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Doubling up in France
Page 16
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• Saab-Scania is planning to open a French production plant which will raise its European production capacity over the next four years by 50% to 40,000 vehicles per annum.
The Angers plant will initially produce 30 trucks a day, and will have a 500-strong workforce by 1992. Production should be increased to 60 units by 1994.
The site was originally earmarked by Subaru for a project to make four-wheel drive cars for Europe, but this has since been aborted.
In a second development phase, Saab-Scania will set up engine and cab factories in Angers by 1993/1994. A total of 1,500 staff will be employed over the next four years on the joint project, which follows last month's alliance between Renault and Volvo (CM 1-7 March). Head of Scania Leif Ostling says France was favoured over Britain and Spain for three reasons: "Labour is readily available, the general cost level is favourable and it is centrally located on the Euro
pean Continent, which takes two-thirds of Scania's global truck sales," he says.
Production in Sweden and the Netherlands will not be affected by the new plant, although production in several factories is expected to rise. D Volvo says it has maintained its market share in heavy-duty trucks during 1989, with turnover rising 2209 million to 22,476 million in 1989.
Volvo delivered 59,200 medium and heavy-duty trucks, spread over 70 markets in 1989.
ln Europe, deliveries in the heavy to medium class rose to 27,100 — a 5% increase on 1988.
Large increases were also reported in West Germany, Belgium and Switzerland. In Europe as a whole, sales of trucks in the 10-16 tonnes class showed a marginal increase to 4,300 units.