The Volvo Group, a Swedish vehicle manufacturer, has signed a non-binding Memorandum of Understanding with Isuzu Motors to form a strategic alliance for the transformation of commercial vehicles and to capture new opportunities. Volvo plans to establish a global technology partnership and to create a stronger, combined heavy-duty truck business with Isuzu Motors in Japan and across international markets.
As per MoU, the UD Trucks business ownership would be transferred from the Volvo Group to Isuzu Motors to accelerate the growth in the heavy-duty truck business. A new technology partnership will leverage the parties complementary areas of expertise within both well-known and new technologies and also create conditions for a stronger heavy-duty truck business for UD Trucks and Isuzu Motors in Japan and across the world markets.
The Volvo Group and Isuzu Motors have a well-established relationship on medium-duty trucks in Japan based on mutual respect, shared values and win-win spirit. We see great potential to extend our cooperation within technology, sales, and service as well as other areas going forward, for the benefit of our customers and business partners, says Martin Lundstedt, President and CEO of the Volvo Group. Our UD Trucks colleagues have done a great job to improve performance in recent years, and the alliance opens up a great opportunity to continue the successful journey.
The prominent investments / deals by Volvo Group are mentioned below:
- December 2019: Volvo Group Venture Capital invested in Autotech Ventures, a leading venture capital firm located in Silicon Valley. Autotech Ventures focuses on the ground transportation sector, mainly on autonomous, connected, electrified vehicles and related mobility services.
- December 2019: Volvo Group Venture Capital invested in Apex.AI software for autonomous mobility. California based Apex.AI, is building an automotive-grade version of ROS (Robot Operating System).
- November 2019: Volvo Buses has received Europes largest single order for electric buses. Volvo will deliver 157 electric articulated buses to Transdev starting in 2020.
- July 2019: Volvo Group entered into a strategic alliance with Samsung SDI to develop battery packs for Volvo Groups electric trucks.
Isuzu Motor, headquartered in Tokyo, Japan, is a leading commercial vehicle and diesel engine manufacturer. Isuzu, as a commercial vehicle manufacturer, delivers a broad range of models from light-duty vehicles such as pickups to heavy-duty tractors with massive 16-liter engines. It also provides diesel engines to other vehicle manufacturers as well as non-automotive industries.
About Volvo Group
The Volvo Group headquartered in Gothenburg, Sweden, is a leading manufacturer of buses, trucks, construction equipment, and marine and industrial engines. The company employs more than 100,000 people worldwide and has production facilities in 18 countries. Volvo sells its products in around 190 markets worldwide. The company also provides complete solutions for financing and services.