FCA confirms its plan relating to its vehicle production in the USA
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FCA confirms its plan relating to its vehicle production in the USA
- The FCA group recently communicated on its plan to produce vehicles in the US. This plan is based on the product plans announced in 2014, 2015 and 2016, as well as on the US vehicle production strategy, presented in July 2016.
- In 2014 and 2015, FCA announced in its product plan the release of the new Jeep Wagoneer / Grand Wagoneer and Wrangler Pick-Up vehicles. At the end of 2016, FCA announced that production of the Dodge Dart and Chrysler 200 sedans had been stopped. Detailed analyzes of these various announcements are available on the Inovev platform.
- In July 2016, FCA had communicated its strategy of vehicle production in the US. The strategy is to produce only SUVs and Pick-ups on American soil.
- The latest communication from FCA clarified the production plan in the USA, which includes:
• the next generation of the Dodge Ram Pick-Up 1500 (transferred from Mexico to the US);
• three new Jeep vehicles: the Wagoneer, the Grand Wagoneer and a Pick-Up (likely the Wrangler).
- The Dodge Ram range is the most sold range of the FCA group, with more than 600,000 vehicles produced each year (55% in the US and 45% in Mexico).
The Dodge Ram range is composed of the Ram 1500, Ram 2500/3500, Ram Mega Cab, Ram 3500 Chassis Cab, Ram 4500/5500 and DX Chassis Cab (for the Mexican market). In 2016, 596,810 vehicles were sold in the three NAFTA countries, of which 489,418 in the USA, 89,666 in Canada and 17,726 in Mexico.
The Dodge Ram range is composed of the Ram 1500, Ram 2500/3500, Ram Mega Cab, Ram 3500 Chassis Cab, Ram 4500/5500 and DX Chassis Cab (for the Mexican market). In 2016, 596,810 vehicles were sold in the three NAFTA countries, of which 489,418 in the USA, 89,666 in Canada and 17,726 in Mexico.
- The current version of the Dodge Ram 1500 is manufactured on two sites: one in the USA (Warren) and the other one in Mexico (Saltillo). The next generation of the Dodge Ram 1500, expected to be released in 2019, will now be manufactured at the two US sites in Warren, Michigan and Sterling Heights, Michigan. The latter is currently ending the manufacture of the Chrysler 200 sedan that will not be replaced.
- As for Jeep, FCA has announced the arrival of three new models in its American plants.
The Warren (Michigan) plant will produce the Jeep Wagoneer and Grand Wagoneer SUVs, while the Toledo (Ohio) plant will produce a Jeep pickup, in addition to the current Jeep Cherokee and Wrangler.
The Warren (Michigan) plant will produce the Jeep Wagoneer and Grand Wagoneer SUVs, while the Toledo (Ohio) plant will produce a Jeep pickup, in addition to the current Jeep Cherokee and Wrangler.
- In conclusion, four FCA plants will be impacted by this plan:
• In USA
ØThe Warren plant which currently produces the Dodge Ram 1500, will produce by the side the Wagoneer and Grand Wagoneer.
With 316 000 units produced in 2016, the plant should consequently increase its production by at least 50 000 units per year in its first years.
With 316 000 units produced in 2016, the plant should consequently increase its production by at least 50 000 units per year in its first years.
ØThe Sterling Heights plant, which currently produces only the Chrysler 200 (76 000 units), will replace it with the Dodge Ram 1500 (with higher volume than the Chrysler 200). Consequently the production of the Sterling Heights plant should increase.
ØThe Toledo plant (480,000 units in 2016) which currently produces the Jeep Wrangler and Cherokee will add the Jeep pick up, what should increase the production of the plant.
• In Mexico
Øthe Saltillo plant (281,000 units in 2016), will continue to produce the Dodge Ram 2500/3500, Ram Mega Cab, Ram 3500 Chassis Cab, Ram 4500/5500 and DX Chassis Cab (for the Mexican market), but will lose the Ram 1500 which will be transferred to the Sterling Heights plan (see here above)
ØConsequently the production of the Saltillo plant should mechanically decrease, unless new models are added.
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The Toyota Yaris is the most produced car in France in 2016
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The Toyota Yaris is the most produced car in France in 2016
- The Toyota Yaris was the most produced car in France in 2016, while the Peugeot 308 had taken this title in 2015.
- Over the 12 months of the year 2016, 237,851 Toyota Yaris came out of the Onnaing factory (Hauts de France), where the production of this model is concentrated for Europe and the United States. 217 845 Peugeot 308 were produced on the Sochaux site (Burgundy Franche-Comté).
- The Toyota Yaris’s production increased by 4,2% in 2016 while the Peugeot 308 ‘s production fell down by 10,5% over the same period.
- These different evolutions can be explained by following elements:
1. Sales of Toyota Yaris in Europe (EU 29 countries) increased in 2016 (Inovev estimation: 193,661 units over 12 months, +5%).
2. Sales of the Peugeot 308 in Europe (EU 29 countries) fell down (Inovev estimation: 194,486 units over 12 months, -9,7%), due to:
a) The fall of the Dutch market (a consequence of higher taxes on thermal engine cars), where the Peugeot 308 sales decreased by 23 929 units in 2016 compared to 2015. It is also to note that in 2015, the Dutch market anticipates these taxes measures and increased strongly its registrations.
b) The arrival of the new generation of the Renault Megane which competes directly with it.
