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PSA Group warned of sharp fall in demand for autos this year due to the coronavirus crisis after posting a 15.6 percent drop in first-quarter revenue.
Global light vehicle production is now expected to fall more than 20 percent to around 71 million units in 2020 as a result of the COVID-19 pandemic and ensuing recession, a top automotive forecaster said Monday.
Volkswagen Group’s global vehicle sales fell 23 percent to 2 million in the first quarter. In March alone, sales were down 38 percent overall at 623,000 vehicles, reflecting the coronavirus crisis.
Automakers are restarting production at their factories in Hungary gradually after weeks of shutdown to stem the spread of the novel coronavirus. Hungary’s economy is heavily dependent on the vehicle manufacturing sector, which all but halted production last month when the pandemic began to spread in the central European country.
Following the news that the European light vehicle market declined by an unprecedented 47% in March;Calum MacRae, Automotive Analyst at GlobalData, a leading data and analytics company, offers his view.
Volkswagen Group has extended the shutdown of its three plants in Slovakia until April 19 after closing them for two weeks on March 17 amid the coronavirus outbreak.
The SEAT Leon line at the Martorell plant starts to produce automated ventilators to collaborate with the healthcare system in the midst of the COVID-19 crisis. Going from producing cars to ventilators in record time is the result of the intense work of many SEAT employees. The project is still in development phase and the ventilators are waiting the final homologation.
Toyota said it would extend a production suspension at all of its factories in Europe, with the exception of Russia, until further notice. The plants are not expected to resume output until April 20 at the earliest, Toyota said.
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