Portuguese market decreased by half since 2010

 

The Portuguese car market has dropped sharply since 2010. It has halved since then, but in reality it is 2.5 times less than in 2000 or 2001.

 

"The market fell last year to its lowest level since 1985, with 95 290 cars registered, down 37.9% compared to 2011. This year, we still have many business closures, especially as the government did not accept our proposal to establish a new scrapping bonus“ said Pedro, Secretary General of the ACAP (Portuguese Association of Automobile Manufacturers).

 

Portugal is a country in Southern Europe most affected by the recession and the drop in auto sales, as well as Greece, Spain and Italy.

 

In 2012, 2500 Portuguese companies working in the automotive field (repair, distribution, production) were closed, which has resulted in the loss of 21,000 jobs, said Pedro. A full recovery cannot be expected in 2013, even though the Portuguese market grew 0.8% in January.

 

 

13-07-9

 

Data sourceFile #55 - Registrations in the World by makes

 

 

Renault commits itself to produce more in France
 
Renault is committed to the unions to produce more in France. The carmaker plans to rise the production in France from less than 550,000 vehicles (2012 production) to more than 700,000 vehicles in 2016, ending a decline in production in the country for a decade.
 
In order to  reach these figures, Renault plans to produce 80,000 vehicles more (probably Trafic, Primastar and Vivaro) at Sandouville  plant , and the future Space (2014), the Scenic (2015) and the Laguna (2016) at Douai plant.
 
In addition, if the success of Zoe materializes, the Flins site, which will continue to assemble the high-end  range versions of the Clio IV, should significantly increase its production volume.
 
The location of the future Kangoo (2015) in Maubeuge is confirmed. The location of the Master in Batilly is even confirmed for a minimum of 12 years (until 2025).
 
There is no announcement of a Nissan car  transfer to a Renault plant. Nissan's future compact car production (80 000 vehicles yearly)  has been assigned to the Barcelona plant. There is no announcement either of a Daimler car  transfer to a Renault plant. Neither  a real Renault-Nissan based  electric  cluster is created in France  The increase in production in France will therefore be the result of new model launch
 
 
13-07-6
 
 
 

Renault Zoe Electric: first vehicles offered for sale
 

The Renault Zoe was expected to be available for sale in September 2012. But its launch  was postponed to March 2013 (a 6 month postponement). Consequently, market analysts, such Inovev, had to shift their quantities forecast by 6 months. Renault expects to sell and therefore produce 150,000 Zoes per year on cruise. The 13 700 Euros displayed price (price after  deduction of bonus) is consistent with this objective. Inovev forecasts the following production quantities rise: 45,000 in 2013, 75,000 in 2014, 95,000 in 2015, 110,000 in 2016 and 125,000 in 2017.

 

All models aggregated, Renault targets sales of 150,00 0electric cars in 2013 in Europe, 200,000 in 2014 and 250,000 in 2015 (maximum capacity of the manufacturer currently planned for this type of vehicle) including 150,000 Zoe, 30,000 Kangoo Z.E., 30,000 Fluence ZE and 30,000 Twizy.

 

The Renault Zoe is the first B-segment model designed to be 100% electric. For now, it has no real competitor. However a C-segment model (Nissan Leaf) and a D-segment model (Chevrolet Volt / Opel Ampera, equipped with an engine booster) are already marketed in Europe and the rest of the world since 2011 . Both models were produced almost at  40 000 units each in 2012. Due to its price and its market positioning , and despite only one world region(Europe) on which this model is sold, Renault Zoe, however, should do better.

 
 
13-07-5
 
 
 

France and South Korea compared automotive industry
 
France and South Korea are both medium size countries (65 million  inhabitants in France and 49 million inhabitants in South Korea in 2011). Both have powerful automotive industries. Comparing them is therefore interesting .
 
France controls two carmakers  group (Renault-Nissan and PSA Peugeot-Citroën) and Korea  control one carmaker group (Hyundai-Kia).
The two
French groups have produced 11 million vehicles globally in 2011, and the  Korean group produced 7,000,000 vehicles in the same year 2011. In 2005, the two French groups produced 10 million vehicles and the Korean  3.5 million vehicles.
Hyundai-Kia
has doubled its production in seven years, while PSA remained stable and Renault-Nissan increased its production by one million vehicles(+15%).
 
Production of national groups on the soil of their respective countries developed differently. Production of the Korean manufacturer increased in Korea while production of French manufacturers decreased in France. Offshoring to countries with lower labour costs,  qualified staff, and with which political positioning does not cause problems, is more difficult for Koreans than for French.
However
, both French and Korean carmaker groups manufacture more and more outside of their national territory, to  get closer to the demanding markets (mainly China, India, USA, Russia). Korean group produced half its vehicles in Korea in 2012 (against 80% in 2005) while the two French groups manufacture 16% their vehicles in France (against 32% in 2005).
 
 
13-07-4
 
 
 

The compact MPV decline – the SUV rise
 

-The European market  of compact MPV (segment B and C multi-Purpose Vans such as Renault Modus or Volkswagen Touran) decreased significantly over last years. Market fell from 1.5 million vehicles in 2006 down  to less than 1 million  vehicles in 2012. MPV’s customers transferred their purchases to compact SUVs (segment B or C four-wheel drive  (4WD) vehicles or two-wheel drive (2WD) vehicles looking alike four-wheel drive) vehicles. The compact SUV market has grown from 0.6 million units in 2006 to more than 1.6 million in 2012. Renault and Citroën launched their restyled Scénic compact MPV and C4 Picasso within this context, hoping  to give the compact MPV market a new life.

 

-The production of compact MPV declined  from 1.2 million units in 2006 down to less than 900,000 in 2012,while the production of compact SUVs grew in the same period from  250,000 vehicles  to nearly 2 million vehicles.
The share of Renault Scenic and Citroen C4 Picasso (leaders of the compact MPV segment) decreased significantly while Nissan Juke Qashqai and VW Tiguan (market leaders compact SUV) increased their production significantly. Twice more compact SUV than compact MPV are produced in Europe presently.

 

13-07-1

Data sourceFile #105 - European Production data detailed by make and model from 2005 to 2012

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