3. Toyota Yaris exports to North America Are being continued in 2016 (21,527 units), conversely to what was announced.
- The Toyota Yaris thus regains its leadership position which it had occupied not only in 2014 but also in 2013 and 2012.
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Suzuki unveils the next-generation of Swift (B-segment)
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Suzuki unveils the next-generation of Swift (B-segment)
- The Japanese manufacturer Suzuki unveiled the fourth generation of the Suzuki Swift, its best-selling B-segment sedan, produced in India, Japan, China and Europe. In 2015, 367 000 Swift were produced worldwide, including 223,000 in India (Manesar), 68,000 in Japan (Kosai), 54,000 in Europe (Esztergom) and 22,000 in China (Chongqing). The vehicles produced on each site are to be sold primarily on local markets.
- The new Suzuki Swift keeps the main features of its predecessor that made its success. Unlike its predecessors, the new model only exists in five doors. This strategy is increasingly used by car manufacturers, probably for cost considerations (3-door versions typically achieving between 15% and 20% of sales of B-segment models), such as Renault for its Clio IV.
For the Swift, Suzuki targets 500,000 sales a year.
For the Swift, Suzuki targets 500,000 sales a year.
- The new Suzuki Swift is based on the platform used on the recent Ignis and Baleno. In terms of dimensions, it is placed just between these two models with a length of 3.84m (against 3.70m and 4.02m respectively). The new Swift takes its engines from the Baleno: at the entry level, it has a petrol engine 1.2l of 90hp or a hybrid petrol engine 1.2l of the same power, and in the top it has a petrol 1.0l 3-cylinders of 110hp. It will be equipped in addition with a 1.4l engine of 140hp in its Sport version that will be presented at the Geneva Motor Show.
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Inovev forecasts 130,000 units per year of the new GMC Terrain
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Inovev forecasts 130,000 units per year of the new GMC Terrain
- The US carmaker General-Motors unveiled at the 2017 Detroit Show the new generation of the SUV Terrain.
The first generation of the Terrain launched in 2009 was originally to be launched under the Pontiac brand and replace the Pontiac Torrent. The cancellation of the Pontiac brand in 2009 lead to a different decision, and it was under the GMC brand that this model was launched the same year. The selected name, Terrain, however remained close to the name Torrent.
The first generation of the Terrain launched in 2009 was originally to be launched under the Pontiac brand and replace the Pontiac Torrent. The cancellation of the Pontiac brand in 2009 lead to a different decision, and it was under the GMC brand that this model was launched the same year. The selected name, Terrain, however remained close to the name Torrent.
- The Terrain shares its platform with the Chevrolet Equinox (GM platform D2XX), another GM SUV. The SUV of GMC is traditionally positioned as a Premium vehicle on the SUV market, while the Chevrolet Equinox is positioned as a generalist vehicle.
- The engines of the new Terrain are identical to those of the Chevrolet Equinox: a 4-cylinder turbocharged petrol 1.5 l 170hp engine, a 4-cylinder turbocharged petrol 2.0l 252hp engine and a new 4-cylinder turbocharged diesel 1.6l 137hp engine.
- Inovev forecasts a volume of 130,000 vehicles manufactured annually at the Ingersoll site (Ontario, Canada). The first generation had already reached this volume by 2015.
- This volume of production is quite low compared to competitors which produce almost 3 times more SUVs in this segment. See on the below graph: Honda CRV, Toyota RAV4, Nissan Rogue or Ford Escape.
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Inovev forecasts a production of 300,000 units per year for the new Kia Picanto
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Inovev forecasts a production of 300,000 units per year for the new Kia Picanto
- Shortly after the introduction of the new Rio (segment B sedan), Korean carmaker Kia unveiled the third generation of the Picanto, its segment A sedan, sold both in Asia and Europe.
- In 2015, the Picanto was produced at 248,000 units in the sole plant that produces it, Sohari in Korea. In 2016, no more than 210,000 vehicles were produced, a 15% decrease from the previous year. This decrease can be explained by the end of life of the model launched in 2011.
- The new Kia Picanto marketed in 2017 keeps the main features of its predecessor that made its success.
Kia targets 300,000 worldwide sales a year. Inovev is in agreement in its forecast with this figure.
Kia targets 300,000 worldwide sales a year. Inovev is in agreement in its forecast with this figure.
- The new Kia Picanto is based on the platform used on the recent Hyundai i10 (segment A sedan) which is its most direct competitor, even if it is part of the same group (Hyundai-Kia). Picanto is well ahead of the i10 in terms of global sales, as the i10 will not exceed 160,000 units in 2016 (162,000 in 2015). But it is to note that i10 exists in an extended version called Grand i10 much more produced (176 000 copies in 2015 and 198 000 in 2016).
- The new Picanto has the same engines as the i10: a 3-cylinder 1.0 engine of 66hp and a petrol engine 4 cylinders 1.2 of 87hp.
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Read more... Inovev forecasts a production of 300,000 units per year for the new Kia Picanto
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