France’s Peugeot set to make American return after 30-year absence

Peugeot Automotive

French car brand Peugeot will be making a return to the North American market, parent Groupe PSA announced Tuesday morning, though the exact timing of the relaunch is uncertain and could be pushed out as late as 2026.

Peugeot was one of a number of European brands that pulled out of the American market during a severe industry downturn in the early 1990s, a list that included Fiat before it bought Chrysler and French rival Peugeot. The parent company has been exploring ways to return for several years and has already launched several mobility services ventures in the U.S. Groupe PSA had been exploring which of its various marques would spearhead its return and has settled on the flagship Peugeot.

“This is another step in a multi-step return to the market,” Groupe PSA North America CEO Larry Dominique said in an interview with CNBC.

The exact timing for relaunching Peugeot in the U.S. has yet to be determined, Dominique, a former Nissan executive, emphasized, noting that it could stretch out as late as 2026 though it will more likely happen sooner.

“This is not about speed. It's about getting things right,” Dominique said. “The good news for us is PSA is not dependent on me to sell a single car. The idea is to build the brand the right way.”

The roots of Groupe PSA stretch back 208 years and the company today has operations in a variety of fields, including culinary goods, watches and bicycles, though automobiles constitute the largest source of its 74 billion euros in revenue in 2018.

Groupe PSA sold 4.1 million vehicles in 2018, a 3.8 percent decline, according to the Global Auto Database, positioning it as the world's ninth largest automotive group. The numbers include not only the group's largest brand, Peugeot, but also Citroen, DS and Opel/Vauxhall — the latter purchased from General Motors which has exited the European market.

The Paris-based company first signaled plans to return to the U.S. in April 2016, announcing that it would begin a decade-long effort to begin with a push into mobility services. It said it could take several more years to determine which of the various group car brands would then be re-launched in North America.

Several mobility service ventures are already in operation, including the Free2Move Carsharing service launched in Washington, D.C. late last year. The goal is to roll that out in major cities across the U.S. and Canada over the next few years.

For the time being Free2Go is offering two Chevrolet products, the Chevrolet Equinox SUV and Chevy Cruze sedan, but the goal is to add Peugeot products over the next few years. That is likely to happen even before PSA re-launches its retail sales network, Dominique previously told CNBC, and would serve as a way to gauge consumer reaction to its products.

PSA also is rolling out a service that will allow users of its Free2Move smartphone app to schedule multi-modal travel – everything from bicycle rentals to train tickets and car-sharing. And the group now operates parking service at airports in Los Angeles and other cities allowing customers to rent out their own vehicles while traveling, something known as a peer-to-peer car-sharing service.

Those operations aim to take advantage of what many analysts see as a dramatic shift in personal transportation likely to take place over the coming decade, some experts predicting that millions of Americans may abandon personal vehicle ownership in favor of car and ride-sharing, as well as mass transit.

That could play a major role in shaping the way the Peugeot brand itself comes back to the North American market, said Michelle Krebs, executive automotive analyst with Cox Automotive.

But she cautioned that even then, “It will be no cakewalk. The North American market isn't going to grow a lot.”

Krebs expects that the cars Peugeot brings back to North America will also reflect another major, ongoing shift: the growth of electrification. Most major manufacturers have announced plans to introduce hybrids, plug-ins and pure battery-electric vehicles, or BEVs, to their fleets. Rival Volkswagen AG, for example, expects to have more than 50 different BEVs, as well as dozens of hybrids, on sale by 2025.

While Dominique wouldn't say precisely what approach PSA will take, it has already begun adding electrified models and they are expected to play at least something of a role in the Peugeot brand's American revival.

Ford will stop selling commercial trucks in South America

Source: Ford
A Ford-4000 heavy truck.

Ford will stop selling heavy trucks in South America, a region where the automaker has long struggled.

The second largest U.S. automaker expects to record pretax special item charges of about $460 million as a result.

Ford will stop production at its Sao Bernardo do Campo plant in Brazil this year, and will stop selling the Cargo lineup, F-4000 and F-350 trucks along with the Fiesta compact car once it sells out of its inventories.

The automaker said it is still invested in the region, despite the pullback.

Ford bets big on trucks, Fiat Chrysler issues weak 2019 guidance
6:44 PM ET Thu, 7 Feb 2019 | 02:18

“Ford is committed to the South American region by building a sustainable and profitable business with strengthened product offerings, outstanding customer experience, and a leaner more agile business model,” said Lyle Watters, president, Ford of South America.

