).
- The Chinese market for electric and plug-in hybrids vehicles has increased by 53%, thanks in particular to tax incentives decided by the government for this type of vehicle.
- In 2016, BYD dominated the market, with 100,173 sales, ahead of BAIC (42,119), Zotye (29,571), Zhidou (20,292), Geely (17,181) and Chery (16,017). These six brands alone account for 45% of sales of rechargeable electric and hybrid vehicles in China.
- The ten best selling models are: BYD Tang (31,405 units), BYD Qin (21,868), BYD e6 (20,605), BAIC E-series EV (18,814), BAIC EU260 Zotye Z100 (16,417), CheryeQ (16,017), BYD e5 (15,639) and SAIC Roewe 550 PHEV (15,145). These ten models account for almost 40% of sales of rechargeable electric and hybrid vehicles in China.
- Inovev expects a Chinese market for BEV and PHEV in the order of 600,000 units for the year 2017.
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One Audi in Five will be Electric or Plug-In Hybrid in 2025
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One Audi in Five will be Electric or Plug-In Hybrid in 2025
- Audi's first rechargeable hybrid model the A3 e-tron (2014), followed by the Q7 (2016), both sold 15,000 units each in 2016.
- If the Volkswagen Group wants to produce a million 100% electric vehicles plus a million and a half plug-in hybrid vehicles in 2025 (see Analysis: VW wants to sell 1 million electric cars a year by 2025), Volkswagen, Audi, Skoda, Seat and Porsche must each share a certain number of these models with alternative engines. Audi has just presented a concept car called e-tron Sportback Concept at the Shanghai Motor Show, which precedes its first 100% electric sedan, expected to be commercialized in 2019.
- In 2025 Audi could sell one in every five cars in the world in 100% electric or rechargeable hybrid engines, i.e. about 500,000 units that year. The distribution between the two types of engine is hardly predictable, but with the global envelope announced by Volkswagen Group, 200,000 100% Audi electric vehicles and 300,000 Audi rechargeable hybrid vehicles in 2025 is a possible scenario.
- The rate of increase of Audi's 100% electric and rechargeable hybrid vehicles should be as follows (according to Inovev forecasts): 25 000 in 2019, 50 000 in 2020, 100 000 in 2021, 200 000 in 2022, 300 000 in 2023, 400 000 in 2024 and 500 000 in 2025.
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Suzuki to increase production capacity in India
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Suzuki to increase production capacity in India
- Suzuki, with its Maruti brand, is the leading automotive manufacturer in India, in terms of production and sales. In 2016, the Japanese OEM produced 1,513 million vehicles at two different locations (Manesar and Gurgaon) and sold 1.395 million vehicles in this market. In 2016, Suzuki had a production capacity of 1.5 million vehicles a year in India.
- The third plant that Suzuki built last year in Gujarat began operations in early 2017. This plant has an initial production capacity of 250,000 vehicles per year, and manufactures the Suzuki Baleno for India and for export.
- Encouraged by the rise of the Indian market as a whole in the first quarter of 2017 (almost 10% increase over the period), and by the steady increase in its market share in India (from 30% in 2012 To 38% in 2016), the Japanese manufacturer has recently decided to double this production capacity by 2019, three years earlier than originally planned. In two years, Suzuki will thus have a production capacity of 2 million vehicles per year, which is close to the manufacturer's sales target in this market (2 million vehicles in 2020).
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The Most Produced A Segment Car in the World in 2016
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The Most Produced A Segment Car in the World in 2016
- The global market for A segment vehicles was at 4.65 million units in 2016, compared with 4.82 million units in 2015. The most produced A segment car in the world in 2016 was the Suzuki Alto 800, as for several years. Throughout its various generations since 1979, this model has always been one of the cheapest cars on the market. The current generation is mainly sold and produced in India, where 245,000 sales were recorded in 2016 (out of a volume of 267,000 units worldwide). Indeed, India is a 3 million PC market of which a large part are A segment cars (1 million PC , or 33% of the Indian market).
- The Alto 800 suffered a 20% drop in its sales in 2016, from 332,000 to 267,000 units, as this model (launched in 2012) is gradually being replaced by the Suzuki Celerio (launched in 2015), in the same category, which sold 90,000 units in 2016 and is expected to continue to increase in pace in 2017 and 2018.
- The sedans in the same segment as the Suzuki Alto 800 are mainly Suzuki Wagon R, Fiat Panda, Hyundai i10, Kia Picanto, Renault Twingo, Citroen C1, Peugeot 108, Toyota Aygo, Volkswagen Up, Opel Karl, Mitsubishi Space Star, and Chevrolet Spark . Although they are all part of the same A segment, these sedans are not necessarily marketed in the same countries.
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