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Passenger
Cars
GB Auto is the largest player in the Egyptian Passenger Car
market in terms of sales revenue, market share, and produc-
tion capacity. The company holds the exclusive license to
assemble and distribute Hyundai and Geely Passenger Cars,
and import and distribute Hyundai, Geely, and Mazda Pas-
senger Cars, as well as spare parts for all three brands. GB
Auto is now also the exclusive distributor and after-sales
service provider for Chery-brand vehicles in Egypt, through
a tripartite agreement with the Chinese company and
Egypt’s AF Automotive.
GB Auto also has an established regional footprint, with
a strong presence in the Iraqi market and a growing pres-
ence in Algeria. In Iraq, the company is a leading player in
the Passenger Car market, where it is the sole distributor
of Hyundai Passenger Cars and spare parts. In Algeria, GB
Auto sells Geely Emgrand Passenger Cars through a local
venture. Although the company had first adopted a wait-
and-see approach in Libya, where it had been a distributor
of Geely Passenger Cars, GB Auto has halted its operations
and is in the process of liquidating its assets.
Through Hyundai, Geely Emgrand, Mazda, and now Chery,
GB Auto is able to market a variety of products with a di-
verse range of sizes and prices.
Over the years, the company has solidified its market lead-
ership with a dedication to value, unparalleled service and
best-in-class products. GB Auto created its “one-stop-shop”
approach to retail auto buying by vertically integrating
sales, consumer finance (through Drive, GB Auto’s consum-
er finance venture) and after-sales support. Its commitment
to total customer care allows the company to offer Egypt’s
car-buying market a powerful value proposition — GB
Auto has long positioned Hyundai cars as the best value for
money in the Egyptian market and has more recently done
the same with Geely Emgrand, Mazda, and Chery at their
unique price points.
With Egypt’s largest sales and after-sales network, GB Auto
has transformed the nation’s new car experience. The com-
pany’s 3S business model promises showrooms, services,
and spare parts. GB Auto’s 13 large service centers andmore
than 700 service bays, 25 owned showrooms, and several
partnerships with independent automotive retailers, and
a spare parts distribution channel that stretches across the
country deliver comprehensive service to Egypt’s car mar-
ket. The company is working towards implementing the
same successful model across its footprint, building Iraq’s
leading after-sales service franchise based on the Egyptian
model. The company has plans to introduce a similar net-
work to the Algerian market going forward.
GB Auto has invested significantly in the expansion of its
assembly capacity. At the Prima plant, the company as-
sembles Hyundai and Geely Passenger Cars and Mitsubishi
Canter cabins from imported CKD kits, as well as locally
sourced components. The plant, which spans across nearly
58,000 square meters, was established in 1994 and, by Janu-
ary 2016, had produced more than 285,000 Passenger Cars.
In September 2012, GBAuto completed a major investment,
growing production to include its new Geely models while
modernizing certain aspects of the assembly process. Today,
Prima is a truly state-of-the-art facility with fully-automated
conveyer systems, robots for painting and welding shops.
2015 Business Review
Egypt
According to the Egyptian Automotive Marketing Informa-
tion Council (AMIC), the Egyptian Passenger Car market
witnessed a 6% drop in total sales volumes during FY15,
falling to 195,559 units this year from 207,973 units in
FY14. The decline came mainly on the back of economic
challenges and an unstable regulatory environment in
Egypt, especially during the second half of 2015 when
uncertainties began surrounding the future of car prices in
Egypt, affecting demand.
AMIC’s full-year report on the Egyptian Passenger Cars
market showed volumes for brands within the 1.0-1.3 liter
range declining by 14% y-o-y, while those between 1.3-1.5
liters fell by 22%. Vehicles with higher-capacity engines
witnessed slight increases in volumes, with those falling
18 | GB Auto |
2015
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