Peugeot car maker PSA Group drives into trouble as a decline in sales hits shares by 12.8%
- PSA Group said it had sold 1.9 million vehicles so far this year
- It was hit by declines in emerging markets such as China and Africa
- European car sales have seen a fall in popularity of diesel vehicles
Sales at the French car maker behind Peugeot, Citroen and Vauxhall fell by 12.8%
Sales at the French car maker behind Peugeot, Citroen and Vauxhall fell by 12.8 per cent.
PSA Group said it had sold 1.9 million vehicles so far this year, compared to nearly 2.2 million over the same period in 2018.
It was hit by declines in emerging markets such as China, the Middle East and Africa. In China and South East Asia, sales have plunged 61 per cent to just 64,200 this year amid a crackdown on global trade under President Trump.
Sales in the Middle East and Africa fared even worse, falling 68 per cent to 71,600.
However, the vast majority of Peugeot’s revenues are generated in Europe, where it has sold nearly 1.7 million vehicles in 2019 so far, up by 0.3 per cent.
European car sales have seen a fall in popularity of diesel vehicles due to fears that they cause devastating pollution.
Figures from the Society Of Motor Manufacturers And Traders showed sales of new diesel vehicles plunged 19.4 per cent in the UK during the first half of 2019.
Sales of used diesels in the first quarter fell by 3.6 per cent when compared to the previous year.
PSA has facilities in Luton and Ellesmere Port in Cheshire building Vauxhall vehicles, with more than 2,500 staff.
Carlos Tavares, chief executive, said: ‘Despite the decline of the global automotive markets for this first half, our commercial teams have managed to increase market shares in several countries.’