Wednesday, September 11, 2013

VW is pushing expansion overseas is Europe hurts

VW is pushing expansion overseas is Europe hurts
FRANKFURT, Sept 11 Reuters)-Volkswagen takes more steps to the their business activities reinforce the pinch of increasingly like the German carmaker feels stability demand in ailing European markets.

VW, about 60 percent of the Group sold vehicles outside their European homeland, is in China and already adding Mexico to capacity.

Production group Chairman Michael power of the Reuters news agency at the Frankfurt motor show on Wednesday, which also plans production in fast-growing Southeast Asian markets, setting up one of the few remaining gaps in its huge global factory network, VW from 102 facilities close.

"Certainly an active role in the region will we will in the next few years," said power, who sits eight-Member Board of Directors on VW, in an interview. "We are currently very active on the way in these countries."

Europe's largest carmaker a first 200 million euros ($265,33 million) this year investment to build a car plant in Indonesia known can give, a Minister in the Indonesian Government has in the past month, citing the location of Cikampek, West Java.

Power rejected an opinion on which country VW would finally get and said decisions on brands and products were not taken yet.

Automobile manufacturers around the world rely on emerging markets for long in the midst of a crisis recession-hit Europe, where pending sales on a low two decades are.

The Wolfsburg multi-brand Automotive Group, which is still missing a vehicle assembly plant in the Association of Southeast Asian Nations (ASEAN) Group of countries, has a goal to overtake Toyota and General Motors that not no later than 2018 become the world's largest automaker.

The ASEAN group consists of Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Burma, Cambodia, Laos and Viet Nam.

Separately, the German giant is considering to expand a start of commercial vehicles in the United States in the future as part of steps to his namesake core brand No. 2-car market in the world.

Commercial pickup trucks and vans like VW Caddy type model "certainly represents opportunity" for the United States, Jonathan Browning, CEO of VW US business of Reuters news agency, in a separate interview, referring to the success of the Ford Transit Connect van.

"There are preliminary discussions (with VW Wolfsburg-based management) but no definite plans at the moment," Browning said.

VW wants to boost its presence in the United States, until 2018, when it aims to snatch viewed 800,000 VW brand and 200,000 Audi brand sales the global sales Crown.

Yet Browning made it clear that rather than in addition to VW focus on best use of the potential of the band boosting models such as the compact Jetta sedan, Passat mid-size sedan and the compact SUV Tiguan would now offers in the United States, for the company.

"The immediate future is the best we have the vehicles plus CrossBlue B-SUV,", said Browning, a seven-seater concept car VW on the Shanghai Auto Show this year presented.

"The European market fully back his former strength may take years", said Stefan Bratzel, head of the center of automotive management think tank in the vicinity of Cologne. "Overseas (car) markets will account for a large part of future growth."

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