Like something out of a vision of the future, but which is already a reality here and now, buses powered entirely by electricity from renewable sources will become a part of the Gothenburg’s public-transport system. The buses will be extremely fuel-efficient, silent and completely emissions-free. Passengers onboard will have access to new technologies and at least one of the bus stops will be located indoors.

“This represents an entirely new mode of travel and will allow for the public-transport system to contribute to a more pleasant urban environment. A silent and emissions-free public-transport system will enable the inclusion of locations in the city that are currently off limits. It is immensely satisfying to be able to launch this in our hometown, in cooperation with Region Västra Götaland and the City of Gothenburg,” commented Olof Persson, President and CEO of Volvo.

Sustainable social development is closely linked to the development of new transportation systems. The use of electric power not only places Gothenburg on the map in terms of sustainable and innovative solutions for public transport; the new bus service will also open up new possibilities in city and urban planning.

Commencing in 2015, the electric buses are to run between Johanneberg Science Park adjacent to Chalmers and Lindholmen Science Park in Hisingen.

“The electric bus service entails a new mode of public-transport system usage, which is highly positive for Gothenburg. It will highlight Gothenburg as a progressive city in terms of city planning. This is also in line with our prioritized objective of having Gothenburg reduce its climate impact to become a climate-neutral city, and of increasing sustainable travel,” explains Anneli Hulthén (Social Democrat), Chairman of the Municipal Board.

In addition to the electric buses, the cooperation also includes the creation and trial runs of new bus-stop solutions, traffic-routing systems, safety concepts, energy supply and business models.

The hope is that the project, known as ElectriCity, will attract more commuters to use public transport. This is also expected to clear the way for more, attractive public-transport solutions in the Västra Götaland region.

About ElectriCity
The new electric bus-service initiative was launched by the Volvo Group in cooperation with the City of Gothenburg, Göteborg Energi, Västtrafik, Lindholmen Science Park, and Johanneberg Science Park.

The project will be presented at a press meeting on June 17 between 12:00 p.m. and 1:00 p.m. at Hotell Eggers in Gothenburg, and was attended by Olof Persson, the President and CEO of Volvo, Anneli Hulthén, Chairman of the Municipal Board and Gert-Inge Andersson, chairman of the Regional board of Västra Götaland.

Amanda Tullberg
Volvo Business Services
Gothenburg, Sweden

“Take the lift at the Gothia Towers Hotel all the way to the restaurant known as Heaven 23. It is famous for its fabulous prawn sandwiches which really are something else! Shellfish are also a speciality here in Gothenburg and western Sweden and visitors really should try them. From the restaurant, you have a truly breathtaking view of Gothenburg. You can look out over the roofs and, if you sit there in the evening, it’s fantastic to see all the lights. I have visited the restaurant several times and I have also taken guests and colleagues from Volvo there and they are all as fascinated as I am. Gothia Towers is opposite the Liseberg amusement park near Korsvägen.”
http://www.svenskamassan.se/en/heaven-23/

 YumikoYoshida
Volvo IT
Ageo, Japan

“I really would recommend a visit to the theatre. Kabuki is a genuine classical Japanese theatre form full of powerful expressions, with dancing and the characteristic make-up. It is most definitely a memorable experience. Go to the Kabukiza Theatre in the area known as Ginza in Tokyo. When the performance ends, you can walk around the shops in the area and have a meal at one of the many pleasant restaurants. At the weekends, the otherwise heavily trafficked streets are open to pedestrians.”
The address is Ginza 4-12-15 Chou-ku. http://www.kabuki-bito.jp/eng/top.html
You can also watch a film about Kabuki at: http://youtu.be/67-bgSFJiKc#

Bryan King
Volvo IT
Greensboro, USA

“The beautiful nature is one of the best things about North Carolina and one of my most favourite places is the Pilot Mountain nature reserve. It takes about 40 minutes to drive there from Greensboro and, during the last 15 minutes, the mountains tower above you like a beautiful, unique symbol, surrounded by fields and forests. In the reserve, there are many nature trails that take you round the mountain summit where you can enjoy extensive views of the landscape and Greensboro. It’s the perfect place to spend an afternoon walking and enjoying the fresh air.”

http://www.everytrail.com/guide/summit-trails-at-pilot-mountain-state-park-north-carolina

Vera Motta
Volvo do Brasil
Curitiba, Brazil

“The botanical gardens are well worth a visit. This is a wonderful park and a major tourist attraction at the very heart of Curitiba. The park features an impressive greenhouse that you can see the moment you enter the park, which was inspired by French garden architecture and is full of beautiful flowers, waterfalls and small lakes.
“If you want to see more of the city, I would recommend a guided tour on a tourist bus, Linha Turismo, with departures every 30 minutes.
“This area is also famous for the many Italians who immigrated here and made their mark when it comes to growing herbs and producing wine and cheese.”

Visit the park on You Tube:

http://youtu.be/yRKGLYakCck

Vasakh Shankar
Volvo Buses
Bangalore, India

“I you would like to enjoy a taste of the local culture and Indian narratives and folk lore, you really must visit the Ranga Shankara Theatre in the area known as JP Nagar in the southern part of Bangalore.
“This theatre puts on exciting performances that capture the audience’s imagination and I can guarantee that you will leave the theatre feeling that you have had an uplifting experience. There are performances virtually every day by both Indian theatre groups and international performers. What’s more, there is a small, picturesque café, the Anju café, near the theatre. In October every year, there is an extremely popular theatre festival which attracts a large number of visitors.”

Read more at: http://www.rangashankara.org/home/rangatest/index.php

“Customers are going to love these trucks,” he says.

According to Olof Persson, Renault Trucks’ new truck series is important for the entire Group. It is going to strengthen the product portfolio and increase the potential for the Group to expand on both European and international markets.

“Together with Volvo Trucks’ new trucks, we now have a unique brand and product portfolio that match the different needs of our customers. I would go so far as to say that the Group has never been in such a strong position as it is now as a result of these new truck models.”

As far as Olof Persson is concerned, it goes without saying that the Renault Trucks brand is a large and important part of the Volvo Group. He explains that, in addition to these new trucks, the Group has also committed resources and made substantial investments in plants and new technology.

“We are going to make sure that Renault Trucks expands and we are going to take the brand to the next level,” he says.
At the same time, important work is in progress on merging Renault Trucks’ and Volvo Trucks’ dealer and service organisations in many markets in EMEA.
“In some countries, each of the brands is too small to develop the sales and service network on its own. Now, however, we have a more closely knit network in newly integrated markets, with as many as 30 to 40 per cent additional service points in Renault Trucks’ case and 10 per cent when it comes to Volvo Trucks. This will benefit everyone and make the organisation more effective,” says Olof Persson.
Renault Trucks’ strong presence on its domestic market in France also offers advantages to the entire Group, according to Olof Persson.

“Renault Trucks’ presence on its domestic market, in combination with its powerful brand and genuine history, gives us an excellent platform on the important French market. This position can also help us to grow and expand to include markets and customers outside France,” he adds. 

The new Renault trucks are designed primarily to attract customers in the high-end segment and Olof Persson is convinced that customers are going to be impressed. He is also convinced that the new trucks will attract customers from competing brands.

“I have great expectations of these new trucks and I’m really optimistic,” he says.

On his test drive, Olof Persson was particularly impressed by the driving characteristics and the new functionality. He says that the trucks were easy to manoeuvre and offered good visibility. He also likes the design.

“This is a truck with a modern design which is extremely well planned and can be seen throughout the series. To put it simply, these trucks are incredibly attractive,” he says and underlines the important work that has been done by everyone involved in developing the new truck series. 

Read all about the new Renault Trucks range

Read all about the new Renault Trucks range

Watch a video of the new range here

Backed by the global Volvo Group, the new trucks will replace Renault Trucks’ entire fleet. Bruno Blin, president of Renault Trucks, sees great opportunities to capture market shares by offering the perfect tools for its customers to operate their businesses.

