The new Mercedes Product Plan 2016-2019
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The new Mercedes Product Plan 2016-2019
- Mercedes introduced its new product plan 2016-2019.
This plan has for objective to lead the Premium sales ahead of its competitors BMW and Audi.
35 different body styles will be available in 2020.
New convertibles C-Class and S-Class have been launched in first half of 2016, as well as the new generation of the E-Class sedan.
In the second half of 2016, the GLC coupe, that will compete with the BMW X4, will be marketed.
This plan has for objective to lead the Premium sales ahead of its competitors BMW and Audi.
35 different body styles will be available in 2020.
New convertibles C-Class and S-Class have been launched in first half of 2016, as well as the new generation of the E-Class sedan.
In the second half of 2016, the GLC coupe, that will compete with the BMW X4, will be marketed.
- In the first half of 2017, the estate version of the E-Class will be sold, and then, in the second half of 2017, the new generation of the B-Class that will compete with the recent BMW Active Tourer. It seems that the long version (7 seats), which should have competed with the BMW Gran Tourer, was abandoned. However electric version continue to be offered.
- In 2018, the renewal program is very important since Mercedes will replace its Class A, Class E coupe and GLE (SUV segment E). The manufacturer is also looking to launch a GLB which would double the offer in the SUV C-segment.
While GLA is derived from Class A, GLB is derived from Class B.
While GLA is derived from Class A, GLB is derived from Class B.
- In 2019, the renewal program is also significant. Mercedes will replace its models CLA and CLA Shooting Brake, E-class cabriolet, GLE coupe and GLA. Finally, the manufacturer plans to replace the coupe SLC with retractable roof cut by a coupe GTA based on Class A with non-retractable roof. SL would then become the only model in the brand equipped with a retractable roof.
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Mercedes could lead the Premium market in 2016
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Mercedes could lead the Premium market in 2016
- In 2015, in terms of sales, BMW was the leading Premium brand in the world.
The Bavarian brand sold 1,905,234 vehicles, while Mercedes has sold 1,871,511 and Audi 1,803,250.
The Bavarian brand sold 1,905,234 vehicles, while Mercedes has sold 1,871,511 and Audi 1,803,250.
- In the first quarter of 2016, a change took place in this ranking: Mercedes overpassed BMW and has become leader, with 483,487 units sold, against 478,743 for the Bavarian brand and 455 750 for Audi.
- It is the growing popularity of compact models of Mercedes (135,747 units of Class A, Class B, CLA, GLA were manufactured in the first quarter 2016 against 115,009 in the first quarter 2015, which represents a 18% increase) and increasing production of Mercedes in China (70,147 units in the first quarter 2016 against 48,351 in the first quarter 2015, which represents an increase of 45%) that enabled Mercedes to take the lead on BMW and Audi.
- Mercedes plans to maintain its leadership.
It has announced a comprehensive plan-product. The brand will replace a dozen models between 2017 and 2019, will launch new models and offer up to 35 different body styles in its 2020 catalog (against 30 for BMW and 20 for Audi, at the same date).
It has announced a comprehensive plan-product. The brand will replace a dozen models between 2017 and 2019, will launch new models and offer up to 35 different body styles in its 2020 catalog (against 30 for BMW and 20 for Audi, at the same date).
- The four principal markets for Mercedes , which account in 2015 for 59 % of its global sales are: the United States (20% of sales), Germany (15%), China (14%) and UK (10% ).
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Volkswagen will build a new plant in China with FAW
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Volkswagen will build a new plant in China with FAW
- While in 2015 the Volkswagen Group was overpassed by the GM group in China (with 3.46 million units against 3.52 million units for GM), it became the first carmaker in the country for the first semester of 2016 (with 1.28 million units against 1.27 million units for GM).
- This performance follows the robust growth of the Chinese automotive market and the announcement by the Volkswagen management to build a new assembly plant in China. This plant located in Tianjin and built with FAW will enable the VW group to increase its capacity by 300,000 units per year.
- The capacities of the German group in China are today 4.26 million units per year. They will therefore reach 4.56 million units in 2018, when the new Tianjin plant will be operating. Let us remind that Volkswagen's objective is to produce and sell 5 million vehicles per year in China from 2020.
- It will therefore be necessary to build a plant of 300,000 units per year and another one of 150 000 units per year (or two plants of 300 000 units per year) in order to achieve this objective. Last year, VW produced in China 3.5 million vehicles in total: 1.5 million vehicles with FAW and 2.0 million vehicles with SAIC.
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PSA and Dongfeng announce the creation of a new common platform
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PSA and Dongfeng announce the creation of a new common platform
- PSA and its Chinese partner (and shareholder) Dongfeng announced the creation of a new common platform, named e-CMP.
This new platform will allowed both carmakers to design and market from 2019 a global range of 100% electric vehicle from B and C segments, for Peugeot, Citroën DS and Dongfeng. For now, none of these brands produce 100% electric vehicle, neither in China nor Europe.
This new platform will allowed both carmakers to design and market from 2019 a global range of 100% electric vehicle from B and C segments, for Peugeot, Citroën DS and Dongfeng. For now, none of these brands produce 100% electric vehicle, neither in China nor Europe.
- This platform is to be added to the CMP1, a common platform recently announced and dedicated to the B segment vehicles, equipped with thermal and hybrid engines for Peugeot, Citroen, DS and Dongfeng and marketed from 2018.
- It is now likely that the EMP2 platform used since 2013 by PSA for C and D segments models, could evolve to a common platform Dongfeng-PSA (probably named CMP2), which allowed Dongfeng to use this platform for its own C and D segments models.
- PSA and Dongfeng will therefore have at term three platforms: CMP1, CMP2 and e-CMP.
- The new platform e-CMP indicates the plausible end of the agreements between PSA and Mitsubishi (started in 2010) for the marketing of common electric cars (Mitsubishi i-Miev, Peugeot Ion, Citroën C-Zero). Since then, PSA sold 15,000 units of the Peugeot Ion and Citroën C-Zero, while at the same time, Renault has sold 50,000 units of the Zoe.
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Mercedes started its new assembly plant in Brazil
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Mercedes started its new assembly plant in Brazil
- The Brazilian new assembly plant of Mercedes (for Passenger Cars), announced in November 2013, finally started operations in March 2016.
Located in Iracemapolis (near Sao Paulo), this plant has a capacity of 20 000 units per year, making it a small plant.
Located in Iracemapolis (near Sao Paulo), this plant has a capacity of 20 000 units per year, making it a small plant.
- The Premium market in Brazil is still very modest.
Most vehicles sold in the country are from generalist brands and lower segments (A – B and C segments).
Most vehicles sold in the country are from generalist brands and lower segments (A – B and C segments).
- Mercedes has nevertheless begun to assemble the C-Class (sedan from the D-segment) since late March, and will start to assemble the GLA (SUV from the C -segment) from end of June.
- The start of the Mercedes plant occurs when the Brazilian market collapses: this market has indeed fallen by 15% for PC in 2015 (following a decline of 9.5% in 2014) and still dropped by 26.5% in the first quarter 2016.
- However, Mercedes remains optimistic, on the basis that it recorded highest sales in this market since 2014.
Mercedes really believes in the potential of this great market with a low motorisation rate (125 vehicles per 1 000 inhabitants).
Mercedes really believes in the potential of this great market with a low motorisation rate (125 vehicles per 1 000 inhabitants).
- In 2017, the Brazilian market should increase.
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