After a six-year slump in demand that led to two decade low deliveries, last year the European continent started a timid turnaround process that has firmly accelerated during the first half of the year.
Now Renault Chief Competitive Officer Thierry Bollore forecasts the process’ continuation during the latter half of the year with regional economic expansion and motorists looking to replace their older vehicles. After a feeble recovery start last year, the market’s newly found growth during the first half of the year took analysts and industry observers by surprise. Bollore believes the strength will continue because of a variety of reasons. Even with the recent strong demand the auto market in Europe is far away from its top levels, the average age of vehicles on the roads is still on the rise and this will increase the need for replacements. We also see strengthening economies, which have their own influence on consumer sentiment.
Turning to Renault and its prospects, Bollore says the new Talisman midsize sedan – a global product according to Renault’s chief executive Carlos Ghosn – will initially focus on the European market. Then, the model would expand sales to Turkey, Russia and other markets. Latin America is also a possibility – although not a main concern for the time being – while China’s introduction is dependent on the plans of the alliance partner Nissan as the Talisman is using the group’s CMF C/D architecture. Also, while the Talisman is replacing two models – the Latitude flagship and the midsize Laguna – the company would only focus on two body styles: sedan and station wagon, with little interest in also replacing the former Laguna coupe.
Via Automotive News Europe