Photo: BMW
The weak European economy is really leaving its mark on the major automakers, and the latest to feel the strain is BMW. They have been forced to re-route ‘tens of thousands’ of cars, which were originally destined to be sold in Europe, to the US and China, where demand remains high.
With Europe’s car industry expected to suffer its biggest annual sales drop in the last 19 years, in 2012, it’s no small wonder that BMW is being careful about things. Also, since global sales increased by 14% in September, deliveries have been boosted by 8.6%, reaching a total of 1.11-million units.
The Chinese market has slowed down this year, after experiencing an actual boom, until late in 2011. If the situation in Europe doesn`t improve sooner rather than later, BMW may have to step in to help ailing dealers which may be out of business if things keep going the way they are now. In Spain, for instance, they’re already talking about restructuring, and making ‘some very difficult decisions’.
The Chinese market has slowed down this year, after experiencing an actual boom, until late in 2011. If the situation in Europe doesn`t improve sooner rather than later, BMW may have to step in to help ailing dealers which may be out of business if things keep going the way they are now. In Spain, for instance, they’re already talking about restructuring, and making ‘some very difficult decisions’.
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