Volvo Group and Isuzu Motors recently signed a non-binding Memorandum of Understanding to work on developing new technologies for heavy-duty trucks. The strategic alliance would include establishing a technology partnership, boosting the success of UD Trucks and Isuzu Motors in the Japanese market and beyond, and eventually expanding out to collaborate on technologies for light- and medium-duty commercial vehicles, as well. They plan to sign binding agreements in mid-2020, followed by a transfer in ownership of UD Trucks from Volvo to Isuzu “by the end of 2020,” according to the companies.
“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,” says Martin Lundstedt, president and CEO of the Volvo Group. “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. 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.”
Strengthened Customer Satisfaction
“Isuzu Motors and the Volvo Group strongly believe in the business opportunities and synergy potential between the two Groups. We intend to derive the full value from each other's different specialties across product and geographical strongholds,” says Masanori Katayama, president and representative director of Isuzu Motors Limited. “Our collaboration will actively contribute to service improvements and strengthened customer satisfaction as well as to prepare ourselves for the forthcoming logistics revolution.”