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Transport Topics / September 5, 2018 Daimler AG is equipping one of its global Mercedes-Benz trucks with technology that can take the wheel in situations ranging from stop-and-go city driving to highway cruising. Using camera and radar systems, the revamped Mercedes Actros — which is not sold in the United States — can independently steer, brake and accelerate without speed restrictions, a first in a mass-produced truck, according to the Stuttgart, Germany-based automaker. The technological flair extends to the so-called mirror-cam, with the vehicle’s surroundings shown on two 15-inch video displays inside the driver’s cabin replacing traditional mirrors. “Our Actros makes the logistics business significantly safer for all participants and more efficient for our customers,” Mercedes-Benz trucks chief Stefan Buchner said in a statement ahead of the truck’s premiere in Berlin on Sept. 5. “The new Actros already puts the future of heavy-duty trucks on the road today.” The technology push comes at a critical time for Daimler. The German automaker is legally separating into three units: Mercedes cars, mobility services and the world’s largest commercial vehicles business. The new corporate structure, which is set to go into effect next year, could pave the way for an eventual partial listing of the units. While the Actros can’t drive completely on its own, the new driver-assistance systems helps keep the truck in the lane, avoid collisions and initiate an emergency stop. The lack of drag from the side mirrors and other efficiency measures means the truck consumes as much as 3% less fuel on highways and as much as 5% less on overland roads, Daimler said. .

Mercedes-Benz Vans receives Amazon order for 20,000 new Sprinters at plant opening ceremony Jeff Crissey, Commercial Carrier Journal (CCJ) / September 5, 2018 After a $500 million investment and two years since breaking ground, Mercedes-Benz Vans officially opened its first North American Sprinter van production facility in North Charleston, S.C.. The new plant coincides with the launch of its all-new 2019 Mercedes- and Freightliner-branded models and currently employs 900 people. Company officials said that number will grow to 1,300 employees when production fully ramps up in 2020. “Building a full-scale production plant in this market makes perfect sense,” said Volker Mornhinweg, head of Mercedes-Benz Vans. “The North Charleston plant is agile and adaptive and can respond even faster to market changes and customer needs,” adding the new production facility will significantly reduce order lead times as it builds a product dedicated to U.S. and Canadian markets. North America has become the second-largest market for Mercedes-Benz Vans since the company introduced the Sprinter to the region in 2001. Last year, the company sold more than 400,000 vans worldwide. In North America, Mercedes-Benz Vans sold 44,000 units in 2017, a 3 percent increase from 2016 and a record-high for the company. During the ceremony, Amazon gave plant employees and state and local dignitaries in attendance more cause to celebrate when it announced it has increased its current order of 5,000 new Sprinters to 20,000 units. “We conducted a very thorough vetting process of the different options available in the marketplace,” said David Clark, Amazon’s senior vice president of worldwide operations. “For a variety of reasons, we found this was a great partnership and the right vehicle for us at the right time, with the right kind of flexibility and the right partner to launch with. We think it is well-timed that this facility is opening now as we are expanding our operations significantly in this way.” Mornhinweg said the company launched a new customer co-creation initiative started three years ago, replacing a “one-size-fits-all” mentality with a tailored approach for multiple industries. Clark added the two companies worked closely to develop a tailored solution to help Amazon optimize parcel delivery. “What we’ve found is an organization that is very customer-focused and very willing to get in and think about what could change and how things could evolve for our use case in a way we find very positive,” he said. Clark said the vast majority of its new vans on order will go into its Delivery Service Partners (DSP) program, a new offering announced in June aimed at helping entrepreneurs build their own businesses delivering Amazon packages while leasing vehicles from a fleet management company to help keep startup costs low. “[DSP] is pulling together a great vehicle and great cost structure… giving them access to use our scale to keep their cost structures predictable and low-cost,” said Clark. Response for Amazon’s DSP was overwhelming, giving Amazon the confidence to expand the offering to hundreds of new cities. “The biggest challenge for most small businesses is how to get more volume into the business,” said Clark. “We take care of that piece for them. We think we’ve put together a great package to ensure their success and it will enable thousands of small businesses in the United States.” The 2019 Sprinter features the new Mercedes PRO fleet management software and MBUX infotainment system, two platforms designed to increase visibility, communication and productivity. “The new Sprinter is not only a van, but a digital tool,” said Mornhinweg. “It’s a perfect fit that a company at the forefront of technology and innovation will become our first major customer.” .

