Latest news with #BillRusso
Observer
08-05-2025
- Automotive
- Observer
BYD aims to sell half of its vehicles outside China by 2030
SHANGHAI/LONDON: BYD, China's leading automaker, plans to sell half of its vehicles outside China by 2030, a target that would challenge global automakers. This expansion will focus on Europe and Latin America, despite trade barriers preventing Chinese brands from entering the U.S. market. BYD executives have shared this goal with investors, highlighting Europe's importance. However, China still accounted for nearly 90% of the company's sales last year. BYD's rapid growth in China, driven by affordable electric and hybrid vehicles, boosts its confidence in replicating that success abroad. The company now ranks just behind Ford and General Motors in global sales, up from fewer than 430,000 vehicles in 2020. Achieving a 50/50 global sales split would position BYD alongside giants like Toyota. However, it will be challenging, especially without access to the U.S. market, according to industry experts. BYD will need to expand further into markets such as Germany, Japan, and India. BYD's broad lineup of electric and hybrid cars has helped it outpace Tesla in EV sales. But its early expansion in Europe has faced difficulties, though sales there grew dramatically in the first quarter of 2024. The company is building new plants in Hungary, Turkey, and Brazil to support growth, and CEO Bill Russo compares BYD's progress to Ford's historic role in mass production. BYD aims to meet its global target, but rising competition in China could pose a significant challenge.__ Reuters
Time of India
29-04-2025
- Automotive
- Time of India
Porsche cuts full-year outlook, warns of further uncertainty on US tariffs
German luxury sports car maker Porsche slashed a series of forecasts for 2025, hit by weakness in its main market, China, rising supply chain costs and U.S. tariffs that are disrupting the global car industry. The U.S. tariffs are expected to raise car prices by thousands of dollars, reducing demand and hurting job growth, rattling an automobile industry already struggling with a slowing transition to electric vehicles. In April, Porsche, which has no U.S. production, said it had shipped added inventory to the United States to get ahead of tariffs and kept prices constant for orders made in March. Porsche late on Monday said U.S. import tariffs, in place since April at 25%, weighed on its business in April and May, and it warned that its adjusted outlook does not factor in the future effects of tariffs. Porsche said it now expects revenues of between 37 billion and 38 billion euros in 2025, down from its previous forecast of 39 billion to 40 billion euros. Its profit margin is forecast to drop to 6.5-8.5%, down from a previous forecast of 10-12%. According to the average of analyst estimates in LSEG, Porsche's operating margin is seen at 9.7% on revenues of 38.8 billion euros. "We believe ... the firm is taking the opportunity to kitchen sink estimates," JP Morgan analysts said, adding it still expected Porsche to be able to get back to double-digit margins in 2026. The car maker, which at its stock market debut in 2022 had a higher valuation than its parent company, Volkswagen AG , has fallen from grace since, struggling in particular with low sales in China, its top market, where first-quarter sales dropped 42%. Bill Russo, CEO of Shanghai-based advisory firm Automobility, said Chinese customers of electric cars had been drawn to their domestic brands because of their improved technological offering. Porsche also said it would no longer pursue plans to expand high-performance battery production at its Cellforce subsidiary, and it cited a decline in demand in China for all-electric luxury cars. Porsche is scheduled to release first-quarter results later on Tuesday.
RTÉ News
29-04-2025
- Automotive
- RTÉ News
Porsche cuts full-year outlook, warns of further uncertainty on US tariffs
Porsche's margins plunged in the first quarter, it said today, forcing the sportscar maker to cut its 2025 outlook in the wake of weakness in China, its main market, rising supply chain costs and US tariffs that are disrupting the global car industry. The US tariffs are expected to raise car prices by thousands of dollars, reducing demand and hurting job growth, rattling an automobile industry already struggling with a slowing transition to electric vehicles. Shares in Porsche were down 6% in early Frankfurt trade today after the carmaker's first-quarter results. In April, Porsche, one of the carmakers most exposed to tariffs as it has no US production, said it had shipped added inventory to the US to get ahead of tariffs and kept prices constant for orders made in March. The group last night said the tariffs, in place since April at 25%, weighed on its business in April and May, and it warned that its adjusted outlook does not factor in the future effects of tariffs. Finance chief Jochen Breckner, in the job since late February, said the macroeconomic environment would remain challenging. "We can't completely escape this, but we are doing everything within our power to counteract it." Porsche said it now expects revenue of between €37-38 billion in 2025, down from its previous forecast of €39-40 billion. Its profit margin is forecast to drop to 6.5-8.5%, down from a previous forecast of 10-12%. According to the average of analyst estimates in an LSEG poll, Porsche's operating margin is seen at 9.7% on revenue of €38.8 billion. Its first-quarter operating margin fell to 8.6%, below the 9.8% analyst average estimate in an LSEG poll. The car maker, which at its stock market debut in 2022 had a higher valuation than its parent company, Volkswagen, has fallen from grace since, struggling in particular with low sales in China, its top market, where first-quarter sales dropped 42%. Bill Russo, CEO of Shanghai-based advisory firm Automobility, said Chinese customers of electric cars had been drawn to domestic brands because of their improved technological offering. "No foreign company believed that the Chinese could somehow build equity that was superior to the foreign brands, especially the Europeans," he said. Porsche also said it would no longer pursue plans to expand high-performance battery production at its Cellforce subsidiary, and it cited a decline in demand in China for all-electric luxury cars.