 “A revolutionary range that sets new standards in terms of robustness, reliability and fuel savings: in fact, everything to make a truck a cost-efficient tool in an increasingly competitive economic climate.”

Bernard Modat, Renault Trucks’ Global Brand senior vice-president, concludes, “Even though we are aiming to create pride among drivers with our new range, we haven’t only set out to design ‘beautiful trucks’. In addition, we have focused on developing reliable, profitable ‘working tools”.

All the project teams have focused on renewing the entire Renault Trucks range. This is particularly true of the design team, which has seen almost 70 people from 10 different countries focusing on the development of the new range.

According to Hervé Bertrand, Renault Trucks’ design director, the new range is a real break with the past. “At the same time, we drew inspiration from the best of Renault Trucks to create it. There is still the powerful visual impact of the Renault Magnum and its double architecture, distinguishing the technical part of the vehicle from the cab, combined with all the commercial efficiency delivered by the Renault Premium Long Distance. In addition, we have also had many conversations with drivers, customers and dealers, giving us the insight to meet their needs in every respect,” he says.

The front of the trucks is the most characteristic angle with its shape inspired by the Greek letter pi (∏).

“Most of our competitors have chosen to feature radiator grilles in the form of a vase on their new ranges. We have chosen to do the opposite – giving Renault Trucks’ vehicles a broader, more reassuring base on the road,” Hervé Bertrand says.

Read all about the new Renault Trucks range

A revolutionary range that sets new standards in terms of robustness, comfort and fuel savings: in fact everything to make trucks cost efficient tools in an increasingly competitive economic climate.

We have developed a “working tool” in partnership with 50 haulers that is perfectly geared to meet the challenges of cost efficiency their activity demands. Created to be profit centres, these new tools stand apart from everything else on the market.
Closely associating a vehicle with service offerings, they will create quite a stir by their low operating costs, reliability and, of course, by their style which will give drivers great pride in driving them!

The cab design has been very much shaped by aerodynamic considerations and our aim to reduce fuel consumption. This is why the windscreen is inclined at an angle of 12°. But there is the same interior comfort as was found in the Renault Magnum thanks to a width of 2.5 m and headroom allowing drivers over 1 m 85 to stand fully upright. We also wanted to have a totally separate driving position while at the same time optimising the interior storage space. Both inside and out, everything has been done to express these new vehicles’ efficiency and their determination to assert themselves as genuine working tools for our customers.

The culture of delivering operational performance and profitability is part of Renault Trucks DNA. And now, more than ever, Renault Trucks is making a commitment to haulers and their drivers. A commitment expressed in the brand claim Renault Trucks Deliver.

Bruno Blin, President Renault Trucks

Read all about the new Renault Trucks range

The Volvo Ocean Race celebrates its 40^th birthday in September 2013 and Musto’s association with the historic test of sailing skill, teamwork and character goes back as far as the third edition in 1981-82 with winning boat Flyer II.

Since then, Musto has supplied sailing clothing and waterproof equipment to teams in every edition of the race around the world and the company was official race supplier for the eighth and ninth editions in 2001-02 and 2005-06.

Volvo Ocean Race CEO Knut Frostad said he was delighted to welcome back Musto as official partners for 2014-15.

“Musto sailing clothing is used across our sport and carries huge respect as the kind of high quality, durable gear needed for an event which has the demands of the Volvo Ocean Race,” Frostad said. “We are returning to a much-loved race partner and I’m delighted that we’ll be working with them once more.”

Musto will place the Volvo Ocean Race at the heart of its marketing activities running through to 2018, while showcasing branded clothing and equipment across existing and future sales points and at the host ports along the route.

Nigel Musto commented: “The Volvo Ocean Race has always been part of the Musto DNA. Since 1981 it’s been our test track, now a 40,000-mile endurance run not only for the crew and the boats but for our  waterproof jackets and gear – a laboratory for all our innovations and a true test of our products.

“Musto never have designed their foul weather gear from behind a desk, and this new partnership helps us to continue working with the very best offshore crews in the world, clothing designed by sailors, for sailors. It’s going to be a very exciting few years.”

The 12^th edition of the Volvo Ocean Race, starting in Alicante on October 4, 2014, will be the first to be raced with a new fleet of one-design boats, designed by Farr Yacht Design in the United States and built by a consortium of boatyards in Italy, France, Switzerland and the United Kingdom.

Livia was behind the wheel during the premier tour, with her grandmother sitting next to her while Olof Persson and Andreas Andersen travelled on the truck platform. After that, the ride was open for all the little drivers and they really did go for it. The trucks, which are inspired by Volvo trucks from the early 30s, had to show their true colours and the ride was free all day for all children.

Farfars Bil is one of Liseberg’s most classic and loved rides. Together, Liseberg and the Volvo Group have created an experience which takes the children on a journey from city, to coast and the countryside. They also get to learn about traffic safety and Volvo’s history. The children can pick up a driving license with their picture, which shows that they have participated in Liseberg’s and the Volvo Group’s driving school.

Watch a video of the winning idea

“The idea is to collect various kinds of environmental data, in our case local atmospheric conditions, and present a map with an overlay indicating how clean the air is. People can then choose between different routes for the best experience biking or walking between home and work, amongst other things”, says Marcus Hedenström.

The hackathon International Space Apps Challenge is an international mass collaboration focused on space exploration that takes place over 48 hours in cities around the world. The event embraces collaborative problem solving with a goal of producing relevant open-source solutions to address global needs applicable to both life on earth and life in space. NASA is leading the global collaboration along with a number of additional government collaborators and over a hundred local partner organizations.

 ”Much of what made the Hackathon great was the interaction with other people from my own field and I saw the opportunity to combine my interest in space and astronomy with my interest in mobile application development. It was exciting to be part of a project with so much potential and I am very glad it got the attention it did,” says Marcus.

 The winning idea Marcus and his team came up with is based on using a basic air quality and soil sensor which users can “plant” into their garden and through that get a variety of information about the environment it is in. The aggregated information can both be used by city officials to monitor air quality on a neighborhood level, and by scientists to gain deeper insights related to global climate. This could encourage people to grow food locally, while also creating a massive open-source database of local environmental data.

 “My best tip to others when it comes to innovation is to draw inspiration from two or more completely different fields, then create something that has a place in people’s daily lives,” Marcus concludes.

The WWF imposes rigorous demands on companies wishing to join “Climate Savers”. They need to be leaders in their industry when it comes to reducing carbon emissions and undertake to reduce them still further. The Volvo Group was approved by the WWF as a member of “Climate Savers” in 2009 and, since the start, the carbon emissions generated by the Group’s products have been sharply reduced, while the emissions from production have been cut by no less than 16%.

“Being a member of ‘Climate Savers’ is a major undertaking and it is not something that simply happens automatically. The member companies have to pass through the eye of a needle that is really tiny to be approved by the WWF and we demand that the objectives are regarded as a true challenge. The Volvo Group is still the only vehicle manufacturer to be included in ‘Climate Savers’ and you should be really proud of this,” says Siv Persson, the person responsible for corporate partnerships at the WWF in Sweden.

“To succeed, a strong commitment to ‘Climate Savers’ is essential, right up to executive management level. When we were approved as members of ‘Climate Savers’, the WWF had a limited knowledge of the automotive industry and some people were probably quite sceptical about our involvement, but we have developed a close partnership and created a good understanding of one another’s operations,” explains Gunnar Bengtsson, Director Environmental Affairs at AB Volvo.

So how is the Volvo Group’s involvement in “Climate Savers” actually developing?
When half the period had ended, the project was evaluated by Ecofys, an independent company specialising in energy issues. The results exceeded everyone’s expectations. When it comes to production, the target is to save 0.2 million tonnes of carbon dioxide in 2009-2014. Things have gone exceptionally well and the Volvo Group has already saved 0.3 million tonnes in just three years.

