Utilisation rate of European plants in 2020
- Following the difficult year in terms of production observed in Europe in 2020 (which suffered a drop of more than 20% due to the consequences of the coronavirus crisis), we had to expect a drop in the utilisation rate of European plants. This is indeed what’s happened with an average utilisation rate falling to 62%, when it was 82% in 2019, which is the lowest figure for several decades. Even 2009, which was the worst year of the financial crisis, saw a higher rate than 2020 (around 67%). This rate gradually rose to 85% in 2017 to drop then to 83% in 2018 and 82% in 2019.
- The analysis by country shows that it is mainly Portugal and the Eastern European countries (Romania, Slovenia, Czech Republic, Hungary) which have succeeded in maintaining high utilisation rates (greater than or equal to 80%). In contrast, Great Britain is the country which uses the least of its theoretical capacities, with a utilisation rate of 49%. Note that Germany and France have fairly similar rates, respectively 56% and 53%.
- The carmakers with the highest utilisation of their European plants in 2020 are the groups Geely (Volvo), Daimler, Volkswagen, Hyundai-Kia, BMW and Toyota. The worst utilisation rates are recorded by Suzuki, Tata Motors (Jaguar Land-Rover) and Honda.
- The most productive plants were Stuttgart (Porsche), Craiova (Ford), Mangualde (PSA), Palmela (Volkswagen), Vigo (PSA) and Kvasiny (Skoda). The least productive were Mirafiori (FCA), Castle Bromwich (Jaguar), Rüsselsheim (PSA) and Poissy (PSA). In 2021, the PSA group will add the Astra and the DS4 to the Rüsselsheim plant and the Mokka to Poissy, which will boost the activity of these two plants.
- There is, however, the question of overcapacity and the conservation of some automobile plants in Europe, especially as the relaunch of the markets expected in 2021 and 2022 will not make it possible to quickly return to pre-crisis levels. In addition, carmakers have announced their objective of focusing on the production of electric vehicles (more expensive) and the reduction of their capacities (as Renault announced recently), in order to put their profits before sales volumes. Consequently, it will have an impact on the automotive industrial capacities in Europe.
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