Auto Industry Cyclicality: Difference between revisions

no edit summary
No edit summary
No edit summary
Line 17: Line 17:


=== <big>Production</big> ===
=== <big>Production</big> ===
In the reporting period, global automotive production decreased by 13.2% to 60.0 million units, of which 49.4 million were passenger cars (–14.0%).<ref>https://www.annualreports.com/HostedData/AnnualReportArchive/v/OTC_VWAGY_2009.pdf</ref>


==== By Geograpgy ====
==== By Geography ====
{| class="wikitable"
{| class="wikitable"
!Region<ref>https://www.oica.net/category/production-statistics/2010-statistics/</ref>
!Region<ref>https://www.oica.net/category/production-statistics/2010-statistics/</ref>
Line 340: Line 341:


=== <big>Sales</big> ===
=== <big>Sales</big> ===
In 2009, global passenger car sales fell by 6.0% to 52.4 million vehicles. Unit sales largely stabilized in the last months of the reporting period, mainly as a result of government programs to promote sales and lucrative incentive packages from the manufacturers. <ref>https://www.annualreports.com/HostedData/AnnualReportArchive/v/OTC_VWAGY_2009.pdf</ref>
* The Asia-Pacific region, due to the sharp increase in new pas- senger car registrations in China, and Western Europe, mainly due to the strong growth in Germany, were the only regions to record greater demand. . By contrast, the markets in Central and Eastern Europe, North America and South Africa recorded sharp declines.


*  
*  
Line 345: Line 349:
==== <big>US</big> ====
==== <big>US</big> ====


* Spike in August 2009 sales was due to the Cash for Clunkers program.<br />
* Spike in August 2009 sales was due to the Cash for Clunkers program. The US government’s incentive program was only able to ensure stability for a short time. <br />
[[File:AutoUSSales.png|center|thumb|1293x1293px|<ref>https://public.tableau.com/shared/WSYQK59QR?:display_count=n&:origin=viz_share_link</ref>]]
[[File:AutoUSSales.png|center|thumb|1293x1293px|<ref>https://public.tableau.com/shared/WSYQK59QR?:display_count=n&:origin=viz_share_link</ref>]]


Line 421: Line 425:
==== <big>Europe</big> ====
==== <big>Europe</big> ====


* Demand for new vehicles in Western Europe rose slightly in the reporting period by 0.5% to 13.7 million units.  At the beginning of the year, a dramatic market downturn was looming; however, this was avoided by government measures to promote sales by most automobile-producing countries in the region. The share of diesel vehicles in Western Europe fell to approximately 46% mainly as a result of the shift in demand to the mini and small car segments.<ref>https://www.annualreports.com/HostedData/AnnualReportArchive/v/OTC_VWAGY_2009.pdf</ref>
* New car registrations collapsed in Central and Eastern Europe.
* Demand for passenger cars in Germany increased by 18.2% in fiscal year 2009 to 4.0 million vehicles. The passenger car market reached its highest level since 1992 with 3.8 mil- lion units sold (+23.2%), mainly due to the scrappingpremium. In contrast, new registrations of commercial vehicles, at 242 thousand (–27.7%), fell to their lowest level since reunification as a result of a decline in investment activity.
* German luxury auto makers BMW and Daimler saw sales slip more than other car companies last year as '''government cash-for-clunkers programs helped overall sales slow by just 1.6 percent from 2008.'''<ref>https://www.nbcnews.com/id/wbna31917402</ref>
* German luxury auto makers BMW and Daimler saw sales slip more than other car companies last year as '''government cash-for-clunkers programs helped overall sales slow by just 1.6 percent from 2008.'''<ref>https://www.nbcnews.com/id/wbna31917402</ref>
* It said fleet renewal programs in major markets, especially Germany, helped sales pick up in the final six months of the year following a sharp slump in the first half.
* It said fleet renewal programs in major markets, especially Germany, helped sales pick up in the final six months of the year following a sharp slump in the first half.
* However, the '''payments to car buyers encouraged sales of smaller, lighter and more fuel-efficient cars''', helping Italy's Fiat Group SpA grow sales by 6.3 percent, France's Renault SA by 3.9 percent and Volkswagen AG — Europe's biggest car maker — by 0.7 percent. '''Heavier and more expensive models suffered.''' BMW's sales were down 13.6 percent and Daimler by 13 percent.
* However, the '''payments to car buyers encouraged sales of smaller, lighter and more fuel-efficient cars''', helping Italy's Fiat Group SpA grow sales by 6.3 percent, France's Renault SA by 3.9 percent and Volkswagen AG — Europe's biggest car maker — by 0.7 percent. '''Heavier and more expensive models suffered.''' BMW's sales were down 13.6 percent and Daimler by 13 percent.
*


