BMW to produce Mini in China in partnership with Great Wall
The BMW group has announced that it will produce Mini in China, in partnership with a Chinese manufacturer, as required by Chinese regulations. This partner will be Great Wall, which will be called for the first time to partner with a foreign manufacturer to produce cars under license.

Great Wall was one of the last major Chinese manufacturers not to work with a foreign manufacturer, Geely having acquired the Swedish brand Volvo, Changan having signed agreements with PSA (including to produce DS), Chery having signed agreements with Jaguar Land Rover (to produce vehicles locally) ...

What do Mini sales represent in China today? BMW (which is already in partnership with Brilliance to produce  BMW brand  cars in China) sold 30,638 Mini in China in 2015 and 30,352 units in 2016. It will probably sell 32,000 units in 2017, if we extrapolate from 21,775 sales made in the first 8 months of the year. This increase is due to the arrival of the new Countryman which has found a new clientele. As a result, Countryman's sales share in Mini's total sales increased from 27% in 2016 to 29% in 2017.

Although segment B is not leading sales in China, Great Wall could produce up to 50,000 Mini per year, adding to the 300,000 Mini manufactured in Europe each year.


17-24-9   

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B segment SUVs ranking in Europe over the first 9 months of 2017
In an SUV market which represents 29.5% of the European market in 2017 (cumulative first 9 months), the B segment accounts for 27% of the SUV market.

- Last year, the B segment accounted for 29% of the SUV market. The B segment SUV market is therefore stagnant in 2017 compared to 2016, unlike the SUV market as a whole, which is growing strongly.

These observations show firstly that the growth of SUV sales in the European market is not weakening, on the contrary, and secondly, that within the SUV market,  B segment sales are stagnating in 2017, pending the arrival of new models in the segment. Indeed, over last year, new SUV launches were rather on the C segment.

Over the first 9 months of 2017, the leaders of the B segment SUVs in Europe are the Renault Captur (149,000 sales), Peugeot 2008 (135 000), Opel Mokka (131 000), Nissan Juke (70 000) and Fiat 500X (65,000).

Given the latest available figures, in 2018 B segment SUVs will probably represent a third of SUV sales in Europe after the arrival on the market of new Seat Arona, Opel Crossland, Citroën C3 Aircross, Kia Stonic, Hyundai Kona, and notably the VW T-Roc.


17-24-10   

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Chinese OEM SAIC produced 4.94 million vehicles over the first 8 months of 2017
The Chinese manufacturer SAIC produces cars in partnership with GM and Volkswagen, and produces other cars under its own brands Roewe and MG.

SAIC produced 4.94 million vehicles over the first 8 months of 2017, including 2.34 million for GM, 2.28 million for Volkswagen and 0.32 million for its own brands Roewe and MG.

This volume puts it in third place worldwide if we include the SAIC production for Volkswagen and GM, and if we deduce these quantities on the volume of global production of Volkswagen and GM.

This is the first time a Chinese automaker has come so close to world first place.

In accounting for manufacturing made by Chinese manufacturers for foreign manufacturers, the ranking of the top six global manufacturers in the first 8 months of 2017 is as follows:
The Toyota Group leads with 6.10 million vehicles produced, ahead of Renault-Nissan (5.90 million), SAIC (4.94 million), Volkswagen (4.80 million), Hyundai-Kia (4.16 million) and GM (3.87 million).

Volkswagen and GM suffer more in this ranking from their greater dependence on Chinese automakers than Toyota and Renault-Nissan, because they produce less in China.
 


17-24-8   

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PSA plans to produce 500,000 vehicles in Vigo and 500,000 in Sochaux in 2020
The PSA group has announced plans to produce 500,000 vehicles in Vigo and 500,000 vehicles at Sochaux in 2020, thus saturating the capacity of these two large factories.

- In 2016, 424,000 vehicles were produced in Vigo and 336,000 vehicles were produced in Sochaux.

In 2017, Inovev estimates the volume produced in Vigo at 415,000 units and the volume produced at Sochaux at 385,000 units. PSA intends to achieve the desired result, counting on:

       1. the success of the new Citroën Berlingo, Peugeot Partner and Opel Combo in Vigo (these models will be launched in 2018).
       2. the success of the new Citroën C4 Picasso and Grand Picasso in Vigo (these models will be launched in 2019).
       3. the success of the Peugeot 3008 and Opel Grandland C segment SUVs in Sochaux.

- It will be necessary nevertheless to :

        1. offset the transfer of the production of the Peugeot 301 and Citroën C-Elysée from Vigo to Kenitra (Morocco).
        2. compensate for the shutdown of the DS 5 at Sochaux.
        3. monitor the end of life of the Peugeot 308 in Sochaux (this model will be replaced in 2021).

Inovev, for its part, foresees 400,000 vehicles in Vigo in 2020 and 430,000 in Sochaux.


17-24-7   

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The last Australian car factory has closed
Holden (a GM subsidiary since 1931) ceased operations at its Australian plant in Elizabeth on October 20, 2017. It was the last car plant in Australia, Toyota  having closing its doors in September 2017 and Ford in October 2016.

- As expected and announced for several years by local manufacturers, Australian car production has ceased to exist and the registrations in the country (about one million vehicles per year) will be sourced from abroad, through imports. A quarter of a century later, Australian automobile production followed the same path as  its neighbor  New Zealand, which abandoned its auto industry in the early 1990s.

Manufacturers located in Australia have been faced with a relatively small, highly competitive, low-export market that encourages imports due to low import tariffs.

In addition, the cost of production in Australia was one of the highest in the developed world and could not in any case compete with that of the neighboring countries of Southeast Asia.

Incidentally, the end of auto production in Australia puts an end to the career of two legendary models, the Ford Falcon and the Holden Commodore, former stars  on the local market.


17-24-6   

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