Research and development continues to drive innovation as the industry prepares for longer-term growth forecast to reach 101 million units by 2017
DETROIT, 22 July 2013 – Global light vehicle assembly is expected to reach 81 million units in 2013, an increase of 2.3 percent compared to 2012, according to Autofacts, PwC’s automotive analyst group. While the global market is expected to see positive growth overall, there are a number of mixed signals at the regional level. North America and Developing Asia-Pacific markets are driving most of the growth, while Developed Asia-Pacific is expected to see continued declines as assembly is localised abroad. The European Union, meanwhile, is not expected to see volume recovery until 2014.
“Economic performance is anticipated to remain mixed through the remainder of 2013,” said Rick Hanna, PwC’s global automotive leader. “However, we do see light at the end of the tunnel and are forecasting a global compound annual growth rate of approximately 5 percent, double the 2013 rate, through 2017.”
Strong growth in Developing Asia-Pacific, improving stability in the EU and investment in new technologies will drive the industry forward. Autofacts forecasts annual global light vehicle assembly to reach 101 million by 2017.
Megatrends driving the global automotive industry:
“Despite macroeconomic uncertainties, the automotive industry continues to invest in R&D to develop and integrate new technology into vehicles,” said Hanna. “Innovation is a clear differentiator. Today’s technology investments will continue to position the industry for longer-term growth.”
For more details about PwC's quarterly forecast update, download the July issue of PwC’s Analyst Note at: www.autofacts.com or download the Autofacts iPad application.
About PwC's Automotive Practice
PwC's global automotive practice leverages its extensive experience in the industry to help companies solve complex business challenges with efficiency and quality. One of PwC's global automotive practice's key competitive advantages is Autofacts®, a team of automotive industry specialists dedicated to ongoing analysis of sector trends. Autofacts provides our team of more than 4,800 automotive professionals and our clients with data and analysis to assess implications make recommendations, and support decisions to compete in the global marketplace.
Autofacts is a key strategic asset of PwC’s global automotive practice. Fully integrated with PwC’s more than 4,800 global automotive professionals, Autofacts provides ongoing auto industry analysis our clients use to shape business strategy, assess implications and support a variety of operational decisions. The Autofacts team also draws from the strengths of PwC’s marketing, sales and financial services groups to support other key areas of automotive companies’ functions. Since 1985, our market-tested approach, diverse service offerings and dedication to client service have made Autofacts a trusted advisor throughout the industry. For more information, visit www.autofacts.com.
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