Leading truck maker, Isuzu, has announced the transfer of complete ownership of UD Trucks from Volvo Group.
Nearly a year on from news that Volvo Group intended to sell UD Trucks to Isuzu Motors Limited, the Australian arm of the Japanese commercial vehicle manufacturer has confirmed it has signed binding agreements.
Offering the first major insights into the estimated $3.3 billion arrangement since it was announced last December, Isuzu has outlined how the strengths of both global commercial vehicle giants will be melded to respond to industry changes by further capitalising on the abundant opportunity available to the broader global road transport sector.
In an update provided to the road transport industry, Isuzu Australia Limited Director and Chief Operating Officer, Andrew Harbison welcomed the news that the company was set to build a long-term and industrious relationship with Volvo Group through what is currently being described as a strategic partnership.
“The formalisation of the alliance between Isuzu Motors Limited and Volvo Group, first announced late last year, marks a significant day for the global Isuzu family and firmly underpins the current and future strength of the organisation,” said Harbison.
The agreement formalises the transfer of complete ownership of UD Trucks from the Volvo Group to Isuzu Motors Limited, and encompasses a range of cooperative activity including a technology partnership covering joint development of common platforms within the Isuzu and UD product line-ups and utilising Volvo Group technology.
“The transfer of ownership of UD Trucks from Volvo to Isuzu is an important aspect of this announcement and has been described as building a bridge in the business between Isuzu and Volvo – another substantial transformation within the broader transport industry warmly welcome here in Australia,” said Harbison.
“The focus on complementary capabilities and the leveraging of volume opportunities here will be a real win for road transport equipment operators around the world,” he said.
“Further enhancing this is the intended cooperation between Isuzu and Volvo regarding the development of new technologies such as autonomous driving, connectivity and medium- and heavy-duty electric vehicles.
Although the news won’t immediately impact the domestic Australian market immediately, Harbison was, for the moment, excited to see where the new strategic partnership would lead Isuzu’s customers, acknowledging the clout of both global groups who were clear leaders in their fields of expertise.
“In the meantime, our local operators can look forward to continued and uninterrupted service, advice and support from IAL and our dealer network,” Harbison concluded.
Further information, according to Isuzu, will be provided as Australian operations are advised of next steps.