Endofyear rally in global passenger vehicle demand

Based on POLK data, which is preliminary in some cases, global demand for passenger vehicles in December showed significant growth against 2012, up 10.6%. For full year 2013, passenger vehicle registrations were up 3.75 million or 5.2% no 2012.The Asia/Pacific region posted strong growth in the month, up 14.2%. Slumps in Thailand and some Arab markets were more than made up for by gains in Japan and, above all, in China. Demand in this region, increased 8.2% in 2013. China remains the region’s main driver for growth, up 14.5% in 2013.Eastern Europe, up 7.3%, posted a gain in December despite the slump in the Russian market. The growth was attributable to the positive market trend in Turkey. The region was able to nearly equal last year’s results in 2013, down 0.1%.The NAFTA region posted a strong 8.8% rise in December. The growth was driven by strong demand in the US, where the fiscal crisis now seems to be forgotten. Passenger vehicle registrations in this region last year were up a clear 8.1% from the year before.Registrations in Latin America declined 1% in December from the year before, due primarily to losses in Brazil and Colombia.Western Europe posted strong growth once again, up 13.1%,  thanks to anticipated December registrations as a result of upcoming tax changes and the expiration of incentives. However, the market was down 1.8% in 2013.2014: New registrations expected to exceed 78 million unitsGlobal new registrations is expected to once again set a new record in 2014, growing by around 3.5% against 2013.New registrations in the Asia/Pacific region are forecast to increase by more than 3.4% in 2014 compared to 2013. New registrations in the NAFTA region are also expected to continue to climb, to about 19.1 million units. The forecast for this region has improved, while new registrations in Latin America are expected to grow by about 4.5%, to 6.3 million units.Eastern Europe is still expected to post growth (up 4.6%). However, now as the situation in Russia is worsening, a revision in the forecast is becoming more likely. The worsening economic outlook in conjunction with low oil prices has caused new registrations to slump lately. The relative strength of the other markets in this region will not be enough to offset these losses.Passenger vehicle demand in Western Europe is predicted to rise slightly again in 2014, up 2.0%, as gains in key markets like Germany, France and Italy will more than make up for losses in the relatively small Dutch market and the stagnation in Spain.Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window) read more

Joy Global acquires Montabert

first_imgDuring the presentation of Joy Global’s second quarter results, Ted Doheny, President and Chief Executive Officer announced that “despite tough markets, we remain committed to taking prudent actions to improve our business during this cyclical downturn and bolster our strategic position to be a first tier supplier to the underground hard rock mining market. In this regard, we are pleased to announce our acquisition of Montabert from Doosan Holding France. Montabert specialises in the design, production and distribution of high quality hydraulic rock breakers, pneumatic equipment, drilling attachments, drifters and related parts and tools. This acquisition represents an important step in expanding product and service capabilities for hard rock mining, tunnelling and rock excavation, further diversifying the company’s commodity and end market exposures. The Montabert product line will complement our existing fleet of hard rock equipment and leverages our global service centre infrastructure providing long-term value.”The Company closed on its purchase of Montabert on June 1, 2015 for €110 million, subject to a working capital adjustment. Net sales for the last twelve months ended March 31, 2015 for Montabert were approximately $100 million.This follows Joy Global’s acquisition of Mining Technologies International in 2014. Montabert (see IM January 2015 issue) was the first company to produce a hydraulic drifter and one of the first to bring a hydraulic breaker to the market and continues to be a leader in both technologies. In its drilling department, the company has refined its focus down to the drifters alone. It recently redefined its leadership in hydraulic drifters with a new range.Doheny also noted that “while our operational execution in the quarter was in line with our expectations, the incoming order rate, in particular in the US coal and global copper markets slowed as customers further reduced capital expenditures and deferred maintenance on their mining equipment fleets. We continue to invest in our service business to respond quickly and more efficiently to our customer’s needs and are taking steps to accelerate the optimisation of our global manufacturing and service footprint.”last_img read more