Category Blog

Details: Published: 06 September 2022

New model transfer project for PSA

- The announcement of the arrival of premium models to the PSA Mulhouse plant (probably DS models from segments C and D) will result in more model transfers within the group's French plants .

- The planned concentration of high end models from segments C and D in Mulhouse (France) may lead to the transfer of the 508 from Rennes to Mulhouse (the transfer of the C5 has already been confirmed and it is to be renamed DS6) alongside the transfer of the 2008 from Mulhouse to Poissy. The next plant in which the C4 will be manufactured is still to be determined. Currently produced in Mulhouse, the C4 may have to join the 308 in Sochaux, if this was the case the 3008, 5008 and Zafira could be transferred to the Rennes plant, which would become a plant dedicated to crossovers.

-Below you will find a summary of the model transfers between PSA plants, as well as Inovev’s forecasted transfers.

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Details: Published: 06 September 2022

The Korean market is more and more open to imports

- In the first 4 months of 2014, five Korean manufacturers (Hyundai, Kia, GM Korea, Renault Samsung and SsangYong) sold 382 000 vehicles in their local market, an increase of 6.1% compared to the same period in 2013.

- By category, sales of large cars (segments E and F) increased by 64% (to 20 000 units), sales of SUVs rose by 27% (106 000 units) and sales of urban vehicles (segments A and B) rose by 6% (to 63 000 units). In contrast, sales of compact cars (segment C) and medium size sedans (segment D) decreased in the first four months of the year (to 193 000 units), but still remain the most popular cars with Korean customers.

- Moreover, it is interesting to note that sales of imported cars in South Korea continue to take market share from Korean manufacturers. Totalled 17 000 units in April (+25%), bringing the sales volume for the first four months of the year to 61 000 units, representing an increase of nearly 27%, an increase four times higher than the one experienced by the Korean market as a whole.

- BMW was the best-selling foreign brand over the four months (13 698 units) , followed by Mercedes (11 256 units), Volkswagen (9 668 units), Audi (8 761 units). 80% of imported cars sold were European , most of which were German. 13% were represented by Japanese brands and 7% were American brands.

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Details: Published: 06 September 2022

Comparison between France and Sichuan/Chongqing

- Sichuan is a Chinese province (490 000 km2 and 80 million people). Chongqing, formely capital of Sichuan, and its surroundings have been administratively separated from Sichuan to become a municipality (82 000 km2 and 29 million people).
Sichuan/Chongqing (Sichuan + Chongqing) can be compared to France (550 000 km2 and 63 million people).
The automobile production of Sichuan/Chongqing started to take off in the early 2000s, while France started its own a century earlier.

- It is in 2012 that the automobile production volume of Sichuan/Chongqing exceeded that of France.
Sichuan/Chongqing keeps on rising, given the very large and growing demand of the Chinese market as a whole (exports remain low), while France, that offshored a large part of its production and has suffered from a European market down by nearly 25% since 2007, did not cease seeing its production levels decline from 3.5 million vehicles to 1.75 million in 2013 ...

- Forecasts suggest a widening gap between the production volume between France and Sichuan/Chongching. Inovev aims on a production of 2.1 million vehicles in France in 2015 and 4.2 million units in Sichuan/Chongqing by the same date, which is twice the amount of France.

- Finally, Sichuan/Chongqing has 15 plants for nearly 4 million units (PC + UV) of capacity, while France has 14 plants with a total capacity of around 3.2 million units.

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Details: Published: 06 September 2022

Consequences of the Chevrolet withdrawal from the European market

- The decision to withdraw the Chevrolet brand from the European market in 2015-2016 (in order to boost sales of the Opel brand on this continent, Opel and Chevrolet both being part of the General-Motors group) will inevitably lead to lower production rates in the GM Korea plant, this plant provides most Chevrolet models sold in Europe. In 2013, 130 000 Chevrolet vehicles were sold in Europe (excluding Russia, Ukraine and Turkey), against 162 000 in 2012 and 173 000 in 2011. The peak was reached in 2007 with 205 000 sales. GM Korea produced 745 000 vehicles in 2013 (against 768 000 in 2012 and 789 000 in 2011). These figures do not include CKD vehicles delivered to some countries of the former Soviet Union, such as Ukraine and Uzbekistan.

- The pattern of Chevrolet sales in Europe and production levels of the GM Korea plant are therefor following the same trend. With the removal of the 130 000 European sales expected for 2014 and 2015 GM Korea's production will undoubtedly fall accordingly over the next two years.

- This phenomenon will be amplified by the production transfer of the Opel Mokka from Korea to Spain (in the second half of 2014), probably 40 000 units in 2014 and 80 000 units in 2015 and beyond. GM Korea will therefore lose the production of 170 000 vehicles in 2014 and 210 000 in 2015, which will lead to a reduction of its capacity.

Contact us: info@inovev.com

Details: Published: 06 September 2022

2013 Sales by body type

- On the three largest global markets, China, the United States of America and the European Union, the face of the automobile market (sales by body type) has transformed itself and is very different today.

- Indeed, if global sales are divided into five distinct types of bodies (1 / sedans (with trunks) and estates 2/ hatchbacks 3/ SUVs and crossovers 4/ MPV 5/ pick-ups), we can observe that sedans with trunks and estate vehicles are very well established in China (64% of sales in 2013) and in the USA (48% of sales), while they represent only 19% of the market in Europe.

- In Europe, it is Hatchback that are the most present, with 51% of sales in 2013. Conversely, these hatchbacks represent only 12% of sales in China and only 3% in the USA.

- SUVs (and crossovers) can see their market share progress throughout the past dozen years, representing 17% of their sales in Europe, 19% in China and 31% in the USA in 2013.

- Victims of the success of SUVs, minivans have seen their market share decrease, representing only 13% in Europe, 5% in China and only 4% in the USA.

- Finally, pick-up represent 14% in the U.S. while they are marginal in Europe and China.

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