Truck industry 2020: The future is global - Roland Berger

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Truck industry 2020: The future is global
"BRIC countries are a key element of the growth strategy of Daimler Trucks
and Daimler Buses. These markets grew by 120% in 2002 through 2007.
Daimler Trucks' sales in BRIC countries were up 29% in 2007 compared
to 2006 and up 34% year on year in the first half of 2008. In Brazil, and
indeed in South America as a whole, Daimler Trucks and Buses is already
the market leader. In India, we have established a joint venture with our
local partner Hero, while in China we are engaging in active negotiations
with Foton." Since this statement was made, Hero has withdrawn from
the said joint venture. Daimler has nevertheless decided to go ahead and
establish a production presence in India on its own. At the end of 2008,
Daimler also acquired a 10% stake in Russian truck OEM KAMAZ in order
to gain access to this fast-growing market.
The BRIC markets are expected to show ongoing growth in the years ahead.
Figure 4 shows how the trend has developed since 2005 and how we – and
the top executives we interviewed for this study – expect it to continue in
the period up to 2020. Scania, for example, plans to double the share of
revenue it generates outside its European home market from its current
level of 30% to 60% by 2020. Much of this projected growth will be
focused on the BRIC economies.