European plant capacity usage improves, but breakeven still years away

Capacity utilization at Europe's vehicle plants should rise to 70 percent this year because of factory closures and rising sales, and may return to 80 percent as soon as 2016, say forecasters. A return to the 2007 high of 85 percent, however, is not expected until 2020 – if ever – forecasters say. "Our prediction is that capacity utilization will increase, but it won't come back to peak levels of 2007," said Michel Costes, CEO of France-based automotive research group Inovev.