The emissions from production and products are measured separately. Within production, the emissions are divided into direct emissions from plants, including the emissions from an oil boiler, for example, and indirect emissions, such as the production of the electricity the Group uses. When it comes to products, this includes all the vehicles produced in 2009-2014 within the project and the emission levels are compared with the corresponding vehicles in 2008.

To make the measurements, the products have been divided into different categories and the evaluation is then based on a reference vehicle in each category. The overall target is for all the products sold during the period to reduce their carbon emissions by 30 million tonnes. Compare this with the fact that 60 million tonnes of carbon dioxide are discharged within the space of a year in Sweden and it is easy to obtain a clear picture of the level of the Group’s ambitions. Halfway through the project, the Group has already reached 18 million tonnes and the final target of 30 million tonnes is expected to be reached in 2013.

“The Volvo Group has been really successful when it comes to both realising its targets and taking advantage in business terms of its membership in ‘Climate Savers’. By combining forces, we have exceeded expectations and the work the Volvo Group has done is a real eye-opener for other companies,” says Siv Persson.

“‘Climate Savers’ is a real win-win situation. First and foremost, it benefits the environment, as well as being good for our operations. We have more competitive products and create credibility when it comes to our core value of environmental care. I am delighted to be part of this project. My work feels meaningful and, when my children ask me what I do at work, I can answer them with pride,” says Gunnar Bengtsson enthusiastically.

Watch the film on Volvo Group’s participation in WWF Climate Savers programme

As part of the project, Volvo Group undertook to reduce its lifetime emissions of CO2 from products manufactured between 2009 and 2014 by 30 million tonnes. The Volvo Group will also reduce CO2 emissions from its production plants by 12 percent and offer a truck that runs on renewable gas. When half the period had ended, an independent company specialising in energy issues. The results exceeded everyone’s expectations…

What was the biggest challenge you faced during the launch project?

“The fact that we have so many changes happening at Renault Trucks, all at the same time. All the products are new; then there’s the Euro 6 emission regulation that takes effect in January 2014; and we’ve got some new sales tools. On top of it all, there’s the internal organisation transformation. It’s a lot at once! But it’s also very exciting.

The challenge for us, as a project team, is that we have to cover the phase-in of the new product, phase-out of the old range, sales tool offering, sales force and technicians’ training, marketing, press and communication, and maintenance covering network tools and spare parts. It’s a lot to manage in parallel to all these changes going on around us.“

Is is it difficult to keep your team on track given all these changes?
“Absolutely not. We’ve got our deadlines, our weekly meetings and a good work process in place. Besides, this is an exceptional event for Renault Trucks as it’s the first time ever that we renew all our products at the same time. Everyone’s really motivated because it’s such an important event for the group. It’s a huge opportunity for everyone to be part of this development and the company’s future.”

So how will your life look after the launch?
“For me and the team – and the entire organisation – the launch is like a dream come true; it’s the day our baby will be born and when we will show all our work from the past seven years. But while June is the first step of the launch, it doesn’t mean the end of the road for me and my team, it’s just the start of the next phase.”

 Can you share some of your project management tips?
“Coordination and communication are essential. There are so many different business lines and people involved that the project has to be properly coordinated and information communicated regularly.”

How does it feel to work as a woman in such a male-dominated environment?
“I’m used to it! Already, back in university, I was one of the few female students studying engineering. When I began to work, there were very few women working in this field.

I have two kids – now they’re grown up – but when they were younger I needed to put them in kindergarten and sometimes had to leave a meeting a bit early to pick them up. Back then, the men would give me a funny look and wonder why I had to leave.

Times have changed. Now, both parents often work and it’s not uncommon for men and women to leave early to pick kids up or drop them off at school. Twenty years ago this was not the case.“

What’s driven this change do you think?
“Society has developed, but things have also changed a bit since we joined the Volvo Group as they work with diversity as part of the Volvo Way. For example, we set up a Women’s Inclusion Network last year which provides a discussion forum, lunch meetings and an online site for gender-related issues.

But the fact is that women are still a minority in this industry so it’s always going to be a bit more difficult to be integrated. The typical male and female stereotypes still remain. Things have changed for the better but there’s still a long way to go.” 

What has been one of the memorable things you’ve done during your truck career?
“I once spent a night in a cab at a truck stop to experience how it is to sleep in a cab and what the driver needs so I could better define the prerequisites for the new products. In the beginning I was a bit anxious but it was very interesting to understand their job better. I noticed that they spend a lot of time alone in their job – they eat alone at roadside diners, they sleep in their cab. It’s like their home when they are on the road.”

You used to play basketball professionally. Where does your interest in this sport come from and do you see similarities between basketball and your job?
“I grew up in Villeurbanne which is the home of ASVEL, one of France’s biggest basketball teams. So, when my teacher created a team in primary school, I joined and ended up playing at the national level in France. I still play for fun today and am on the club’s management; my son also plays so I often watch his matches.

Basketball is a team sport which is what I like about it. We’re all one team aiming for a goal. Teamwork is crucial to win. It’s the same in business!

 There’s a Pack Boivin named after you. What is that about?
“When I worked on the specifications of the new products, we wanted to analyze the storage space needed in the cab. So, I put two big bags together with everything the driver needs to store in his cab – food, clothes like helmet and boots, things they need for the truck like window cleaner etc. We wanted to see if everything would fit comfortably in the cab.

This was six years ago and, to this day, it’s still called the Pack Boivin after me!“

Profile
Nathalie Boivin

Title: ‘Ready to Launch’ Director for the new Renault Trucks range
Education: Degree in mechanical engineering from Lyon University
Work experience: Joined Irisbus in 1989. Joined 3P Renault Trucks in 1999 as an engineering manager; moved into product marketing in 2002 responsible for cabs products then the Construction range; appointed ‘Ready to Launch’ Director for the new range in 2012.
Hobbies: Bricolage, spending time with friends, playing basketball, traveling, trekking.
Favorite truck: “Today, it’s the Renault Kerax. But, ask me  after June and I’ll have a new favourite!”

Four years ago the Volvo Group was the first vehicle manufacturer in the world approved to participate in the World Wildlife Fund (WWF) Climate Savers programme. This is a global programme where companies give an undertaking to cut their CO2 emissions.

The Volvo Group promised to cut emissions from its plants by half a million tonnes by 2014. For our products, we undertook to reduce lifetime emissions by at least 30 million tonnes during the same period. And thus far, things look very promising indeed. The 2012 summary shows that we are actually ahead of our overall targets.

Cooperation with WWF has given us even more reason to focus on fuel efficiency. We have refined our simulation tools and our follow-up mechanism for improving the fuel efficiency of our products. Fuel-efficient products benefit our customers and thus our business. Of course it is a great advantage to us when WWF, which is perhaps the world’s most respected pro-environmental organisation, publicises the results of our partnership. This cooperation has definitely helped further strengthen the way we communicate about the environment, one of our core values.

When discussions about our partnership started WWF was not entirely happy about the arrangement. Many people at WWF felt that the organisation should not ally itself with a company that manufactures such polluting products – ‘truck transport’ was virtually a swear-word for many there. Today WWF regards Volvo as the company that will lead the industry towards more sustainable transports and they are doubtless as happy as we are over our cooperation.

WWF was the first NGO to be allowed in China and the organisation has a highly respected reputation in the country, working among other things as advisors to the Chinese government on environmental issues. It is thus naturally a good partner for Volvo Group to have as we expand our presence in China, and I am convinced that in the future we will enjoy even deeper cooperation with both WWF and other NGOs. These are organisations that will become increasingly important partners for us.

Watch the interview on the Financial Times website. 

