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10 years of Freightliner in Southern Africa

 

Freightliner, a division of DaimlerChrysler South Africa (DCSA) today celebrates 10 years of exciting and successful operations in southern Africa.

“Since launch on 09 March 1996, Freightliner has sold just on 3 000 units, but the real test is the ever presence and familiar look of Freightliner on our trucking routes, creating a strong brand awareness that is a testimony of the dominance of the Freightliner brand on the long haul”, said Johan Cloete, Divisional Manager of Freightliner/Fuso/Western Star division of DCSA.

During 1994 – 1995 the Management Board of the then, Mercedes-Benz of South Africa, realised that as the South African market opened they would have to look ‘outside the box’ to achieve and maintain a reasonable market share in the commercial vehicle market.

The MIDP, with its tariff changes and no compulsion to use the Atlantis diesel engines, allowed truck importers to import the real heavy rigs. This brought about the debut of a great number of imported trucks, including the highly successful Freightliner truck range to South Africa.

Thus Freightliner LLC, a wholly owned subsidiary of DaimlerChrysler AG, and the market leader of heavy commercial trucks in the NAFTA region, came into the picture.

An inevitable result of the changes in the policy of local content was the closing of the engine plant in East London at the end of 1999 and the conversion of the Atlantis Diesel Engine plant in the Western Cape to a foundry producing castings for Mercedes-Benz AG.
MBSA was the first company to assemble the successful Freightliner trucks in Africa. Freightliner, a wholly owned DaimlerChrysler subsidiary, is the leading heavy truck manufacturer in the USA, building custom-built heavy trucks for long-distance contractors. The Freightliner truck launch to fleetowners, dealers and the press on 09 March 1996 was one of the most spectacular product launches – now dubbed the ‘desert launch’.

The venue was the Namib Desert near Swakopmund and the theme was unashamedly American, with riders on horseback, Harley-Davidson motorcycles and two vintage planes roaring overhead providing the overture to the arrival of the mighty monsters from the USA. Attended by American top executives of the Freightliner Corporation, including the then chief executive, James L. Hebe, the launch was a night to remember.

Much attention was given to the distribution and network policy. One very important decision that was made, which is still maintained today, is that Freightliner in South Africa would create a separate distribution channel from Mercedes-Benz commercial vehicles. The reason for this was to avoid substitution, and to grow the DCSA market share in the commercial vehicle market.

 

     
     
 

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