Russian tariffs Iveco

Iveco company summed up its activities in 2016

In April of this year, the Iveco company summed up its activities in 2016, and announced the development strategy in the Russian market in 2017. Also reported on the results of the activities and plans of the group CNH Industrial (agricultural and construction equipment), which includes Iveco.

The press conference was attended by the head of CNH Industrial in Russia and Belarus Fabrizio Cepollina, business Director of Iveco in Russia and Belarus Massimiliano Perry, business Director of "Spare parts" CNH Industrial in Russia Michael Murakhovsky and head of marketing at Iveco Alex Listen.

Fabrizio Cepollina in his speech, voiced the group's financial performance in the world, including for commercial vehicle segment: revenue increased from $9,542 billion in 2015 to $9,553 billion in 2016, and an operating profit of $283 million to $333 million, respectively.

In the commercial vehicle segment expected recovery of the market in 2020 at the level of 2014. Iveco here strives to offer the best conditions on the total cost of ownership and ensure the availability of gas engines. In the end, to achieve lower costs, improve efficiency and competitiveness. According to forecasts 1750 registrations of commercial vehicles Iveco in 2017, which is 150 units more than last year.

 "We note the positive trend on the Russian market of trucks due to the General stabilization of the economy and in 2017 the forecasted market growth of around 10%. And by 2020, the expected return of demand to the level of 2014," said Fabrizio Cepollina.

Fabrizio Cepollina paid special attention to localization of production. Thus, the plant in Naberezhnye Chelny, which produces agricultural equipment brands, CASE IH and New Holland Agriculture is already implementing 10 of the 15 required industrial operations under Russian government resolution No. 719, and in 2017, this list will be expanded. And the joint venture "Iveco-AMT" concern Iveco plans to start production of trucks heavy range Iveco, Astra, adapted to Russian conditions of operation.

The share of Iveco in the market (3.5 tonnes and above) is 1.6%, or 1611 pieces of equipment, in the segment of trucks (over 6 tons) was 6%, or 644 units.

"We are planning to keep the share of Iveco at the same level in the current year, however, it is possible, revise predictions, because in the first two months of 2017, the market growth in the segments where we are present, amounted to about 35%," said Massimiliano Perry.

The company plans to develop and reformatting dealer network. In March he opened the first center in the new format – SIAS. And in the third quarter of 2017 is scheduled to launch in Russia program OK Trucks, which is the basic concept is to offer customers a wide range of used cars, certified according to quality standards, Iveco.

In early summer the company will present in Russia updated version of the Iveco Daily, new Iveco Eurocargo ("truck of the year – 2016") and the new Iveco Stralis NP, operating on natural gas, focusing especially on such an important indicator as the cost of owning a car. "We compared the Iveco Daily with the equivalent of a competitor machine price, cost of maintenance and fuel consumption. The result was that the total cost of ownership our car less at 15-16%," – commented Alex Listen.

Customers will offer attractive leasing programs and special service contracts Elements that will cover the entire life cycle of the vehicle. Dealer network the maximum focus on customers and 70% of the network will be reformed. In addition, Iveco will present the new direction of Iveco OK. We are talking about a new venue in Moscow, which will be presented to freight cars various brands not older than three years from Europe.

In the segment of agricultural machinery major events of 2016 was the opening of the training center and apply for SPIC (special investment contracts). In addition, resumed the work of the plant for the production of agricultural equipment, the localization level in 2017 is 15%. The market for tractors and combine harvesters is growing in 2016, in 2017 the projected growth of the tractor market 55% of harvesters 45% in comparison with 2015. CNHI strategy in this segment involves investment in the localization process, as well as a demo program for a "Test drive 2017" to improve the quality of customer service.

The situation in the construction machinery industry is less optimistic. Due to the significant reduction in construction works the construction equipment market has shrunk by 80% between 2012 and 2015. However, according to forecasts CNHI, there are prospects of growth of approximately 42% in comparison with 2015. In turn, CNHI will focus on the promotion TLB Case of India conducting a demo of the displays of equipment and providing special conditions for the purchase and after-sales service. And implements the strategy for establishing reasonable rates and the distribution of activity around the world.

CNH Industrial also reported significant improvement in service for the supply of spare parts: the area of a distribution center in the suburbs with a permanent presence range of spare parts more than 30 thousand articles increased in the 1000 m². "Thus, when handling customers, parts and components are already in stock in our Central warehouse in Moscow, more than 91% of cases, and in any corner of Russia, including the far East and far North, we can deliver spare parts within 24 hours," – said in his speech, Michael Murakhovsky.

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