UD Trucks and Nissan Motor end collaboration on contract manufacturing of light-duty trucks
The collaboration between Volvo Group’s Japanese subsidiary UD Trucks and Nissan Motor on the contract manufacturing of light-duty trucks will expire and the production will end in January 2011. The decision enables UD Trucks to focus more on medium and heavy-duty trucks. UD Trucks will continue to have its own manufacturing operation for light-duty trucks for the export market. During 2009, UD Trucks produced 6,150 light-duty trucks within the collaboration framework and up to August 2010, 4,800 vehicles had been produced and sold to Nissan Motor. The end of contract manufacturing for Nissan Motor will not result in any restructuring costs or have any significant impact on the Volvo Group’s earnings or financial position.