As with other automakers operating globally, PSA Peugeot Citroen cited growth in markets outside Europe as the prime reason 2010 sales of new vehicles and CKD kits rose 13% to 3,602,200 units.
Though market share in Europe improved to 14.2% from 13.8% in 2009, despite a 4% drop in demand, there was a 5% increase in the proportion of sales outside Europe, to 39% of the total vs. 34% in 2009.
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Global automobile markets rose by an aggregate 10% in 2010. As in 2009, growth was led by China (up 30%) and Latin America (up 14%). Demand in Europe was down 4% overall, reflecting very uneven performances across the region from a 22% fall in Germany to a 4% rise in Spain.
Sales of assembled vehicles rose 9.8% to 3,125,100 units and CKD sales climbed 39.4% to 477,000 units, lifted by strong demand for Peugeot models.
Peugeot was the world’s leading French car brand.
Europe
In a European car and light commercial vehicle market that declined by 4% in 2010, registrations of PSA Peugeot Citroën vehicles contracted 0.9% to 2,195,000 units while market improved to 14.2%, up 0.4% compared with 2009.
In 2010, the car market was affected by an additional scale-back in scrappage incentives in France and the elimination of similar schemes in Germany and Spain. As expected, demand declined by 5.2% for the year, with wide variances between the first half (up 0.5%) and the second (down 11.1%).
In the light commercial vehicle segment, which grew by 9.6% in 2010, PSA Peugeot Citroën retained leadership with 21.9%.
Latin America
Demand in Latin America saw a combined 14% gain, led by Brazil (up 11%) and Argentina (up 29%). Consolidated sales rose 26.5% to 294,300 units, raising market share to a historic record 5.4% in volume terms, from 5.2% in 2009. Faster expansion in the group’s regional operations was driven by introduction of the Citroën C3 Aircross (in September) and the Peugeot Hoggar pick-up (in May), along with a more aggressive sales strategy adapted to local markets.
China
The Chinese market was again the leading driver of global automobile sales in 2010, with local demand rising by 30% over the year. PSA Peugeot Citroën’s sales rose to a new record high, by 38% to 375,600 vehicles, for a market share of 3.3%. By strengthening its cooperative venture with Dong Feng and signing a new joint venture agreement with Chang’An (subject to approval by Chinese authorities), the group has laid the groundwork for achieving ambitious growth.
Russia
With 1,906,000 registrations and a 30% rise in demand over the year, the Russian market sustainably entered a new period of fast growth in 2010. PSA sales rose 37% to 55,500 units and a 2.8% market share. However, it made stronger gains following start-up of local production of the Peugeot 308 and 4007 and the Citroën C4 and C-Crosser, whose combined sales surged 85% in the second half.
Outlook
In Europe, the automobile market is expected to stabilise in 2011, PSA said. After rebounding in 2010, the Latin American market should continue to deliver robust growth, albeit at a more moderate pace.
In China, demand should remain buoyant despite the restriction on new car registrations announced for Beijing. The market is expected to maintain double-digit growth in 2011.
In Russia, the scrapping incentive scheme and general economic recovery, against a backdrop of rising raw materials prices, should enable the market to continue growing and return to near pre-recession demand levels.
“Rising demand in these priority growth regions, coupled with local market share gains, should enable PSA Peugeot Citroën to move closer to its target of achieving 50% of sales outside Europe in 2015.”
