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Scania creates stir over SCR cost claim

20th October 2005
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Page 10, 20th October 2005 — Scania creates stir over SCR cost claim
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Which of the following most accurately describes the problem?

SCAN IA BOSSES turned up the heat on the SCR vs FOR debate when they raised the spectre of lower residuals for SCR vehicles.

"Perhaps EGR can offer better second-hand values," Hasse Johansson told the press at the show. "This is just a hunch. There will be some need for extra maintenance with the SCR systems, which may impact on the used values of the vehicles."

Scania CEO Leif Ostling added: 'SCR is the more complex solution and our experience tells us the higher complexity requires more maintenance and repairs, which could impact on maintenance costs."

The pair's comments caused a storm among manufacturers at the show who have adopted SCR to meet Euro-4.

"We operate from a position of our own strength, and we don't attempt to put the fear of God into our customers by comments we make," said Oaf president Aad Goudriaan (right). Those comments from our rivals are in my

opinion, not appropriate, and it's certainly not something we'd do' "We have compared both SCR and FOR," said Volvo Trucks president and CEO Steffan Jufors. "it's our belief SCR is a superior solution. While Scania is sure it has made the right choice, we are just as convinced SCR is the best" A two-tier market is emerging in Europe in the run-up to next year's Euro-4 deadline, according to Oaf UK MD Stuart Hunt. He warns that the market has split into the Maui countries (Germany, Austria and Switzerland) where operators have an incentive to adopt Euro-4, and non-Maut (everyone else, including the UK).

As a result the truck market in the non-Maut countries is likely to be distorted during 2006 as operators take advantage of cheaper Euro-3 vehicles, probably leading to a plunge in the market in the last quarter of next year.


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