Great Wall will start producing vehicles in Russia in 2019
The Great Wall Chinese group will start producing vehicles in Russia as of the first half of 2019, in its future factory located in the Tula Oblast (central Russia).

The site will first assemble the Haval H7 and H9 SUVs, as SUVs now represent 25% of sales in Russia, and their progression is constant.

At full capacity, the site will be able to produce up to 150,000 vehicles per year. Initially, the production should have started in 2018, but the manufacturer preferred to postpone the start of this plant for one year. The Great Wall Group plans to expand the distribution network for its Haval brand in Russia, to 65 dealers by 2020 (against twenty currently).

With the launch of production in Russia and the expansion of its local distribution network, the Chinese manufacturer hopes to bring its sales in Russia to 20,000 units per year by 2020.

By way of comparison, Great Wall exported only 1,138 vehicles to the Russian market in the first half of 2018, while the overall market totaled 850,000 registrations over this period. Great Wall's market share is therefore less than 0.2% of registrations. However, the builder is still optimistic, even given  the painful  closure of its Bulgarian factory in Lovech in 2016.


    
 

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Volkswagen increases capacity at Wolfsburg plant
The Volkswagen Group plans to increase the annual output of its Wolfsburg plant to one million units by 2020, a figure never reached by any other plant in Europe or Russia. Currently, the capacity of the Wolfsburg plant is 900,000 vehicles per year, and the manufacturer believes it is necessary and feasible to increase these capacities by 10% by 2020. Formerly the historic stronghold of the Volkswagen Beetle (1938-1978), this plant today manufactures Volkswagen Golf sedans, Volkswagen Tiguan SUVs and Volkswagen Touran minivans, all based on the MQB platform.

The arrival of Seat Tarraco on this site may explain the willingness of the manufacturer to increase production capacity in Wolfsburg. In general, the launch of the new SUVs of the Volkswagen Group has boosted its production in Europe.

All of the Group's factories in Europe are now operating at full capacity, notably in Wolfsburg (900,000 units produced every year since 2014), in Pamplona (325,000 units produced in 2018), where the T-Cross will be added  to the  Polo, next year in Martorell (490 000 units produced in 2018) where the Audi A1 will be added this month to the different Seat models. The Audi plants in Ingolstadt and Neckarsulm are at the limit of saturation. Skoda factories are also on the verge of saturation in the Czech Republic, due to the success of Karoq, Kodiaq and Ateca. Finally, the Slovak factory in Bratislava, which is running at full capacity, has just  been assigned production of the new Touareg and the Audi Q8.


    
 

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Mercedes leads BMW and Audi in terms of sales in 2018
In 2017, the three premium German brands  sold 6.6 million vehicles worldwide, including 2.6 million for Mercedes, 2.1 million for BMW and 1.9 million for Audi.

In 2018, the ranking of premium German brands has not changed.

In the first half of the current year, Mercedes, with 1.19 million sales, is still ahead of BMW (1.06 million units) and Audi (0.95 million units).

In terms of growth, Audi is ahead of its competitors, with + 4.5%, ahead of Mercedes (+ 4%) and BMW (+ 2%) which are growing more slowly, keeping in mind that the overall global car market grew by around 3.5% in the first half of 2018.

With the launch of the new Audi A1, Q3, Q8, new Mercedes A-Class, GLE, EQC, new BMW 3 Series, X5, Z4, the increase in Premium brand sales is nonetheless inevitable, especially as the Chinese market (world's largest market) buys more and more of this type of models, given that the 100% Chinese premium offer remains marginal, and the American competition (Cadillac, Lincoln) is not very present.

Over full year 2018, the three German premium brands are expected to sell together nearly 7 million vehicles worldwide.


    
 

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Inovev forecasts production of 25,000 Seat Tarraco per year
Seat (subsidiary of the Volkswagen group) has unveiled its D segment SUV, the Tarraco, at the Paris Motorshow, thus crowning the range of SUVs of the Spanish brand.

This new model, derived from the Volkswagen Tiguan Allspace (D segment), is located above the Arona (B segment) and Ateca (C segment) in the Seat range.

In three years, the Spanish brand has launched three different SUVs each of which perfectly fits to the current demand in its respective segment. One  third of the world car market today is made up of SUVs.

The Seat Tarraco, which competes with the Volkswagen Tiguan, Skoda Kodiaq, Renault Koleos, Peugeot 5008, Citroen C5 Aircross and Hyundai Santa Fe, is built on the MQB platform used by many Volkswagen Group models.

Its dimensions are 4.74m long (4cm more than the Kodiaq), 1.88m wide and 1.68m high.

The engines of the Seat Tarraco are a 148 hp 1.5 TSI 4-cylinder petrol engine, a 187 hp 2.0 TSI 4-cylinder petrol engine, a 148 hp or 187 hp 2.0 TDI 4-cylinder diesel engine. A 206hp 2.0 rechargeable hybrid engine will be available as of next year.

The Seat Tarraco will be manufactured at the Wolfsburg site in Germany, alongside the Volkswagen Tiguan, Touran and Golf. Inovev expects production of around 25,000 units per year.


    
 

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Inovev forecasts 20,000 units a year for the new Audi E-Tron
Audi unveiled its new 100% electric SUV, which was originally called Q6 (its length is indeed between those of Q5 and Q7) and which is finally called E-Tron, at the Paris Motorshow. This new SUV has the same style as  the other SUVs of the brand, like the recent Q3 and the Q5. Audi did not want to create a very different body for its 100% electric SUV. As a result, the E-Tron has a body very similar to that of other SUVs of the Audi brand. Only its name differs from other Audi SUVs. Its competitors are the BMW X3 Electric, Mercedes EQC, Tesla Model X and Jaguar I-Pace.

The Audi E-Tron has two electric motors, one at the front (168hp) and the other at the rear (188hp). These two engines allow it an autonomy of 400 kilometers (WLTP cycle), equivalent to that of the Mercedes EQC.

As expected, the Audi Q6 E-Tron will be manufactured in the Audi plant in Brussels (Belgium) which has just stopped manufacturing the Audi A1, its new generation being transferred to Martorell (Spain). However, the production volumes will not be comparable, since the Audi A1 was produced at 100,000 units per year on this site, while the SUV E-Tron should, according to Inovev, be at 20,000 units per year, given its price and its technology that clearly differs from a large series model.

This model could be marketed in the future with a thermal engine, which would logically be called Q6 and complete the range of Audi SUVs. It would also then use the full capacity of the Brussels production site.


    
 

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