The reveal of the new Volvo FH series took place in downtown Brisbane, where hundreds of employees took part in the festivities. They had a reason to celebrate. Since 2009, Volvo Trucks’ market share has grown from 9.5 per cent to 12.9 per cent, according to Arne Knaben, President of Volvo Group Australia.

“This makes us the second largest heavy-duty brand in a highly competitive market where 17 different truck brands from all over the world are present. With the new Volvo FH we are convinced that we can even further strengthen our position on the market.” 

The new Volvo FH series is perfectly suited for the extreme environment in Australia, where long distances are driven in hot weather, with very heavy loads and high speed limits. Due to the long transport distances, the typical Australian long-haul driver spends an average of five nights per week in the truck, which of course puts immense demands on the working and resting environment in the cab.

One of Volvo Trucks’ biggest competitive advantages in Australia is the fact that the company has its own manufacturing facility in Wacol, just outside Brisbane. This makes it possible to tailor the trucks more quickly to meet customers’ specific needs.

“Our local engineers and designers also made a lot of adaptations on the new Volvo FH for the Australian market, which of course gave us the opportunity to meet a lot of customer requests. A few examples are the added fuel and AdBlue capacity, the new wild bar and a pull-out solution for the bed which adds an extra 30 cm,” states Gary Bone.

The very harsh driving conditions in Australia, with 60 per cent of the roads classified as rough by Volvo Trucks’ own standards, also make it a first-rate proving ground for testing new products. Therefore, Volvo Trucks Australia has been part of the new Volvo FH testing programme from the very start and the test trucks have the highest driven mileage in the world.

“For me it’s obvious: a truck that is not only ready for the demanding Australian market but also expected to compete and win in this market has to be a very durable and high-quality truck. That assurance should mean a lot globally too,” concludes Arne Knaben.

For more information, go to Volvo Trucks

Volvo employees at the NRV plant have been participating for more than two decades in the Run For The Wall motorcycle rally in tribute to America’s fallen military heroes and prisoners of war.

The Volvo Group already has extensive knowledge about electric drivetrains, but in order to become world leading in sustainable transport solutions, the Volvo Group must find even more solutions that allow the vehicles to operate on renewable energy. A great deal of this energy will be distributed as electricity. However, the challenge is about supplying the vehicle with electricity power when needed.

“In city traffic, there are currently various solutions and we are researching many others. We have field tests in progress where our plug-in buses are equipped with a battery that can be charged quickly when the buses are at bus stops,” says Mats Alaküla, the Volvo Group’s expert on electric vehicles and Professor at Lund University.

But for long-distance trucks and buses, this will not work. They stop infrequently and to cope with this task they would need so many batteries that there would be no room for any loads or passengers. A solution is required where power is continuously supplied to the truck from an external source.

The Volvo Group participates in a large Swedish research project to find solutions for this, with the support of the Swedish Energy Agency. The project includes the Swedish Transport Administration, Vattenfall, several universities, vehicle manufacturers and suppliers.

The method currently being developed and tested by the Volvo Group, together with Alstom, entails two power lines built into the surface of the road along the entire length of the road. A current collector in contact with the power lines will be located on the truck.
 
“With this method, electric vehicles could be continuously supplied with power without carrying large batteries,” says Mats Alaküla. “The power line will be built in sections and one section is only live as the truck passes.”

Last year, Volvo built a 400-meter long track at its testing facility in Hällered outside Gothenburg. The company has been testing the system since last autumn.

“We are currently testing how to connect the electricity from the road to the truck. The electricity flows into a water-cooled heating element, with similar power requirement as an electricity-driven truck,” says Richard Sebestyen, who is the project manager at Volvo Group Trucks Technology, which is the Volvo Group’s research and development division.

However, a great deal of research still remains before this can become a reality. It involves the continued technical development of the current collector, electric motor and the control systems required. It also involves road construction, road maintenance, electricity supply along the roads and various payment models, etc.

“A lot of years remain before this is on our roads,” says Mats Alaküla.

“But, if we are to succeed in creating sustainable transport systems, we must invest significantly in research now. I am convinced that we will find a cost-efficient way to supply electricity to vehicles in long-distance traffic and we have already come a long way in our research.”

“This has been one of the most intensive and exciting periods in our history. With the most modern and high-tech Volvo line-up ever, we now have an outstanding ability to help customers in all segments to improve their productivity and profitability,” says Claes Nilsson, President of Volvo Trucks.

The visual Volvo family ties are now stronger than ever between the most powerful truck, the Volvo FH16, and its smaller siblings. All the new trucks offer a wide range of benefits for the drivers. All cab environments have been renewed or upgraded with the focus on creating an effective, ergonomic, comfortable and safe workplace.

“The working conditions of the truck driver are always in firm focus when we develop new trucks. The groundbreaking Volvo Dynamic Steering is an excellent example of how we make driving more effortless, and the Individual Front Suspension, a world-first on heavy trucks, improves both comfort and stability,” says Claes Nilsson.

Reducing transportation costs
Volvo Trucks has also introduced new innovative technologies and new services designed to reduce the customer’s transport costs. One of the foremost new features for fuel saving is I-See, which can be compared to an autopilot that takes care of gear selection, acceleration and engine braking on hills in the most fuel-efficient way possible. The first time a truck equipped with the latest version of I-See drives on a hilly stretch of road, information about the local topography is transmitted wirelessly to the Volvo Trucks server. When another truck with I-See drives on the same road, the system automatically receives topography information from the server and makes sure gear-changes, acceleration and braking take place fuel-efficiently the very first time it traverses this road. The fuel saving for the long-haul assignment may be as much as five percent.

“All our trucks share the same virtues of giving the driver excellent driving properties at the same time as the transporter benefits from maximum uptime and minimum fuel costs,” concludes Claes Nilsson.

The Volvo World Match Play Championship is now in its 50th year, and will be contested at one of the most spectacular new golf courses in the world, Thracian Cliffs in Bulgaria. With its elite field drawn from the best golfers around the globe, once again the focus will be on the Volvo brand and products.

The Volvo World Match Play Championship will be played from May 16th-19th and is scheduled to be on TV in more than 170 countries, with a possible reach of about 500 million households. In addition there will be massive newspaper and internet coverage all over the world spreading words and images containing the Volvo brand. The event really kicks off on the 15th with the Pro-Am where Volvo customers will have the thrill of teaming up with the top professionals.

Just as at this January’s Volvo Golf Champions in Durban, there will be prizes from the Volvo Group on offer for a hole-in-one, a Volvo Backhoe Loader and a FH Truck. Volvo Group representatives and customers from a number of countries in Europe will utilise the tournament, in terms of playing in the ‘Pro-Am’ (team up with the professionals) and enjoying first class hospitality.

The select field includes 22 of the world’s Top 100 players, and the 24 star golfers have more than 120 professional victories between them. They range from the vast experience of Ryder Cup heroes Ian Poulter and Graeme McDowell to recent first-time winners such as Scott Jamieson and Chris Wood.

For more information, please see www.volvoingolf.com

“Drivers often climb into and out of their trucks many times on each shift. That’s why we’ve focused on creating a comfortable, convenient driver’s environment with good visibility in every direction,” says Claes Nilsson, President of Volvo Trucks.

Driving becomes more efficient thanks to two new, in-house designed eight- and five-litre engines.

“These engines meet the new Euro 6 requirements and their fuel consumption is on a par with our Euro 5 engines. The technological solution for meeting the Euro 6 demands is a combination of selective catalytic reduction (SCR) and variable turbo geometry, a cooled EGR system and a particulate filter,” says Ruddy Houtmeyers, Strategic Product Manager for Medium Duty Vehicles, Volvo Trucks.

A comprehensive range of transmissions complements the two new engines. Among the various options, it is now possible to equip the Volvo FE with I-Shift.

Another welcome new feature for drivers is that ESP (Electronic Stability Program) is now fitted as standard to both the Volvo FE and the Volvo FL. ESP helps the driver keep the truck on the road if it swerves unexpectedly or severely.