Ford has been taking steps to trim its operations and overhaul its business — a plan that will likely take years and cost $11 billion. The company's international businesses pose a particularly thorny challenge. Rival General Motors has pulled out entirely of some regions where it has not performed well, but Ford's trouble is that many of its businesses around the world are a mixture of good and bad. The company said earlier this year it plans to partner with German automaker Volkswagen on a number of initiatives in Europe, South America, and Africa.

“It positive to see Ford finally beginning to take some long overdue in South America,” said Jon Gabrielsen, an independent auto industry analyst. “I fear it is likely to be too little, too late.”

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Near-production Volkswagen T-Roc R to première at the International Geneva Motor Show, 7 -17 March 2019

Near-production Volkswagen T-Roc R to première at the International Geneva Motor Show, 7 -17 March 2019

Volkswagen is to unveil the latest top model of its successful T-Roc at this year’s International Geneva Motor Show – T-Roc R

WOLFSBURG, 25-Feb-2019 — /EuropaWire/ — Volkswagen is to unveil the latest top model of its successful T-Roc at this year’s International Geneva Motor Show – T-Roc R. The 89th edition of the International Geneva Motor Show will be held at Palexpo from March 7 to 17, 2019. The new model of T-Roc is developed by Volkswagen R and comes with four-cylinder TSI engine with 2.0 litre capacity and an output of 221 kW/300 PS as well as torque of 400 Nm. Standard features also included in the new T-Roc R model are 4MOTION all-wheel drive and a 7-gear DSG dual-clutch gearbox.

The Volkswagen T-Roc R will be able to accelerate from 0 to 100km/h in just 4.9 seconds, while the top speed is limited to 250 km/h electronically.

Other extras and features include sports running gear with lowered suspension that ensures ideal road holding and progressive steering that guarantees agile driving behaviour as well as 17-inch brake system makes sure the crossover has effective braking.

Extra attention is paid to the special race mode, one of the driving modes included, that offers sporty driving experience with measures that include launch control feature, which provides optimal traction during acceleration while offering maximum drive torque and a corresponding stability management program. The T-Roc R’s ESC Electronic Stability Control feature can be turned off if the driver wants particularly dynamic driving on the edge.

Volkswagen R is responsible for the development of the new T-Roc R and the vehicle has been tested at the legendary Nürburgring race track. WRX World Champion Petter Solberg and Volkswagen works driver Benjamin Leuchter have also contributed and supported the development of the new crossover for the brand.

In general, the letter R stands for racing since the brand’s first model, which is the Golf R32. Volkswagen R is synonymous with especially powerful engines and exclusively designed vehicles at Volkswagen since 2010, and is a company that is operated independently from, yet 100% owned by, Volkswagen AG.

The new Volkswagen T-Roc R has the hard to mistake design typical for the “R” models of the brand making sure its sporty and powerful characteristics are boldly underlined. Things like the specially redesigned radiator grille, the “R” logo, the bumper (developed specifically for this model), the light units, the underbody guard, the double-ended exhaust system, the 18-inch/19-inch Spielberg/Pretoria alloy wheels, etc., are among the features and design elements that set the T-Roc R apart from its more conservative counterparts.

The Volkswagen T-Roc R comes with specific for the R line colours like Lapiz Blue Metallic or Pure White Uni, Flash Red Uni, Turmeric Yellow Metallic, White Silver Metallic, Energetic Orange Metallic, Deep Black Pearl Effect and Indium Grey Metallic.

The key for the Volkswagen T-Roc R bears an “R” logo on it. The “R” logo can also be seen on the stainless steel sill panel trims, on the seat backrests and on the special leather multifunction sports steering wheel with paddle levers as well as on the black headliner and the greeting on the start screen.

The entire interior of the Volkswagen T-Roc R is made with an exceptionally high quality and includes, but not limited to, white ambient lighting, Shadow Steel “R” decoration, modified foam inserts beneath plastic elements, and ArtVelours microfibre used in the seat cushion bolsters, among others.

Greater personalisation is also part of the Volkswagen T-Roc R. Leather package, side panels with carbon inserts, decorative stitching in Crystal Grey and the “R” logo stitched into the backrest, 19-inch Pretoria alloy wheels in Dark Graphite, R-performance titanium exhaust system from Akrapovic, among others.

The T-Roc model has first been introduced in late 2017 with the aim of combining an SUV with the dynamics of a compact hatchback. Since then more than 200,000 customers worldwide have chosen the T-Roc model of Volkswagen.

SOURCE: Volkswagen AG

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