Deliveries from Volvo’s truck operations, which include Volvo, MACK and Renault brands, declined 18% in July, compared with the corresponding month in the preceding year. On a year-to-date basis, deliveries amounted to 86,090 trucks, which is 4% below the year-earlier period. In Europe, deliveries declined by 3%, while North America posted a 14% decline compared with the first seven months in 2002.
“Our deliveries in July continued to decline in North America compared with last year, reflecting high production rates in advance of the new emission legislation in 2002. However, order bookings for July supports our somewhat more positive view on the market development, both for Europe and North America” said Volvo CEO Leif Johansson.
On a 12-month rolling basis, total order bookings for the truck brands were down 6% compared with the preceding year, with Europe down 11% and North America down 12%.
Deliveries from Mack to the end of July totalled 10,811 units, down 23% from the same period in 2002. Despite some strengthening in the overall North American heavy-duty truck market, activity in Mack’s core market segments of construction and refuse remained sluggish in July. In addition, Mack continues to face strong competition in its core segments from manufacturers offering trucks with engines that do not comply with the EPA ’02 emissions regulations.
Deliveries from Renault Trucks declined by 8% to the end of July 2003, compared with the year-earlier period. This is due mainly to lower deliveries to the French market, which were down 15%. This was partly offset by increasing deliveries in Spain (+6%).
In Eastern Europe, deliveries continued to increase as a result of a continued positive development of the market combined with a strengthened commercial structure that has been developed during the last few years.
The Renault Master, Midlum and Magnum truck ranges are showing the best resistance to the trend of declining volumes.
Volvo Trucks reported higher deliveries during the January-July period in all markets. The increase compared with the year-earlier period was 7%. Eastern Europe showed continued growth and sharply rising demand was noted particularly in Poland and Hungary.
In North America, demand for the new truck range continued to develop well.
The South American market is still relatively strong and in Brazil Volvo Trucks is the market leader in the heavy segment.