EPA to probe alleged improper conduct by EPA staffers on glider kit emissions study James Jaillet, Commercial Carrier Journal (CCJ) / September 5, 2018 The Environmental Protection Agency said Tuesday it will investigate questions surrounding a 2017 study used to justify regulations that cap annual production of glider kit trucks. The move is a response to a non-binding request from a group of lawmakers in the U.S. House. The investigation, taken up by EPA’s Office of Inspector General, centers on a November report aimed at derailing a proposed rule intended to repeal Obama-era emissions regulations placed on glider kit trucks. The proposed rule was also published in November 2017, but it has not yet been made final. Those regulations limit glider kit builders, like Fitzgerald Glider Kits, to producing 300 completed gliders a year. The study found that glider kit trucks produce emissions of nitrous oxide (NOx) and particulate matter at greater levels than that of new trucks equipped with new engines. However, a lawmaker from the U.S. House’s Oversight Committee in June called the study into question, alleging that EPA staffers had improper contact with representatives from Volvo Trucks during the study and used suspect vehicles to conduct its research. Volvo has lobbied in favor of regulating gliders, but it denies any improper contact with EPA officials. In a statement to Overdrive in June, Volvo said its “communication and cooperation with the EPA on this issue has been an entirely appropriate part of a broad trucking industry advocacy effort” to promote the regulation of glider kit trucks. Cummins and Daimler have also been proponents of maintaining the 300-truck annual cap of glider kit builders. Gianforte’s letter says that emails between EPA and Volvo reveal that Volvo provided the gliders for EPA’s study. The letter also says documents obtained “show a small number of [EPA] employees orchestrated this testing and submitted the test results to the public rulemaking docket without the knowledge or approval of EPA leadership.” Gianforte accused the EPA staffers of collaborating with “a regulated entity to potentially sway the outcome” of the tests. Four other House Republicans sent a separate letter in June also asking the EPA to probe the contact between EPA staffers and Volvo: Reps. Bill Posey (Florida), James Comer (Kentucky), Steve King (Iowa) and Brian Babin (Texas). EPA’s Inspector General responded Tuesday, saying it would investigate the claims by the Congressmen and examine the “selection, acquisition and testing of glider vehicles.” It did not provide a timeline for completing the study. A competing study, which was performed by Tennessee Tech University but funded by Fitzgerald Glider Kits, found that glider kits do not produce emissions of particulate matter and NOx at greater levels than new trucks. That study has also been called into question, and TTU has told EPA to ignore the study’s results until its investigation has been completed. .

