Markets of countries
Damage from cars
Main article: Harm from cars
2023
Chinese automakers outperform U.S. in sales for the first time in a year
In mid-June 2024, Jato Dynamics reported that in 2023, Chinese automakers were ahead of American sales for the first time in a year. Sales in China grew due to the growth of global demand, primarily demand in emerging markets, as well as the development of the leading Chinese automaker BYD.
According to the data presented, Chinese brands led by Shenzhen-based BYD sold 13.4 million new cars, for the first time ahead of American ones, which sold about 11.9 million. Japanese brands led with sales of 23.59 million cars. Sales growth in China also outpaced U.S. sales growth, up 23% from the previous year, while the U.S. saw that gain of just 9%, according to the report.
 | The careless attitude of American automakers, which led to higher prices for cars, inadvertently pushed consumers to more affordable Chinese alternatives, said Felipe Munoz, senior analyst at Jato, in a report. |  |
Chinese automakers, primarily leading car brand BYD, have gradually expanded their operations abroad as a price war on electric vehicles domestically has pushed prices lower and lowered profit margins. Brands from China have had particular success in emerging economies, where they were able to sell one in five of the cars produced in 2023 amid increased global demand.
| | In 2023, more than 17.5 million new cars were sold in developing countries. That's more than total sales in the U.S. or Europe for the year, "Munoz said. | |
Chinese automakers were able to capture a significant market share in the Middle East, Eurasia and Africa, and also note an increase in sales in Latin America and Southeast Asia.[1]
Top 10 auto sales companies: Toyota and VW lead
In the first quarter, China for the first time came out on the 1st place in the export of cars
China in the first quarter of 2023, according to preliminary statistics, for the first time in history came out on top in the world in terms of car exports, pushing Japan from this position. Almost 40 percent of its deliveries abroad were electric vehicles. According to Tokyo, the growth of Chinese indicators was also affected by a sharp increase in the supply of cars to Russia. In January-March, car exports rose 58 percent from the same period last year, according to Chinese data.
2022
Sales of cars with Internet connection for the year increased by 12%. Leaders
At the end of 2022, sales of so-called connected cars with Internet access increased by 12% compared to the previous year. This is stated in a study by Counterpoint Technology Market Research, the results of which were released on April 24, 2023. Read more here.
Based on Q1 2019 to Q4 2022 data
China dominates auto export growth and seeks leadership
Toyota remains the leader in car sales in the world for the third year in a row
In 2022, the Japanese corporation Toyota retained its leadership in the volume of car sales on a global scale. Thus, for the third year in a row, the company held this title, as evidenced by the data on deliveries published on January 30, 2023.
Sales of the group, which, in addition to Toyota, includes Daihatsu and Hino, in 2022 amounted to 10.48 million vehicles. This is 0.1% less than the previous year. The Japanese market accounted for almost 1.91 million of the total number of cars sold. In all other regions combined, the company sold 8.58 million cars.
At the same time, Toyota's closest competitor, the German group Volkswagen AG, shipped approximately 8.3 million cars globally in 2022 - 7% less than in 2021. This was the company's worst result in 11 years (by the end of 2022). Moreover, as noted, the gap between Toyota and Volkswagen is increasing: for example, in 2021, the company delivered 10.5 million and 8.9 million vehicles, respectively, in 2020 - 9.5 million and 9.3 million.
As Bloomberg notes, despite the fact that Toyota has been winning against its German competitor for the third year in a row, the key problem facing the Japanese company and other automakers is the threat of weakening global demand. Toyota itself says it cannot speed up car production to shorten delivery times: some customers report waiting months or even years to order certain models. S&P Global Mobility predicts Toyota will continue to build its lead over Volkswagen in 2023, selling 10.4 million vehicles against the German automaker's 7.99 million. According to researchers, Volkswagen sales will recover from 2024, while Toyota deliveries will exceed 11 million cars by 2030.[2]
China overtakes Germany to become second largest car exporter after Japan
Overtook in 2022 China , Germany becoming the second largest Japan after the exporter of cars in the world. Exports accounted for 11.5% of the total production volume, China or 27 million cars.
2021
Toyota and VW are the largest car suppliers in pieces
BMW became the world's largest manufacturer of expensive cars, ahead of Mercedes-Benz
BMW became the leader of the premium segment of cars around the world at the end of 2021. The company took first place for the first time since 2016, noticeably ahead of competitors Mercedes-Benz and Tesla. This became known at the end of January 2022.
