“We have now no plans to go retro in our future automobiles”
On his new CEO job because the starting of February, Alain Favey takes the helm of Peugeot after three many years within the business: 20 years at Citroen, then in numerous manufacturers contained in the Volkswagen Group (VW, Porsche, Skoda and Bentley) after which nº1 of the Europcar mobility group (additionally a part of Volkswagen). On this first interview as Peugeot’s chief, he outlines the brief and midterm future for the French automobile model.
As an business govt veteran, what was your first notion about Peugeot’s scenario whenever you began as CEO simply a few months in the past?
Alain Favey: I feel Peugeot is in a really constructive scenario and I’m optimistic about its future regardless of the challenges forward. The multi-energy technique has proved to be the suitable technique for Stellantis normally and for Peugeot specifically, because the transition to e-mobility is and can take far longer than the optimistic visions anticipated. I additionally see a whole lot of new concepts inside Peugeot in order that we’re capable of proceed our centennial custom of being revolutionary. Our i-cockpit was a significant breakthrough by way of inside design and has advanced from its first model, the outside design of our automobiles is arguably probably the most daring amongst mainstream automobile manufacturers in Europe. Additionally, by way of buyer care we’re very centered to make the distinction in initiatives just like the “Attract care” by way of which we’re leveraging the client’s religion in electrical automobiles by granting them the 8-year guarantee for BEV in most European nations.
Within the current previous, Peugeot has confronted some powertrain high quality points which might hurt your buyer’s belief. Are you already tackling this critical challenge?
Alain Favey: That’s the first ingredient I’ve centered my consideration onto, as the weird high quality issues we had in the previous couple of years with a few of our powertrains might jeopardise all the pieces else now we have been doing nicely. And that’s why we prolonged the guarantee on the Puretech engines to 10 years in order that we might win again the customer-base confidence. We’re reconnecting with prospects, seller community, suppliers, media, and so forth. That’s important to reaffirm Peugeot’s French panache, roots and tradition that are our essence.
What can we anticipate by way of product pipeline within the subsequent few years?
Alain Favey: The 3008 and 5008 line-ups are being prolonged with the addition of the brand new technology plug-in hybrid powertrains which will probably be instrumental to bridge the model till the EV are right here for good. The 5-seater 5008 is coming additionally very quickly, complementing the 7-seater which was launched from day 1. Then again, I’m in place to verify that we are going to reintroduce the GTI badge on the e-208 vary with all its charisma and sub model values which can be so expensive to us. It’s our solution to present that we are going to proceed to embody motorsport on the street even with electrical powertrains. And the facelift of the 308, later this 12 months, will probably be additionally a milestone for us. Additionally, within the second half of 2025, we are going to showcase an important concept-car which leaves very sturdy hints concerning the evolution of our design language.
So meaning you consider there’s area for the GTI badge even in a world of EV?
Alain Favey: We consider the GTI soul can even stay inside an electrical automobile, sure. We’ll begin with the 208 – already within the present technology automobile – however there is perhaps different purposes that aren’t but in our pipeline.
As Peugeot improved its model picture, plainly you possibly can enterprise into the next market phase. Is that in your agenda?
Alain Favey: As we see ourselves as an higher mainstream automobile model it undoubtedly is smart to look into the highest C and even D phase and discover the Peugeot components to try this.
Going to the alternative finish of the market spectrum… what’s Peugeot’s reply to Renault, Citroen and the Chinese language manufacturers which can be coming now with the primary 20 000 to 25 000 EV? And can the long run 208 be your first automobile with simply an electrical model?
Alain Favey: The 208 successor continues to be two years down the street and its nonetheless early days to offer extra detailed data. It will likely be launched as a BEV, sure. And we’re already current within the sub-30 000-euro BEV market phase with the present e-208 (notice: Peugeot diminished the worth of the e-208 by 6,000 euros to twenty-eight,000 euros, nonetheless above essentially the most reasonably priced new EV from the competitors however a automobile with extra high quality, more room and longer vary).
Peugeot elevated EV gross sales (by 11% to 83 000 items) in 2024, however the e-208 and the e-2008 are slowing down (-23% and -10% vs 2024, respectively), which is regular because of the lifecycle. You might have acknowledged that Peugeot needs to be the mainstream EV model in Europe. Are you able to quantify what meaning and is the truth that these two best-sellers are fading out jeopardise your EV development plans earlier than 2027/28 when the successors e-208 and e-2008 are more likely to be launched?
Alain Favey: Our objective is to spice up EV combine and goal management on our segments within the European EV market which implies a full deal with efficiency by way of gross sales, market share, and buyer satisfaction This includes not solely rising the variety of EVs offered, but in addition providing a variety of interesting electrical fashions that cater to varied buyer wants. The market share and EV share will probably be a consequence of how nicely we do our job and the way a lot the charging infrastructure develops.
However what concerning the A-segment, between 10 000 and 17 000 euro, which was once fairly related in Europe and virtually vanished within the final 5 to 10 years? No successors for the 106/107/108?
Alain Favey: The 208 is our entry degree automobile and now we have no intention to go under that market phase which principally disappeared. That buyer is now being served principally by our initiatives within the used-car market which now we have elevated significantly. For Peugeot, the way forward for the brand new automobile market begins at the next value degree with extra trendy cutting-edge automobiles.
The 3008 and 5008, however, are going full steam forward, with over 30% gross sales will increase in Q1 of 2025. Almost definitely, you’ll scale back gross sales volumes and luxuriate in larger revenue margins which isn’t a nasty place to be at…
Alain Favey: The C-segment is important for us and because the 3008-5008 ranges are being unfold gross sales figures resonate that, naturally. This will probably be true within the subsequent many months and can carry us a constructive momentum.
You talked about custom and innovation throughout this interview. And this coexistence can clearly be seen within the GTI model and the French panache you need to inject in your automobiles which cross with some futuristic tech just like the hyper-square steering wheel and different applied sciences. Will we see Peugeot going retro in some unspecified time in the future below your management, simply as your opponents Renault have gone with the R5 and R4 but in addition Fiat which used the Panda nameplate fairness in a fairly totally different manner it did previously?
Alain Favey: Peugeot has all the time been about evolution, disruption however all with the model’s values. If you happen to go to our museum, you actually see the Peugeot household began to supply metal elements, saws, pepper grinders, bicycles and, after all, automobiles. At Peugeot, traditionally, we all the time nurtured our good concepts and merchandise and leveraged them to the very best use. However with no drastic disruptions. We have now no intention at this cut-off date to go retro as a result of we consider there are much better methods to pay homage and profit from the legacy that makes Peugeot what it’s.
What’s your view on the extra versatile EU CO2 targets that you just now might comply to 2 years later than initially deliberate? Did the information about this larger flexibility trigger any technique adjustment for you?
Alain Favey: Nicely, there isn’t any change within the CO2 emission figures now we have to succeed in, it’s simply the timeline that has change into extra versatile. That additionally got here in-line with what the charging infrastructure is correct now and the event it wants in order that the EV turns into the rule relatively than the exception.