Amazon makes big commitment during grand opening of U.S. Sprinter plant Derek Clouthier, Truck News / September 5, 2018 CHARLESTON, S.C. – Today’s grand opening of the new Sprinter plant in North Charleston was met with some added good news for Mercedes-Benz Vans, with Amazon announcing it will require 20,000 units over the course of the coming year. Pricing for the 2019 Sprinter vans was also released, with starting costs ranging from USD$33,790 for a four cylinder, 2.0 liter gasoline option to the 4×4 crew van, six cylinder, 3.0 liter turbo diesel Sprinter at USD$56,790. Mercedes-Benz Vans invited media from Canada, the U.S., and overseas to Charleston, S.C., for a tour of the newly opened manufacturing plant, as well as a test drive of the new Sprinter, which in addition the Mercedes-Benz model is available as a Freightliner brand. The 2019 VS30 Sprinter will for the first time be built in the U.S. for the North American market, which, as Volker Mornhinweg, head of Mercedes-Benz Vans, pointed out, is the van’s second largest market in the world. Of the approximate 400,000 units the company sold worldwide last year, around 44,000 were destined for the U.S. and Canada. Mornhinweg said North American demand for the Sprinter was a big factor into why the company chose to call South Carolina home for the new plant. “Building a full-scale production plant in this market makes perfect sense,” said Mornhinweg during the grand opening ceremony. “With the new, state-of-the-art production site in South Carolina, we will be able to supply our customers in North America even faster and with more flexibility in the future. The new plant in North Charleston combines our global expertise and experience resulting in a state-of-the-art facility in every respect. It is a valuable asset that completes our global production network. Our priority at Mercedes-Benz Vans during the planning process for this facility was maximum flexibility. This enables us to react in an agile and anticipatory manner to current developments and customer desires. Additionally, it guarantees excellent quality within our proven, standardized production system.” The company invested approximately USD$500 million into building the plant. Currently, more than 900 people are employed at the location, with the number expected to rise to 1,300 by 2020. Amazon’s need for 20,000 Sprinter vans comes on the heels of the company’s announcement of its new Delivery Service Partner program, where anyone can apply to become an Amazon-branded delivery driver and can lease up to 40 vans to deliver packages from warehouses to homes. “We’re proud to partner with Mercedes-Benz Vans to contribute to local economies through the order of Amazon branded Sprinter vans produced at their new plant in North Charleston,” said Dave Clark, Amazon’s senior vice-president of worldwide operations. “Thanks to the tremendous response to Amazon’s new Delivery Service Partner program, we are excited to increase our original order of branded Sprinter vans to 20,000 vehicles so new small businesses will have access to a customized fleet to power deliveries of Amazon packages.” Clark said the program, which was announced last June, is expanding to more U.S. cities, but at this time has not been rolled out in Canada. The 222-acre Sprinter plant includes a multitude of facilities, including a body shop, paint shop, final assembly, autonomous transport systems, paperless documentation with RFID technology, and onsite training. New features In addition to the gasoline option for 1500 and 2500 cargo, crew, and passenger vans, the 2019 Sprinter offers several new features, including 15 seats for 14 passengers plus the driver, increased GVWR on the 2500 and 4500 models, a seven gear transmission standard on six cylinder diesel models, increased cargo space and usability with loadable wheel arches, interior roof rack, and shelf above roof rim, and the Mercedes-Benz User Experience with optional seven or 10.25” touchscreen multimedia display. Gasoline units come with a nine-speed, automatic transmission. Another optional piece of technology is Mercedes Pro connect with three bundles available – optimized assistance, efficient fleet management, and data interfaces for vans. Test drive Two years ago, I was in Charleston for the groundbreaking ceremony of the new Sprinter plant. Late last year, I was invited