Fox predicts contraction by John Kendall • Iveco Ford will
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be one of only four European truck manufacturers to survive into the 21st century, says Iveco Ford Truck managing director Alan Fox. He predicts that the other survivors will be MercedesBenz, Renault with a partner, and a consortium of other truck makers.
Fox was speaking at a time when heavy truck sales have shown the first upturn in over two years. July-December sales in 1992 increased by 5.8% over 1991. But despite a 48.5% increase in tractor sales and a 4.2% increase in 7.5-tonner sales, IFT fmished the year down 2.5% on 1991. Seddon Atkinson accounted for 59% of IFT tractor sales last year, with 885. Although Iveco Ford continued to lose money in 1992, it was at a lower rate than in 1991, said Fox. The company also continued to reduce its costs, with a decline in staff from 1,850 in 1990 to 973 at the end of 1992. Subsidiary Seddon Atkinson has also cut its workforce, from 318 in 1991 to 258.
Last year the Langley plant built 900 more trucks than in 1991, despite terminating production of the old Cargo at the end of the year. Iveco Ford's dealer network has been slimmed down from 108 to 88 but back-up should not be affected as the company has no plans to reduce its network of 130 service outlets.
Iveco hopes to improve its sales performance in the coming year with more new products. The 17-tonne Super Cargo joins the lighter New Cargo models launched in 1992, and the Euro Tech tractive unit will also go on sale. Orders for both models are being taken now for delivery in April.