Paccar is investing more than £500 million in research, development and capital investment programs, in the near term.
Mark Piggott, chairman and chief executive, said: “In addition to the new engine plant being constructed in Mississippi, there are major investments underway at every truck plant to increase manufacturing efficiency by 20 per cent, and develop new product ranges at DAF, Kenworth and Peterbilt, as well as updating Paccar Financial’s customer service software and expansion of Paccar’s Asia activities.
In Europe, said Piggott, the DAF XF105, powered by the Paccar MX 12.9-litre engine, has enabled DAF to reach record build levels, with additional production increases scheduled for the fourth quarter.
“Industry truck sales in Western Europe above 15 tonnes are strong and should reach 265,000 to 280,000 units this year,” said Aad Goudriaan, Paccar vice president and DAF president.
“Strong Central and Eastern European markets should be 85,000 units by year-end. DAF will continue to increase its record production levels to meet customer demand,” he said.
Paccar saw earning slip to $663.9 million for the first half of 2007 from $711.9 m last year. Pigott said: “Paccar’s robust business in Europe and international markets has partially countered the emissions regulation-induced truck market decline in the U.S. and Canada.”