to Germany to learn about what Mercedes-Benz had in store for the 2019 Sprinter. And now, I’ve revisited South Carolina to finally test drive a vehicle the company has been touting for some time. As you would imagine, driving a Mercedes-Benz vehicle is a joy for someone more used to less costly makes. It is a smooth ride, and a comfortable one at that. The navigation system – from what I have heard from those who test drove the vehicle in Amsterdam a few months back – has been improved. My drive was just shy of an hour-and-a-half, and the navigation system was responsive and gave fair warning when I needed to make a turn. The turning radius on the van is impressive, which makes it easier to maneuver around corners and fit into parking spaces. If I could change something on the 2019 Sprinter, it would be the distance the dashboard gauges are from the driver. I am just over six feet tall and still had to stretch out to reach the onboard display to use the map and adjust the air temperature. I can only imagine for some shorter drivers it would be more of an issue. The interior also seemed to lack an obvious place to rest your phone while driving. Several vehicles these days have a rubber, no-slip spot on the dash where cellphones can be charged or used as a navigation device, but I found myself just having to toss my phone on the floor beside me or on the passenger’s seat. On the driving side of things, though the ride was smooth, on two occasions the active lane keeping assist kicked in – and I really don’t think it needed to, as I was well within my lane at all times, but I digress – which felt strange on the steering wheel. The best way to describe it is that it vibrates when activated and made me feel like I had lost traction with the road, which was not to my liking. Almost like driving on icy roads and starting to slip…not fun. I’m sure this is something you would get used to, however. Other than that, the new Sprinter really focuses on driver comfort, as well as versatility for various applications. The particular model I was driving was the six cylinder diesel offering set up as a passenger van. With a top speed of 90 mph, it had 190hp, 324lbs./ft. of torque, a max GVWR between 9,050-9,480lbs, and a towing capacity of 5,000lbs. I did not get the chance to drive one of the Freightliner branded models, though several Mercedes-Benz executives say the two are identical and the different brands are more for customers in markets that are more suited for driving a Freightliner compared to a Mercedes-Benz vehicle. Following the test drive, we were given a safety demo that highlighted three key features – rear cross-traffic assist and distronic cruise control, both optional features, and brake assist, a standard on all new Sprinters. Rear cross-traffic assist comes in handy when backing out of a parking space with limited visibility. The vehicle recognizes objects in its path and will come to a halt when another vehicle passes by when it’s backing out of a parking space. Distronic cruise control maintains a safe traveling distance from other vehicles while in cruise control – approximately four vehicle lengths during our demo, but depends on speed. This helps take some of the stress away from driving, as the driver will always know the Sprinter will maintain a safe distance from the vehicle in front. The standard brake assist feature is useful when driving in urban or heavy traffic areas, particularly when a driver is looking for an address or business and may not be paying full attention to the road. The feature will recognize a vehicle in front and brake or stop to avoid a collision. From a technology standpoint, the Sprinter is fully equipped. In addition to the features mentioned above, the vehicle boasts assistance with blind spots, parking, traffic signs, crosswind, driver attention, and Internet in the car. I’m well aware how all of these functions are intended to increase safety, but for me, it does take some getting used to. As I mentioned, the lane keeping assist function felt strange, as did the crosswind assist. Driving over several bridges in the Charleston area, when a crosswind blew, I could feel the Sprinter make a correction. Experienced drivers are used to making these kinds of adjustments on their own, and it is still strange to feel the vehicle do it for you. But this is the way of the future. .