Specially designed 12-tonner
Volvo Trucks has also designed a unique 12-tonne version of the Volvo FL. With the most powerful engine in its segment (four-cylinder D5 with 240 horsepower), specially optimised I-Sync transmission and weighing 500 kg less than a corresponding truck with a 6-cylinder engine this is a highly competitive model.

“The new 12-tonner is a sharp contender in the largest medium duty segment. The truck is lighter, lower and more competitively priced than the current model. It increases customer productivity and efficiency at the same time as it offers the driver better working conditions,” says Tobias Bergman, Product Manager Distribution and Refuse Segment, Volvo Trucks.

I am also convinced that our vision will strengthen the Volvo Group and improve our potential to recognise new business opportunities at an early stage. In our efforts to realise this vision, we are going to capture market share and advance our positions, while helping to change the world and enable it to move in a more sustainable direction.

The Volvo Group has three definitions of sustainability as its starting point: environmental, social and economic sustainability.  Sustainability is first and foremost a question of reducing the negative environmental impact of our products. We need to reduce the emission of particulates, carbon dioxide and noise. We can do this by reducing the fuel consumption of our products and investing in renewable fuels and electric vehicles, for example. By utilising resources more effectively in production and giving our products longer service lives, we can reduce the stress that is imposed on the environment.

At the same time, however, we need a definition of sustainability that has a broader focus than the environment alone. To enable our vision to act as a powerful tool, we need to pay the same attention to social and economic sustainability. 

When we talk about social sustainability, we are referring to the role the Group plays in society. We take active social responsibility and collaborate with everyone from international organisations and universities to local authorities and individual citizens in order to contribute to positive developments in the communities in which we are active.

When it comes to economic sustainability, we are referring to the important role we play in creating growth, job opportunities and enhanced quality of life in many communities all over the world. By developing the infrastructure and effective transport systems, we can create benefits for our customers and for society as a whole.  Our products have a decisive impact on enabling a whole range of vital social functions to function and develop.

Since we presented our new vision, I have received confirmation on many occasions that a common, future-oriented vision is something that will strengthen our Group. We are on the right track and I am sure that, by combining our efforts, we are going to realise our objective.

The new trucks, with their efficient design and Euro VI engines, have been undergoing development for the past seven years – including radical and exhaustive quality testing. Now, after all the computer assisted simulation, test benches, track trials, pilot customers and the installation of new manufacturing resources, these vehicles are ready for delivery – their sole purpose being to help customers control their costs.

The design of the new Renault Trucks range of vehicles is dedicated to achieving efficiency. The manufacturer’s designers have chosen to focus on the truck’s role as a tool serving hauliers – a tool enabling them to carry out their assignments as efficiently as possible. The new vehicles fully assume this status. The objective of saving fuel has been a major component of the truck’s design from the outset, resulting in the vehicle’s aerodynamics being modelled to obtain the highest possible air penetration performance.

Millions of kilometres covered to test quality
As part of the development process for its new vehicles, Renault Trucks carried out the most stringent quality tests in its history. From 2008 onwards, these consisted of 300 vehicles covering 10 million km in quality trials and undergoing 5 million hours more on test benches – in temperatures ranging from -40° to +60°.

Customers invited
Renault Trucks also decided to work in close association with its customers. This led to fifty international customers being invited to test the vehicles and provide feedback that would enable the manufacturer to make the right choices – in an ongoing process stretching from defining initial specifications to testing vehicles under actual operating conditions. By the end of the trial period, these pilot customers had covered 2 million km of on-road tests.

Manufacturing resources renewed
Renault Trucks’ manufacturing resources were largely renewed in order to produce the new range of vehicles. This has led to a line of very large presses being installed in Lyon to manufacture the parts for the new cabs. At Blainville-sur-Orne, a new body in white line and a cab trim line have been set up. At Bourg-en-Bresse, the development line, used for the new vehicles, has been operational for the past three years.

The Volvo Group has significantly invested in this new range and the production resources required. Its new organisation will enable Renault Trucks to expand its geographical coverage, by increasing the number of its sales and service outlets by 30 to 40% on certain markets. With this new range of vehicles and the backing of a global Group, Renault Trucks is fully equipped to win new customers and increase its market share.

Stay updated on Renault Trucks’ launch site

Reliability is not something that just happens – it evolves over long hours of testing and research. The new Renault Trucks range will not become a reality for the public until June – but the quality control teams at Renault Trucks have been working on them for years.
The first hauls of the very first prototypes of this new range took place in 2008.

“These early prototypes had been designed, tested and modified in collaboration with our customers and partners, who were involved every step of the way, from the very first drafting of the specifications,” explains Thierry Hours, vice-president responsible for renewal of Renault Trucks Construction and Long Distance lines.

This first phase of development also included digital simulations, enabling calculations to be made concerning all the truck’s components according to how it will be used in both real-life and extreme situations. In line with the automobile world’s highest standards, these tools take simulation about as far as it can go, testing every aspect of the specifications.

In 2010, the first completed vehicles, built using preproduction parts, emerged from the Bourg-en-Bresse site and were subjected to a variety of tests.

“Our test methods are constantly changing,” says Thierry Hours. “To make sure we meet customer expectations as closely as possible, we visit them regularly upstream of the road tests to find out exactly how they use their vehicles, and then determine the most realistic tests and testing methods.”

First come the endurance tests on the test track. The vehicles are tested at the Renault Trucks test centre in La Valbonne. Some of the trials take place at 90 km/h on a speed circuit, while others are on tracks that simulate extreme conditions by deliberately deforming the cab or vehicle body significantly, so that the vehicle can be tested to the extreme under all conditions.

As for the reliability tests, their purpose is to subject every part of the vehicle to the customers’ typical patterns of use. Body, cab, and pneumatic and electric circuits are all tried and tested with respect to torsion and vibration on the test benches. The engines accumulate endurance hours on the test benches too, in every possible on-the-road situation. Life on board is not forgotten either, with tests that subject the doors and grille to misuse when being opened and closed.

Constant improvements are also made to the cab, which is tested on specially designed test benches as well. A cylinder system puts it into a series of extreme situations that test its solidity, shock absorption capacity, behaviour on the road and under difficult conditions, and longevity. In addition, for these vehicles Renault Trucks also conducted tests in a life-size wind tunnel, which helped engineers to optimise the trucks’ aerodynamics and rework some parts to improve the fluidity of air flows and thereby reduce fuel consumption.

In all, these test bench trials amount to the equivalent of over five million hours of tests on all the vehicle components: body, cab, engines, gear-boxes and electronic components. All functions are tested and the operations are repeated thousands of times so as to be absolutely certain that every component works properly and is totally reliable.
At the same time, the new trucks are driven on the open road, so that they can be tested under real-life conditions with respect to features like fuel consumption, road holding, noise and vibration levels, and life on board during the daytime and at night. A total of thirty two different features are measured to ensure product quality, performance and reliability.

Renault Trucks also carried out several series of tests under extreme conditions, and at high and low temperatures. The ‘extreme cold’ trials took place during three winters in Lapland, where temperatures regularly fall to -40°C. The ‘extreme heat’ trials were conducted during three summers in southern Spain or Oman, where temperatures regularly reach 45°C, and can hit 60°C in the sun. To improve these tests even further and respond as quickly as possible to their findings, the design office has introduced a central data feedback system. Any incidents detected during the tests are entered into a data base and the design office then takes steps to solve the problem in real time, in collaboration with the test engineers, the production plant, and after-sales, making any modifications necessary to resolve the issue.

Once the development vehicles have been approved by the project team, the first preproduction models go into production and are handed over to partner customers for the final tests under real use conditions. Thus, in early 2012, Renault Trucks delivered some fifty vehicles from their Long Distance and Construction ranges to customers all over the world.

