New DAF Trucks Factory in Brazil

Paccar Inc., owner of daf trucks, has announced plans to build a new factory to produce daf trucks for sale in Brazil. The new facility will be the company's first new international factory in several years, and is yet another sign of a recovering international truck market.

Despite Paccar owning several truck brands, including the Kenworth and Peterbilt brands which it has carefully developed in North America, the global truck manufacturer decided to focus on the DAF brand in Brazil.

Paccar say that their decision to concentrate on the production of daf trucks was based on the research into popular truck types in Latin America. "Cab-over" trucks of the kind that DAF build are far more commonly used in Brazil than other builds, said Paccar Treasurer Robin Easton.

Easton explained that many of the company's competitors in Brazil are the same as those in its European markets, giving Paccar reason to believe that DAF will find equal success in Brazil.

“All of European competitors that we meet every day are already in Brazil,” he said. “We have great product, and it will go well in the Brazilian market.”

Paccar bought DAF, a former Dutch company, in 1996, and the majority of engines built for daf trucks for sale are Paccar-designed.

Despite not currently distributing any DAF trucks in Brazil, Paccar aim to land a formidable 20 per cent market share in Brazil. Mark Pigott, Paccar's Chairman, announced the company's plans during its quarter four conference call in February.

With a population of 210 million, and a GDP growing at more than 7 percent annually, Brazil is the strongest economy in Latin America, and has become part of the 'BRIC' economies (Brazil, Russia, India and China) seen as the next economic superpowers.

Paccar is now looking for a site for the factory, and Easton was unable to say where the factory will be built or when, or what will be its size.