International Sales Surge in Latest Quarter as Truck and Bus Manufacturers Clear Inventory of Mirror-Deficient Vehicles
International Q3 Sales Up 41%, OEM Clears Backlog Orders
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Rearview mirror deliveries from a Mexican supplier enabled truck shipments.
On October 11, Traton announced that International Motors sold 31,500 vehicles in the third quarter of 2024, marking a 41% increase compared to the same period last year when 22,400 units were sold.
In the first nine months of 2024, International sold 66,800 vehicles, down 2% from 68,200 in the corresponding period last year, according to Traton, a subsidiary of Volkswagen Group.
International, formerly known as Navistar until its recent rebranding, saw a surge in sales in the latest quarter after clearing a backlog of orders due to rearview mirror shortages following a fire at a supplier’s factory in Mexico earlier this year.
“The resulting delivery backlog has largely been cleared,” Traton stated.
Sales of IC Bus also increased year-over-year in Q3 as deliveries of new models have gradually ramped up. The updated 83-seat CE series, introduced in July 2023, offers both diesel and electric powertrains.
Specific sales details for International will be released on October 28 when Traton publishes its full third-quarter results.
Against the backdrop of improved Q3 performance, truck and bus sales plummeted by 31% year-over-year in the second quarter, falling from 23,243 units to 16,030 units last year.
During this period, the company based in Lisle, Illinois, not only cleared its backlog orders but also underwent a rebranding effort aimed at expanding its market share of commercial vehicles in the United States.
Navistar officially changed its name to International Motors on October 1.
“After more than 120 years, we chose to return to our international roots,” Tobias Glitterstam, Chief Strategy and Transformation Officer, said during an announcement on September 25. “International represents determination, partnership, and a collaborative spirit to tackle every challenge. Our new name and look complement the strategic transformation underway to deliver better customer experiences.”
At Traton’s annual Capital Markets Day in Munich on October 1, CEO Christian Levin emphasized that International’s changes are crucial for increasing parent company revenues by 20% to 40% (from 2024 to 2029).
Levin highlighted the company’s commitment to more effectively leveraging its brand potential in North America. He noted that the rebranding from Navistar to International Motors signifies a return to its roots and demonstrates their market commitment.
“By positioning ourselves as solution providers for truck and bus customers, International aims to increase its share of the North American market,” Levin said. He added that International’s product portfolio will expand to include parts, maintenance, financing, connectivity, and charging services.
Levin also emphasized the launch of the S13 powertrain to International customers, which integrates Traton’s common base engine. He pointed out that the brand’s extensive sales and service network will play a key role in supporting these initiatives.
Overall, Traton’s third-quarter sales increased by 5% year-over-year to 85,300 units from 81,400 last year. Year-to-date sales totaled 245,400 vehicles, down 2% from 249,500 in the same period last year.
Scania Vehicles & Services sold 21,800 units in Q3, up 2% compared to 21,300 a year ago. In the first nine months of 2024, Scania sales reached 74,100 units, an increase of 9% from 67,700 last year.
MAN Truck & Bus sold 19,900 units in Q3, down 29% from 28,100 a year ago. The unit sold 69,200 vehicles in the first nine months of 2024, a decrease of 18% from 84,200 last year.
Volkswagen Truck & Bus sold 12,400 units in the most recent quarter, up 28% compared to 9,700 in the same period last year. It sold 35,700 vehicles in the first nine months of 2024, a 20% increase from 29,800 last year.
Traton noted that sales for Scania and Volkswagen Truck & Bus were mainly driven by continued strong growth in South America, which offset declines in European sales. A persistently weak market environment in Europe, particularly Germany, impacted MAN Truck & Bus’s truck sales, with the brand’s bus and van sales also declining year-over-year.
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Source: Transport Topics
