AT THE HEART OF THE ROAD TRANSPORT INDUSTRY.

Call our Sales Team on 0208 912 2120

Ford and Iveco in Daily wrangle

24th June 1999, Page 52
24th June 1999
Page 52
Page 52, 24th June 1999 — Ford and Iveco in Daily wrangle
Close
Noticed an error?
If you've noticed an error in this article please click here to report it so we can fix it.

Which of the following most accurately describes the problem?

• A dispute between Iveco and Ford, which could have massive implications for the Iveco Ford dealer network, had still to be resolved at the time of writing. iveco and Ford have an agreement which states that the former's Daily will not be sold at gross weights below 3.5 tonnes in the UK. But the new Daily goes down to 2.8 tonnes. and Iveco wants to be able to market the entire range in Britain.

That will bring it into more direct competition with Ford's Transit—due to be replaced next year by an all-new model—and many Iveco Ford dealers are also Transit Specialist Dealers, About 20 of the outlets are believed to be affected.

Iveco is adamant that it must now have the scope to bring in whichever Daily variants it chooses. "We're in talks with Ford, but if we cannot reach agreement, we will follow our own way," says Iveco chief executive officer Giancarlo Boschetti. "The talks are making progress, and the resolution of this problem is weeks rather than months away," says an Iveco Ford spokesman. "Nobody wants a head-on clash."

Changes are already afoot in the Iveco Ford network. Polar Motor Group is relinquishing its Iveco Ford franchises in Northampton and Kettering. The sites are being taken over by Kent-based Iveco Ford dealer Stormont Truck, which already operates outlets in Crayford. Hildenborough, and Brighton. The expansion has turned it into the country's biggest Iveco Ford dealership. The move follows Polar's acquisition of Dagenham Motors, which runs Iveco Ford dealerships in Barking, Chelmsford, and Hayes. Polar is retaining outlets at Leeds. Warrington. and Barnsley, which trade under the Polar Truck banner. It will also continue to provide service and parts support from its Bedford site.

Earlier this year senior Iveco Ford executives expressed concern that Polar's takeover of Dagenham Motors meant eight of its dealerships were in the hands of the same group. No manufacturer likes to see too high a percentage of its trucks channelled through one business, and over the years several manufacturers (notably Ford itself) have attempted to limit the number of their franchises held by any one dealer.

Polar is a joint venture set up by Ford and global dealer giant Jardine International Motor Holdings.

Tags

Locations: Kent, Leeds

comments powered by Disqus