Bmw says its business indicators don’t show signs of a recession

Article by Christian A., on September 12, 2011

Recession hasn’t hurt the production pace of BMW's plants as cars are rolling out at a record high and the factories are “working at full tilt,” according to Chief Financial Officer Friedrich Eichiner.

At a Munich briefing last week, Eichiner told journalists that deliveries of the revamped X3 sport-utility vehicle will start only in 2012. X3 demand had boosted sales of BMW, Mini and Rolls-Royce cars by 7.4% to 110,891 units in August.

As the demand in the U.S. and China are increasing, BMW, Mercedes-Benz and Audi are predicting that their sales this year will break records. Last August, Audi said that it will create more jobs for its plan to expand its production, according to Autonews.

For instance, the A8 flagship sedan will get a 57% boost in capacity over expectations that the luxury-auto industry will get through the stock-market slump unscathed. Mercedes also plans to increase output. BMW maintains an optimistic outlook despite the concerns related to the economic slowdown.

According to European Central Bank President Jean-Claude Trichet last week, the euro region's economy is being threatened further due to the worsening of the debt crisis in the region.

But even if the present business seems unaffected by the economic risks, BMW is getting ready for a slowdown after reducing costs and decreasing its leasing business to lower financial risk during the 2009 recession. Eichiner added that BMW may be able to survive a similar predicament without its automotive business falling to a loss.

Topics: bmw

If you liked the article, share on:

Comments

Recommended

The primary suggestion of a 4x4 ute from French company Peugeot was first revealed in 2016. Fifteen months later, the production version is launched. Now, Peugeot is not shying away...
by - June 24, 2017
The new Jaguar E-Pace crossover will soon hold its official launch on July 13 and is expected to arrive at the showrooms by early next year. It couldn’t have come...
by - June 24, 2017
As prices of the original Shelby Cobra have skyrocketed into astronomical proportions, there are firms like Superformance that serve replicas to consumers who demand the same levels of performance at...
by - June 24, 2017
New and improved 2018 Subaru Legacy comes packed with a number of upgraded features from the get go - from the exterior to the interior. And the company has finally...
by - June 23, 2017
In an interview involving Lamborghini CEO Stefano Domenicali and Automotive News, the topic about the Urus was thoroughly discussed. This super SUV is scheduled to make its debut later this...
by - June 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries