Year and place: 1999-, (Göteborg). (Formed when Volvo Cars was sold by the Volvo Group to Ford Motor Company. Volvo was founded in 1927.)
Konditori 100 text: Volvo 1927-1959 Volvo 1960-1999 Volvo Group 1999- Volvo/Ford 1999-
On 28 January 1999 a press release announced: "Volvo enters into agreement with Ford to sell Volvo Cars for 50 billion and concentrates on commercial products". Volvo and Ford had signed a Heads of Agreement with the intention of concluding a definitive sale and purchase agreement as soon as practicable. The sale was fulfilled with both Volvo shareholder and customary regulatory approval.
Within the context of a consolidating automotive industry, Volvo had completed a strategic review of its businesses. As a result of that review Volvo concluded that a sale of Volvo Cars to Ford was in the best interests of both Volvo Cars and Volvo´s shareholders. The sale would allow Volvo to focus fully on its commercial vehicles and related businesses, incorporating trucks, buses, construction equipment, marine engines and aerospace equipment.
The Volvo brand name will be jointly owned with the right for Ford to use it for passenger cars, minivans, sport utility vehicles and light trucks. Volvo will use the brand name for commercial and other products.
My info about Volvo during and after this affair will be divided under the captions "Volvo Group" and "Volvo/Ford" (both with appendix "'99-" to show that they are parallell). Such a large company affair takes some time, so I simplify it a bit and sometimes use a 'border' between 1998 and 1999.
The Volvo Group
The remaining Volvo Group then consisted of:
More and more articulated
In spring 1999 Volvo got the first order for articulated buses using compressed natural gas (CNG) engines. These and 15 other B10L buses with normal chassis were ordered by Nancy and Bordeaux in France. The articulated buses were fitted with an improved 285 bhp engine, based on the 245 bhp 10-litre natural gas unit for 12-metre buses.
Volvo's first natural gas buses were sold to Göteborg in 1992, and in early 1999 more than 400 CNG buses had been sold in about ten countries.
During the year Volvo and Mitsubishi Motors Corporation reached a cooperation agreement in the truck sector.
Autumn 1999 the first articulated hauler produced in South Korea left the factory. Besides producing the complete range of Volvo articulated haulers, with payloads ranging from 25 to 40 tonnes, the plant also produce machines tailored for tunnelling and mining - two applications where the articulated hauler has proved its advantages with its off-road capability.
The bus Volvo 7550 was introduced, and Volvo got a contract for 900 coaches to be delivered to Mexico.
Now dig this
Volvo EC210 and EC240 were the first excavator models that appeared following Volvo's acquisition of Samsung Heavy Industries' Construction Equipment Division in 1998. These hydraulic excavators, presented in October 1999, combined Samsung's proven engineering with many significant improvements. Among the features are four power modes to choose from with nine different engine speed settings and power max mode. There is also power boost mode that increases the system pressure for the boom, arm and bucket circuits for up to nine seconds. And there are a number of various equipments.
To help transport what the excavators excavated, the L70D wheel loader was introduced. It incorporated a host of improvements to increase performance, operator comfort and productivity. Rounded hood corners and smoother contours on the counterweight provide a modern appearance, while flat grey paint on the top of the hood eliminates distracting glare from the sun.
As a sign of the time, Volvo Construction Equipment answered a question in Swecons customer magazine. An owner wondered if the advanced electronics would work without problems when year 2000 began. Yes, it would.
1999, a good year for Volvo Trucks
More than 85.000 units were delivered during 1999, compared to 1998 an increas of 2%. Over 39.600 units in Western Europe and over 34.300 in North America.
The Volvo VN received the "Design of the Decade" award from the Industrial Designers Society of America and Business Week magazine. In November the FH12 won the Trans Euro Test, a comparative productivity test for European trucks. In Brazil the new NH truck got a very enthusiastic reception.
To help haulage companies streamline their transport planning, Volvo introduced Dynafleet 2.0 which uses modern IT technology.
The Volvo Truck Corporation's global operations received ISO 9001 certification, and Volvo Trucks was the first Swedish company to receive the SIQ quality award for its global operations.
Awardwinning start of 2000
Volvo Trucks Volvo FH12 won the award "Truck of the Year 2000" at the Amsterdam Truck Show. It was the second time for the FH12, introduced in 1993, with the first award 'Truck of the Year 1994'. This award made Volvo the first brand to win the industry's most prestigious award five times.
"Numerous tests by the press in Europe have shown that the Volvo FH12 is not only an extremely comfortable and safe truck to drive, it also provides its owner with economical operations at the absolute highest level in Europe" wrote the Truck of the Year jury in its opinion. "All in all, the majority of the jury feel that the Volvo FH12 is at present one of the market's most attractive trucks, in no small part due to the fact that it is a further refinement of an already well-tested, winning concept of which 150,000 vehicles have been sold up to now. If its "cousins" VN and FM are included, the figure increases to a rather sensational 230,000 vehicles".
More than 100.000 FH trucks had been sold around the globe (except in North America where F trucks, with the cab over the engine, was unfavoured in the legislations). Several components in the FH trucks also fit in other Volvo trucks, which makes spare part handling and service easier.
Was it in 1999 or 2000 Volvo Buses improved their production with a new record, delivering more than 11.000 buses?
At the beginning of 2001 Volvo Penta opened a new assembly factory for diesel engines and generator-pacs in China.
How many new models?
At the international RAI show in Amsterdam, in February 2000, Volvo presented the European version of the Volvo NH12. It is based entirely on Volvo's global truck family, sharing 90 % of its components with the FM and FH Series. The NH12 has the new 460 hp Volvo D12C electronically controlled, direct-injection diesel engine with turbocharger and intercooler. This low-emission engine meets the Euro 3 exhaust emission norms. The conventional cab, with its totally flat cab floor, can use the high Globetrotter roof.
A new FL truck was also introduced, mainly based on the technology in the FH and FM trucks. With its 2 or 3 axles the FL trucks were suitable for many purposes, from community service to light-duty long-distance transports. The FL trucks had 6-litre Volvo D6B engines with outputs from 180 to 250 hp, with the option of a natural-gas version. The D6B was also available in an Euro 3 emission version.
The new Volvo FM12 All-Wheel Drive was intended primarily for demanding construction operations, timber haulage, fire engine and other special duties. It had differential locks on each axle as well as between the tandem axles in the 6x6 version. Off-road ability is further enhanced by 90 mm extra ground clearance compared with the preceding model, and there is a robust steel guard to protect the engine from grounding.
Another new Volvo truck presented in 2000 was VHD (VHD=Volvo Heavy Duty), on the North American market. Optimized for construction site and special transports, it was delivered with 3, 4 or 5 axles and a Volvo D12D 12-litre engine or alternatively a Cummins 15-litre engine. The cab front didn't look like normal Volvo trucks with aerodynamic design, since the VHD wasn't intended to work at high speed, and all VHDs had a day cab.
All heavy truck models were now based on Volvos modular platform.
The new Champion Series VI motor grader was introduced in Europe. Using Moveable Blade Control System (MBCS), Circle Turn System and Blade Lift System the blade can for example be set up to 90° vertically on both sides of the grader as well as a 21° down angle for ditch cutting and clearing. The models range 13,9 to 19,4 tonnes, providing power outputs from 140 to 235hp.
Six new hydraulic crawler excavators were presented, designated the Volvo EC140, EC210, EC240, EC290, EC360 and the EC460. They feature top-of-the-range hydraulics, excellent operator visibility, the introduction of a five switch joystick control, and a quick-fit bracket. The EC460 has a lifting capacity of 18,4 t.
Volvo EW140 was also presented. A wheeled 13 t excavator with a lifting capacity of 4,6 t, a 104hp Volvo engine and the ability to be driven with a single or twin wheels on both axles via an automatic powershift transmission.
The D series wheel loaders was filled, from the 8.2t L50D via L90D, L120D, L150D, L180D, L220D to the 52t L330D.
The A35D and A40D articulated haulers also came in 2000.
Company changes in 2000
Pel Job, constructing compact excavators, now was sold under the name Volvo, and Champion Road Machinery Limited changed name to Volvo Motor Graders Limited.
Volvos takeover of Swedish competitor Scania was disallowed by the European Commission - with the argument that it would stifle competition in Scandinavia.
