Chinese growth helps PSA Peugeot Citroen lift first half sales by 16.9pc
FRENCH carmaker PSA Peugeot Citroen posted a 16.9 per cent rise in first-half sales
yesterday, helped by new models such as the DS3, C3 Picasso and RCZ coupe and strong growth in China.
Leaving aside sales of completely knocked-down (CKD) kits – shipped for assembly in other markets – sales rose 16.8 per cent to 1.62m vehicles, Europe’s second-largest carmaker behind German peer Volkswagen.
Carmakers have benefited from incentive schemes to scrap old cars, but many of the schemes are finished or finishing and the second half was expected to be tough as economic worries and new tax measures take their toll on consumers. PSA repeated that it expected the European car market to decline by around nine per cent year-on-year in 2010 and said it expected to gain market share in Europe this year.
Peugeot and Citroen brand head Jean-Marc Gales said June orders, were “very strong”, and that is likely to be reflected in its results.
PSA said the Chinese market will likely see double-digit percentage sales growth this year, while Latin American markets were expected to post single-digit growth.
Citroen head Frederic Banzet told a news conference: “China is the number one priority for Citroen’s development”. Banzet said 14 per cent of Citroen sales this year were in China, up from 10 per cent in 2009.
The carmaker said in April it expected to post a first-half operating profit. It is due to release results on 28 July.