Procurement JV in Hino Traton deal


Companies to work together on product development as Traton prepares for initial public offer

Procurement JV in Hino Traton deal
Hino CEO Yoshio Shimo and Traton CEO Andreas Renschler after signing the agreement

 

MAN and Scania parent company Traton will work with Hino Motors to develop a new procurement joint venture and to speed up product development, the companies have announced.

While the companies plan to release more details of the planned joint venture in coming months, it aims to find synergies in procurement for both existing parts and new technologies.

Traton and Hino also plan to share their e-mobility development efforts in a bid to help strengthen each other’s skills in innovation – noting that Hino’s focus was on light- and medium-duty trucks, while Traton was in the heavy-duty space.

Traton CEO Andreas Renschler says the partnership between the two companies, first agreed in April, would be a source of strength for both.

"Our sector is changing. Together, we will be able to shape the ongoing transformation of transportation," he says.

"We are continuously identifying new opportunities.

"The cooperation in e-mobility and the establishment of a procurement joint venture is just the beginning."


Check out our April news story about the deal, here


Hino CEO Yoshio Shimo says the companies have made good progress in both fields so far.

"With every new meeting, I gain confidence that we are moving in the right direction to strengthen our relationship of trust and to pursue further possibilities," he says.

"Today’s announcement is our important first step."

The news comes as Volkswagen advances moves to formalise the spinout of Traton through an initial public offer by authorising a change of its legal form to a Societas Europaea (SE), which it says will support it in expanding its global platform.

Renschler says the company expects to be capital market ready by the end of 2018.

"Traton will now take the next steps at full speed," he adds.

"The employee representatives of Volkswagen, MAN and Scania have supported the path to capital market capability and the change into an SE in a very constructive way."

"For the employees of all brands working together under the umbrella of Traton, this strengthens the sustainable safeguarding of employment."

 

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