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Nissan To Supply Light Duty Trucks To Renault Trucks (Volvo Group) From First Half Of 2007


February 2006
 Filed under: NISSAN Car News | NISSAN Headlines
TOKYO (Feb. 17, 2006)--Nissan Motor Co., Ltd., and Renault Trucks S.A.S., a unit of the Volvo Group, have signed a Memorandum of Understanding to start Nissan's original equipment manufacturing (OEM) supply of light duty trucks (LDTs) to Renault Trucks. The LDT vehicles supplied will be based on the platform that will be used for the next generation Nissan Cabstar and Atlas.
Based on this agreement, Renault Trucks will distribute Nissan's OEM LDTs under its brand identity through its specialized truck dealer network. Renault Trucks will sell the OEM LDTs as a complement to the successful Master and Mascott ranges.

"With its superior maneuverability and efficient cost of ownership, the Cab-Over-Engine type of vehicle meets the high expectations of European customers. Another major European player joining forces with Nissan will make this type of vehicle even more successful," said Andrew Palmer, Vice president and Global Head of Nissan's Light Commercial Vehicles Business Unit. "This agreement is part of our strategy to grow Nissan's global LCV business through direct and OEM sales," Palmer added.

Nissan will start supplying its OEM LDT to Renault Trucks in the first half of 2007. The vehicles supplied to Renault Trucks will be produced in Nissan's truck factory in Avila, Spain, where the new generation Cabstar will be built.

"Nissan already supplies engines for Renault Trucks' Light Duty range and is therefore a natural choice for developing synergies within this category of vehicles," said Jean-Marc Lange, Vice President, Light Duty Range of Renault Trucks. "The Memorandum of Understanding to source Nissan's light duty cab-over-engine vehicle represents an opportunity to widen our product offer – Master and Mascott - in this segment. This fruitful relationship between Nissan and Renault Trucks, both highly quality focused companies, will enhance customer satisfaction," Lange added.

Nissan has identified the light commercial vehicles business as one of four breakthrough areas for the company under its Nissan Value-Up three-year business plan, which started in fiscal year 2005. Nissan has set ambitious objectives for the LCV business, which are to double operating profit to 8% and grow volumes by 40% to 434,000 units worldwide by fiscal year 2007.

In Europe, Nissan's LCV sales have increased by 29% over the past two years.

Renault Trucks is recognized by its customers in the delivery and craft trades for its professional expertise and the quality of its services. The current range offers Master and Mascott, together with specific services, which have been a real success with a 25% sales volume increase in recent years. By widening its range of products, Renault Trucks plans a sustainable growth in the light duty segment.

Source: Nissan Motor Co.

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