Volkswagen’s trucks business Traton wants to use alliances with competitor in China, the United States and Japan to tap into worldwide growth and achieve a return on sales of nine percent, Chief Executive Andreas Renschler stated on Tuesday.
Volkswagen is integrating Germany’s truck brands MAN and Sweden’s Scania along with deepening collaboration deals with China’s Sinotruk, Navistar in the United States and Hino Motors in Japan.
“We want to be the most profitable vehicle player and to have access to all worldwide profit pools and do this in a smart way,” Traton chief executive Andreas Renschler stated in London.
Renschler informed investors he wanted to expand into new profit pools with alliances like those with Navistar and Sinotruk.
“We want to develop this with our partner into a new dimension,” Renschler stated.
Traton had already struck a partnership in the area of procurement with Hino Motors, that is also a partner for developing alternative powertrains, Renschler stated.
“This is a great platform for future development.”
“Our strategic target is to gain a 9 percent return on sales over the cycle,” Renschler said of Traton’s profit target.