In this episode of The Exchange, we travel to the Geneva International Motor Show in Doha to meet the world's leading car brands as they converge to decide the future of the automotive sector.
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00:00 The multi-trillion dollar car business is changing at high speed.
00:06 On this special episode of the Xchange, we visit the Geneva International Motor Show
00:10 in Qatar, where leaders from Toyota, Kia and BMW report on the race from petrol to electric
00:17 power.
00:22 Welcome to this special episode of the Xchange.
00:25 From here at the Geneva International Motor Show, on this edition we meet the world`s
00:29 leading car brands as they converge in Qatar to decide the future of the sector.
00:36 Now, industries don`t come much bigger than the car business.
00:40 According to industry analyst IBIS World, the global auto industry is valued at over
00:47 $4 trillion.
00:48 Well, the sector is so large, in fact, that in Europe, 7 percent of all jobs are linked
00:54 to cars.
00:55 And manufacturers are busy making the massive changes required to play their part in the
01:00 fight against climate change.
01:02 Well, researchers are predicting a huge rise in demand for electric vehicles with 14 million
01:08 units expected to be sold by the end of 2023.
01:13 I caught up with the world`s biggest selling car maker Toyota and the current number one
01:20 auto brand according to Consumer Reports BMW to understand the future vision of their brands.
01:28 Technology and innovation is at the heart of Toyota.
01:30 So Toyota today is following a multi-path strategy, where they are investing in multiple
01:36 technologies such as the electric, the fuel cell, the hybrid and the petrol engines, the
01:41 combustion engine.
01:42 So all these technologies are mixing up to shape the future of the automotive industry.
01:47 Two topics that are really important for us.
01:50 First of all, we are very much closely listening to the trends and what`s happening around
01:54 the world.
01:55 And we see that sustainability is one of the things and consciousness about the environment
02:00 is one of the things that are picking up.
02:02 And I think the second part, which is very important for us, is our customers.
02:06 So we listen very much what they want to say and we listen very much to what they want
02:11 and what they appreciate in cars.
02:15 Korean car giant Kia has seen steady growth over the last 12 months with sales of eco-friendly
02:20 cars skyrocketing.
02:23 Electric vehicle sales shot up by 87 percent compared with last year.
02:27 Earlier, I caught up with Mr. Yasser Shabsoukh, Kia`s vice president of commercial operations
02:33 for Middle East and Africa.
02:35 And he told me all about the company`s plans for the future.
02:41 So we are focusing on really a strategy that focuses on electrification as a key thing.
02:46 Also the idea of connectivity to make sure that our vehicles are fully connected to give
02:50 the customer a fully connected experience when he`s in our vehicles.
02:54 Also autonomous driving.
02:55 By the second half of this decade, virtually all our vehicles will be autonomous or autonomous
03:02 ready, meaning that you can very easily get to that point should you want to.
03:06 And then what we`re also focusing is on creating a new genre of vehicles, purpose-built vehicles.
03:12 It`s almost like customization taking to the nth degree.
03:18 Kia along with many other car brands are here in Doha to share new ideas and solve industry-wide
03:24 problems.
03:25 But what was the thinking behind hosting an event synonymous with Europe here in Qatar?
03:30 Well, earlier I put this to the CEO of the Geneva International Motor Show, Sandro Mosquita.
03:38 Everything started in July 2020.
03:41 So I received a call from His Excellency Mr. Akbar Al-Bakr asking me if I would be interested
03:49 in organizing one edition of the Geneva International Show in Doha.
03:54 And during all the process, we said, but why do we want just to do one edition?
03:59 And why not thinking about going bigger and developing together a totally new concept?
04:07 And that`s why we came with this idea of a festival for automotive excellence.
04:12 And that`s why we are here today in Doha for this first edition.
04:18 But it`s not just here in Doha where the passion for the car is thriving.
04:22 To the Netherlands now, where our reporter Jack Parrock is visiting a business helping
04:28 classic cars go green.
04:30 Yeah, hi, guy.
04:31 I`m stood next to a pretty special car right here.
04:33 This is a 1960s Porsche 911, which has been entirely converted to be electric by Martijn
04:40 van Dijk and his company, Voiture Extravert.
04:43 And we`re going to take a quick ride.
04:47 Come on.
04:51 Notice the sound.
04:55 A petrol-powered Porsche is loud.
04:58 There`s still power in this electric 911, though.
05:03 With many classic cars struggling to meet emission standards, for Martijn, there`s a
05:08 mission with this business.
05:10 Getting color back on the streets again.
05:14 We really love classic cars.
05:16 And we are really disappointed that we don`t see them around anymore.
05:20 Voiture Extravert launched in 2016.
05:23 They receive here the engine-less 911 bodies from Germany, and they`ve created their own
05:29 high-spec electric motor system, which they install.
05:34 They have a 400-kilometer range, and every car gets top of the range digital mod cons.
05:40 But they`re not cheap.
05:42 Minimum price per car, 350,000 euros.
05:45 Just restoring a classic car on the level that we restore it is something that easily
05:51 takes you 200 grand normally.
05:53 Of course, we do things very smart.
05:56 We do it in a small series production that makes it more cost-efficient.
06:01 But that`s a really large chunk of the cost price that we have.
06:05 They`ve sold 10 cars so far and are aiming to sell 12 this year, shipping them out to
06:10 buyers all over the world.
06:13 Classic designs for the modern world.
06:16 Now, it`s time for our regular feature, Business in 60 Seconds.
06:21 Start the clock.
06:22 German automobile giant Volkswagen will declare its quarterly earnings this month.
06:26 It`s been a mixed year for the company.
06:27 A cut in production of electric vehicles in two plants in Germany was due to a lack of
06:32 demand for the products and a government cutback in subsidies.
06:36 Shareholders will be hoping for a more positive set of results this quarter.
06:40 Tech giants Apple have announced a huge new product.
06:43 Yes, an Apple car is on the horizon.
06:45 The rumored title of the product will be the iCar, which is set to be completely compatible
06:50 with Apple products such as the iPhone and iPad.
06:54 Details about the product are scarce at the moment.
06:56 However, this is one to watch over the coming months, as it looks set to be a game changer
07:01 for the industry.
07:03 And Alpha and Omega semiconductors will be posting their latest earnings in the coming
07:07 weeks.
07:08 The California-based company makes critical components for electric cars and has seen
07:12 production increase over the years as ambition towards the green movement for automobiles
07:17 grows.
07:18 The upcoming results are likely to be good news for shareholders.
07:22 Now, the climate emergency has changed the car business forever.
07:27 The race to diversify from petrol to electric power is picking up speed.
07:32 Technology is redesigning what it means to drive.
07:36 But despite this unprecedented disruption, the roadmap for the auto sector still shows
07:41 strong signs of growth.
07:43 Well, that's all we have time for on this special edition of the show.
07:47 Thanks for watching.
07:48 Please do check out Euronews.com for all your latest business news.
07:52 And join us again next time on The Exchange.
07:54 (upbeat music)
07:57 (upbeat music)