Where was Ford, Bob? Once again, the foreign aggressors are beating us in our own country.

Gabriella Coppola, Bloomberg / September 5, 2018 Daimler AG is emerging as a beneficiary of Amazon.com Inc.’s booming package-delivery needs, with the e-commerce giant ordering 20,000 of the German automaker’s Mercedes-Benz Sprinter vans. Mercedes, which just opened a new plant in North Charleston, S.C., started producing Amazon-branded vans for the online retailer’s Delivery Service Partner program, which enables small businesses to lease vans for deliveries through third-party fleet management companies. Amazon is assisting small businesses across the U.S. by providing discounted vehicles, fuel, insurance, uniforms and access to delivery technology, the Seattle-based company said in June. The bulk purchase of Sprinter vans makes Amazon the largest buyer of the model, Mercedes said in a statement Wednesday. .

Ford stops national ads for sedans, including Fusion still in production Michael Martinez, Automotive News / September 5, 2018 DETROIT -- As Ford Motor Co.'s car cull takes effect, its dealer network will have to figure out how to sell any remaining Blue Oval-badged sedans without the help of national advertising campaigns. Ford has ended all nationwide, or Tier 1, marketing for the Fiesta, Focus, Fusion and Taurus and also is dialing back regional spending in certain markets -- even though the Fusion will remain in showrooms for at least the next two years. Mark LaNeve, Ford's vice president of U.S. marketing, sales and service, said the automaker plans to redeploy that money on vehicles such as the Mustang, EcoSport and a slew of next-generation utilities coming by the end of the decade. "It allows us to focus our resources," LaNeve said in an interview Tuesday. "If we can take that money from sedans, where we have a middle-of-the-road position, to be the leading brand in SUVs, that'd be a really good position." In April, Ford revealed plans to end sales of all sedans in North America as it transitions to a crossover- and SUV-heavy lineup. The automaker had said it would import a wagon version of the Focus to the U.S. from China but nixed that plan last week because of the Trump administration's escalating trade war, leaving the Mustang as its lone car nameplate within a few years. The company's August sales results suggest it's the right move, executives say. The Ford brand's car sales dropped 21 percent last month, while pickup and van sales rose 5.9 percent and utility-vehicle sales jumped 20 percent. Mustang sales jumped 35 percent as it continues to dominate the pony-car segment. "We clearly have the right strategy," LaNeve said. While Ford already has stopped building the North American version of the Focus and will end production of the Fiesta and Taurus by the middle of next year, the Fusion faces a much slower death. Executives have said only that the Fusion will stick around for at least a couple more years. Bloomberg has reported that the company is developing a sport wagon version to compete with brands such as Subaru, starting in the early 2020s. Although the Fusion will get no help through national ads, LaNeve said Ford still will support sales of the car with incentives for dealers to offer. "Obviously, we can't let the dealers just sit on the inventory," he said. "We'll keep them competitive on incentives, but we're certainly not spending money there in a way where we'd be driving the market. We're accepting the share we've got."

Ford (F) set a new 52-week low today of $9.32. Volvo fuel injection supplier Delphi Technologies PLC (DLPH) continues to plummet, setting a new 52-week low today of $33.93. Tenneco also set a 52-week low today of $41.26.

The Scania V8, in truck applications, is rated to 730hp. Imagine a next generation International cab and hood (ProStar/LT replacement) atop a (V8 compatible) Scania platform.

With Chamberlain you're right. They could see the writing on the wall but were unwilling to stop/contain Hitler early on.

The American government tells the masses who our adversaries are, and supported by the media, drills in the official view. Well, that view is generally far from the truth, and one-sided. In my opinion mind you, the US has handled the DPRK issue incorrectly for years. On reason they've run in a bad direction is because we continually rubbed their face in the dirt. If a father continually yells and shames his son, he will likely adapt to the environment, grow a thick skin, start snapping back and become a problem child.

Heavy Duty Trucking (HDT) / September 4, 2018 Brazilian brewing company Ambev is adding 1,600 Volkswagen E-Delivery electric light trucks, which was triggered by a government policy that applied a new fixed minimum freight fare for diesel truckers. The EV trucks will be with 20 logistics companies that distribute the company’s products and will replace older trucks, according to Reuters. Earlier this year, an 11-day strike by tens of thousands of self-employed truckers angry at a 10% increase in diesel fuel prices blocked major roads across 19 of Brazil’s 26 states, preventing the delivery of food, fuel, medicines, and other goods that are transported over the road. (Editor’s note: Please check back soon on our global page for our overview on the state of the Brazilian Fleet market in the upcoming Global Fleet Market Conditions Q3 2018 report, sponsored by General Motors.) The strike forced the Brazilian government to instill new laws, including establishing a minimum fare for freight to be paid to diesel truckers, reports Reuters. Electric vehicles are exempt from the price minimums. The EV trucks will make up 35% of Ambev’s fleet, according to Inside EVs. .

Since 2011 (right Bob?), when it adopted the D4 unibody car platform (a modified D3 platform) with a transversely-mounted engine and front-wheel drive/AWD.

I don't know Bob. I thought this one pegged its subject topic.........https://www.bigmacktrucks.com/topic/54073-this-pretty-well-sums-it-up/ But for example, he's all wrong on how to deal with the DPRK. The masses of every nation pay little attention to national and global affairs because, for one thing, they know they are powerless to influence.

Never heard of anyone in my entire career having trouble with a genuine Mack remanufactured water pumps. And your failed pump is the original unit? So you've never experienced a Mack reman water pump on that engine?

A factory reman unit sold by your local Mack brand distributor.

