|The Peugeot 2008 a move in the right direction|
The PSA Group came into being in 1976, when Peugeot took control of the the bankrupt Citroen company. Both brands work closely to minimise the cost of car making, but production overcapacity hinders profitability. We will briefly look at each brand and the combined data.
Peugeot: Europe was a poor performer in general but losing market share added to the situation. ACEA figures show a drop from 6.3 to 6%, excluding the former Soviet region. Despite that, the other regions largely made up for that, but for the CKD figure. CKD means vehicles that are assembled from kits and I assume that was Iran. Peugeot went from 57 to 55% of group sales.
Citroen: The similarities with peugeot are striking. Their European share went from 5.4 to 4.9%, even worse. Latin America was a little better than Peugeot and no CKD unit collapse meant the same sales compared with 2012.
PSA: Total sales were down 5% in growing world market. Not ideal but one would think 2014 must be better. Excessive reliance on Europe (60%), too much capacity, political sensitivities to rationalisation, and more aggressive management strategies required all have to be dealt with. Not much really.
Data source: Thanks to PSA.
|The Citroen C3 looks funky|