Global assembly of light vehicles is forecast to reach 82.1 million units this year, representing 4% year-on-year growth. The fortunes of the global industry are split, however, along geographical lines according to the consulting company making the forecast.
Automakers continue to await a recovery in the European auto market and PwC Autofacts (Detroit, MI) predicts production will decline a further ca. 4% this year to just under 15.3 million units. And while assembly is expected to recover beyond 2013, it won't be solely due to an improvement in local demand. Rather, strategic localization of assembly that is currently imported to the market is expected to play a major role in boosting assembly output resulting in 500,000 to 600,000 units of incremental growth annually for the region.
The US automotive market meanwhile, has continued to shrug off mixed macro-economic news to slowly and steadily grow sales month by month according to Autofacts. "While this trend isn't expected to last absent real economic growth, it remains an encouraging sign for the industry."...