===== European Scrapping Schemes for Vehicles Stimulus =====
===== European Scrapping Schemes for Vehicles Stimulus =====
Line 1,180: Line 1,188:
* W'''ere even able to exceed the deliveries recorded in 2008. This is mainly due to our attractive model range, but also to incentive programs and support measures resolved by many countries''' to mitigate the effects of the financial and economic crisis on the automotive industry in particular.  As announced, we gained additional market share worldwide during the crisis as a result of the good delivery situation.
* W'''ere even able to exceed the deliveries recorded in 2008. This is mainly due to our attractive model range, but also to incentive programs and support measures resolved by many countries''' to mitigate the effects of the financial and economic crisis on the automotive industry in particular.  As announced, we gained additional market share worldwide during the crisis as a result of the good delivery situation.
* '''€6.2 billion of funds were released from working capital, mainly because of the pronounced reduction in stockpiled inventories and lower receivables'''; in the previous year, the division had reported funds tied up in working capital of €2.1 billion. As a result, cash flows from operating activities rose sharply, by 45.6% to €12.8 billion.
* '''€6.2 billion of funds were released from working capital, mainly because of the pronounced reduction in stockpiled inventories and lower receivables'''; in the previous year, the division had reported funds tied up in working capital of €2.1 billion. As a result, cash flows from operating activities rose sharply, by 45.6% to €12.8 billion.
* '''At €5.8 billion, investments in property, plant and equipment in the Automotive Division were 14.6% lower year-on-year in fiscal year 2009.''' The ratio of investments in property, plant and equipment to sales revenue (capex) was in line with our expectations at 6.2% (6.6%). '''At €1.9 billion, capitalized development costs were lower than in the previous year (-12.1%)  <br />'''
* '''At €5.8 billion, investments in property, plant and equipment in the Automotive Division were 14.6% lower year-on-year in fiscal year 2009.''' The ratio of investments in property, plant and equipment to sales revenue (capex) was in line with our expectations at 6.2% (6.6%). '''At €1.9 billion, capitalized development costs were lower than in the previous year (-12.1%)  '''
 
===== By Geography =====
Deliveries to customers worldwide amounted to 6,336,222 vehicles in fiscal year 2009, which was 1.3% over the previous year’s figure.
 
Sales of almost all Group brands were adversely affected by the financial and economic crisis. Only the Volkswagen Passenger Cars and Škoda brands were able to improve their deliveries year-on-year, mainly due to high demand in Germany and China.
 
* In fiscal year 2009, deliveries to Group customers in Western Europe fell below the previous year’s level. This region accounted for the largest proportion of our vehicles sold, accounting for 46.1% (previous year: 47.8%) of the Group’s total delivery volume. Sales of almost all Group brands fell year-on-year due to the difficult market environment. Only the Volkswagen Passenger Cars and Škoda brands were able to exceed 2008 sales figures due to positive effects from government subsidy programs.
* In Central and Eastern Europe, deliveries to customers were down 31.2% year-on-year.
* Volkswagen Group deliveries in South Africa were down 28.0% year-on-year due to the repercussions of the financial and economic crisis and continued restrictive credit policies, with demand for entry-level models in particular dropping sharply.
* In the past fiscal year, the Volkswagen Group increased its sales in the German passenger car market by 17.6% year- on-year; this was mainly as a result of the government scrapping premium and our attractive product portfolio.
* Despite the negative trend on the global market, the passenger car markets in the Asia-Pacific region recorded an overall increase in demand in fiscal year 2009 due to the positive development of the Chinese market, which profited from the tax breaks granted when buying small cars.
* In the extremely sluggish US passenger car market, the Volkswagen Group’s sales figures fell only slightly below the previous year’s figure during the reporting period (–5.3%). The decline was thus lower than that experienced by the market as a whole. The US government’s incentive program was only able to ensure stability for a short time.  '''<br />'''
[[File:Screenshot 2024-03-13 141228.png|center|thumb|643x643px|https://www.annualreports.com/HostedData/AnnualReportArchive/v/OTC_VWAGY_2009.pdf]]
[[File:Screenshot 2024-03-13 141228.png|center|thumb|643x643px|https://www.annualreports.com/HostedData/AnnualReportArchive/v/OTC_VWAGY_2009.pdf]]
[[File:Screenshot 2024-03-13 141252.png|center|thumb|750x750px|
[[File:Screenshot 2024-03-13 141252.png|center|thumb|750x750px|