Automotive Business Review February 2015 | Page 42
ud t r uc k s |
by Austin Gamble
Business as Usual
in 2015
Despite all the calamities visiting themselves upon South Africa, the newly appointed managing director of UD Trucks
Southern Africa, Rory Schultz, believes that 2015 will be business as usual.
T
2014 saw UD Trucks discontinue its MCV U41 range, with more
than than 13 000 units sold since its introduction in 1996, and
we are all waiting to hear UD’s plans for its replacement in 2015.
UD Trucks once again topped market share in the HCV market,
with a 23.94% market share. Significantly, the Quon extra heavy
range grew 24.9% compared to 7.68%
for the total EHCV market, pushing
UD Trucks performance in the segment,
from 8.77% market share in 2013, to
10.12% in 2014. In another milestone,
UD Trucks exports into sub-Saharan
Africa increased by 44.68% to 544 units.
his upbeat note was delivered at UD Trucks’ “back
to work” press conference, held at OR Tambo airport
on Tuesday 13 January 2015. Commenting on the
performance of truck sales in 2014, which grew at a modest
2.04%, Shultz says “I think the local truck market still managed
to deliver a satisfactory performance,
especially if one takes all the macroand socioeconomic challenges into
consideration.”
From a market segment point of
view, Medium Commercial Vehicles
(MCVS) declined by 4.86%, Heavy
Commercial Vehicles were flat, whilst
the best performer was the Extra Heavy
Commercial Vehicle (EHCV) segment
with year-on-year sales increasing
by 7.68% units. “A recovery in the
platinum mining sector and increased
activities in heavy construction and
long haulage were the main drivers
of demand for extra heavy trucks,”
explains Schulz.
Schultz foresees improved
macroeconomic conditions for 2015,
and his business as usual prognosis is
based on this fact, with an expected
increase in the commercial vehicle
market of a relatively modest 2.05%.
In the macroeconomic mix, Schultz
➲ Rory Schultz, managing director of UD Trucks
sees easing inflation, an increase in
Southern Africa, makes a point at the press
gross fixed capital formation, stable
conference
interest rates, and hopefully an improved
environment. The only negative at this stage is the pressure on
Whilst UD Trucks does not play in the Bus segment, Schultz
truck prices from the deteriorating Rand.
notes that this segment was the star performer in 2014, with
Schulz also promises some exciting product launches in 2015,
a significant 19.79% growth on its 2013 performance. “The
which combined with training initiatives, makes UD Trucks a
phasing in of Bus Rapid Transit units in metros like Tshwane and
company to watch. aBrMOVE will cover all these developments for
Cape Town contributed significantly to the increase in new bus
our readers in the coming months.
sales,” notes Schulz.
Forecasts for 2015 (Market analysis: UD Trucks)
Total Market
2013
Forecast 2014
Actual 2014
GROWTH
FORECAST 2015
GROWTH
BUS
1046
1050
1253
19.79%
1403
12%
HCV
5474
5800
5476
0.04%
5531
1%
MCV
EHCV
TOTAL
UD Trucks
BUS
11584
12820
30924
2013
12200
13500
32550
2014
11021
-4.86%
13804
7.68%
31554
2.04%
GROWTH
-0.91%
1275
-3%
657
3.96%
EHCV
1124
1397
24.29%
EXPORT
376
1311
544
32201
FORECAST 2015
632
1323
14356
GROWTH
MCV
HCV
10911
44.68%
| Wheels in Action
40
1430
490
FEBRUARY 2015
2%
-10%
-1%
4%
2.05%