In the international spectrum China will remain the main driver for a global growth in the sales of new passenger cars. The forecast for automotive industry is still optimistic despite the slowdown in the major European markets, such as France and Italy.
The second place on the podium is occupied by, dethroned a few years ago, the USA. Americans bought 7.7m of new passenger cars in 2014.
In order to maintain a sustainable growth, manufacturers will have to look for new customers in rural areas of developing countries like China or India. However, lower purchasing power of the rural population means that it will have to offer them cheaper products.
- The automotive industry is one of the most important sectors of the Brazilian economy, accounting for about 7.7% of country’s GDP
- About 75% of the global sales is based in four key areas (China, Europe, Japan and the United States),
- The expected growth in emerging markets around the world seems to be a trend that will shape the global automotive industry for at least the next decade. As many as 85% of managers in automobile industry feel that in the next few years there will be a visible swift in the production centres towards developing countries in order to save costs and increase the speed of product delivery.
- American customers and car dealers had already forgotten about the crisis and slump in sales of new cars recorded a few years ago. In 2014 they bought 100,000 cars more than in 2013, which represents an increase of 1.3%.
- Sale of cars produced by Volkswagen and Toyota reached a combined market share of 31.2% of global market in 2014, followed by General Motors and Ford.
- Between 2010 and 2015 the Brazilian FDI to exceed $17.7bn
- The biggest surprise in the new cars market is Venezuela, which having very low petrol prices do not have the cars to pour it into. Venezuelan car showrooms are empty due to economic instability.
- The largest decline in car sales recorded in Russia – in this case, there may be several reasons: the war with Ukraine, a drastic drop in oil prices, inflation and the economic crisis.
The good economic growth, growing wealth of the society and with still very low rate of automobile penetration in few regions, the performance of the global new car market is forecast to growth further with an anticipated CAGR of 2.8% for the five-year period 2015 – 2019, which is expected to drive the market to 72.9 million of the new passenger car sold by the end of 2019.