Last summer it was reported, to the surprise of many, that Vauxhall was returning to profit under new owners PSA.
This was a quick turnaround following PSA’s acquisition from General Motors in 2017. Final numbers indicate that Vauxhall’s profit margin was 4.7% in 2018.
Peugeot, Citroen and DS, meanwhile, have doubled profits in the UK since the Brexit vote two years ago. Chairman Carlos Tavares isn’t worried about Brexit, saying “Vauxhall is warm to the hearts of UK consumers. Maybe we are the ones who have the best opportunity out of it”.
That doesn’t necessarily secure the safety of the Ellesmere Port plant as Tavares is no stranger to making difficult choices in the pursuit of progress: “If we have to make tough decisions, we will”.
With revenue up 18.9% compared with 2017, PSA Group is now looking to go global. With plans for Opel to return to Russia again. This is part of a strategy to increase sales outside Europe by 50%, which also includes Citroen heading to India.
By far the most interesting facet of PSA’s future expansion, however, is the plan to reintroduce Peugeot to North America.
Overall, the group aims to launch 116 new models by 2021. A Core Energy Strategy will also see 50% of the Group’s models electrified by 2021, with a 100% target for 2025.
Steps have already been made with the new Vauxhall Corsa coming later this year, which will be available with electric power.
This will be the fifth year in a row that Carlos Tavares has delivered impressive results for Group PSA.p