NewswireToday - /newswire/ -
London, United Kingdom, 2008/11/19 - Report Buyer, the online destination for business intelligence for major industry sectors, added a new report which offers a detailed guide to the Romanian automotive market.
Report Buyer, has added a new report which offers a detailed guide to the Romanian automotive market.
“Romania Autos Report Q4 2008” reports that despite the Romanian automotive market going through a period of slowdown and stagnation, the industry will experience a recovery from H209, buoyed by increasing affluence and positive consumer sentiment.
The slump in H1 was related to the introduction of the new environment tax and exchange rate movements, which saw the leu appreciate against the euro and the US dollar, thereby making Dacia models less competitive on the domestic market. Prompting a radical revision of the forecast figures, the decline in the automotive market in H108 means that the report now expects sales to total 365,156 units, representing a fall of 0.4% y-o-y, with car sales down 3.3% while commercial vehicle sales will rise by 17.0%.
The downturn in the car market will be temporary and sales will recover from H209, assisted by a rise in wages caused by tightening labour supply. By 2012, sales should be around 62% more than 2007 levels. The key driver of growth will be the heavy commercial vehicle segment, which is forecast to rise 139% to just under 36,400 units, and the bus sector, which will rise 150% to 8,087 units due to rapid growth in passenger transportation and tourism.
Despite the pressures facing Dacia, the Romanian automotive industry will be boosted by planned capacity expansion over the next five years. Renault is aiming to boost annual production capacity at Pitesti from 350,000 units in 2008 to 400,000 units in 2009. Ford has also entered the Romanian industry and intends to invest up to EUR675mn in the plant to expand production capacity to 300,000 units by 2012, 90% of which will be exported, which means it is unlikely to challenge Dacia on the domestic market.
Romania scored 51.9 points (out of a theoretical maximum of 100) in the BMI automotive business environment rating. This was a reduction of 1.5 points from the previous quarter, with Romania falling from fourth to fifth place in the regional ranking, lying 1.4 points behind Ukraine and 2.9 points ahead of Estonia.
“Romania Autos Report Q4 2008” is available from Report Buyer. For more information, see website.
Report Buyer product ID: BMI01091
About Report Buyer
Report Buyer is a UK-based independent online store supplying business information. The website now carries over 85,000 business information products, including market reports, studies, books and events. Subscribers receive a free monthly newsletter and email alerts on new titles in their areas of interest. A regularly updated blog provides information on the latest market trends.