Today, just a few weeks from the product launch, the vehicles are in the final phase of approval, with production set to begin in June. After 7 years of tests, 10 million kilometres, extreme conditions ranging from -40°C to +60°C, 300 test vehicles, 5 million hours of bench tests and feedback from 50 customers, the new Renault Trucks range is ready to be delivered to customers, and, in the words of Thierry Hours: “Their satisfaction will be the best possible reward.”

“There is high pressure to recruit the right talent for the Volvo Group in China,” says Ting Liu, HR & Communications Manager at VFS China. “The VFS program gives us the chance to develop finance and accounting candidates, while at the same time integrate young talent into the Volvo Group.”

During the one-year program, participants gain temporary employment at VFS and are given exposure to different areas within the company through hands-on job rotation. With the guidance of an experienced mentor, participants contribute to the business as junior professionals.

 “The job rotation offers the participants a holistic view of the company,” says Ting Liu. “They get to walk through the business and understand more about different points in the value chain.”

Program participants rotate between departments based on business needs. Getting hands on experience when the business is at its peak provides a return on investment for both the participants and the company. The participants contribute to the business development and become an integrated part of the VFS team.

After each job rotation, participants receive feedback from their mentor and have the chance to discuss development opportunities during the next rotation. Training is also provided for the mentors, so that they have the chance to grow as leaders.

“We care about young talent in China,” says Ting Liu. “We develop both the program participants and the mentors together. It is a win-win situation,” concludes Ting. “The mentors grow as potential emerging leaders, while both the mentors and the participants feel the direct contribution to the business objectives. “

With more than 1,000 hybrid buses sold, Volvo Buses is world leading in terms of hybrid technology for heavy vehicles. Volvo is now taking another key step toward even more energy efficient and cleaner transport. The plug-in technology will facilitate the reduction of fuel consumption and carbon dioxide by 75 to 80%, compared with current diesel buses. The total energy consumption will be reduced by approximately 60%. Clean electricity operation entails silent driving and completely free from emissions. With this performance, combined with clean energy, Volvo Buses will be offering a sustainable alternative for urban transport.

Volvo Buses expects to commence commercial manufacturing of plug-in hybrids in a couple of years, but the technology must first be tested in the three buses that will be put into service in Gothenburg. A demonstration project has also been planned for 2014 involving eight plug-in hybrids in Stockholm.

Carbon dioxide emissions reduced by up to 90%
“The purpose of the field test is to study and verify the anticipated reductions in energy consumption and emissions, as well as to compile information from drivers, passengers and surrounding residents about their views on the properties of the bus. In addition, we expect to be able to reduce emissions of carbon dioxide by up to 90% by using biodiesel instead of standard, fossil diesel oil in the combustion engine,” says Ulf Gustafsson, Senior Manager Public Affairs at Volvo Buses.

70% of the distance on electricity
The plug-in hybrids are based on the Volvo 7900 Hybrid, which was modified to enable recharging from electricity grids via a collector installed on the roof. The plug-in hybrids also have a larger battery package, making it possible to drive up to 70% of the distance, approximately 7 km at a time, quietly and free from emissions, using electricity. The batteries are charged at the bus terminus for between six and ten minutes.

Should problems arise during charging from the grid or if the bus is put in operation on a line with no charging stations, the plug-in hybrid will function exactly as current hybrid buses. In other words, the customer who wants to invest in the plug-in technology is able to do so without having access to a fully developed network of charging stations.

Volvo Buses participates in the plug-in-hybrid project in Gothenburg, in addition to Göteborg Energi, Business Region Göteborg and Västtrafik. The project is partly financed by Life+, the EU’s financing program for environmental projects.

The Volvo China Open, which is the national open championship of China and, is the most important tournament in the region and attracts world-class golfers from all corners of the globe. As such, it is a superb opportunity to showcase Volvo’s products and brand both to those attending the event, and to the huge global audience watching on TV.

During the tournament itself, the hospitality suite and expanded public village with the Volvo Group Brand centre right at its heart, will welcome in the region of 900 Volvo guests. All visitors are sure to be impressed by the full range of Volvo products both on and off the course, especially the L105 wheel loader from Volvo Construction Equipment, which will be the reward at the par-3 13th hole for the first golfer to hole his tee shot during the week.

Before and after the championship, the Pro-Am and After The Open golf events will give Volvo the chance to treat valued customers and prospects to the most memorable golfing experience of their lives. More than 120 Volvo Group clients will be playing this year, cementing existing relationships and building new ones.

As golf continues to expand throughout China, its young stars are moving onto the world stage and creating huge media interest. The extensive range of Volvo Group’s products will be witnessed by the tens of thousands of spectators attending the event, Volvo’s honoured guests, and by the many millions watching on TV and following the event via newspapers, radio  and online.

The 19th staging of the Volvo China Open takes place from May 2nd-5th at Tianjin Binhai Lake Golf Club. Volvo started its strong business relationship with China more than twenty years ago and has been using golf as an integral tool for this since the first staging of the Volvo China Open in 1995.

For more information, please visit www.volvoingolf.com

To help the World Food Programme (WFP), the largest humanitarian aid agency working to combat hunger in the world, successfully carry out its assignments, Renault Trucks recently deployed a mobile training unit which travelled through five African countries. This enabled the manufacturer to fulfil a commitment to train 40 WFP mechanics in the techniques needed to maintain the vehicles that allow the organisation to carry supplies day after day, under often extreme conditions, and deliver them as close as possible to those in urgent need of assistance.

For this purpose, Renault Trucks placed a Kerax 6×6 vehicle, well-known for its ruggedness and mobility, at the WFP’s disposal. This vehicle was configured as a mobile training unit and was accompanied by a team of technicians. Their assignment was to pass on their knowledge and skills of maintaining and repairing heavy goods vehicles to the WFP mechanics in Africa. Over a period of five months, this mobile unit travelled to Kenya, Burundi, Uganda, Rwanda, South Sudan and the Democratic Republic of Congo, covering a total of more than 5,000 km.

Nine Renault Trucks staff members, with different professional backgrounds, travelled to Africa to provide the training.

“The participants were highly motivated and their good level of technical knowledge allowed us to provide some very advanced courses. In Uganda, we were able to put theory into practice by working on the training vehicle, to show them what we had just been explaining, so they could see how it all works,” explains Paul Caley, one of the volunteers who was on two of the training sessions, in Uganda and South Sudan.

“I really had the feeling I’d done a useful job, the mechanics were attentive and interested and asked lots of questions!” adds Jean-Jacques Lebois, the technical Inspector who rounded up the project by leading a one-week training programme for 17 mechanics in the Democratic Republic of Congo.

Being involved in a humanitarian project was a first for these volunteers.

“The experience was both stimulating and intimidating. I’ve never done that in my whole life,” admits Paul Caley. The feedback from the WFP teams in the field was very positive: “The mechanics were really delighted to be able to follow this kind of training, ask questions about problems they’d come up against in their day-to-day work and which they often have to face on their own, because they occur in remote places,” sums up Jean-François Milhaud, the WFP truck fleet manager. The WFP must reach the most needy, wherever they are, and no matter how difficult it may be to get to them.

For this purpose, 5,000 trucks are being operated every day, providing essential links to save lives. By bringing this technical knowledge to Africa, Renault Trucks makes local mechanics more independent and thereby contributes to ensuring that food supply operations can be carried out more smoothly. This is why Anne Kohli, in charge of partnerships for the WFP, talks about a “socially responsible partnership” when describing the project. This training mission for World Food Programme mechanics is a good example of Renault Trucks’ commitment to operations that closely associate trucks with meeting human needs. This first experience will certainly not be the last.

