Fears for Daihatsu future as imports halted
DAIHATSU’S future in the UK market hangs in the balance, Car Dealer Magazine is able to reveal.
News has reached the Car Dealer Magazine office that Daihatsu cars will no longer be brought into the country by importer IM Group.
Car Dealer Magazine has also heard that Daihatsu car dealers are being offered the sweetener of a Chinese car franchise by IM Group instead.
IM group operations director Paul Hegarty admitted to us that ‘IM Group continues to look at new opportunities, some of which are Chinese.’
We believe car dealers are being told they can choose to end their contract with IM Group as well.
‘We can’t bring any more cars into the country,’ a spokeswoman for Daihatsu told us, ‘because the exchange rate has made it not economically viable.
‘We are currently getting rid of stock in the dealer network – this is rapidly running out. Stock is quickly being exhausted.’
One car dealer confirmed it was indeed the exchange rate causing the problems. When they heard about it, they went out and bought 60 Daihatsu cars – they’re now down to their last 10.
There is some manoeuvring in the dealer network, but its’ now a matter of ‘wait and see’.
Axe for Daihatsu?
Interestingly, the Daihatsu spokeswoman added that ‘we are not saying that we will never bring the cars in ever again, but it is not viable at this time.’
Hegarty added that currency differences ‘prevents us from CURRENTLY ordering stock. When it changes, it is our intention to do so.
‘Daihatsu is still in the UK, but we are currently not ordering.’ Car dealers, he said, know the situation.
The spokeswoman admitted that this was a period of real uncertainty. ‘We understand that dealers are not very happy, and that this has left them in a period of limbo.
However, it seems that for the moment at least, it could be the end of the road for Daihatsu in the UK.
By James Baggott and Richard Aucock
Friday night bash at car dealer
Survey finds UK’s top franchises
Tags: daihatsu