Maruti Suzuki sales show uptick. Fiat and PSA Group to merge.
Better Day Ahead?: The country's largest carmaker Maruti Suzuki India on Friday reported a 4.5% increase in total sales YoY at 1,53,435 units in October vs 1,46,766 units sold in October last year led by compact and utility vehicle segments.
Passenger car sales rose 4.4% YoY to 1.06 lakh units. Exports too were up 5.7% at 9,158 units as against 8,666 units in the corresponding month last year.
Compact car segment (new WagonR, Celerio, Ignis, Swift, Baleno, Dzire), which contributed 49% to total sales, registered a 15.9% growth in October. The mini segment (Alto, S-Presso, old WagonR) however, showed a 13.1% decline YoY. Utility vehicles sales (Ertiga, XL6, Vitara Brezza etc) rose at 11.3%.
Breath of Fresh Air: This is the first time that sales have come out of negative this fiscal on the back of massive discounts and high inventory push during the festive season. ET Auto
"Auto-Mating": In what could create the world's third-largest automaker, Fiat Chrysler and Peugeot owner PSA Group yesterday announced the terms of a merger worth $48bn.
The car-makers agreed on a 50-50 Netherlands-based holding company, which is to be headed by PSA Chief Executive Officer Carlos Tavares. The deal would lead to $4.1bn in annual synergies without factory closures. The merger would help the two companies spread the cost of developing electric and autonomous vehicles.
However, to make the deal work, Mr. Tavares will have to solve a host of problems at Fiat Chrysler that include an aging model lineup, a lack of investment in new technologies and a dependence on one region, noted a WSJ report. CNN Business
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