Dusk News’ Post

🚗 Exciting Developments in the Automotive Industry of Pakistan! 🚗 In a recent shake-up, major players like Toyota, Honda, Kia, and Suzuki have made significant price adjustments to some of their popular car models. Notably, the Kia Stonic leads the pack with a whopping 24% price drop, followed by Suzuki Swift GLX CVT (13%), Toyota Yaris 1.3 CVT (3%), and Honda City CVT (3%). What's fascinating is that despite these adjustments, all the cars now fall within the range of Rs4.69 mn to Rs4.77 mn, a notable shift from their previous price brackets of Rs4.83 mn to Rs6.28 mn. So, what's behind this sudden alignment of prices? It all comes down to a regulatory change that's sparked a fierce price war among these brands. In March 2023, GST for cars above 1400 cc and SUVs surged from 18% to 25%. While most cars remained unaffected, Kia Stonic found itself in a bind due to its classification. Fast forward to March 2024, and a regulatory update capped the GST at 25% for cars below Rs4 mn, leveling the playing field. Responding swiftly, Toyota and Honda made slight adjustments to their top variants to stay below the Rs4 mn mark. However, it was Kia's bold move to slash Stonic's price significantly that set the stage for further action. Suzuki followed suit by reducing the price of its Swift top variant. The question now arises: Will Toyota and Honda take further steps to lower Yaris and City prices to keep up with Stonic and Swift's competitive pricing? 🤔 Don't forget to follow Shehzad Dhedhi #AutomotiveIndustry #PriceWar #Competition #RegulatoryChanges Source: Ali Khizar Aslam

Global auto risk increased versus key benchmarks in August, a trend that may continue as hopes for 2H strength after mediocre 2Q performance is threatened by increasing price pressure, intensified China competition and bloated inventory, notably at Stellantis and Nissan Motor Corporation. JLR Land Rover's upgrade to BBB- at S&P stole the show last month, giving it and Ferrari, Toyota Motor Corporation, Hyundai Motor Company (현대자동차) and Ford Motor Company the best mix of fundamentals and relative value into a stretch of increasing uncertainty. https://lnkd.in/gRBaaE5e

Should Lamborghini be spun out of Volkswagen $VOW? In 2023, they sold 10,600 cars, which is actually less than $RACE's 13,700. The two car manufacturers also have similar EBIT margins of about 27%.  Lamborghini has grown its revenue with a 17% CAGR over the past 6 years, while EBIT had a CAGR of 53% during the same period. This visual by Quartr shows the number of Lamborghini cars sold per year between 1999 and 2023:

Four months into the first year of the UK's ZEV mandate, here's how each car company is faring against the targets. The implied target is the ZEV sales target after taking into account credits earned from selling more fuel efficient vehicles, and varies a lot from manufacturer to manufacturer. We expect discounts and deals on BEVs from brands associated with VW, Stellantis, Ford, Nissan and Renault! The data suggest that the UK will finish the year on 1.9m car sales, of which we expect 340,000 to be BEVs, with an effective ZEV mandate target of around 19%. To find out more and sign up to our free monthly bulletin, visit: newautomotive.org/ecc Nicholas Hellen Jasper Jolly Matt Finch Quentin Willson Maz Shar EVA England James Court Fiona Howarth Bill Esterson Jonathan Reynolds MP Anthony Browne Department for Transport (DfT), United Kingdom Bob Moran James Vickery

This is quite interesting. Some way to go for Volkswagen, Stellantis, Ford Motor Company, Nissan Motor Corporation, and Renault Group. As new regulation and target dates start to approach, the pressure is being put on some businesses to speed up their strategic shift to align to a more sustainable operation. Automotive OEMs need to shift from the mindset of new car sales volume to focusing on developing software based products that drive revenue through upgrades, refurbishing, and longevity. The days of just 'sell new' is coming to a close with changes in consumer expectations, regulations and standards. But the reality is the whole value chain from manufacturing to insurance to retail need to adapt, not just OEMs. Thoughts on this? What strategies will some of these OEMs take? I already read that Ford are intending on selling less ICE cars (by increasing pricing), rather than take a hit on EV sales or incur fines. #ElectricVehicles #AutonomousDriving #Automotive #SoftwareDefinedVehicles

Interesting to see how well each of these big manufacturers is adapted to the EV market for the first year of the ZEV mandate. It’ll be even more interesting to see how pricing strategies evolve this year and next.

🔔 Lately, we have been accustomed to sharing information related to registrations. Today we share the registrations of new cars in Europe. 🚗 In April 2024, new car registrations in the European Union increased by +13.7% compared to April 2023, reaching 913,995 units. 🚙 For the January-April period, Romania ranks 14th in the EU, with a volume of 46,504 new registered cars, registering a decrease of -0.7% compared to the January-April 2023 period. Of these, 4,128 new registered cars have full electric propulsion, and 16,273 units have hybrid propulsion. 🚘 Regarding car manufacturers, the newest cars registered in Europe in total are represented by the VW group with 1,128,943 units, up by +4.3%, followed by the STELANTIS group with 764,604 units, up by +2.9%, and by the Group Renault with 422,612 units, up +4.5% (of which DACIA: 201,649 units, up +5.3% compared to Jan-Mar 2023). Ford cars in Jan-Apr 2024 represented a number of 152,552 new registered units, down by -15.2% compared to Jan-Apr 2023. #allesro #automotive #smartsolutions #engineering

Having driven the nee Transit around for a few days, it really is a nice van. But at £35k ish in Limited spec you do have to wonder if it’s actually good value anymore? It’s gone from being the iconic “backbone of Britain” to targeting Mercedes and VW with its pricing. To put it into perspective I could buy a top spec Nissan Primastar or Renault Trafic for £9k less and gain up to 5 years wanrranty. In todays market has Ford got its strategy wrong or is this van really worth the extra money? It’s a bit like the Amarok/Ranger, what’s the strategy, they are the same truck, same price points etc so is it really now just aligning yourself with the brand?

"From 2016 to 2019, ICE cars dominated new car registrations, comprising 95% of the market. However, that figure plummeted to 71% from 2020 to 2023, marking a significant decline of 4.6 million cars. The ICE decline accelerated rapidly during this period, dropping from an 83% market share in 2020 to just 64% in 2023. Looking ahead, I anticipate a further drop of 35% by the end of 2027, projecting only 784,000 new ICE vehicles hitting the road compared to the 1.2 million recorded in 2023." Cox Automotive Europe Philip Nothard Check the Four-warned is forearmed: Fuel-type forecast 2024-27 white paper here 👇 https://lnkd.in/eFWffWEv

2024 marks a fresh start for the automotive industry and despite headwinds, automakers are feeling pretty optimistic! 💫 Current highlights in the automotive industry:   - Strong December sales exceed predictions  - Used car prices trend towards normalization in 2024 - 2023 concludes with a record-breaking 1.2 million EVs sold Receive weekly automotive updates when you subscribe to Lotlinx News: https://t.ly/B8KjY 📥