Things at Renault are not as rosy toes as they would have us assume. Through the first 2 quarters of 2014 low cost shoppers (or should we call them savvy?) are in fact propping up the entire Renault Empire.
While Renault continues to unimpress consumers from the BRICS Dacia has been happy to step into the vacuum and suck up the volume Renault is leaving on the table. Here's a statistic, Dacia saw sales rise 24% through Q1 and 2 of 2014, that makes up the ENTIRE 4.7% rise in Renaults total global sales.
Now Renault is not a complete dog of it, they did see a 13% increase of proprietary cars in Europe, but were monkey hammered globally.
“Dacia has made important progress throughout the first half in Europe . . . [it] is the fastest growing brand in the region,” said Jérôme Stoll, chief performance officer. “As a result, Renault is able to diminish the impact of the decline in our main emerging markets and to maintain the group’s positive momentum.”
I don't think we need to get into the specifics of the ghastly European Auto Industry but it is notable that Ford, GM, PSA and FIAT have all lost billions (no specifics, would you admit how much YOU had lost either?
), seen facilities stagnate (while paying workers not to work to boot!) and resorted to piling cash on hoods in order to move vehicles in any significant capacity. So the offset and insulation that Dacia is providing in BRICS nations is certainly a warm and welcome feeling for Ghosen and co.
As the entire world will see shortly the European Auto Industry is not an anomaly but the new normal, and as the new normal becomes the norm Dacia will be right there picking up pennies in front of the steam roller.