During springtime a cooperation plan between Volvo and Renault was announced, where Volvo should buy Renault's truck business with the brands Renault VI and Mack. The agreement was finalized during the summer, and the aquisition got European Commission approval in late summer.
Also during the summer, Volvo Bus Corporation signed agreements with Shanghai Automotive Industry Corporation (SAIC) for a joint-venture company that were to manufacture and sell city and commuter buses.
Volvos Asian expansion also included an agreement with Mitsubishi Fuso Truck & Bus Company about cooperation for future medium-heavy trucks.
An agreement was also made between AB Volvo Penta and Mitsubishi Heavy Industries Ltd (MHI) for distribution of 24-65 litres diesel engines globally. MHI will supply Volvo Penta branded engines for distribution and service by Volvo Penta.
Besides these expansions, Volvo Buses opened a plant in Mexico and a complete bus plant in Poland. Another business deal was made about truck assembly in Thailand. In the autumn it was decided that Volvo should cease truck production in Poland and concentrate the European truck production to Gent in Belgium and Gothenburg in Sweden. And Volvo Construction Equipment (CE) decided to start assembly of products in Volvos Polish plant. At the end of 2000 the joint industrial venture between Volvo and JSFC Sistema led to the decision to start assembly of Volvo trucks in Russia.
Almost as a Christmas gift the U.S. Competition Authority gave ok to Volvos acquisition of Renault V.I./Mack.
More Volvo products on roads, highways and other places
Among the Volvos delivered during 2000 were 230 complete Volvo FH12 rigs with semi-trailers to a Hungarian company, and 129 Super Olympian double decker buses to Hong Kong.
In late May the 1.000th combustion chamber to the Viking engine in the Ariane 4 rocket was finished in Trollhättan. The first one was delivered for tests in the mid 1970s, and since then Volvo has delivered all Viking combustion chambers for Ariane 1, 2, 3 and 4 rockets.
Another launch was made in June, for traffic on the Internet Highway. Volvo Ocean Adventure, a global environmental and education programme especially for young people.
In September delivery of 77 articulated Volvo 7000 Artic buses to Geneva, Switzerland, began. The buses were built in Poland. They got special sliding doors, of which one provides wheelchair access, and cameras to monitor the doors.
The 11th Volvo Environmental Prize was given to Professor Jose Goldemberg, Brazil, Dr. Thomas B. Johansson, Sweden, Professor Amulya K. N. Reddy, India, and Dr. Robert H. Williams, US. Around 20 years earlier they had met, and realized that the energy issue was a global problem that could not be resolved by individual efforts. Among others they showed that if the developing countries would produce energy in the same way that the industrialized countries, it would create enormous environmental problems. Instead these were recommended to focus directly on new technology.
TX
Volvo Buses presented the new product platform, TX. The new robot-welded frame made of stainless steel is around 200kg lighter than the usual B10M frame.
The first bus based on the TX platform was the Volvo 8500, built complete with an aluminum body and a new 12-litre engine. Much effort has been put into safety features, among others a fire-extinguishing system in the engine compartment and smoke detectors in the lavatory and luggage space. A kitchen unit with refrigerator and a video system are among the pleasant items.
The new B12M bus was Volvos centerpiece at the 2000 IAA exhibition, built with a stainless steel frame and the new 12-litre engine mid-mounted. The bus is equipped with several electronic systems for safer driving and easier management information, among others Cruise Control Brake System and Dynafleet.
The B12M replaced the B10M, of which more than 50.000 were produced.
Other products at the IAA were a B12-600 coach, B10-400 for intercity traffic, 7000 for urban traffic and a B12-500 fitted for disabled passengers.
Volvo also presented other safety products for buses, like a body with roll-over protection, automatic fuel cut-off devices, cameras for door monitoring, child safety cushions and 3-point safety belts for driver and passengers.
Volvo - Renault - Mack
In 2000 Volvo had sold over 81.800 trucks, the third-largest figure that far, among others more than 30,000 FH trucks and the 300,000th truck based on the joint platform that encompasses 6 different product families on 4 continents.
2001 began with the implementation of Volvos acquisition of Renault V.I./Mack. With this transaction Volvo's truck business was nearly doubled. Volvo became the largest manufacturer of heavy trucks in Europe and the second largest in the world. The markets share in Western Europe became some 28% and in North America around 24%.
