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TO EUROPE?
• At less than 3,000 new units sold each year, the market for commercial vehicles above 3.5 tonnes in the Republic of Ireland is tiny, and only half what it was 10 years ago before a period of economic decline set in. So what is it that attracts Japanese truck manufacturers to the land of poets and pints?
It cannot any longer be low labour costs — a top grade assembly worker earns an average of IRE185 (£168) per week before bonuses and overtime — and, in any case, Japanese vehicles arrive in Ireland in kit form, requiring few workers to assemble them.
The invasion began as long ago as 1966, when Hino arrived. Mitsubishi came in the mid 1980s and Nissan Diesel is set to begin assembling 400 trucks a year by early 1991.
But with strong competition from Mercedes-Benz and Scania, and an influx of used vehicles from the UK, even industry sources are unclear why the Japanese have come. "It's a puzzle why they want to set up here, unless they see it as a back door to Europe," says the Irish Road Haulage Association, a view shared by the Society of the Irish Motor Industry. "The attraction must be to export the vehicles to Europe," says a spokesman.
The most recent figures (September 1989) show 130,000 vehicles above 3.3 tonnes on Irish roads, with 85,000 of these in the light category. Of the 2,994 commercial vehicles sold new in 1989, 40% are believed to be Japanese.
The Japanese manufacturers are adamant that they are in Ireland without ulterior motives. Speaking from Tokyo, Hino Motors told Commercial Motor, "Although the Irish market is very small, we enjoy a large market share. It is very attractive for us and our trucks are well accepted in Ireland." It did admit to exporting 1,000 units a year, 300 more than it sells in Ireland, assembling trucks in the range of 9.9 to 38 tonnes.
Nissan Diesel claims its project is limited to Ireland. "We have received an enthusiastic proposal from Ireland," claims a Tokyo spokesman, although the assembler, Roscommon-based Westward Garage refuses to talk about the partnership. Dublin-based MMC Commercials assembles a range of 3.5-15 tonne Misubishi vehicles for the Irish market. It claims its 3.5-tonne and six-tonne Canter outsells other light commercials, and general manager Sam Synott explains why the Japanese take the Irish option: "The attractive thing for them is that Ireland does not have an indigenous motor industry — so anything coming in is accepted on its owri merits.
"The idea that Ireland is a back door to Europe is deceptive — we are assembling successfully for our own market and have no intention of exporting to the UK."
But what do the Irish do with their Japanese trucks? Kenneth Gilmore, one of the Republic's largest truck dealers, has a rural outlet in County Cavan in the North West. His customers for Mitsubishi include food distributors Perri Crisps and Largo Foods — others are general merchants, hospital suppliers and parcel couriers. Duffy Express Freight in Donegal favours the 7.5-tonne Fl I. "The back door to Europe theory means nothing to the guy on the ground," says Gilmore, "He wants a reliable truck for the right price." He leases a mixed fleet of 60 vehicles to Lough Egsih farmer's co-operative which likes Mitsubishi's versatile 15-tonne FM 5579.
Seamus O'Grady is sales manager at J Murphy, a solus Mitsubishi dealer in Dublin. One of his biggest customers is HP lcecream, which in a mixed fleet of 180 vehicles now has 30 Mitsubishis. He is convinced the Japanese are in Ireland for the Irish market. "Take Hino — they were here for 20 years before they considered selling elsewhere," he says.
For the moment Hino remains the market leader, selling up to 1,000 units, with Mitsubishi second on 500. Whither Nissan Diesel with its range of 8-15 tonners when it comes in later this year on a modest 400? Can these marginal pickings really satisfy three of Japan's major manufacturers — or behind that mythical back door is Europe saying: "I hear you knock but you can't come in."
LI by Patric Cunnane • Reference the smoking diesel train by Paddington station (CM 26 July 1 August).
The power car of the InterCity 125 in the photograph was almost certainly suffering from a severe coolant leak, with the resultant show of steam from the cooling grilles etc — a design fault which British Rail inherited from the manufacturer of the diesel motor.
BR's dedicated engineers have largely solved the prob lem themselves, but when the units do fail, such as the one in the photograph, they are withdrawn from service at the first opportunity.
I would like to congratulate Commercial Motor on its "firsts" with railway related articles. Developments at Track 29, Charterail, and Red Star were all reported in CM long before the railway press picked them up.
Perhaps CM could investigate the possible demise of
Railfreight's Speedlink service? Many road hauliers have private sidings which are likely to 'become redundant if the Speedlink service is withdrawn. H Hippie, Railway Development Society, Wessex.
N O NOTICE REQUIRED • In the 9-15 August issue of CM your consultant Colin Ward, in answer to a .query about a vehicle examiner visiting an operator's premises without prior notice, stated that the examiner required to give 48 hours notice of an inspection, and quoted Regulation 74 of the Road Vehicles Construction and Use Regulations 1986.
Ward is wrong. Section 68 of the Road Traffic Act 1988 for goods vehicles and Section 8 of the Public Passenger Vehicles Act 1981 for public service vehicles states that an examiner appointed by the Secretary of State may at any reasonable time enter premises where such vehicles are, or he has reason to believe are kept, and inspect them. The regulation to which Ward refers deals only with brakes, steering, silencer and tyres of a vehicle. And as an examiner inspects all parts of the vehicle for conformity this is not relevant.
While it might be common practice for vehicle examiners to give prior notice there is no requirement in law for them so to do.
JW Kirkwood, Bexhill, East Sussex.
Colin Ward replies: "As Mr Kirkwood has recently retired as enforcement manager of the South Eastern Traffic Area, I accept his correction unreservedly."