Friday, January 24, 2014

Renault-Nissan eyes 10% share in Indian passenger vehicles mkt: Carlos Ghosn

Dscribing India as a "sophisticated country", Renault-Nissan Alliance chief Carlos Ghosn has said the auto major aims to have 10 per cent share in the Indian passenger vehicles market.
The company is also planning to launch a slew of new models from its stable.
Ghosn, who is Renault-Nissan Alliance's Chairman and CEO, said that 2013 was disappointing for the industry in India but 2014 should see slow recovery.
"We will obviously move up in terms of market share, because we are moving from a very low level. We are today practically insignificant in the Indian market. But our target is a 10 per cent market share of the Indian market," he said.
"In 2014, you are going to see a lot of new products coming from Renault & Nissan," Ghosn added.
The company's optimism about the potential of India is intact and "when you look at the level of motorisation of the country we are still below 100 cars for 1,000 inhabitant residents in India, while for countries like Brazil it is 200" Ghosn told a television channel on the sidelines of the World Economic Forum (WEF).
In 2013, annual car sales in India declined more than nine per cent as the auto industry reeled under a prolonged demand slump due to economic slowdown.
As per the Society of Indian Automobile Industry (SIAM), domestic car sales last year fell to 18,07,011 units from 19,98,703 units in the previous year.
"When you move to India, you cannot be in regret. It is a very sophisticated country. It is a very sophisticated market," he said.
Referring to the company's partnership with Mahindra and Bajaj, Ghosn said these pacts helped the company to understand India and probably be successful with its relationship with Ashok Leyland

Tuesday, January 21, 2014

Analysis – U.S. bankers voice new optimism as businesses line up for loans

NEW YORK (Reuters) – Loans to businesses have risen to a record high and bank executives say they are increasingly optimistic about the U.S. economy.
Increasing demand for bank loans often is a prelude to higher economic growth. With the U.S. government budget crisis fixed for now and Europe showing signs of economic recovery, companies feel more comfortable borrowing to invest in machinery, factories, and buildings.
JPMorgan Chase & Co <JPM.N> Chief Executive Jamie Dimon, who has long described himself as “cautiously optimistic” about the economy, recently dropped the modifier “cautiously,” he said on a conference call with investors last week.
“We’re using the word optimistic because we are actually optimistic,” he added.
“The sun and moon and stars are lined up for a very successful year” in the U.S., he said the next day at a conference in San Francisco.
“I don’t see any weak spots in America,” Dimon said, noting that corporations, small business, the stock market and the U.S. housing market are all showing signs of improving.
Outstanding loans to companies reached an all-time high of $1.61 trillion at the end of last year, topping a record set in late 2008, according to Federal Reserve data released on Friday.
Bankers say that anecdotally, business customers are more hopeful than they had been.
“I am hearing more when I talk with customers about their interest in building something, adding something, investing in something,” Wells Fargo & Co <WFC.N> CEO John Stumpf said on a conference call with investors last week. “There is more activity going on.”