Chevy dealers report for medium-duty Michael Wayland, Automotive News / September 3, 2018 Hundreds of Chevrolet dealers are preparing their stores for what could be one of the most significant boosts for their fixed operations business in a decade. "There is a huge amount of business that's been waiting for us to get back into this market and business," said Mike Bowsher, chairman of the Chevrolet National Dealer Council. Bowsher, owner of Carl Black Automotive Group, in Kennesaw, Ga., is one of more than 400 Chevy dealers who have agreed to sell medium-duty commercial trucks, including new Chevrolet Silverado 4500HD, 5500HD and 6500HD trucks that are scheduled to go into production in early December. Dealers across the country — from Carl Black's Chevrolet stores in Georgia to Silveira Chevrolet in Sonoma, Calif. — have been anticipating the arrival of such trucks for months, if not years. "Those of us who lost medium-duty in the past, we lost a lot of service business, and we lost a lot of gross profit due to those sales going away," Bowsher said. GM exited the medium-duty segment as part of its 2009 bankruptcy, allowing Ford Motor Co. to increase its commercial leadership position and Fiat Chrysler Automobiles' Ram to expand its business. Many Chevy dealers re-established medium-duty operations two years ago to support the brand's low-cab-forward trucks, but the Silverado medium-duty trucks are expected to be the bread and butter of Chevy's new commercial lineup. "We have a number of dealers that are going to grow their facility for either stocking or service or just building an adjacent building for the expansion," said John Schwegman, director of commercial product and medium duty at GM Fleet. "It's not about what's the minimum requirement. It's about 'How do I maximize my return for this opportunity?' because they see it as a significant opportunity." Upgrades Requirements include training for sales and service staff on commercial vehicles as well as parts and other specifications such as service door heights and lifts to accommodate the trucks. GM said about a third of the more than 400 medium-duty dealers are new to the business or are re-establishing their operations for the medium-duty Silverados. GM has established a "Commercial College" to help train dealers for the medium-duty trucks, including the low-cab forwards, which dealers are required to sell alongside the Silverados, according to Paul McKay, manager of commercial dealer operations. About 2,000 people are expected to be trained as part of the program, which is a mix of on-site, online and remote training for sales and service staff. "What we want to just make sure is when these [medium-duty] customers call or they come visit, we want to make sure our dealership partners are ready to meet the needs of that customer," McKay said. Silveira Chevrolet, a newcomer to Chevy's medium-duty truck business, has installed two service bays and plans to add sales and technician staff as needed, according to Darron Kendall, commercial-sales manager. Silveira, he said, decided to enter the business to offer a full line of vehicles for its customers, including a "large number of clients" in the wine business in Sonoma and Napa counties in Northern California. "By being able to handle all of their vehicles, we can ensure that we maintain a great relationship with them to ensure that all of their vehicle needs are met," said Kendall, who declined to disclose how much the dealership has spent on meeting medium-duty requirements. GM previously estimated the cost to meet the requirements at $100,000 to $200,000. Incremental training and parts could cost $10,000 to $15,000 for those dealers. Others such as Randy Marion already have the infrastructure in place and have continued to service commercial vehicles despite GM exiting the segment. "We've been out of the game, but now we're getting back into the game," said Marion, owner of Randy Marion Chevrolet-Buick-Cadillac in Mooresville, N.C. "We're really excited." Marion, one of Chevrolet's highest-volume commercial dealers in the country according to GM, has about 40 employees working on its commercial business. He said that number could increase as the dealership gets more business from the Silverado trucks. GM executives have said they expect three adjacent sales of other vehicles with each medium-duty truck sold. That, according to officials, should translate to additional fixed-operations business. "It could be and should be significant," said Keith McCluskey, owner of McCluskey Chevrolet in metropolitan Cincinnati. "If there's that many adjacent sales, then let's extrapolate that into the fixed operations." Priority service Another main dealer-led focus as GM prepares to launch the Silverados is ensuring dealers offer extended "priority service" hours for medium-duty customers to expedite maintenance and repairs, according to McKay. "These medium-duty customers have high expectations and doing service work during just normal business hours doesn't always work," he said. For example, McCluskey Chevrolet is already open seven days a week with service hours for retail customers, including until 3 a.m. weekdays. The store plans to keep those hours for its medium-duty business, including an early-morning pickup. "It's an important part of the business," McCluskey said. "It can be a very high volume model for those of us who focus on it." .

