Geographic synergies and technology-sharing at heart of alliance
Hino Motors and Volkswagen Truck & Bus have signed a strategic long-term partnership agreement.
The companies say they will further explore each other’s capabilities to cooperate in logistics and traffic solution research, existing and new technologies as well as in procurement, now that a Strategic Cooperation Framework Agreement (SCFA) has been signed.
The evaluation of technology cooperation will focus on conventional powertrains, hybrid and electric powertrains, as well as connectivity and autonomous driving systems.
Both partners aim to enhance their respective market positions in the global transportation business and will jointly develop innovative technologies to offer customers the highest value.
A joint ‘alliance board’ has been set up based on the SCFA to discuss the direction of the long-term and “eye-level” partnership.
The alliance board is to pursue a pragmatic approach “with a lean organisation and balanced rights for both companies that remain independent. It comprises the CEOs from both companies as well as additional senior management representatives”.
On existing technologies, amongst other things, the alliance board will examine whether there is room for jointly utilising conventional powertrains and evaluate initiatives for future transportation technologies.
“This agreement was made possible because Hino Motors and Volkswagen Truck & Bus respect each other and share the same aspiration to offer customers the highest value,” Hino president and CEO Yoshio Shimo says.
“Hino Motors invented the company slogan ‘Trucks and Busses that do more’.
“To do justice to that, Hino Motors will pursue regional business cooperation and joint utilisation of technologies with Volkswagen Truck and Bus to offer customers better products and ultimately customized total support. It will also be a strong tie-up at times of new challenges in the field of transportation due to the rapid growth of e-commerce.”
Volkswagen Truck & Bus CEO Andreas Renschler underlines the geographic synergies the alliance offers.
“We are delighted to enter into the SCFA with Hino Motors as we are teaming up with one of the leading truck and bus companies, whose presence is especially strong in Asia,” Renschler.
“It is an excellent fit in terms of regional footprints and products, but also concerning common ideas on how to shape the future of transportation together. The cooperation with Hino Motors will also contribute to our strategy to become Global Champion in the transportation industry by providing the highest value to our customers.”
The companies say the strategic partnership will expand their respective global footprints and get boost their ability to tackle the challenges of the industry.