Exclusive extracts from this 123-page-long report:
- What is the business?
2016 proved to be a strong year for the carmaking industry with China rebounding and global volume sales of new passenger cars and light commercial vehicles increasing by 4.7% on 2015. While question marks remain over the future volume growth of the industry – estimated at around 6% from 2017 to 2020 – what is clear is that the traditional activities of carmakers will generate a decreasing part of the industry's value. It is those players who hold strong positions in new assisted/autonomous driving technology, connectivity and mobility services who are best placed to capture future market growth. […]
- What are the main markets?
Automotive demand remains uneven and volatile on a regional basis, influenced by economic and socio-economic trends but also infrastructure development, customer requirements and government regulations. Vehicle sales in China, the world's largest automotive market, grew by 13.7% in 2016, the biggest rate of increase since 2013, particular thanks to a 50% sales tax cut for smaller vehicles. [...]
- Who are the key players?
The automotive ecosystem and the business models which operate within it are changing, opening up the industry to a wide range of participants and blurring the lines in terms of competitors, suppliers and customers. As technology and customer requirements in areas such as connectivity, automated driving and mobility services develop, new players are coming onto the scene. [...]
- How intense is competition?
The globalisation of the industry has moved competition between carmakers up a gear: regional markets are no longer the playground of local players. The 1980s saw the arrival on the world scene of Japanese carmakers such as Honda and Toyota, which have been growing their global market shares ever since. In recent years, other groups, such as South Korea's Hyundai, have been encroaching on markets previously reserved for American and European firms. Emerging market groups, such as Chinese player SAIC or India's Tata, have also entered the ranking of top global players but remain primarily focused on their domestic markets, at least for the time being. [...]