Signs of RecoveryBy Alejandro Enríquez | Thu, 11/05/2020 - 17:00
This week, Ford starts production of its first electric SUV, Mustang Mach E. In global news, 3Q20 results are still coming. GM delivers "strong automotive liquidity" above targets set by the automaker. BMW Group reports net profit and says it "is on track" to meet 2020's targets.
In this week's featured interviews, do not miss our conversation with the head of Zanini Auto Group, CEO Jordi Torras, who explains a global Tier 1 experience during the pandemic.
Buckle your seatbelts, this is the week on automotive!
Mexican Automotive Industry Shows Signs of Recovery
New vehicle sales performance improved by 8 percent compared to September 2020. Year-on-year performance, however, remains at a negative 21.3 percent. Accumulated sales for 2020 account for 748,501 vehicles, 29.6 percent less than in 2019.
IMEF’s manufacturing indicator rose 2.3 points in October to reach 50.1 units, which means the Mexican manufacturing sector is now in an expansion phase after 16 months of contraction.
CANACINTRA President Enoch Castellanos mentioned that a Biden victory will relax the trade war between the US and China, which could prevent Mexico to "shine" as a trade partner.
Zanini: Continous Innovation in Wheel Trim Applications. Global CEO of Zanini Jordi Torras explains how the group is adapting to the newest trends in the industry, including autonomous and electric vehicles.
Executive President and Adviser to the Automotive Cluster of the State of Mexico Elisa Crespo detailed the lessons learned from the pandemic and how companies in the region strengthened their partnerships.
As a side effect of the COVID-19 pandemic, demand for power sports vehicles increased, including all-terrain vehicles (ATVs) and side-by-side vehicles (SSVs). Market leader BRP, details how the company took advantage of this opportunity.
Positive 3Q20 Results for Ford and BMW
GM released its 3Q20 results that showed profit of US$37.8 billion. "This year, and 3Q20, is a testament to GM's resilience. We entered the pandemic in a strong position and acted decisively to keep our teams safe, conserve cash and preserve liquidity, all while keeping our critical product programs on track. Now, we are well positioned to meet rising customer demand, accelerate our transformation and deliver our vision of a world with zero crashes, zero emissions and zero congestion," said Chairman and CEO, Mary Barra.
On the other side of the Atlantic, BMW Group's 3Q20 performance set the automaker "on-track" to meet its 2020 targets. With profit of €$2.5 billion (US$2.96 billion), the company reports a free cashflow of €$3 billion (US$3.55 billion). “Third-quarter performance underlines BMW Group’s operational strength and ability to perform well within a challenging environment. We improved the group’s earnings compared to one year earlier and are therefore firmly on track toward achieving our targets for the full year," said Oliver Zipse, Chairman of the Board of Management at BMW AG.
Trends Unaffected by the Pandemic: Reuters
On the week of US elections, Reuters reports that regardless of the winner, the industry continues to rely on stimulus. Besides, the election did not affect a Chinese rebound and the green vehicle trend.