SEAT begins assembling the Arona and the Leon in Algeria to boost its globalisation strategy
- The Arona and Leon are manufactured in Martorell and the final assembly for the Algerian market is carried out in the SOVAC and Volkswagen Group’s plant in Algeria
- Both models join the Ibiza, which has been assembled in Relizane since 2017
- SEAT leads the Volkswagen Group’s expansion in North Africa
- Production at the Martorell plant increases by more than 20% in the first six months of 2018
The Arona and the Leon strive to follow the successful lead of the Ibiza. Just as with the Ibiza, both models are manufactured in the Martorell factory, and the final assembly for the Algerian market is now being carried out in the Relizane plant. The Ibiza, which has been assembled in Algeria since the plant was inaugurated one year ago, has triggered a considerable sales increase for SEAT in the country. In the first six months of 2018, SEAT delivered 11,400 cars in Algeria, which has become one of the brand’s highest volume markets.
SEAT Vice-president for Marketing and Sales Wayne Griffiths explained that “in order to boost our globalisation strategy it’s essential that we assemble models outside Europe, just as other European carmakers are doing. Algeria is our first step in this direction, as it is one of the main markets in the region and a real growth opportunity for SEAT, as are the rest of the countries in northern Africa, where SEAT is responsible for leading the Volkswagen Group’s expansion. With the Arona and the Leon we are expanding the range of products that we offer in Algeria and this will enable us to consolidate our position in this country. We are and want to continue to be one of the fastest growing brands in Europe, and at the same time, we want to grow globally.”
In this sense, last week SEAT signed an agreement whereby it has teamed up with the JAC Volkswagen joint venture and become a shareholder. The agreement also includes introducing the SEAT brand in China targeting 2020-2021 and makes it the Volkswagen Group’s lead brand in this project.
Record first half-year
SEAT’s excellent result in Algeria is one of the key drivers of the surge in global sales in the first six months of 2018. SEAT reaffirms its record volume and has surpassed its highest ever sales figure with 289,900 cars delivered worldwide, which is 17.6% more than in the same period of 2017 (246,500).
This success has crossed over to the Martorell factory, which has concluded one of the best first six-month periods in its history. With a volume of 283,312 vehicles manufactured, production went up by 20.6% compared to the first six months of 2017and the plant achieved a utilisation level of 95% of its current maximum capacity, which is equivalent to 2,300 cars daily. In the second half of the year, the Audi A1 is going to replace the Audi Q3 on line 3, which is expected to be at full capacity by the end of this year.