PSA ceases the production of C4 and DS 4 in France

As expected, the PSA group stopped the manufacture of Citroën C4 and DS4 on the site of Mulhouse (France), and  the restyled C4 Cactus manufactured in Villaverde (Spain) is supposed to ensure the follow up of these two models until their effective replacement in 2020/2021. This production stop is just one year after the Citroën C5 in Rennes.


Both models - C4 and DS4 - have had a very different sales career. Launched in 2010, the second-generation C4 was produced at 610,000 units, while the DS 4, launched the same year, did not exceed 170,000 units . However, the two C-segment sedans suffered a similar drop in sales in 2013/2014, just as the Peugeot 308, another C-segment sedan and direct competitor to the Citroën C4 and DS 4, was launched. The production volume of the second-generation C4 remains well below that of the first-generation C4, which had totaled one million units. The second-generation C4 has undoubtedly suffered  from the launch of the C4 Cactus, C4 Picasso, DS 4 and ... the  Peugeot 308.


The manufacturing program of the Mulhouse plant for the years 2018-2021 shows the arrival of new generations of Peugeot 508 and Citroën C5, the new generations of DS 4 and DS 4 Crossback, DS 7 Crossback and DS 9. The arrival of the new generation of Peugeot 2008 is not yet confirmed. (The PSA group plans to produce 400,000 cars in Mulhouse in 2022 ( vs. 250,000 in 2017).



18-14-10   
    
 

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Evolution of Automobile Production in ASEAN Countries
The ASEAN countries that produce automobiles are: Thailand, Malaysia, Indonesia and the Philippines. These four countries produced a total of 3.8 million vehicles in 2017 (of which 2 million for Thailand, 1.2 million for Indonesia, 0.5 million for Malaysia and 0.1 million for the Philippines), 3.7 million vehicles  in 2016 and 2.1 million in 2007.

Of these four countries, Thailand remains the country that produces the most vehicles, in particular because it is the world center of production for mid-range pickups. Indonesia, which has experienced growth comparable to that of Thailand over the last decade, has supplanted Malaysia, which has experienced sluggish production since 2005. Finally, the Philippines, where production also stagnates, produces five times less than Malaysia.

By manufacturer, we observe that the ASEAN countries have become a preferred zone for Japanese manufacturers. They account for 83% of automobile production in these countries in 2017, compared to 57% in 2007.

In 2017, Toyota is the manufacturer that produces the most vehicles in these countries, with a volume of 1.2 million units (which is 32% of the total production of these countries, compared to 21% in 2007), followed by Honda (520,000 units), Mitsubishi (470,000 units), Isuzu (275,000 units), Daihatsu (185,000 units), Ford (185,000 units), Perodua (185,000 units), Nissan (175,000 units), Suzuki (160,000 units) and Mazda (145,000 units).


18-14-7   
    
 

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With Citroën C5 Aircross’ arrival in Rennes, several PSA models will be transferred
Citroën unveiled the European version of its C-segment SUV, the C5 Aircross, which is already manufactured and marketed in China since September 2017. The differences between the two models are minimal. In Europe, the C5 Aircross will be marketed as of  September 2018.

To supply this market, it will be manufactured in France, on the PSA site in Rennes, alongside the Peugeot 5008 with which it shares a large number of components, including the platform EMP2.

The PSA Group expects 100,000 C5 Aircross sales per year in Europe, which, given Rennes' production capacity limited to 150,000 vehicles per year, will force the manufacturer to transfer part of the Peugeot 5008 from Rennes to Sochaux (approximately 50,000 units per year).

This transfer will result in the transfer of Opel Grandland from Sochaux to Eisenach factory (about 50 000 units per year), where Opel Adam and part of the Opel Corsa are currently produced. These two end-of-life models have been experiencing a significant drop in sales for several months. The arrival of Grandland will enable this German factory to achieve full capacity.

Given a gradual increase of the C5 Aircross, the transfer of 50,000 Peugeot 5008 from Rennes to Sochaux and 50,000 Opel Grandland from Sochaux to Eisenach should be effective in 2019.


18-14-5   
    
 

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Joint platform for Renault-Nissan-Mitsubishi electric vehicles
Renault, Nissan and Mitsubishi will jointly develop a common platform for electric vehicles by 2020. This approach is part of a rationalization, and therefore cost reduction, policy aimed at strengthening the competitiveness of the Franco-Japanese group in an increasingly competitive environment (Volkswagen, Daimler, BMW and Chinese automakers are preparing a multitude of electric vehicles).

The common platform will serve as the basis for a number of mid-range (C-segment) models, primarily SUVs, which includes the Nissan Qashqai, the Renault Kadjar and the Mitsubishi Eclipse Cross. The goal is to manufacture two million electric vehicles between 2020 and 2025 using the new common platform, for a volume of 400,000 electric vehicles per year on average.

In 2017, the group sold a total of 91,000 electric vehicles, an increase of 11% over 2016. The Nissan Leaf, which began selling  in 2010, ranks first in the group's electric line, which also includes the Renault Zoe, the Renault Kangoo ZE, and the Nissan e-NV200.

The Renault-Nissan Group's various brands aim to commercialize 12 new electric models by 2022, with the new common platform being a central element of their electric vehicle strategy .


18-14-8   
    
 

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The Smart Hambach site will produce a compact electric Mercedes
The Daimler Group has announced that the Smart plant in Hambach (France) will manufacture a Mercedes brand compact electric car (C segment )  starting in 2019/2020 It will be the first time that a Mercedes car will be produced in Hambach. Currently, a Mercedes model is manufactured in France, the Citan utility derived from the Renault Kangoo and produced in Maubeuge alongside the Kangoo (following agreements between Renault and Daimler). The future compact electric car will therefore be the second Mercedes model to be produced in France.

On the one hand the decision of the Daimler Group makes it possible to ensure the perennity of  the Hambach site, which only manufactures the Smart For Two, a car with declining sales, with only the electric version to be produced as of 2019/2020.

On the other hand, with this decision, the site of Hambach will be dedicated solely to the manufacture of electric cars as of 2019/2020, which is a first in Europe, since today there is no factory dedicated only to the manufacture of electric cars.

Finally, it should be noted that this decision by the Daimler Group is part of the strategy of electrification of the Mercedes brand, which plans to market a dozen 100% electric models by 2022 in all segments, from the compact car to the SUV. These models will be grouped in a sub-brand called EQ.


18-14-6   
    
 

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