Champion Motor Graders became Volvo Motor Graders.
An agreement with Saipa Diesel, Iran, for heavy truck manufacturing aimed to produce 1.500 trucks per year, introducing the FH12 and NH12 models in Iran.
In April Volvos cooperation with Mitsubishi ended, depending both of the Volvo-Renault acquisition and DaimlerChrysler's major holding in Mitsubishi (MMC).
Volvos in the heat
When 470 new articulated buses were needed for the modern and advanced urban passenger transport system in Bogotá, Colombia, Volvo got orders for more than 300 of them. All were B10M models.
In Manaus, Brazil, a modern urban passenger transport system was built with among others bus stops and new passenger terminals. With summer temperature exceeding 40 degrees Celcius, the 120 Volvo articulated buses were ordered with air conditioning.
500 FH12 trucks were ordered from Iran during the first half of 2001. Volvo Penta got an order from Saudi Arabia for another 1.700 industrial engines, and 800 industrial engines were sold to Brazil.
Two firebuses were sold to Arvika and Lindesberg in Sweden, prototypes of a new kind of platform for fire engines. A bus chassis has positive features like a roomy interior with full standing height and doors permitting easier entry and exit for the crew. The unique prototypes were built on B12M chassis by Swedish Firebus Arvika AB, a company formed by Volvo Buses and Svenska Räddningsfordon ('Swedish Rescue Vehicles').
Volvo and helicopters? Well, Volvo Aero signed an agreement with the United Kingdom Ministry of Defence for the overhaul of helicopter engines. Volvo Aero also got orders for an additional 23 LOX turbines for Vulcain 1 and 2 engines, that powers the main stage of the Ariane 5 launch vehicle.
Volvos from Modena?
The new 8500 Low-Entry and 8700 complete buses, based on the TX platform, were presented and were available in several versions. At the 2001 UITP exhibition Volvo Buses displayed its broad product range with articulated buses, low-entry buses, double deck buses, trolleybuses and intercity buses.
Among those who got new Volvo buses to be passengers in were citizens of Shanghai, following orders of 200 buses.
Volvo extended its bus business in Midibuses with a cooperation agrement with Carrozzeria Autodromo Modena Scarl in Modena, Italy. Volvo should supply engines and components, Autodromo build the buses and Volvo market complete midibuses in Europe. The cooperation also included development, and marketing of City and Intercity buses in Italy.
Mack Granite was presented in the spring of 2001.
A warm welcome for Volvo in the summer was the German Red Dot Award for highest quality of design, awarded for the new A35D and A40D articulated haulers.
In the autumn the new version of the long-distance truck Renault Magnum was launched.
A farewell from Volvo to its Xpeditor® low-cab-over-engine (LCOE) truck product line, sold following the condition imposed by the U.S. Department of Justice for approval of its December 2000 acquisition of Renault V.I./Mack.
New truck generation
At an exhibition in Gothenburg in mid September the complete coach 9700 was introduced, another bus on the TX platform. It is available with 2 or 3 axles, and can have a steerable support axle. The articulated city bus Volvo 5000 was exhibited with a new natural gas engine following the emission requirement Euro 4.
In October 2001 another 600 FH12 trucks were ordered from Iran, and Volvo launched buses on the Indian market. In Britain the FirstGroup ordered 175 B7L Single Deck and B7L Double Deck buses, and Volvo Buses also was appointed to take care of their buses on 5 locations including the complete operation of the workshop facilities for 7 years. Later a 5-year contract for 825 buses went to Nova Bus in Canada, a company that is a joint venture between Volvo Buses and Henlys.
Volvo launched the third generation FH12 with a new D12D–500 engine with two turbochargers and the new fully-automatic I-Shift gearchanging system suitable for long-distance driving. This FH12 was presented as the start of a comprehensive product renewal for the heavy vehicle range. The cab is more aerodynamic, and can be bought with one or two beds, or with the Office/Dinette area that can be used as a desk or dining table. A front underrun protection system (FUPS) is standard, and Volvo's new Electronic Stabilisation Programme (ESP) helps the driver to keep full control of the truck.
