Navistar sees economy and diesel prices strangling pickup sales
Another of the automotive suppliers taking a major hit right now is Navistar. The manufacturer of trucks and buses also builds diesel engines. The company has supplied diesel engines for Ford's heavy duty pickups and vans for three decades. Unfortunately for Navistar, the collapse of the housing market has meant that commercial buyers who buy the bulk of heavy duty trucks have drastically cut back new purchases. High diesel fuel prices have meant that of the trucks still being purchased, fewer are diesels. From May 2007 to May 2008, the percentage of Ford Super Duty trucks with Navistar diesel engines has dropped from 75 percent to 60 percent. It's a situation unlikely to turn around any time soon.
[Source: Automotive News - Sub. req'd]
Reader Comments (Page 1 of 1)
Chris 2:01PM (7/02/2008)
http://www.pickuptrucks.com/html/news/naviforddispute4.html
Maybe this drop in big diesel engined trucks will be Ford's way out of their love/hate relationship with Navistar. After all of their legal battles, you can bet that Ford will be dumping Navistar in 2012 anyway.
Navistar better be looking for new contract opportunities...and let the downsizing begin.
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Agreeable 10:18PM (6/11/2009)
Hey. A quick thing that Navistar is doing is getting Mexican plants to manufacture army vehicles and have them stationed in Canada for inland usage by 2012-2013. I wonder what's going to happen for them to need an upward of 1700 vehicles...
Peace.
brn 10:38AM (7/03/2008)
Maybe with the decreased volume, Navistar can work on their quality control.
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Turbo Vic 4:40AM (9/08/2008)
it's a nice concept of Navistar to save fuel.
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