Truck sales fall in Western Europe

| Thursday, September 12, 2002

Industry-wide sales in Western Europe this year will fall by about 15 percent to between 190,000 and 200,000 trucks and demand next year isn't likely to increase, according to Bloomberg News.

Vehicle sales at Europe's fourth-largest truck maker, Scandia, and rivals Volvo AB and DaimlerChrysler AG's Mercedes-Benz division have taken a nose dive in Western Europe and South America. Sodertalje, Sweden-based Scania has cut 2,150 jobs, or about 8 percent of its workforce, since markets began shrinking in late 2000. It has also closed plants in Denmark and the Netherlands.

Leif Oestling, Scandia's chief executive, reportedly told analysts and investors at Scania headquarters he believes the possibility of a war in Iraq is depressing demand.

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