The local truck market saw “a bit of growth” in the first quarter of the year, but the demand emanating from the replacement cycle has been filled, says MAN Truck & Bus South Africa (SA) executive chairperson Geoff du Plessis.

This fact, coupled with a cooling local economy, will most likely result in a flat truck market for 2014 over 2013.

South Africa is not sharing the same positive news seen in the European truck market, notes Du Plessis, with some “clouds ahead for us all”.

However, he adds, Africa “is all about cycles” and “making your way through them”.

Truck sales reached 30 939 units in 2013, compared with 27 841 units in 2012 – an increase of 11.12%.

The replacement cycle of recent years followed the truck boom of six . . . seven years ago – 2007, for example, saw a record-breaking performance of 37 069 units.

MAN Truck & Bus SA had “a slow start to the year”, says Du Plessis.

The group recorded truck sales of 286 units in the first quarter, compared with 310 units for the same period in 2013. Bus sales remained steady, at 99 units, compared with 96 units.

Year-to-end-May truck sales in 2014 were 515 units, with buses at 191 units.

A number of large orders are included in these numbers.

The local arm of the German MAN group in February signed a deal with Barloworld Transport Solutions and its subsidiary, Manline, for the supply of 215 MAN TGS 6 × 4 truck tractors to be delivered up to September.

The Super Group transport and logistics group has ordered 102 trucks, with Golden Arrow Bus Company to receive 108 Lion’s Explorer buses, and the City of Tshwane 120 Lion’s City buses.

There should be a recovery of MAN sales in the months ahead, says Du Plessis, aided by some changes in the business.

MAN Truck & Bus SA is rolling out a service standardisation programme across its dealerships over the next 18 months.

There will also be greater focus on the Volkswagen truck and bus brand, which falls under MAN’s management.

“We really think we can do more with Volkswagen [in South Africa]. “We were in Brazil a few weeks ago to work on expanding the Volkswagen range in South Africa, to take the next step.”

Export numbers to South Africa from Brazil are low, however, and MAN Truck & Bus SA needs “sustainable support” from Brazil, says Du Plessis. “That is important.”

Volkswagen is “a very good product”, he adds.

Volkswagen bus sales currently make up one-third of MAN bus sales in South Africa.

Dickson to Move into Retail
MAN Truck & Bus SA has announced that its CEO, Bruce Dickson, has resigned from the company.

He will, however, remain a nonexecutive member of the company’s board of directors.

The CEO position will revert to Du Plessis.

Dickson will join Alpine Motors, based in Pinetown, KwaZulu-Natal, as a partner and shareholder.

Alpine Group has a Volkswagen and Audi Centre, with a commercial vehicle dealership, as well as a MAN after-sales dealership.