Volvo's wordwide truck sales increased by 25% in the final quarter of 2007 compared with the year before. However there was a marked contrast between its performance in north America and Japan, where sales were down, and the rest of Asia and Eastern Europe, where they were sharply up.
The rise in sales in Asia was partly due to the acquisition of Nissan Diesel, and the number of truck deliveries increased by 207% to
14,097 in the fourth quarter. In contrast there was a 36% fall from 17,672 to 11,222 in North America. European truck deliveries were up 31% from 30,358 to 39,740.
A Volvo spokesman says its relatively poor performance in North America is partly down to the introduction of a new generation of engines to comply with emissions legislation, although weak demand generally is also a factor. Overall, Volvo is expanding production to meet increasing demand, particularly in Eastern Europe. It predicts that the total European truck market will increase by 5-10% this year, with the North American market staying on the same level.
Leif Johansson, Volvo's president and chief executive, says: "We have entered 2008 with strong order books, a very strong product programme and overall good demand in our main markets outside North America. The focus is now on ensuring our delivery capacity with a competitive cost base and increasing productivity."
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