The report provides a comprehensive Comparative SWOT framework analysis on Europe's Top 6 Medium & Heavy Truck manufacturers besides analyzing the overall, near term strategy focus across these OEMs.
Europe has been the traditional flag-bearer for technological evolution of the trucking industry globally given the critical role it plays in the European economy with over 75% of the freight within the continent moving by road and this trend is likely to be sustained over long term. The continent is also a trucking powerhouse and is home to three of the world's largest trucking OEMs, namely, Daimler, Volvo and the VW group which have traditionally dominated the global truck market with their size and scale of operations along with technological edge. The Medium & Heavy Commercial Vehicle (MHCV) registration levels in the EU remained sustained in 2017 and almost flat as compared with 2016 with projections indicating towards the same trend likely to be maintained in 2018 with new registrations pegged at just above the 300,000 units level.
The Trucking industry continues to be at the forefront of a technology led transformation phase marked by confounding uncertainties and disruptions which are likely to be sustained over medium term. The focus on CASE (Connected, Autonomous, Shared & Services and Electric) technologies continues to be at the core of this trend with OEMs continuing to integrate an array of sensors, equipment & technologies on-board truck models with digitalization forming the backbone of this technology led trucking revolution. The battle for electric trucks is getting fierce with the world's top 2 largest truck manufacturers, namely, Daimler & Volvo lining up electric versions of their flagship truck models to take on recent industry incumbents & start-ups head on with the duo planning start of commercial, full scale production of electric trucks from 2021.
Daimler outlined the electric version of its Actros heavy truck (eActros) for Europe and eCascadia, the market leader in the U.S. Class 8 market. Volvo has rapidly unveiled its contenders for the electric medium duty truck segment, with the new electric FL and FE models for Europe. The VW Group, represented by MAN & Scania in Europe, too, has been structuring & shaping its trucking business steadily as evinced by the introduction of its manufacturer agnostic RIO digital brand, aimed at the transport & logistics sectors and plans for capital markets listing over near term. The industry supply chain, too, has been gearing up rapidly for the electric bandwagon with suppliers outlining & fine tuning their business strategies for EVs and setting up new units to execute them. Electrification, in commercial vehicles, thus, is reaching the inflexion point now.
The current phase of trucking industry's development and its likely evolution over medium term is going to be defined and shaped by technology which has been rapidly evolving and is poised to disrupt markets at a lightning pace. The industry OEMs & players; which are able to adopt & incorporate right technologies for right applications to deliver overall value to customers, end users & stakeholders while creating significant competitive advantages for themselves by leveraging this technology led differentiation; will be at the forefront of this one of the most disruptive phases for the industry going forward which is likely to be marked by the introduction of a number of technology enabled entirely new business models and concepts.
The framework analyzes the Strengths & Weaknesses of the OEMs from a standalone as well as relative perspective based on a comprehensive analysis of their Key Business Aspects, which include:
Product Portfolio Analysis & its Strategic Positioning
Breadth & Depth of Presence across Key Geographic Markets & Regions
Analysis of overall Cost Base, Structure & its Management
Analysis of Revenue streams, Resource Base & Key Competencies