FM9, with a completely new 9-litre engine, and FM12, with a 12-litre engine, were also introduced. The FM series was built for versatile use and could be delivered with 2, 3 or 4 axles, also in all-wheel-drive execution. They had either a manual range-change gearbox, the I-shift or the power-shift Powertronic gearbox.
Besides the mentioned news with the new trucks, they were built on a new chassis range, and had a new electronics system.
Out of production went FM7, FM10 and FH16.
In 2001 Volvo Buses once again was the market leader in Sweden.
More Volvos on construction sites
Some of the new trucks will probably meet some other new Volvos, especially on construction sites, since Volvo introduced their new Backhoe Loader range in late 2001. And production began of the articulated haulers A25D (also as 4x4 and 6x6) and A30D.
Another way to introduce new Volvo models was also used in late 2001. Volvo CE bought the assets of Scat Trak, including the exclusive product design and manufacturing rights for a range of skidsteer loaders. The further developed skidsteers will be launched under the name Volvo from late 2002. Volvo CE also acquired the Telescopic Handler business from UpRight Inc, with exclusive rights to product design and manufacturing. The 'telehandler', also called Rough Terrain Lift Truck (RTLT), range will be sold with the Volvo name from 2003.
In early 2002 Volvo launched the B-series of excavators, with a new 6-cylinder turbocharged engine and a design focusing on easier maintenance and service. They were equipped with the Contronic System, that balances the available engine power with the power in the hydraulic system to give maximum performance. Other service tools were also Service Contronic, MATRIS (Machine Tracking System) and VCADS Pro (Volvo Computer Aided Diagnostic System Professional). All of them are 97% recyclable.
Volvo also launched more E-series wheel loaders in Europe, 5 models from L120E to L330E. The air that goes into the cab is filtered in 2 steps. The engine meets the Euro 2 standard. 3 computers surveys the machine, stores information and enables reprogramming and upgrading the machines functions.
And - Volvo acquired the compaction equipment assets from SuperPac Inc including the manufacturing and product design rights to a range of 7 compactors. Later the new rollers will have the name Volvo when driving on roads that haven't been built yet, or maintaining roads that are roads.
And - Volvo Construction Equipment also decided to begin with rental outlets in North America and parts of Europe.
And - during the spring the decision was taken to establish a wholly owned subsidiary and facility in China for production of construction equipment. It was planned to start production from spring 2003.
More cooperation planned
150 B 7 TL double-decker buses and 50 standard B 7 R buses were delivered to Johannesburg, South Africa, in early 2002. They was built on chassis from Sweden and with bodies from Marcopolo S.A. in Brazil and South Africa. Both models can kneel at bus stops to make entering easier.
A new engine was introduced in early 2002, the 420hp D12D with a lower level of nitrogen oxides meeting the ECO 4 (four points in Austria’s ECO-point system). A truck with this engine is permitted to drive through Austria a greater number of times.
In April Komatsu Ltd. and Volvo Construction Equipment signed a letter of intent for production of Komatsu designed wheel loader cabs at Volvo CE's cab plant in Hallsberg, Sweden. Initially 4 models is planned to be produced from early 2003, for Komatsu's small wheel loaders, produced in Europe and North America.
Happy birthday, Volvo!
Volvo celebrated its 75th anniversary on 14 April 2002. On that day it was 75 years since the first series-manufactured Volvo car, a Volvo ÖV4, rolled off the production line in Gothenburg. The annual Volvo Rendezvous for Owners & Members (VROM) took place 9-11 August 2002, and naturally some trucks and buses mingled among the more numerous smaller cars.
Volvo won the "Coach of the Year 2002" and "Bus of the Year 2002" awards at the 2002 Busworld Show in Shanghai. The coach was a B10M chassis, with a light metal body in the Volvo/Säffle system 2000 built by Xian Silver Bus Corp. The bus was a B 7 RLE with a body from Sunwin Corp, Shanghai.
Among the bus sales of the first half of 2002 were 107 B12 inter-city and coach buses to Bangkok, assembled in Thailand by Thai Swedish Assembly (owned by Volvo Car Corporation and assembling cars, trucks and bus chassis). Following an earlier contract for 900 units to Mexico, the same two bus operators ordered around 600 buses to be delivered per year for three years.
The VN series trucks were completely revised and got among others roomier cabs and a more aerodynamic design of the front.