In 2021, BMW was able to sell 2.2 million cars around the world, while Mercedes-Benz - 2.05 million, and compared to 2020, sales of this brand decreased by 5%, and in the IV quarter, sales fell by 25%, as the deficit of semiconductors continues to affect supplies.
The US market in 2021 accounted for 336 thousand BMW cars sold, which is 21% more than in 2020. BMW was able to bypass its main competitor Tesla in 2021 by about 20 thousand cars. According to Reuters, analysts do not exclude that with the growth rate that Tesla demonstrated in 2021, at the end of 2022, it is this brand that will lead the premium segment, at least in North America. The brand, which also managed to overcome the milestone of 300 thousand in the United States, is the manufacturer Lexus, which completed 2021 with a result of 304 thousand cars, and electrified models of this brand for the first time accounted for a quarter of all sales.
Mercedes sales data does not include the Smart brand and light commercial vans. The overall BMW figure refers only to the brand of the same name and does not include the Mini and Rolls-Royce brands. Reuters recalled that Daimler was divided into two companies, Daimler Trucks for commercial vehicle sales and Mercedes-Benz Group for the promotion of passenger vehicles.
How many expensive cars were sold in 2021 around the world is not reported by the end of January 2022.[3]
The most stolen cars in the United States
2020
Decrease in global car sales by 13.6%, to 78.49 million units
Global car sales in 2020 reached 78.49 million units, a decrease of 13.6% compared to 2019. More than half of the market accounted for the five largest automakers. Such analytical data in August 2021 was published by Nikkei.
If in 2019 Toyota Volkswagen they shared the first place in car sales, having almost equal shares, then a year later Toyota broke into the lead. A more detailed arrangement of forces among auto giants is shown in the illustration below.
According to the consulting company LMC Automotive, dealers in 2020 sold 77.7 million new cars and light commercial vehicles, which is 14% less than a year ago.
The leader, as well as the year before, was again the Chinese market with an indicator of 24 million 459 thousand cars. This is lower than the figures of 2019 by 4%, but the fall is practically not noticeable against the background of the fall of the American market - 14.8%. In total, 14.47 million cars were sold in the United States.
As for Western Europe, here dealers sold 12 million 395 thousand cars. In Eastern Europe - 3 million 891 thousand. The "Western" market fell by 23.9%, the "Eastern" - by 5.5%.
In South America, officials of auto companies sold 2 million 280 thousand cars (a drop of 26.6%), in Japan - 4 million 541 thousand (-11.5%), Canada - 1 million 549 thousand (-19.6%).
Growth was shown by the South Korean market, where sales grew by 6% - to 1 million 855 thousand new cars.
The fall of the global car market in 2020 was the result of the COVID-19 coronavirus pandemic, due to which enterprises were forced to cut production or completely suspend work. After the easing of quarantine restrictions, a new problem appeared - the lack of automotive electronics, which did not allow the plants to operate at full capacity.
Toyota surpassed Volkswagen in sales of cars in the world - 9.53 million against 9.31 million units
In 2020 Toyota , Motor overtook, Volkswagen becoming the largest automaker in the world. The Japanese company took this position for the first time in five years.
Sales of Toyota cars, including products of its subsidiaries Daihatsu Motor and Hino Motors, for 2020 amounted to 9.53 million units. Volkswagen sales reached 9.31 million cars.
The German manufacturer still has a strong position in the European Union, but there passenger car sales fell by an "unprecedented" 24% to less than 10 million units in 2020 (data from the European Association of Automakers). Overall, Volkswagen's car sales fell 15% for the year, its worst in a decade.
Toyota car sales in 2020 decreased by 10.5%, and including subsidiaries - by 11.3%. At the same time, sales of all cars of the company outside Japan decreased by 12.3% - to 7.37 million units. Toyota's report notes that global sales of the Japanese manufacturer's cars have declined for the first time in 9 years, and Volkswagen's cars of all brands for the first time in 5 years.
While the German company is expected to temporarily surpass Toyota again in 2021, the Japanese manufacturer is forecast by IHS Markit to move forward every year until 2025. Volkswagen's push to produce more electrified vehicles should see sales soar in 2021, but prolonged blockages and domestic store closures will continue to have a negative impact, analyst Yoshiaki Kavanaugh said.
