Japanese carmakers expect to revive their business in Europe by launching new cars that feature small fuel-efficient diesel engines and smart interiors. To ensure steady growth in Europe in the few years, Japanese carmakers are cutting costs and are investing the profits they gained from effects of the weaker yen.
The carmakers, which include Mazda and Toyota, have recovered from the impact of the natural disasters that shook their global supply level two years ago by initially focusing in North America.
But their decision not to adapt their for-US vehicles led to dismal sales results in Europe. Now, these carmakers are beginning to see improved sales results in Europe, thanks to their move to focus on the market -- considered as the most demanding in terms of fuel efficiency, design, handling and build quality.
Jeff Guyton, head of Mazda in Europe, told Reuters in an interview at the Frankfurt Motor Show that the carmaker's business in Europe "has turned around," noting that while "it's doom and gloom" for other carmakers, theirs is "the exact opposite."
Mazda saw its sales in Europe surge 11 percent in the firth eight months of 2013, despite being in a market that declined by 5 percent. He added that Mazda "had the best fiscal first quarter in at least 10 years." Mazda unveiled at the Frankfurt motor show its latest Mazda3 compact car. Mazda has already gained sales success with its CX-5 crossover, which helped boost its European volume since it was launched in April 2013.