Volvo introduced the B-series graders, five tandem drive models and two all-wheel drive models "powered by Volvo 7.1 and 9.6-liter turbo-charged, charge-air cooling, liquid-cooled, high-performance, low-emission diesel engines featuring electronically controlled injection". The G746B was the most powerful all-wheel drive grader on the market, with up to 243hp. The all-wheel models can be used with six-wheel drive, tandem drive or front wheels only, depending on the work that shall be done. With the Volvo Contronic Monitor System the driver get information about engine rpm, ground speed and much more.
In summer 2002 Volvo CE sold their sales company in the Czech Republic to Bilia Baumaschinen GmbH, owned by Bilia AB in Sweden.
Overview mid 2002
In early July 2002 Volvo had a wide scope of truck models for sale, with variations in different parts of the world. I took a quick look on some Volvo sites.
Volvo Buses were the planets second largest bus manufacturer. They built both complete buses and chassis. Their products were built for ciyt, intercity, route operations and tourist applications.
Volvo Construction Equipment produced a wide range of vehicles, for most transportation needs in various construction works.
World Wide Volvo
The second half of 2002 included orders for 340 first-class and luxury coaches in Mexico, and 500 city buses to Shanghai. From Sauci Arabia came an order for 900 Volvo Penta diesel engines.
In the U.S.A. Volvo unveiled on 21 August an entirely new VN truck range for the North American market, sharing platform with the new FH and FM models launched late 2001. The new truck met the EPA 02 demands, in force from 1 October in the U.S.A., and the 680 kg lower weight permitted more cargo to be hauled. More than 1.000 components were redesigned for the new model.
Volvo didn't have to wait so long for orders for the new truck models. Among the coming customers ordered U.S. Xpress Enterprises, Inc., has ordered 500 and Tyson Foods, Inc. ordered 227.
An Iranian order for FH12 4x2 and 6x4 tractors numbered totally 1.300. Not bad.
Volvo Construction Equipment launched a couple of 'smaller' Volvos in September, the L20B and L25B compact wheel loaders. They were lower than 2,5 metres, and if that's not low enough - the cab could be removed. The new corner positioned dashboard allow the driver a better view, among others when working with the over 60 attachments available.
Also 'home' in Sweden there were some news. Volvo Powertrain in Skövde developed a method of drying painted engine blocks that reduced the energy consumption.
In late 2002 the EC290B, EC360B and EC460B excavator models were launched with modular equipment systems. Among others the EC460B could be rigged for demolition duties, reaching up to 26 metres with a forward reach of 14 metres. The modified cab included a seat that could be tilted hydraulically and a three quarter glazed roof.
In early January 2003 Volvo opened a new website for e-business with its partners.
Wider product range
In early 2003 it was known that Volvo was the largest brand in the Nordic region in 2002 for heavy trucks, for medium-heavy trucks and for buses. In 2002 Volvo Trucks had increased their sales by 6% comapred to 2001.
Switzerlands Carlsberg brewery ordered 160 heavy Volvo trucks, to be delivered with fully built bodies and hydraulic lifts, and about 40 Renault Master for lighter goods.
Gothenburg in Sweden got another 17 articulated buses powered by natural gas, joining the around 400 other Volvobuses rolling on Swedish roads thanks to gas power.
AB Volvo's subsidiary Renault Trucks got an order from the French Armed Forces for 2.820 GBC 180 trucks, to be delivered during five years.
New medium range wheel loaders were introduced in the E-series, the upgraded L70E and L90E and the completely new L60E and L110E. They came with a new electronically controlled low emission engine, and improved APS gear shifting system: when the driver selects forward, reverse or kickdown the APS selects the correct gear depending on engine rpm, travel speed and which shifting program the operator has selected. The Contronic system were now available in 13 languages. More than 95% of the E-Series wheel loaders can be recycled, among others the engine, transmission and hydraulics are reconditioned and reused in an exchange program.
More excavators were introduced in early February, the crawling EC160B and the rolling EW160B and EW180B.
For the North American market a new 465-hp engine was launched, meeting the EPA02 environmental standards.
To be continued...
2007-04-10. www.konditori100.se. Text/pictures: Arne Granfoss ©. Prod: AG Informice