Volkswagen Trucks and Bus announced that it will return in January from collective vacations to resume production in two full shifts, marking a return to a pre-April status.
Since April, alternating worker groups have managed the production line and remote work, with workers undergoing training courses during off-duty periods. This measure was essential due to a 37.8% decline in truck production and a 35.2% decrease in bus chassis production from January to October.
From January onwards, production will resume at full capacity, assuming positive market expectations.
Source: AutoData Read The Article
PSR Analysis: The temporary layoff in April was aimed to align the plant’s production with market demand affected by the transition from Proconve to P8 (Euro V to Euro VI) and the consequent pre-buy. Now, Volkswagen’s optimism for 2024 is based on a significant order for 5,600 school buses through the “Caminho da Escola” program and expectations of a GDP increase of 1.5% to 2%. and export markets that are poised for recovery. The order comprises 5,600 units of its vehicles, all powered by the Cummins ISF 3.8L engine and equipped with air conditioning.
In addition to Volkswagen Trucks and Buses, Iveco, Volare, and Agrale secured bids in the auction. Mercedes-Benz, typically a major participant, will not have orders in this phase of the program. PSR
Fabio Ferraresi is Director, Business Development-South America, for Power Systems Research
