Clean Diesel Makes Inroads in the U.S.; Sees Slowdown in Europe

Tim_Dunne

Tim Dunne

As clean diesel powertrains become more prevalent and popular in the U.S. market, especially in VW and Audi brand product lineups sold here, it appears that diesels are becoming less attractive in the world’s largest diesel market: Europe, according to a recent article, “Are Diesel Cars in Europe Starting a Long Slow Decline?” in Green Car Reports as well as J.D. Power research.

The current reduction in diesels in Europe may be mainly due to new regulations that have been passed by the EU and/or are being considered in individual European countries.

As recently as 2012, the diesel share in the European market was 46.0%, according to Mike Omotoso, senior manager of global powertrain at LMC Automotive, J.D. Power’s strategic partner. In 2013, LMC Automotive projects the diesel share to edge down by slightly more than 1 percentage point to 44.9%, and the outlook for 2014 is for a 44.0% diesel share in Europe—down 2 points from 2012. Continue reading ›

Will Europe be a Gold Mine for Chinese Exports?

CarPortChina’s car exports to other countries rose by more than 40% in 2012, which has been an excellent stimulus for Chinese carmakers in the slowing domestic market. A number of local automakers are relying heavily on exports. Lifan, for example, exported 67,000 passenger vehicles in 2012, which accounted for 43% of its total sales.

Chinese carmakers mainly focus on markets in South America, the Middle East, Russia and Eastern Europe. Some domestic automakers have tried to tap into mature markets. The brand MG, which was originally a British brand and is now owned by China’s SAIC, however, managed to sell only 782 cars in the UK in 2012.

Nevertheless, many Chinese brands have announced ambitious strategies for overseas development to further explore mature markets, especially countries in Western Europe. Continue reading ›