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Volvo Trucks Deliveries January-May 2000

14 June 2000

    STOCKHOLM, Sweden - Deliveries from Volvo Trucks between January and May 2000 amounted to 32,944 trucks, distributed as follows.

                      1999              2000
Europe,              17,775            18,243         +3
 total of which
Western Europe       16,941            16,778         -1
Eastern Europe          834             1,465        +76
North America        13,030            10,435        -20
South America         1,340             1,469        +10
Asia                    854             2,171       +154
Other markets           654               626         -4

Total                33,653            32,944         -2

    The demand for heavy trucks in Western Europe continues to stay strong, but is characterised by tough competition. In the USA, demand is showing a significant downturn and the total market is expected to decrease this year with more than 20 percent compared with 1999. The US truck industry has large stocks in the distribution chain and price competition is strong, which puts considerable pressure on profitability. Sales in Eastern Europe and Asia are increasing, but from low levels. The activity on the South American market continues to remain modest. Deliveries from Volvo Trucks dropped somewhat during this year's first five months compared with the same period in 1999, as a consequence of market development in North America. Earlier this year, Volvo Trucks in North America took steps to meet the changing market trend there, implementing a cut in production rates along with other measures.

    Deliveries increased in Europe as a whole, while sales in Asia showed a positive trend. Order intake at Volvo Trucks up to end May increased by five percent compared with the same period last year.