PSA Looks (South) East
Putting Brazil aside for a second (Sorry, Marcello!) Asia is where the car industry is looking for their next piece of pie. There’s Russia (let’s face it, Russia is more in Asia that it is in Europe), China, Japan and India. All markets with either big potential and/or plenty of customers. But there is a 5th place which always gets overlooked. South East Asia. Countries like Thailand, Indonesia and Singapore are growing just as well, as the aforementioned countries, but never get the same attention. Well, someone has noticed their potential.
Industry Week reports that Peugeot-Citroen (PSA) has announced a deal with Malaysian car maker Naza, to use Naza’s plant in Gurun, Malaysia, to build PSA cars for export around the ASEAN region (which has a free trade agreement). The plan is to make this factory in Malaysia its regional hub for South East Asia. PSA Malaysia Manager Vincent Comyn believes that this trading block will have annual sales of 3 million units. This is quite a conservative estimate, considering that annual sales in this trading area are already 1.1 million. “Here we have a good partnership with Naza. We plan to steadily increase our line-up of Peugeot cars in the ASEAN market,” Comyn said. Those big ambitions will need big planning.
In Malaysia alone, Perodua and Proton make up 70 percent of the market. Toyota, Honda and Nissan take up what’s left. PSA is going to need more than a free trade agreement to achieve this goal.
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Hi Cammy! Wow. Seems like a humongous undertaking for them. However, I wish them well as its essential to keep alive as many brands as possible, the globe over. I mean auto diversity makes for more interesting cars. And can only be good for the consumer.
But who will think of the rain forests? Orangutans need a home, also. As well as all those BIG ugly bugs. Recall the Star Trek planet where the mass pounding of the accumulated heart beats of the teeming horde added suspense to the few inside the faux space ship? Way back, the original series. The aliens needed germs from Kirk to reduce the teeming horde. Will that be Earth some year? The herd is HUGE and getting huger and what will the end result be.. hugiest? BAH!!!!!!!!!!!!! Old Coot will be dead and gone as you whippersnappers swarm and multiply akin to nematodes. Well, I suppose the infrastructures of fairly level paved roadways will provide handy foundations for mass transit or perhaps a handy virus with a fatality rate of 95 percent will thin the human herd. Dern' pestilential humans.
Toyota, Honda, Nissan, GM and Ford (and probably more) have been in Thailand a long time. Don't know what's going on in Indonesia or Singapore.