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Renault Group Sales up 6.5% in First Half 2004

9 July, 2004

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  • With 1,306,454 vehicles sold, up 6.5% compared with first half 2003, the group has a 4.3% world market share. The driving factors for this growth are buoyant markets in Central Europe and Turkey, the recovery in South America and the development of Dacia.
  • In Western Europe, the success of the Mégane range enabled Renault to take 10.9% of the passenger car and light commercial vehicle (LCV) market. This result reflects Renault's more selective sales policy in Europe, aiming to maximize profitability.
  • In Asia Pacific, the Renault Group sold 6,887 vehicles under the Renault brand, close to the first the half of 2003, facing the strength of the euro and the competitiveness of Japanese carmakers. Japan, Singapore, and Taiwan, however saw a significant increase (47%, 74% and 18% respectively). The Renault Samsung Motors brand suffered from the Korean market sluggish conditions, seeing a sales decrease by 33.3% to 39,321, excluding export, compared with the first half of 2003.

Renault, Western Europe’s leading brand

Paris: After a period of steady decline from 2002, the market is now on an uptrend: up 3.7% for car and LCV sales, up 3.2% for passenger car sales and up 7.7% for LCV sales.

On the passenger car market, Renault holds a 10.4% market share and sales have increased 1% to 826,698 units. Market leader in France (28%), Spain, Portugal, Belgium-Luxembourg and the Netherlands, and Germany’s leading importer, the brand ranks third in the United Kingdom and fifth in Italy. Kangoo and Clio hold first and second place in their segments. Mégane is still the top-selling car on the market (4.9% market penetration) and sales have risen 24.8%. This success is shared by all versions of the programme, Scenic II especially with 23.3% of the segment. Espace IV is Europe’s most popular luxury MPV, with 22.6% of the segment, its best rating since 1999. Renault is also consolidating its rank as the number one diesel brand with 13.1% of the market.

In LCVs, Renault sales grew thanks notably to Mégane Van and Kangoo Express, the top-selling small van. On the van segment, Renault holds third position with 11.6% of the market.

Sharp rise in international sales - up 21%

Outside Western Europe, group sales (329,468 cars and LCVs) rose in all regions except South Korea. Renault brand sales increased by 36.2% and Dacia by 34.2%.

On the Central European market, Renault consolidated its second place behind Skoda, with a 10.5% market share.

In Russia, the brand pursued its expansion (up 33.4%), bolstered by the success of Clio Symbol and Mégane II.

In Turkey, Renault returned to the number one position, with a 15.9% share on a market that has grown by 221% since the beginning of the year.

In Latin America, Renault sales increased thanks in particular to strong results in Argentina, with 12,228 vehicles sold (up 64.8%), and Mexico, with 11,374 vehicles sold (up 26.3%).

Algeria (12,662 vehicles sold, up 78.4%), South Africa (6,889 units, up 71.1%) and Morocco (5,295 vehicles, up 28.1%) are the main contributors to growth in the Africa-Middle East region.

Renault in Asia Pacific

The Mégane family launch program has been successfully proceeding since last year. The volume of Mégane family amounts to 3,377 units, occupying 49.4% of total Renault passenger car sales (6,887 units). Further launches of Mégane models will continue until next year.

In Australia, on a market that has seen a 6.8% increase for the first half of 2004, Renault sales amounted to 1,592 units, close to the first half of 2003. Various derivatives of Mégane will be launched during the second half of 2004, such as Scenic II, Megane Coupe-Cabriolet and Mégane Renault Sport.

In Japan, thanks to good sales of Mégane and Kangoo, Renault sales increased by 47.2% to 1,737 compared to last year. In particular, Kangoo marked a strong increase by 43.5% compared to last year, with a total of 647 units.

In New Caledonia and Tahiti, Renault achieved significant market shares (19.3% and 11.3% respectively) dispite a market that shows a strong increase of SUVs and Pick-ups.

Singapore showed a great increase on YTD results (73.9%) for both passenger cars and LCV. The sales volume of Mégane Sedan (327 units) occupies 72.8% of the total Renault passenger car sales (449 units). Kangoo Express increased by 68.7% to 442 units.

Renault saw a significant increase in Taiwan as well, with a total of 499 units sold, up by 18.0% compared to last year. Successive launches of Megane family since last year and Scenic sales (up 20.8%) contribute to these results.

Renault Samsung Motors. Due to a sharp drop in the South Korea market (down 31.4%), the sales of Renault Samsung Motors decreased by 33.3% to 39,321. With exports, it sold 40,291 units, down 32.1% compared to last year (59,319 units).

Outlook

The first half sales results confirm the objectives announced at the start of the year: to maximize operating margin in Europe through the application of a selective policy on different customer segments while maintaining a market share close to that of 2003. This momentum should be confirmed in second half 2004.

The group is counting on the launches of Modus and Logan in September to further boost sales. Buoyed by the success of its modernized range, Renault’s sales volumes should continue to increase worldwide.

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