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Manufacturer optimistic that boom will continue as market gets ready for alternative fuels
Iveco truck sales surge as recovery gains pace By Tim Wallace
Iveco shook off the challenges of Covid-19 and component shortages to make 2021 its strongest year in the UK for over a decade. Speaking at the company’s ‘State of the Nation’ briefing at its Basildon HQ, Gareth Lumsdaine, business line director of truck, said volumes were up, the product range was stronger than ever and it was strengthening its position as a leader in alternative fuels. Iveco recorded 37,163 registrations above 6 tonnes during 2021, an increase of 12.9%. While Lumsdaine said this was “better than it might have been, given the scope of the real-world challenges,” he admitted the increase came off a low 2020 baseline. Q2 2020 saw registrations plunging to their lowest quarterly total ever. However, Q3 and Q4 delivered a strong recovery and the market entered 2021 with a positive mindset.
On the up
Source: SMMT
In the first half of last year, registrations increased by 46.6% – “an incredible number and a reflection of pent-up demand spilling over from 2020,” Lumsdaine said. But supply chain shortages then began to bite, with Q3 and Q4 demand down on the previous year. However, demand for 6- to 16-tonne trucks rose 4.6%, from 7,332 to 7,671 overall. “The 7.5-tonner will never again be the force it once was,” Lumsdaine added. “In the late ‘80s demand peaked at about 19,000 units or some 38% of all trucks sold. Today we believe the figure
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to be five times less than that.” He also highlighted the growth in the heavy rigid sector – which he dubbed “the workhorse of the country” – where volumes rose by 16.3% to 13,560 units, driven by increased demand for 8-wheelers. “Tipper bodybuilders say their order books stretch further into the future than at almost any time in the last two or three decades,” he said. “But it’s not just 8-wheelers – the waste and recycling sector is back and busy, and we continue to see a move towards 26-tonners for distribution away from 18-tonners.” He added that tractors have had a tougher time than most since the start of the pandemic. Volumes here fell by 37% in 2020 but grew by 14.4% in 2021, ahead of the market average.
Lumsdaine also hailed the continued success of the “head turning” S-WAY, as well as the Eurocargo where demand also rose strongly in 2021. Looking ahead, Iveco is expecting tractor registrations to pick up faster as supply improves while rigids – 8-wheelers in particular – will be slower as the effects of last year’s shortages and lack of body slots at bodybuilders continue to prolong lead times.
New and improved
To tackle these issues, Iveco pledged to maintain communication with its customers and to strengthen its R&M offerings to two years on diesel and three years on all gas products. It will also bring some new updates to the S-WAY, delivering a reduction in fuel consumption of 3%. DriverPal has also been introduced to the range featuring Amazon Alexa voice commands to transform the way drivers interact with their vehicle. Turning to its long-established focus on zero emissions, Iveco stressed that it already has a compelling alternative to diesel in the form of biomethane. This reduces tailpipe emission by as much as 95% and is already
being used by the likes of Ocado, Hermes and Amazon. “Iveco will continue to develop biomethane as a mainstream alternative to diesel as the marathon towards 2035 and 2040 continues,” explained Jorge Asensio, product manager and alternative propulsions business lead. However, he said the fuel’s popularity is expected to peak around 2030, so part two of Iveco’s strategy will be battery electric and part three hydrogen fuel cell. “Let’s not kid ourselves; our industry is one that’s so focused on delivering a good job today, that all too often it leaves things until the last minute,” Asensio concluded. “Reality says the move to emissions-free transport will be a marathon, followed by a sprint finish, for the vast majority of operators. “They’ll make the move when the technology is proven, when the infrastructure is available to support it, when there are minimal or no cost penalties for doing so and when they can be sure that it’s reliable, dependable and costeffective. “The only way to speed this up is for the government to introduce wider incentives for them to do so – something they appear unwilling to consider at the moment.” MotorTransport 7
