HDT range to be upgraded this year
Daimler India Commercial Vehicles (DICV), the wholly-owned Indian subsidiary of Daimler AG, has reported sales of 13,081 BharatBenz trucks in 2016 (2015: 13,997), a commendable performance given the highly volatile nature of the CV market during the year. The company attributed its performance to a challenging market which had turned negative in the second half of 2016 after a good first half. For the current year, DICV expects important growth momentum from a new sub-9 tonne truck for exports and a new-generation of BharatBenz heavy-duty trucks for the domestic market.
Addressing the media at a roundtable meet at the company’s Oragadam plant, Mr. Marc Llistosella, President and CEO, Mitsubishi Fuso Truck and Bus Corporation (MFTBC), and Head of Daimler Trucks Asia, said: “Our Indian operations at DICV are a cornerstone of our success at Daimler Trucks Asia. With the launch of a third product line for exports in 2017 at DICV we will enter the next stage in the strategic collaboration of DICV and MFTBC – this successful journey we began in 2013 pays off day by day. The most prominent example of how we create win-win situations for both entities is the production of trucks for MFTBC’s FUSO brand by DICV, which enables us to serve diverse customer needs in growth markets.”
DICV will start production of this third truck product family in 2017. The new sub-9 tonne vehicles will initially be designated only for exports as FUSO brand variants, with first customer vehicles to be rolled out in the first half of the year.
Exports going strong
Sharing his views on DICV’s performance, Mr. Erich Nesselhauf, Managing Director and CEO, DICV, said: “We have kept our focus on profitable growth in 2016, which has been a mixed year for the Indian CV industry at large. Thanks to our successful exports, we have been able to more than compensate current challenges in the domestic market. With new products in the pipeline, we are geared up for further growth in 2017.”
DICV’s vehicle exports more than doubled compared to the previous year, crossing the marks of 30 export markets and 7,500 units since the start of exports in 2013. An important highlight in this area was the presentation of the first heavy-duty trucks built by DICV for the Mercedes-Benz brand, which were showcased in November 2016 in advance of its market launch in Indonesia. Exports of parts from DICV’s extensive Indian supplier base to other Daimler entities around the globe (Japan, Europe, North America and Brazil) also rose steadily and crossed the mark of 35 million parts.
DICV reached an important milestone in 2016 – handing over its 40,000th BharatBenz truck to a customer – while also expanding its network footprint to include more than 130 Sales & Service touch points by the end of the year. The company also achieved another key milestone during the year with the production of its 50,000th from its Oragadam plant in August 2016, roughly four years after the start of production, marking an unprecedented ramp-up in the Indian CV industry and underlining BharatBenz’ sustained growth in the market, overcoming several challenges on its way.
Product range upgradation
Outlining DICV’s outlook for 2017, Mr. Nesselhauf stated: “While the market environment will continue to hold challenges for the industry, we are planning to advance with our BharatBenz brand based on strong products, leading technologies and an even stronger focus on the customer. A key growth driver for us will be the new generation of our BharatBenz heavy-duty trucks which we are going to launch in the coming months. We have high expectations for this new product.”
In 2016, BharatBenz had presented a new generation of its medium-duty trucks just three years after its market launch. This year, the company will complete the upgrade of its entire truck portfolio with the launch of its new-generation heavy-duty trucks in the segment between 16 and 49 tonnes GWV.
DICV also expects to benefit from the upcoming industry transition to the BS-IV standard, as Mr. Nesselhauf explained: “With BharatBenz, we have the best technology in the market based on proven solutions, and we’re fully ready as we have been selling BS-IV vehicles since more than a year already. Feedback from customers of our BS-IV fleet of several hundred vehicles clearly tells us we are perfectly positioned for the transition.”
