MAN Truck & Bus Global CEO: India is a key market
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Sources have stated that one of the top five non-European markets for MAN Truck & Bus AG by 2020 has said that the company’s global CEO Joachim Drees. He has stated that Indian competitors have the right products and are very strong in the budget segment, which is big. But as the market becomes more sophisticated, there will be more opportunities for global truck makers to grow. Efficiency has to grow, total cost of ownership has to go down, and tonnage has to go up.
He has told that they were just discussing the regulations coming into place such as the new law that all trucks have to be provided with air-conditioning. Then the new regime on GST, the demonetization drive, all these measures will lead to changes in business models. And they have localized our trucks and are very well prepared to meet the changes in the market here. They know that their competition is very strong but can gain volumes and improve our market share in India.
He has also said that globally, they have two hubs in Germany for engines and truck development. For buses, they have some engineers in Turkey and Poland. And then they have the center in Pune, India. They develop trucks for the local market and also for exports. Besides, sales responsibility is also split region wise. Some products are built only in India, so Mommertz and his team also have the responsibility to drive exports out of India, in collaboration with local partners and importers.
He has further said that this year, they have to take a little bit of a downturn in November and December because of the demonetization. But to them, India is one of the markets which are growing the most right now. He has thought the initiatives taken by the government will enhance growth further, maybe not in the very short term.