AutoBeta(AutoBeta.net)02/26 Report--

In the face of the rapid decline in sales and share of the Chinese market in recent years, DPCA, which is in the disaster area, needs more confidence to face the development in the coming year. To this end, Dongfeng Citroen recently held a national dealer conference to make measures for the 2020 goal.

The 2020 Dongfeng Citroen Dealers' Conference originally scheduled for Chengdu was held online, including Citroen Global CEO Vincent COBEE, DPCA General Manager Luo Sibo, Executive Deputy General Manager and Party Committee Secretary Li Junjun. In addition, more than a thousand people, including Dongfeng Citroen dealers across the country, participated online. At the meeting, Citroen revealed the measures to be taken to deal with the current epidemic, as well as the future market direction and new car plans.

Citroen said that 2019 is the 100th anniversary of the brand. Throughout the year, the Citroen brand has achieved good growth in Europe, Brazil, Japan and many other parts of the world, and will enter the Indian market in 2020. And launch highly competitive travel solutions suitable for everyone. The Chinese market due to Citroen's restructuring of the model sequence in 2019 and the introduction of the sixth national policy, led to the suspension of some models, resulting in a decline in sales.

Therefore, Citroen firmly believes that 2020 is still the "year of transformation" of the brand, and believes that with the launch of Tianyi PHEV and C3L, it will give a big boost to brand sales. At the same time, it will also prepare for the first domestic D-Class car launched by Citroen in 2021 to promote the restart of the brand in China.

In the face of the current novel coronavirus epidemic, Dongfeng Citroen launched a car owner care policy, while adjusting the February target and policy for dealers. At the same time, Li Jun, executive deputy general manager and party committee secretary of Shenlong Company, said: "at present, all functional departments of the company have been operating normally, and the Chengdu factory where Tianyi, the main model of the brand, is located has officially launched the train to the outside. We are ready for full resumption of work and production. "

In fact, since the end of 2018, DPCA has made a series of measures aimed at the Chinese market, with several rounds of overall reforms in the internal department and frequent personnel adjustments at the senior level. In September last year, DPCA launched the revival plan, which was named "meta-plan". The time node is from 2019 to 2025. Through the efforts of Peiyuan, Guyuan and Tuoyuan, the overall sales reached 400000 vehicles.

To save money, DPCA closed a factory in Wuhan and sold its second plant in Wuhan, leaving three plants in Wuhan and Chengdu to continue production operations and start layoffs, from 8000 to 5500 by 2019 and to 4000 by 2020. In early October, Peugeot-Citroen launched its first dual-brand collaborative store in Jiaozuo, Henan province, and plans to start building 60 to 80 dual-brand collaborative outlets in 2019.

It seems that all this has not made much difference to DPCA. Sales have declined for four consecutive years, with sales down 15.2% in 2016; 37% in 2017; 31.88% in 2018; and only 113000 vehicles in 2019, down 55% from the same period last year. The decline is getting bigger and bigger, losing more than 80% of sales since its peak.

Despite repeated defeats in China, DMC stressed that it would not withdraw from China, announcing in January that it had extended the duration of the joint venture and signed a new "strategic alliance cooperation agreement". According to the new agreement, the joint venture contract between Dongfeng Motor Group and PSA will be extended for 10 years to 2037, and DMC will also be granted the exclusive right to cooperate with PSA brands in China. In addition, PSA Group will also produce and export global models through DPCA.

In the face of the current highly competitive market environment, coupled with the continued spread of the epidemic, and Citroen Motor is one of the car companies with the greatest impact on the epidemic, facing an one-month suspension of production, this year's DPCA is undoubtedly even worse.

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