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The competitiveness of the European automobile industry in financial crises conditionsWorld Passenger Car Production (% share) in 2007Figure no.16%7%2%3%4%33%2% 0%12%12%19%NAFTAJapanChinaEU27South KoreaSouth AmericaAsia-OthersIndiaEurope-OthersRussiaRest of the worldSource: EU Economic Report, July 2008In the figure no.3 we can see that in 2007, the automobile production in Europe increased by5.5% in 2007. Passenger cars accounted for 87% of the production, an increase of 5.5%compared to 2006. In real figures, this means that the car production increased from 16198 in2006, to 17082 in 2007.Passanger car production in Europe in 2007/2006Figure no.217200170001680016600164001620016000158001560016198170822006 2007Source: EU Economic Report, July 2008A particularly solid growth was noted in the truck sector (+16%) thanks to a booming demand onthe European markets. The production of light commercial vehicles also went up (+3%) whereasthe production of buses declined by 13%. New EU member states posted a 25.4% growth inautomotive production and accounted for 15% of total EU motor vehicle production and 17% ofpassenger car production by the end of 2007.In real figures the growth was from 1860 in 2006 to 1910 in 2007 for light commercial vehiclesand from 577 in 2006 to 688 in 2007 for commercial vehicles. Regarding busses we observe thattheir production confronted with a decrease from 41 in 2006 to 36 in 2007.24
The competitiveness of the European automobile industry in financial crises conditionsCommercial vehicle production in Europe 2007/2006Figure no.325002000150010005000Light CommercialVehiclesCommercial vehiclesBuses&Coaches2006 1860 577 412007 1910 688 36Source: EU Economic Report, July 2008Table no.2 - EU25 automobile trade (in million €)2005 2005 Trade Balance06/05Imports Exports Trade Balance Imports Exports Trade % changeBalance24 972 56 315 31 342 25 208 60 820 35 612 143 005 1 836 -1 169 3 257 2 155 -1 102 -6801 7 149 6 348 1 085 8 164 7 079 12TOTAL 28 779 65 301 36 522 29 550 71 139 41 589 14Source: EUROSTAT, CCFAThe origin of extra EU motor vehicle imports is represented in the biggest part by Japan(38%), South Korea (21%), Turkey (16%), NAFTA (15%). The rest is represented byMERCOSUR (2%), other Asian countries (2%) and others (3%).Regarding passenger cars, extra EU imports, this comes from: Japan (42%), South Korea(25%), NAFTA (17%), Turkey (9%). The rest 7% is represented by: MERCOSUR (2%), otherAsian countries (2%), and others (3%).Table no.3 - Origin of extra EU25 imports (in € millions)Motor vehiclesPassenger cars2005 2 0 0 5 06/05 % 2005 2006 06/05 %changechangeEXTRA-EU25 28 779 29 550 3 24 972 25 208 1Japan 12 351 11 101 -10 11 671 10 625 -9South Korea 5 138 6 169 20 5 077 6 101 20Turkey 4 015 4 658 16 2 099 2 358 12NAFTA (1) 5 058 4 462 -12 4 865 4 225 -13Asia Others (3) 1 228 1 395 14 546 458 -16Others (5) 807 873 8 604 688 14Mercosur 85 539 ++ 31 425 ++Source: EUROSTAT, CCFA(1)NAFTA includes US, Canada, Mexico(3)Asia (Others) includes Australia, India, Indonesia, Malaysia, Philippines, Taiwan, Thailand,and Honk-Kong, Singapore(5) Others include remaining world wide regions not mentioned in any of the regions above-stated25
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