Kavanaugh said Toyota will continue to show strong sales in its major markets in Japan and the United States. In China, the world's largest auto market, it should "fight hard" by releasing more electric vehicles and SUVs in line with local demand.[4]
Automakers' capitalization for November
Tesla car quality turns out to be worst
At the end of June 2020, it became known that Tesla received the worst score among 32 major auto brands in the J.D. Power quality study. Tesla cars got the last place due to various problems reported by the owners.
J.D. Power conducts an annual car quality survey that assesses the performance of new vehicles for 90 days. Tesla products were evaluated in this study for the first time. As a result, Tesla cars and SUVs were found to have 250 problems per 100 vehicles, while the industry average is 166 problems. Land Rover (228), Audi (225), Volvo (210), Mercedes-Benz (202) and Jaguar (190) also had the worst performance.
Overall, in a 2020 study, luxury cars failed due to problems with infotainment systems. In Tesla's case, however, problems included paint defects, poor fit of body panels, trunks that were difficult to open and close, too much cabin wind noise, creaks and wheezing. The problems mainly concerned the poor quality of factory production, the researchers said.
In fact, J.D. Power did not include Tesla in its ratings because the automaker did not grant approval to inspect its vehicles in states where it is required by law. However, J.D. Power said it collects data from Tesla owners in the other 35 states and that this information is sufficient to assess performance.
Of course, the original quality does not necessarily mean popularity or durability. Many Americans buy cars for other reasons, which include size, fuel efficiency, price and status. For example, the best luxury brand in the study turned out to be the Hyundai Genesis (electric car), but Genesis is struggling to win over buyers, while Tesla's popularity has consistently grown.[5]
Car sales crash due to COVID-19 pandemic
In China, due to the COVID-19 pandemic in February 2020, car sales fell by 79% compared to the same period last year, in March - by 49%. In France, Spain, Italy, Germany and the UK, car dealer sales in March decreased by 40% to 80% (see chart). At the same time, analysts of the company note, global car sales will return to the pre-crisis level no earlier than mid-2021, which is mainly due to a decrease in the purchasing power of the population as a result of the pandemic crisis.
How technology is turning cars into smartphones
Tech giants have turned smartphones and TVs into permanent revenue streams. Now companies want to work with automakers to turn the car itself into a smartphone, according to a January 9, 2020 Reuters publication. Read more here.
2019
One in three cars in the world produced in China
Automakers overestimated the number of employees and lay off 80 thousand people
By the beginning of December 2019, automakers planned to cut a total of 80 thousand jobs across the world. One reason for such mass layoffs is that companies have overestimated the number of employees needed to develop electric and unmanned vehicles.
At the end of 2019 alone, Daimler and Audi announced the reduction of about 20 thousand jobs, and Nissan is laying off about 12.5 thousand people at factories around the world. Nissan stood at the origins of the electric car market, but subsequently things did not work out for the Japanese giant: profits fell to a 10-year low, a scandal erupted with the arrest of the head, and the release of the updated electric car Nissan Leaf was delayed.
Although most of the job positions being liquidated are concentrated in Germany, the US and the UK, fast-growing economies are also not immune to similar consequences, and auto giants have begun to reduce business there.
For example, the Chinese manufacturer of electric vehicles NIO, after multibillion-dollar losses and falling quotations on the stock exchange New York , reported a 20 percent decrease in the number of personnel by the end of September 2019 - more than 2 thousand employees lost their jobs.
| | The constant slowdown in global markets will continue to affect the profitability and profits of automakers, which have already suffered from increased spending on research and development in the field of autonomous driving technology, says Bloomberg Intelligence analyst Gillian Davis. - Many vehicle manufacturers have focused on cutting costs to prevent margins from falling. | |
According to forecasts of the analytical company IHS Markit, global car sales in 2019 will amount to 88.8 million units, having decreased by 6% compared to 2018.[6]
How Uber, car sharing and electric scooter rental are ruining carmakers
At the end of May 2019, carmakers faced a serious threat - young people do not want to buy constantly rising cars, preferring taxi ordering services, car sharing and electric scooter rental.