Watch the training programme for World Food Programme (WFP) mechanics on Youtube

The World Food Programme (WFP):

The WFP is a United Nations agency whose main mission is to combat hunger in the world and provide access to food in the most underprivileged areas.
90 million people supplied with foodstuffs
Active in 74 countries
A workforce of 11,000 worldwide
3,000 warehouses
40 ships
60 aircraft
5,000 trucks

Net sales for the first quarter declined 25% to SEK 58.3 billion, primarily as a result of the weak order intake in late 2012. The sales volumes were the lowest since the financial crisis and were on the level of the first quarter of 2009. Then, the Volvo Group reported a loss of SEK 4.5 billion, compared with a profit of SEK 0.5 billion for the first quarter this year. Even though this shows that the Volvo Group is better at handling rapid changes in demand, I believe that we still have room for considerable improvement in this respect.

The operating cash flow in the industrial operation tracked the normal, seasonal pattern and was a negative SEK 7.6 billion (negative 4.9).

Weak start to the year, but strong improvement in order intake
With the exception of South America, deliveries of trucks were generally low during the quarter. A total of 38,416 trucks were delivered, which was 23% fewer than in the year-earlier period. Net sales in the Trucks operation declined 23% to SEK 37.0 billion, while operating income fell to SEK 101 M (3,677) as a result of the significant decline in volumes and low capacity utilization in the plants. Under absorption of costs in the industrial system amounted to SEK 1.9 billion, of which SEK 1.5 billion in the truck operations.

However, we see that the order intake for trucks is rising in several of our key markets. In total, the order intake during the first quarter amounted to 61,045 trucks – up 30% from the fourth quarter 2012 and with a book-to-bill ratio of 160%.

In Europe, the order intake has gradually improved since the end of last year. There are indications that customers in some markets are planning to prebuy Euro 5 trucks prior to the transition to the new Euro 6 emission regulations in January 2014. In for instance the UK, trucking companies are taking the opportunity to renew their fleets prior to Euro 6, which carries a significant price increase for trucks. The transition to the new Volvo FH is running smoothly with good demand for both the new and the old ranges.

In North America, deliveries were low during the first quarter due to a number of stop weeks resulting from the weak order intake during the second half of last year. We now note that the order book is expanding and deliveries will therefore increase during the second quarter.

In South America, the trend is strong, with good order intake and higher deliveries, with Brazil as the driving force.

The Japanese market is positively impacted by expectations of higher economic activity following, amongst others, the incentive measures and increased optimism in the export industry as a result of the weak Japanese currency. UD Trucks has had a weak start to the year but order intake is currently improving.

The truck market in India has continued to weaken during the beginning of the year in the wake of the reduced economic growth and higher fuel prices that transporters have not yet been able to offset with increased freight rates.

Intensive product renewal
This year is one of the most intense to date in terms of new product launches. Thus far this year, we have started deliveries of the new Volvo FH truck series and launched the new Volvo FM and Volvo FMX in Europe, as well as the new Volvo VNX, which is aimed at heavy transportation in the oil and gas industry in North America. We also have in the pipeline a completely new series of trucks from Renault Trucks, a new series of trucks aimed at the lower-price segment in emerging markets, new buses, a new medium-duty engine series, as well as the development of engines prior to the new emission legislations Euro 6 for trucks and buses and Tier 4f for Volvo CE and Volvo Penta.

The high level of activity and the many launches in 2013 naturally incur high costs within development and sales. We also have higher costs because of production changeovers and in the aftermarket business, where we are currently training thousands of workshop mechanics on the new products. Thus far, the response from customers on our new products is very positive and from 2014, we will meet the markets with a product range that is the most competitive in the Group’s history.

High activity in restructuring
We are also maintaining a high pace in the work aimed at increasing the Group’s efficiency and profitability. The reorganization of the dealer network in Europe, which started last autumn, is progressing according to plan and is aiming at improving the aftermarket support for primarily Renault Trucks’ customers in Europe, while also reducing costs.

In April, we initiated a study to determine how we shall further strengthen the competitiveness of our industrial system for trucks in Europe, including optimizing the utilization of the plants. The study also covers the possible consolidation of all medium-duty truck production from two plants to one, the relocation of the remaining assembly of cabs from Umeå, Sweden to Tuve, Sweden and a changeover from two assembly lines to one in Tuve. We expect the study to be completed in the autumn.

In Japan, we are reviewing the industrial structure to adapt capacity to the estimated long-term market demand in Japan. In addition, we have reorganized the sales organization by creating customer-facing regions and have put new management in place to drive the improvement work within the owned dealer network. These measures are important in order to reduce costs and increase competitiveness for UD Trucks in Japan going forward.

Weak demand for Volvo CE
Volvo CE was negatively impacted by the weak demand across most of its markets. Machine deliveries declined by 29% to 15,949 units when compared with the first quarter last year. Net sales fell 33% to SEK 12.1 billion and the operating profit amounted to SEK 500 M (2,089). The decline in China is not least an effect of low activity in the mining sector, which is normally a segment with good profitability for Volvo CE. Despite the major drop in sales, Volvo CE succeeded in achieving profitability, with an operating margin of 4.1% (11.6).

Demand continues to be weak, which was reflected in the order intake declining by 28% to 17,670 machines in the first quarter. However, in the first quarter of 2012, the mining industry was booming and dealers were building inventories. With pipeline inventories now in balance with demand and a book-to-bill ratio of 119% for the Volvo brand, Volvo CE has increased production to meet the spring selling season.

During the quarter Volvo CE started production of wheel loaders in the plant in Shippensburg in the US. We have invested in increased local production in order to get closer to our customers with shorter delivery times in the key North American market and also to reduce our currency exposure. In the medium-term, excavators and haulers will also be produced in the facility.

Low volumes also in other business areas
Volvo Buses is also affected by low volumes in most markets and had the lowest sales during a first quarter since 2005. The low capacity utilization in the industry has resulted in considerable pressure on prices, and Volvo Buses reported a loss of SEK 88 M in the first quarter. We are implementing structural measures in for instance Europe to reduce costs and strengthen competitiveness. On a positive note is the fact that we expect to have very good Euro 6 products on the market in 2014.

Volvo Penta reported stable results during the first quarter despite weak markets. Following a long period of weak demand, we note a slight increase in order intake in both industrial and marine engines.

Volvo Financial Services reported return on equity of 13%, with a generally favorable trend in the credit portfolio. However, we see that the weak market for construction equipment in China means that the financial situation for some customers and dealerships there remains strained.

A busy 2013
Despite uncertainty in the global economy, order intake has improved and we have many new, competitive products on their way to the market. That being said, the second quarter of 2013 will pose a challenge for us and our suppliers, with respect to the changeover to new products and the ramp-up of the industrial system to higher volumes. At the same time, we are focusing on our strategy with all the important measures aimed at improving the overall profitability for the Volvo Group.

Olof Persson
President and CEO

Lower energy consumption, lower environmental impact, cleaner exhaust and more silent operation are properties that are highly interesting to both bus operators and society. Accordingly, demand is rapidly increasing for transport solutions using vehicles that operate completely or partly on electricity. For Volvo Buses, electromobility is the road to the future.

With more than 1,000 examples of the Volvo 7900 Hybrid sold to 21 countries, Volvo Buses has, in a short space of time, secured the lead in the global market for hybrid buses and is currently the largest in Europe.

“In recent years, sales of Volvo Buses’ hybrid buses have tripled for each year and we believe the market for electromobility will continue to expand rapidly. Accordingly, the Volvo Group is investing major amounts in this area, making it possible for cities to realize their visions of more eco-friendly and attractive transportation,” says Håkan Karlsson, President of Volvo Buses.

Since Volvo Buses sold its first hybrid bus four years ago, the technology has proved to be reliable. Operational safety is as high as for conventional diesel-driven vehicles. The technology has continuously been developed to further reduce fuel consumption and emissions. Today’s Volvo 7900 Hybrid has 39% lower fuel consumption and carbon-dioxide emissions than a corresponding diesel bus. The introduction of a new engine for Euro 6 allows for fuel consumption to be reduced by up to 45%, emissions of nitrogen oxide and particles will also be reduced by 87% and 50%, respectively, compared with Euro 5.

