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Jan 16, 2009

TRUCKMAKERS NEWS * USA - Daimler Kills Sterling Trucks in North America

Los Angeles, CA,USA -Motor Truck Trend, by G.R. Whale -January 15, 2009: -- According to Transportation Topics, some Sterling truck dealers are upset with parent-company Daimler's decision to kill the brand in the North American market. In October 2008, Daimler said it will close truck plants in Thomas, Ontario, and Portland, Oregon, in 2010 when labor contracts expire, affecting approximately 2300 workers. However, Sterling has more than 340 dealers on the continent and many of them are angry enough to refuse to accept Daimler's settlement offer and trying to negotiate a better deal... Wisconsin dealer Paul Schlagenhauf, president of Badget Truck Center, which sells Sterlings in four outlets in that state, quoted as saying he has refused to accept Daimler's initial settlement offer. "There is definitely a huge void for many Sterling dealers, especially those without another Class 8 franchise," Schlagenhauf says...


* Navistar unit lands $79M contract from US Army

Warrensville,ILL,USA -AP/FORBES -15 Jan 2009: -- A unit of Navistar International Corp. said Thursday it received a $79 million contract from the U.S. Army to provide 605 trucks to serve in Iraq... Navistar Defense LLC will provide the Army with 328 fuel trucks and 277 water tankers. The work will be completed at the company's West Point, Miss., plant with about 40 percent of the order being delivered in 2009 and the rest by the end of July 2010... Navistar Defense LLC also received a contract worth about $230 million from Canadian authorities to provide up to 1,300 military trucks. The value of the Canadian contract was not disclosed...

* Canadian union riled at U.S. truck deal

Chatam,ONT,Canada -UPI-Jan. 15, 2009: -- The Canadian Auto Workers union is upset the federal government awarded a contract for military trucks to a U.S. manufacturer in Texas... Earlier this week, the Conservative government announced it had awarded a $274 million contract for 1,300 medium-size military trucks to Navistar, The London (Ontario) Free Press reported... CAW spokesman Bob Chernecki told the newspaper that was a smack in the face to the battered Canadian automotive industry, especially since there is a Navistar-owned International Truck plant in Chatham, in southwestern Ontario...


* Outlook worse as Paccar layoffs proceed - Kenworth plant in Renton lacks work

Seattle,WASH,USA -The Seattle PI, by BILL VIRGIN -16 Jan 2009: -- Ever since November, when Paccar Inc. told employees at the Renton factory operated by its Kenworth Truck Co. subsidiary it planned to shut down most production there, union leader Don Hursey has been talking to members and the company, "trying to figure out if there's anything we can do as a bargaining unit to keep those jobs here"... What would really help resolve the Renton plant's problem is a rebound in orders for the large highway trucks produced there... Transportation forecaster FTR Associates said December order activity was down 45 percent from the same month in the previous year and was the weakest month since mid-2002...

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