European car market has yet to reach its lowest point, says Fiat CEO

Article by Christian Andrei, on September 25, 2012

Fiat CEO Sergio Marchionne believes that the European car market has yet to reach the lowest that it can go. He said that the latest estimates for the auto demand in Europe did not surpass 12.5 million units, which he said is the second lowest level in the past two decades. During an industrial conference last Monday, Marchionne said that European car market right now is “a disaster.”

He said that it hasn’t bottomed out yet and that the prospects are bad. Moody's ratings agency said last week that it believes that light-vehicle demand in western Europe will decline by 3% next year with demand continuing to fall heavily in weak southern European markets such as Italy. In January, Moody's had predicted a 3% increase for the region.

According to Standard & Poor's, the western Europe market will decline by up to 7% this year and increase by only 0.4% in 2013. Standard & Poor's added that the economic slump is applying pressure on PSA/Peugeot-Citroen, Fiat and Renault, the ratings of which are all in the speculative-grade category. The agency said that the poor demand affected customers, together with austerity measures, intense price rivalry, and high costs.

Topics: europe, sales, fiat

If you liked the article, share on:


Login or Create new account to add a comment!


More than three decades ago, the DeLorean DMC-12 was produced by the DeLorean Motor Company. However, production was stopped due to issues within the company. The car itself was decent...
by - October 27, 2016
Tesla is making sure that all models under production will receive the necessary advanced hardware that will allow them to be autonomously driven. The fitment of these advanced hardware to...
by - October 27, 2016
Wondering how fast the 2017 Chevrolet Camaro ZL1 in actual driving? To provide customers a good idea on how fast the 2017 Camaro ZL1 could really get, Chevrolet recently had...
by - October 27, 2016
So, it is official! The new Honda Clarity FCV has the longest verified range of any zero-emissions vehicle currently on the road in the United States. One of the main...
by - October 27, 2016
Many have been anticipating Mercedes-Benz Vans’ newest luxury pickup truck, the X-Class. While Mercedes-Benz has yet to reveal the official production version of the X-Class, it was kind enough to...
by - October 27, 2016