Ford Chief Marketing Officer Joy Falotico held several meetings on an issue that could be critical to the company's future, understanding the needs of Generation Z (people born in the late 1990s and early 2000s). While Generation Z is still very young, Fallotico points out, they already have their own perspective on various brands. At the same time, they grew up on social networks, so for them everything looks different.
Detroit has been trying to win back young buyers since the baby boomers switched to Japanese brands following the oil crisis of the 1970s. Millennials could not be agreed on either - small cars released earlier this decade turned out to be unclaimed in the world of cheap and affordable fuel, where SUVs rule the ball. But as soon as Detroit carmakers decided to switch from sedans to high-margin SUVs and trucks, it turned out that the limited generation Z prefers compact cars in finance.
Attracting young buyers with cheap subcompacts is a time-tested way to build loyalty to a brand that is becoming more profitable as younger consumers grow older and start buying increasingly expensive cars of the same brand, and Honda Toyota Hyundai still adhere to this strategy, believing that "passenger cars are the gateway to the industry.
For Generation Z, cost matters far more than for millennials - these are poor students saddled with tuition debt who often watched their parents lose their jobs or struggle to make ends meet during the Great Economic Downturn. The new generation is far more conservative on money, with two-thirds buying used cars, with most opting for compact small cars or mid-sized sedans.
However, generation Z is still far from the age of peak earnings, and much can change. After all, millennials were initially seen as motorist, when it turned out they were just saving for big purchases. And yet technological innovation in the automotive business could significantly change the relationship between carmakers and Generation Z. The peak of financial well-being for these people will be reached by 2030, when drone cars finally become mass. But long before then, Generation Z may favor alternative vehicles like Uber and electric scooters. Concerns fear that the new generation will simply never enter the car market.
Automakers are convinced they can win this battle by betting on cars that reflect Generation Z's passion for social change. New cars need to be environmentally friendly and charge as easily as smartphones. Given that Generation Z will account for 40% of consumers by 2020, Detroit has no choice but to rethink its sales strategy. As the chairman of the North American branch of Nissan Jose Louis Valls (José Luis Valls) noted, automakers need not only to use new technologies, but also to understand how new customers will behave and adapt equipment and services accordingly.[7]
Sales growth forecast in Europe by 1%
According to the forecast of LMC Automobiles, the number of registrations of new cars To Europe in 2019 will increase, but not much - by about 1%. Experts Coface believe that demand for electric vehicles will remain stable throughout the year, even despite a decrease in the amount of government subsidies provided to the segment and the general cooling of the global economy. China is becoming an increasingly attractive market for manufacturers of electric and hybrid cars. Beijing supports this trend with tax breaks, and for 2019, the government faces the goal of bringing sales of new electric vehicles to 5% of total car sales for the year. Volkswagen has already announced plans to bring 25 new models of electric vehicles to the Chinese market from 2020 to 2025 and invest 12 billion in the segment dollars through joint ventures.
2018
The number of cars per 1000 people in the world
Decline in sales at the end of the year for the first time in several decades
In general, demand for cars in the global market is declining - probably the main reason is the fall in the consumer confidence index amid trade wars and geopolitical tensions in the international arena. 2018 was the first in several decades to show negative dynamics in car sales. The changing market landscape is forcing manufacturers to adapt. As legislation tightens and competition intensifies, corporations are having to revise their plans to expand sales for 2019.
USA In the first 11 months of 2018, passenger car sales fell 1%. The negative dynamics did not reverse even the growth in sales in the segment of small-tonnage trucks and pickups (+ 9.8% compared to the same period last year). Moreover Donald Trump , he has already voiced a threat to impose import tariffs on cars and auto parts from a number of countries, which could be a serious blow both for foreign manufacturers and for - the American many parts used by US automakers are produced abroad.
In China, car sales as of the end of November 2018 slightly decreased (-0.1% YoY). Coface experts consider the cooling of consumer demand and the general slowdown in the national economy to be the reason for the negative dynamics. In addition, competition between automakers is intensifying, which forces enterprises to sacrifice profits in order to reduce prices. However, it should be noted that due to a decrease in tariffs for car imports from 25% to 15% in the Chinese market, an increase in the volume of sales of foreign cars can be expected.