TimesLIVE
29-04-2025
- Automotive
- TimesLIVE
Porsche cuts full-year outlook, warns of further uncertainty on US tariffs
German luxury sports car maker Porsche slashed a series of forecasts for 2025, hit by a toxic mix of weakness in its main market China, rising supply chain costs and US tariffs that are disrupting the global car industry. Porsche late on Monday said US import tariffs, in place since April at 25%, weighed on its business in April and May, and warned its adjusted outlook does not factor in the future effects of tariffs. "It is not yet possible to make a reliable assessment of the effects for the financial year," Porsche said. The US tariffs are expected to raise car prices by thousands of dollars, reducing demand and hurting job growth, rattling an automobile industry struggling with a slowing transition to electric vehicles. In April, Porsche, which has no US production, said it had shipped added inventory to the US to get ahead of tariffs and kept prices constant for orders made in March. Porsche said it expects revenues of between €37bn (R781,101,080,000) and €38bn (R802,519,720,000) in 2025, down from its previous forecast of €39bn (R823,638,660,000) to €40bn (R844,799,600,000). Its profit margin is forecast to plunge to 6.5& to 8.5%, down from a previous forecast of 10% to 12%. According to the average analyst estimate in LSEG, Porsche's operating margin is seen at 9.7% on revenues of €38.8bn (R819,455,612,000). The carmaker, which at its stock market debut in 2022 had a higher valuation than its parent company, Volkswagen AG, has fallen from grace since, struggling in particular with low sales in China, its top market, where first-quarter sales dropped 42%. Bill Russo, CEO of Shanghai-based advisory firm Automobility, said Chinese customers of electric cars had been drawn to their domestic brands because of their improved technological offering. "No foreign company believed the Chinese could somehow build equity that was superior to the foreign brands, specially the Europeans," he said. Porsche also said it would no longer pursue plans to expand high-performance battery production at its Cellforce subsidiary, and cited a decline in demand in China for all-electric luxury cars.
Time of India
29-04-2025
- Automotive
- Time of India
Porsche cuts full-year outlook, warns of further uncertainty on US tariffs
German luxury sports car maker Porsche slashed a series of forecasts for 2025, hit by a toxic mix of weakness in its main market China, rising supply chain costs and U.S. tariffs that are disrupting the global car industry. Porsche late on Monday said U.S. import tariffs, in place since April at 25%, weighed on its business in April and May, and it warned that its adjusted outlook does not factor in the future effects of tariffs. "Currently it is not yet possible to make a reliable assessment of the effects for the financial year," Porsche said. The U.S. tariffs are expected to raise car prices by thousands of dollars, reducing demand and hurting job growth, rattling an automobile industry already struggling with a slowing transition to electric vehicles. In April, Porsche, which has no U.S. production, said it had shipped added inventory to the United States to get ahead of tariffs and kept prices constant for orders made in March. Porsche said it now expects revenues of between 37 billion and 38 billion euros in 2025, down from its previous forecast of 39 billion to 40 billion euros. Its profit margin is forecast to plunge to 6.5-8.5%, down from a previous forecast of 10-12%. According to the average analyst estimate in LSEG, Porsche's operating margin is seen at 9.7% on revenues of 38.8 billion euros. The carmaker, which at its stock market debut in 2022 had a higher valuation than its parent company, Volkswagen AG , has fallen from grace since, struggling in particular with low sales in China, its top market, where first-quarter sales dropped 42%. Bill Russo, CEO of Shanghai-based advisory firm Automobility, said Chinese customers of electric cars had been drawn to their domestic brands because of their improved technological offering. "No foreign company believed that the Chinese could somehow build equity that was superior to the foreign brands, especially the Europeans," he said. Porsche also said it would no longer pursue plans to expand high-performance battery production at its Cellforce subsidiary, and it cited a decline in demand in China for all-electric luxury cars. Porsche is scheduled to release first-quarter results later on Tuesday.
