UD Trucks celebrates sales success in 2017

January 16, 2018

undefinedUD Trucks achieved significant sales growth in 2017 across the GCC, with particularly strong results in Saudi Arabia and Bahrain.

The Japanese truck manufacturer marked one of its best performing years in the Middle East and East Africa, despite challenging conditions in some markets, it said in a statement.

In 2016 the heavy-duty Quester truck was launched in the region, followed in May 2017 by the medium-duty Croner truck.

In addition, a new heavy-duty range for heavy construction Quester 40 Tonne /24’ tires with hub reduction and the 8X4 Rigid were launched, completing the UD Trucks.

Complementing the new trucks' sales, UD Genuine Parts sales have also increased its sales penetration.

UD Trucks’ regional offices in Dubai includes a parts distribution centre which delivers over 12,000 different spare parts to partners across the region.

Growth in sales

In Saudi Arabia, sales increased by more than 50% in 2017 compared to the previous year, despite the total market decreasing.

Althought the heavy-duty sector saw a drop by more than 30%, UD Trucks secured a good market share with the new Quester.

2017 also saw the Jeddah municipality award a considerable portion of a major cleaning project through its business partner, Rolaco Equipement.

The company will continue to focus on the waste management segment, the firm informs.

Looking forwards to 2018, UD Trucks anticipates further growth in Saudi Arabia, as the new heavy construction range for the Quester will allow the truck firm to become an even stronger contender in the heavy-duty construction segment.

In the medium-duty segment, UD Trucks now covers a wide range of applications thanks to the introduction of the new Croner range.

With capabilities from 10.4 to 18 tonnes, this diverse and extensive product offering will further bolster an already strong presence in the Kingdom.

In Bahrain, the total truck market grew slightly aiding UD Trucks in beginning to reclaim its stronghold in the market with confidence.

Sales doubled compared to 2016, and Y.K.Almoayyed & Sons - UD Trucks’ retail partner in Bahrain invested $9mn in a new 22,000 SpM workshop featuring 36 repair bays.

Market performance

Market conditions in Oman, Qatar and the UAE have been challenging. Oman saw a drop in the total truck market of more than 15%, Qatar decreased by more than 30% percent and the UAE declined by around 7% in 2017.

Despite the tough climate in these markets UD Trucks sales grew year on year in Oman, and stable sales have retained the UAE.

Kuwait is also an important market for UD Trucks, the market is slowly growing and 2017 was a transition year for UD trucks as the brand’s new range of products were only available in the market for half year. U

UD Trucks retail partner in Kuwait, Boodai Trading, is heavily investing in new facilities to better serve its customers and keep up with the growing market demand for trucks and for the UD Brand.

Meanwhile, in East Africa, the firm and has entered and established a strong presence in three brand-new markets; Somalia, Sudan and Ethiopia.

Looking forward to 2018

In 2018, the brand intends to see a further growth of more than 30%.

The truck brand will enter with robust optimism as the Quester for heavy construction, 40T 24’, with hub reduction Quester 8X4 Rigid and a wider range of medium-duty trucks are available in Oman.

Deals recently concluded with FEWA (Federal Electricity and Water Authority) and Sharjah Police by UD Trucks business partner in Dubai and Northern Emirates, United Diesel (part of Al Rostamani Group) will increase the brands visibility in the UAE.

Mourad Hedna, President of UD Trucks Middle East, East and North Africa said, “2017 has been a significant year for UD Trucks in the MEENA markets thanks to a combination of factors.

“Firstly, the close cooperation we have with our retail partners to sell our comprehensive range of products along with our strong focus on Japanese quality and the fully extensive services we offer have ensured that we’ve stayed a step ahead of our competitors.

"Looking towards the year ahead, our strategic focus for 2018 will be all about customer satisfaction; ensuring we retain our existing, loyal customers and attract even more new truck sales.

“We plan to work with our partners to improve the retail experience and aftermarket support as well as deliver more technical and driver training courses for our customers.

“Also, service agreements and telematics systems which are currently available in some markets will be rolled across the entire region.”

 

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