Top 5 plants of 9 major auto manufacturers in Europe
 
The charts relating to the top 5 plants  of 9 major carmakers in Europe highlight  significant differences in terms of size, geography and utilization of plants.

The Volkswagen, PSA and Renault -Nissan groups have the largest plants. But while the Volkswagen group manages to use 90 % of the capacity of its five largest factories in 2013, the group Renault-Nissan and PSA will use this year only 80 % and 75% of the capacities of their five largest plants.

Volkswagen Wolfsburg plant utilizes 100 % of its capacity and Renault -Nissan plants Sunderland (Nissan) , Pitesti (Dacia ) and Bursa (Renault) 100 % of their capacities in 2013 as well.

In PSA, none of the five main factories utilize 100 % capacity. The Rennes plant that does not appear in this ranking only used 40% of its capacity in 2013.

Ford Europe, GM Europe and Fiat -Chrysler have fewer large plants and the plants are underutilized: 70% for GM Europe , 60% for Ford Europe , 50% for Fiat -Chrysler regarding their top five factories in 2013.

BMW and Daimler use 90 % of the capacity of their top five factories, and Hyundai- Kia uses 80 %. Independent Japanese automakers (Toyota , Honda, Suzuki ) produce less than the nine carmakers analysed here.


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GM will give up the Chevrolet brand in the European market in 2016
 

GM uses currently two brands in the European market for its passenger cars: Opel ( Vauxhall in the UK ) and Chevrolet. Both brands offer sedan models and SUVs.


Opel sedan vehicles (A, B, C, and D segments) are produced in Europe while the Opel SUVs (segment B and D) are produced in Korea in a Chevrolet plant (former Daewoo plant).  Chevrolet  sedan vehicles and SUVs are imported from Korea, with the exception of Malibu (sedan segment D ), Camaro and Corvette (sport coupes) that are produced in the USA and are imported from this country.


The launch of the Chevrolet brand in Europe in the early 2000s (rebadging of Daewoo models) failed to boost sales of GM group on the continent. The increase in sales of Chevrolet in Europe from 2002 to 2007 did not offset the drop in sales of Opel  Worse, the drop in sales of Opel from 2007 to 2012 (nearly 600,000 sales in less than five years ) was accompanied by a parallel decline in sales of Chevrolet .


Undifferentiated positioning of the two brands in the same segments resulted in cannibalization of Opel and Chevrolet.
GM considered  then to reposition the two brands (Opel preferably as Premium and Chevrolet  preferably as low price).
But finally the decision was taken to give up  the Chevrolet brand in the European market in 2016 and leave the way open for Opel  to represent GM in Europe. Chevrolet will  continue to be used in all parts of the world where Opel is not present . The fact that all Chevrolet brand vehicles were imported while Opel plants suffer from overcapacity in Europe weighed in the balance. The question now is whether Opel will recover market share of Chevrolet, which is not guaranteed.


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Porsche unveils the Macan
 
Since the relocation of its spider Boxster and Cayman coupe from  Finland to Germany in 2011, Porsche produces now all its vehicles (five different models) in Germany.

The Porsche 911, which continues a dynasty begun in 1963, is made in the mother plant of the company in Stuttgart.  The all-terrain Cayenne and the Panamera sedan - arrived more recently on the market - are manufactured in Leipzig.

The Boxster and Cayman ( entry-level range of the carmaker) are manufactured in Osnabrück (formerly the Karman’s site).

Porsche has unveiled its sixth model, which will also be produced in Germany (Leipzig). It is a compact all-terrain, Macan, less imposing than the Cayenne. However we can not really talk about an entry-level SUV Porsche since this model will be proposed at prices very similar  to those of Cayenne.

For this new model, Porsche has used the platform of the Audi Q5 (Audi and Porsche are part of Volkswagen group), while the Cayenne was based on that of the Audi Q7 ( and Volkswagen Touareg).

Porsche expects to sell  50,000 Macan annually while the Cayenne sales reached 80,000 in 2012 and 60,000 in 2013. It is possible that these objectives are underestimated because with European, Chinese and American markets combined, the Macan could become the most produced model of the brand (70 000 to 80 000 units per year).


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Future AvtoVaz models should use Renault-Nissan platforms and engines
 

AvtoVAZ (Lada) began producing cars in Russia in 1970. The first models were derived from the Fiat 124 that was manufactured in Italy from 1966 to 1974 . Known in Europe under the name Jigouli, over 17 million units of these models were produced until its extinction in December 2012. Then AvtoVAZ expanded its range by launching the Niva (a compact SUV) in the 70s, the Samara (segment C sedan) in the 80s. More recently it started producing the Priora (segment C sedan), the Kalina (segment B sedan) and the Granta (segment C sedan).The Russian manufacturer will cease to produce the Lada Samara five-door hatchback by December 2013. This model will be replaced by the LadaGranta hatchback.


Since its acquisition by the Renault-Nissan group, AvtoVAZ pursues the industrial agenda set by its new owner.The agenda states that the carmaker must renew all its current models by 2020 and they must all be based on the engines and platforms of the group. This is why in 2012, AvtoVAZ launched the Largus estate based on the first generation of Dacia Logan estate.


Future AvtoVAZ models should be based on existing Dacia models and will use Dacia platforms and engines. In terms of engines, AvtoVAZ has began producing K4 engines from the Renault brand: 300 000 units should be assembled in 2014. Currently, these engines are imported from Romania. As AvtoVAZ production rate increases in Russia, deliveries from Romania will be reduced.
K4 engines manufactured by AvtoVAZ will equip almost all B0 vehicles (the code name for the Entry family)
assembled
by AvtoVAZand Renault Avtoframos in Moscow. 


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Insight of the Indian market over the 10 months 2013
 
India is the third largest car market in Asia (behind China and Japan), with nearly 2.17 million vehicles (cars + LUVs ) sold in the first 10 months of 2013.

In a particularly dynamic continent (thanks to China, Korea and the ASEAN countries ), the Indian market yet experienced a decline in registrations compared to 2012 (-7.4 %).This market suffers from cumulative effects of a slowing economy, high interest rates that plague consumption, but also competition from two and three wheels.

In a country with rising urbanization with megacities, the car market is dominated at 80%  by the small city car segment: 61 % of the market is segment A and 19% segment B.

It is therefore natural to see the market being dominated by specialist manufacturers of small cars such as Maruti Suzuki - (41.2 % market share), Hyundai (14.7 % market share), Mahindra (10.7 % market share) and Tata (9 % market share).

The analysis by body type highlights the predominance of sedan bodies (71% of bodies), followed by MPV (20%, typical of developing countries) and SUV (8%, two times less than in China or Europe).

As for models, Maruti Suzuki monopolize the top four places and display eight cars in the top 20.


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