In Western Europe, the number of car registrations increased by 0.8% (as of November 2018). At the same time, we can note the heterogeneity of dynamics in the countries of the region - for example, in France the growth was 4.4%, in Germany - 0.4%, in Spain - 8%, while in Italy sales fell by 3.5%, and in the UK - by 6.9%. Some pressure on the market is exerted by new rules for checking cars for compliance with EU standards, complicating certification procedures.
In 2019, European demand will be negatively affected by the deterioration of the prospects for a number of national markets. Coface predicts a decline in the Eurozone's GDP growth rate from 2.1% in 2018 to 1.8% in 2019. Despite the fact that the average unemployment rate in the region is consistently decreasing, the consumer confidence index is falling (-3.7% as of November 2018). Uncertainty around the terms of the UK's departure from the EU is also worrying for both consumers and manufacturers.
Trade Wars and Falling Demand Dampen Automakers' Revenues Around the World
According to Coface experts, the situation in the automotive sector as of November 2018 is not the most favorable: the level of sector risks of the sector is assessed as medium or high in several regional markets (Asia, North America). The situation may soon change despite the fact that in Western European countries the level of risk is assessed as low.
In large markets (EU, USA, China) in the automotive industry there is intense competition in the field of innovation. Automakers have to update the lineup to take into account tougher environmental laws and invest heavily in promoting more environmentally friendly but expensive electric cars. As it has become apparent in the past few years, violation of CO2 emissions standards could result in serious problems for manufacturers, Coface emphasized. Giants such as Renault SA, Nissan and Daimler have already come under regulatory scrutiny . As a result of tighter government controls, many manufacturers have opted to ditch diesel engines in favor of gasoline, and competition pressure from Tesla is also forcing manufacturers to supplement their product portfolios with electric cars or hybrids.
Coface experts highlighted the main drivers of increased risk in the industry.
The first possible scenario: increased market segmentation due to tightening of environmental legislation requirements. A good example of this scenario is the litigation between California and the U.S. Federal Government over new auto emissions regulations. California has a special right to set its own environmental regulations. As a result, an important state for American automakers could set stricter emissions requirements than other states (Republican states in particular typically impose less stringent environmental regulations), leading to additional operational difficulties for automakers. Given that Democrats managed to win a majority in the lower house in the congressional elections, we can expect that the situation will only get more complicated, according to Coface.
The second scenario: a general slowdown in development. economies To Europe As of November 2018, Western car sales are on the rise. Thus, in 8 months since the beginning of the year, the volume of sales in the region has grown by 5.1%, almost reaching the pre-crisis level. At the same time, however, it is expected that along with a slowdown in the economic growth of the region (an increase of GDP 2.2% is predicted for 2018, and only 1.9% in 2019), sales volumes will gradually fall. A slowdown in the economy could affect consumer confidence and push them to move to a savings model of behavior, postponing the purchase of new cars until better times, experts say.
Finally, the third possible scenario: trade wars. The trade conflict between China and the United States is driving up commodity prices, which in turn is hurting automakers "revenues. So, recently Ford said that an increase in US import tariffs on steel and aluminum reduced the company's profit by $1 billion. According to Coface experts, other automakers will also probably feel the negative consequences of the increase in duties. In particular, Goldman Sachs predicts that, for example, General Motors may also receive less than about $1 billion. In addition, the trade war forces manufacturers to choose between raising prices for their lineup or reducing their income. Some German manufacturers - like BMW Group and Volkswagen - have already chosen the second option.
1962
1957
1897: World's first car dealer
Notes
- ↑ Chinese automakers overtake U.S. rivals in sales for the first time, report shows
- ↑ Toyota Keeps Title as No. 1 Carmaker for Third Straight Year
- ↑ Mercedes loses premium sales crown to BMW, as chip shortage hits deliveries
- ↑ Volkswagen Loses Title of World’s Top-Selling Carmaker to Toyota
- ↑ J.D. Power rates Tesla electric vehicles as lowest quality auto brand in 2020 study
- ↑ Carmakers are shedding 80,000 jobs around the world as the era of the electric vehicle upends the global automobile industry
- ↑ Gen Z Can’t Afford the SUVs Detroit Is Making
| The site content is translated by machine translation software powered by PROMT. The machine-translated articles are not always perfect and may contain errors in vocabulary, syntax or grammar. Read original article If you find inaccuracies or errors in the results of machine translation, please write to editor@tadviser.ru. We will make every effort to correct them as soon as possible. |