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Completion of globalisation: Scania launches new generation of buses in Latin America

Today’s introduction of Scania’s new generation of bus chassis in Latin America - the company’s biggest market - represents the completion of the launch which was started in Europe in 1996.

"Exactly like our trucks, the 4-series gives us a common product range and production system throughout the world," comments Åke Brännström, Senior Vice President, responsible for Scania Buses & Coaches world-wide.

"One of the advantages of a global product range is that we can employ common sub-contractors for our production as a whole, enabling us to benefit from economies of scale," continues Mr. Brännström. "This also increases our flexibility in dealing with fluctuations in various markets around the globe."

Greater modularisation

In buses as well as trucks, Scania has developed a modular system to meet its customers’ demands for flexibility.

Åke Brännström explains: "This means that we can use a limited number of main chassis modules, in the form of front and rear sections, to build an extremely large number of different vehicles, which meet the individual transport requirements of our customers."

The number of components used in Scania’s 4-series buses and chassis has been reduced by no less than 60%, while the number of components common to the company’s buses and trucks is growing, and the level of modularisation is higher than ever before. For example, up to 85% of the chassis components used in Scania’s interurban bus chassis are also used in the truck range.

Focus on city buses

Scania currently enjoys a strong position in the long-distance coach segment in Brazil and Argentina, which have been the company’s biggest single bus markets

in Latin America for many years.

With its new 4-series, Scania is concentrating greater efforts on the city bus segment, which possesses huge potential and accounts for over three-quarters

of the present total market of approximately 20,000 units annually.

In conjunction with the launch of the 4-series, Scania is offering an ‘environmental’, ethanol-burning city bus engine for the Latin American market. Interest in alcohol as an alternative fuel is high, particularly in Brazil, where serious efforts are being made to reduce environmental pollution in the major cities.

Two ethanol-powered Scania buses entered service on a trial basis in São Paulo and Curitiba in 1997. These trials have been followed with keen interest by the authorities.

Scania is also to participate in a natural gas bus project in Santiago de Chile, where the authorities are also working hard to improve the urban environment.

For further information, please contact Thomas Skoglund, Information Manager, tel. +46-8-553 812 58, mobile +46-70-556 07 97.

Scania is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 23,800 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. In 1997, turnover totalled SEK 39,700 million and profits after depreciation SEK 2,800 million. Scania products are marketed in about 100 countries worldwide and approximately 95% of total production is sold outside Sweden. Bus manufacture takes place in Sweden, Brazil, Denmark, France and Poland.