From 2014, all Volvo single-decker buses with low floors for Europe will be hybrids. An important step in the development is the introduction of the Volvo 7900 Articulated Hybrid bus, with capacity for 154 passengers. This bus will match customers’ requirements for high capacity combined with low fuel consumption, low emissions and low noise levels.

In parallel with the continued development of today’s hybrid bus, Volvo Buses has developed a plug-in hybrid, which can be charged via the electricity grid at bus terminuses. This will facilitate operation over longer distances using clean and quiet electricity, which will reduce energy consumption by up to 60% and emissions of carbon dioxide by at least 80%. The plug-in hybrid will now be evaluated in traffic in Gothenburg over a two-year period. Serial production is scheduled for 2015.

In the long-term, Volvo Buses will also offer complete electrically driven options for European customers who want to operate without emissions and noise, for example, in sensitive city environments.

By whole-heartedly investing in electromobility, Volvo Buses will meet the expanding need in society for sustainable transport and customers’ demand for cost-efficient solutions. To date, the experience has shown that the technology not only leads to lower environmental impact but also pays for itself through lower fuel costs. This combination is an excellent illustration of what Volvo Buses means by green efficiency.

“Many European cities have requested buses that combine high capacity with low fuel consumption and low environmental impact. With the Volvo 7900 Articulated Hybrid bus, we will meet customers’ requirements with a solution that will also fulfill the high demand on operational safety and reliability,” says Johnny Lidman, Product Manager Europe at Volvo Buses.

The new articulated bus has the capacity for up to 154 passengers, which is four more than the previous diesel model and more than any other hybrid bus in the market. Compared with the dual-axle Volvo 7900 Hybrid bus, fuel consumption will decrease by 15% per passenger in a fully occupied bus.

The Volvo 7900 Articulated Hybrid bus is equipped with Volvo’s new five-liter 240 hp diesel engine. It is approved for Euro 6 norms and will generate extremely low emissions. The emissions of nitrogen oxide will decrease by 87% and particle emissions will reduce by 50% compared with Euro 5. The bus also has a newly developed, efficient system for heating and ventilation. Thanks to the location of the battery package near the central axle, the weight of the 18-meter bus will be evenly distributed, making it possible to increase the number of passengers.

Reduced fuel consumption by up to 30%
As with Volvo Buses’ other hybrid buses, the Volvo 7900 Articulated Hybrid bus is a parallel hybrid, where an electric motor and diesel engine can be used jointly or independently. At bus stops, the bus will operate silently and completely emission free on electricity. The energy generated during braking is stored in the battery and then used to generate electricity for the electric motor. The technology will reduce fuel consumption and climate-impacting emissions by up to 30% compared with current diesel model. Since 2010, Volvo Buses has sold more than 1,000 hybrid buses in 21 countries with the same hybrid drivelines.

All single-deckers low floor hybrids from 2014
From 2014, all single-decker buses with low floors in Volvo Buses’ model program for Europe will be hybrid buses. The hybrid program includes both low-floor buses Volvo 7900 Hybrid and the Volvo 7900 Articulated Hybrid bus, as well as the Volvo B5LH Double-decker.

The Worldtrucker app is designed to make it easier for the more than 20,000 members of the Worldtrucker community, www.worldtrucker.com, to exchange experiences and expertise with other truck drivers – both in their local community and around the world.

“The app is both an extension of the website and a fantastic social tool for truckers to generate and share content directly from the roads – from photos to handy tips like good rest areas along the roads or recommendations of safe places to park,” says Paula Kühnel, Online Communication Manager at Volvo Trucks.

Among other things, the app contains a GPS-based function that allows truck drivers to record and share their routes on a map. Through TIPs (Trucker Interest Points) drivers can check-in, comment, rate and upload photos from a specific location, and then share the information with fellow truckers. Other features include a chat function that helps drivers to find and contact other drivers nearby.

The app, which is seamlessly integrated with the Worldtrucker website, has been developed in direct collaboration with truck drivers, through online surveys on the Worldtrucker site and input from truck drivers at pit stops.

“Truck drivers are the experts on life on the road and this app was developed both by them and for them,” says Paula Kühnel.

Among the first to trial the app was celebrity truck driver Lisa Kelly, a Worldtrucker forum member well known the world over after her participation in the American TV- series Ice Road Truckers and the spin-off series IRT: Deadliest Roads.

“The app will be a great help on the road. You can get tips on where to eat, sleep or stop along the route,” says Kelly.

Lisa Kelly has distinguished herself in the world of social media and has a large following of fans and friends on Facebook, Twitter and through the Worldtrucker forum.

“I like keeping in touch with the trucking community. There are a lot of things that keep truck drivers united and that’s what’s cool about the Worldtrucker concept. Other truck drivers can understand what you’re going through.”

How does Lisa Kelly suggest truckers use the app? “Just get in there and start pushing buttons and get going. It’s a great way to connect.”

The app is free and available for downloading from App Store and Google Play.

Coverage in publications, news agencies and TV channels such as the UK’s Daily Telegraph, the Washington Post, Le Figaro, Reuters, Sky Sports and CNN put Volvo into the hearts and minds of sports fans everywhere. The reason was that 12-year-old Ye Wo-cheng rewrote golfing history when he qualified to compete in the Volvo China Open in May, becoming the youngest-ever competitor in a European Tour event. Within hours, the news was spreading around the globe.

Volvo’s three professional golf tournaments already receive TV exposure and coverage in every type of media all over the world. The effect of this is that the Volvo brand, linked with the positive and high-status values associated with golf, travels the globe, reaching an audience of customers and prospects. In 2012 this offered Volvo a total net TV media value of nearly USD 50 million, an increase of 10% over the previous year. The three events resulted more than 5,300 hours of broadcasting, going out to a potential audience of 500 million households in an average of 160 countries.

This year, the Volvo Golf Champions was staged in South Africa in January, Volvo China Open will take place from May 2nd to May 5th at Tianjin Binhai Lake Golf Club and Volvo World Match Play Championship will take place from May 16th to May 19th at Thracian Cliffs in Bulgaria.

For more info, please visit http://www.volvoingolf.com/

Recently, 13-year-old school students were given the opportunity to think out of the box regarding next-generation transport solutions and to draw their ideas. After that a group of university engineering undergraduates took over, developing some of the children’s ideas into design sketches.

This slide show includes some of the youth’s drawings. To see them all, and to meet tomorrow’s engineers of the Volvo Group, go to Volvo Group Tech World. Sketch, draw or animate your own ideas about next-generation transport solutions and share them with the rest of the world by using the hashtag #anotherfuture.

The full route will see the teams sail their newly constructed boats from the Race’s home in Alicante, Spain to Recife on the north east tip of Brazil. From there, the teams will sail the longest leg of the race, making their first dive into the Southern Ocean on their way to Abu Dhabi before heading to Sanya in China.

As in the last race, the boats will sail from Sanya to Auckland, New Zealand. From there they will leave for Itajaí in Brazil before going north to Newport, Rhode Island in the United States. The teams will then cross the Atlantic to Lisbon and stop in Lorient before the sprint to the finish in Gothenburg, the Swedish home town of Volvo on June 27 2015.

“The Volvo Ocean Race is a truly global sports event and many of our most important markets will have a stopover in their country this time. This offers us great opportunities to meet customers and partners as well as adding another exciting dimension to the Volvo brand”,  says Mats Nilsson, Senior Vice President Corporate Sponsoring ＆ Events at Volvo Group.

Volvo Ocean Race
Volvo Ocean Race is open to professional sailors from all around the world. The Race 2014-2015 will be the 12th edition since the start 1973. Volvo Ocean Race is jointly owned by Volvo Group and Volvo Cars.
For more information, please visit Volvo Ocean Race website www.volvooceanrace.com