Volvo, Mitsubishi Form Truck Alliance
6 April 2000
Volvo, Mitsubishi Form Truck Alliance
GREENSBORO, N.C.--April 5, 2000--expanded support
Volvo Trucks North America and Mitsubishi Fuso Truck of America (MFTA) announced today a strategic alliance to sell and service Class 3-7 trucks in Canada.
The sales and service franchise for Mitsubishi Fuso trucks will be offered immediately to Volvo's current dealers in Canada. Acceptance of the franchise agreement would enable Volvo dealers to sell Mitsubishi Fuso's light- and medium-duty trucks.
In the United States, the companies have begun a study of distribution and manufacturing strategies. Specifics of their plans for U.S. customers and dealers will be announced over the next six to 12 months.
"This alliance is a good fit strategically for Volvo Trucks and Mitsubishi Fuso, " said Marc F. Gustafson, president and CEO of Volvo Trucks. "We are consolidating the strengths of the two companies to provide customers with a broader range of transportation solutions.
"The products are complementary, which will allow Volvo dealers to offer an expanded range of trucks. Customers will benefit through an extended and strengthened sales and service network."
"This agreement with Volvo will increase our reach in the Canadian market," said Robert E. McDowell, MFTA executive vice president and COO. "We are very pleased to have this strong dealer network representing us."
Volvo Trucks currently sells a complete range of Class 8 models, rated 33,001 lbs GVW and higher in the United States, Canada and Mexico. Its North American dealer network includes approximately 200 locations. MFTA offers ten models, rated from 12,000 lbs to 32,900 lbs GVW. MFTA's dealer network includes 170 locations in the United States.
Headquartered in Bridgeport, N.J., Mitsubishi Fuso Truck of America, Inc. markets award-winning medium-duty trucks through 170 dealer locations throughout the U.S. Over 50,000 Mitsubishi Fuso trucks are in use, fulfilling the transportation needs of a wide variety of businesses and industries.
Volvo Trucks North America, Inc. manufactures commercial trucks and tractors, including the VN Series, Autocar(R) and Xpeditor(R). Since late 1996, more than 60,000 Volvo VN Series trucks have been ordered and sold, half of which have come from new accounts.
The company leads the heavy-truck industry in the areas of safety research and development, quality manufacturing processes and environmental care. Volvo Trucks also markets heavy-duty diesel engines and rear suspensions. Headquartered in Greensboro, N.C., Volvo Trucks is an affiliate of Volvo Truck Corporation, Gothenburg, Sweden.
Note: A Photo is available at URL: http://www.businesswire.com/cgi-bin/photo.cgi?pw.040500/bw2