PSA/Peugeot-Citroen SA wants to sell more cars in China than in France, its No. 2 executive said.
“In the medium term, China will certainly be the largest sales market for our company, even ahead of France, where we sold about 870,000 vehicles in 2010. In China, the figure was 370,000, and on the rise,” PSA brands boss Jean-Marc Gales told Automotive News Europe.
In 2010, PSA had a market share of just 3.3 percent in China. “We want to get to 5 percent as early as 2015 and to 8 percent in 2020,” Gales said.
“This year, we want to get to 450,000 units in China. But if the market grows to 20 million units per year, you can figure that we will be at at least 1.6 million units with an 8 percent market share,” Gales said.
The French company also counts on other emerging markets: “In Latin America, we have had losses there for years. Our goal is to be profitable there for the first time. In the medium term, we want to climb from 5.4 percent to 8 percent. Overall, we want to reduce our dependence on Europe, thanks to markets like China, Brazil, and even Russia. Last year, we sold 39 percent of our global sales outside of Europe. By 2015, we want to have increased this share to 50 percent. That would give us a solid ratio.”
PSA also wants to keep its market share in Europe above 14 percent and “possibly increase it, provided, naturally, that this growth takes place profitably,” Gales said.
The executive expects strong growth for the overall European market by 2020: “In 2011, we only expect the level of 2010, about 15 million vehicles for Europe 30. Long term, I expect a slight increase. And in 2020, the market should pick back up to 18 million units.“