Aug 16, 2012
Hino SA confident of better second half as supply constraints easeBack
Africa|Hino Japan|Hino SA|Hino South Africa|Road|Africa|Japan|South Africa|Casper Kruger|Power|Hino 700 Series|Operations
© Reuse this
“This is quite ambitious,” admits Hino South Africa (SA) VP Dr Casper Kruger, “especially as 2011/12 was a record year for the company”.
“The focus of Hino is to grow its worldwide [market] share,” he adds.
Just over 70% of the 2011/12 volumes were sold outside Japan.
Even more ambitious for Hino is that it hopes to sell 196 000 trucks in the 2014/15 financial year, which would be a massive 73% jump from the 2010/11 volume of 113 000 units.
At least the global truck market is also forecast to grow, from 6.73-million units in 2007, to 8.5-million units in 2015.
Of course, Hino SA has its role to play in its parent company’s growth plan, notes Kruger.
“We have had several meetings with Hino in Japan.”
South Africa is Hino Japan’s ninth biggest market.
With the South African truck market up 6% in the first seven months of the year compared with the same period in 2011, and Hino sales up ‘only’ 7.4%, Hino SA may have a tough task ahead of it. The company also saw market share shrink to 12.2%, down from last year’s 12.7%.
However, says Kruger, with the first six months of 2012 delivering sales of 1 702 units, Hino is positive the second half of the year will be better, at a forecast of 1 938 units.
“We had a bit of a bottleneck in securing semi-knockdown kits from Japan. The loss in market share was largely supply constraint. It was very unfortunate for us.”
“We have a few very nice big orders to build in the second half, and we have secured the stock to deliver on this. We hope the [truck] body builders have the capacity to assist us.”
Hino SA sold 3 390 units in 2011, and is seeking around 10% growth in 2012. Market share will hopefully increase from 12.7% in 2011, to 13.2% in 2012.
As for the total local market, Kruger expects it to reach between 27 500 and 28 000 units.
However, he adds, “we have seen some customers revise the number of trucks they want to buy downwards over the last four months”.
Edited by: Creamer Media Reporter© Reuse this Comment Guidelines (150 word limit)
Other Automotive News
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
This Week's Magazine
The international Square Kilometre Array (SKA) radio telescope – which is to be jointly hosted by South Africa and Australia with, later, outstations in other countries – may not yet exist, but international scientific working groups are already deciding what...
A free Web-based solar power plant capacity-planning tool offers project planners and developers, as well as governments, a means to assess the solar energy potential of thin-film solar PV power over an area of land. The tool was developed by thin-film solar...
As yet, no specific methodology, timeline or costs have been finalised to remedy the water ingress, excessive to contractual specifications, into the Gautrain tunnel between emergency shaft two (E2) and Park Station, says Bombela Concession Company technical and...
The “seriously disruptive” electricity outages in South Africa have cost packaging group Astrapak more than R2-million in “irrecoverable downtime costs”, the company said on Monday, adding that the power cuts were negating some of the benefit of energy saving...
Bakkies and more affordable cars dominated South Africa’s new vehicle market in 2014. Unaudited data from the Department of Trade and Industry (DTI) shows that South Africa’s most popular vehicle in 2014 was the Toyota Hilux, selling 37 562 units.