Why can't Ford's US market videos look this good? . . . .

Automotive News / July 16, 2018 --------------------------------------------------------------------- Fusion's not the problem; it's Ford TO THE EDITOR: The Fusion was the right car at the right moment, but Ford's current decision process for the car is wrong ("For Ford, Fusion was right car at wrong time," autonews.com, July 1). Floating the idea of scrapping a car that still sells over 200,000 units says more about Ford management than the car. Since its 2005 launch, the Fusion has at many times ranked as high as the top sedans in this segment in quality. It offers all-wheel drive (AWD), which is not only rare in this segment, but one of the most-demanded options, especially in the snow regions. While Ford complains about declining sales of the Fusion, dealers and customers have not been able to get enough of the AWD versions, especially for lease renewal customers who do not want a crossover. Ford is mistaken if it thinks 200,000 customers will automatically buy Ford crossovers. Ford has been heavily courting Wall Street reaction to its strategies, but it may want to court reaction from loyal customers and dealers. It did not help to fuel speculation last December by implying — and much later confirming — that the Fusion will go away. Dealers can attest to the number of disapproving calls from customers. Good decisions by Ford have been to reduce ordering complexity for 2019 Fusion models and make more safety features standard. It may want to also consider changing the name of the Sport model to "ST" and having high-riding/sitting sedan and wagon versions of the Fusion to boost sales and profits. KARL MILLER: White Plains, N.Y, The writer is a sales consultant.

Scania Group Press Release / September 3, 2018 PHEV/HEV based on Scania’s new truck generation For urban applications in distribution and construction Runs 10 km with zero tailpipe emissions Fuel savings of up to 15 percent expected, can run on HVO Scania Zone facilitates sustainable operation in sensitive areas Electric PTO and potential for PIEK compliance open for night-time city operations on uncongested streets At the IAA fair in Hannover, Scania is disclosing a plug-in hybrid electric truck (PHEV) based on the new truck generation. The PHEV and its sibling hybrid electric vehicle (HEV) truck can use Scania Zone to facilitate seamless compliance with emissions and speed regulations in certain zones. “We at Scania continue on our eMobility pathway with a ‘here and now’ approach, offering solutions that have the necessary capabilities in place for supporting urban customers in a sustainable way from day one,” says Maria Johansson, acting Product Director, Urban, Scania Trucks. “We will first introduce a HEV version, and a PHEV will follow next year. Scania customers get a solution with reliable hardware, regenerative charging, no range anxiety, zero tailpipe emissions and without compromising their total operating economy.” The new hybrid trucks are powered by Scania’s DC09, an inline five-cylinder engine that can run on HVO (hydro treated vegetable oil) or diesel, working in parallel with an electric machine generating 130 kW (177 hp) of power and 1,050 Nm. The lithium-ion rechargeable battery’s energy window is set to 7.4 kWh to secure a long battery life. The trucks can be driven in fully electric mode without any support from the combustion engine, thanks to electric auxiliaries for steering and brake air supply. “Hybrids are state-of-the-art in terms of the total operating eco­nomy, up­time and sustainability of today’s urban truck operations,” says Johansson. “Com­bined with HVO, it will bring CO2 reductions of up to 92 percent while offering out­standing productivity in the ever-expanding urban areas where truck operators are facing challenges such as safety issues, environmental demands and congested streets.” Scania’s HEV can be ordered from November 2018, the PHEV will follow in 2019. More about Scania’s hybrid trucks Scania’s first HEV (hybrid electric vehicle) was based on the former truck generation, known as the PGR. Here Jesper Brauer, Product Manager, Urban, Scania Trucks, talks in more detail about the solutions and intentions behind the new Scania hybrid vehicles based on the new truck generation. Why a Scania hybrid? What’s the customer value? “We can see how most new truck solutions operating in urban areas will gradually migrate to full electrification in the next decade when the battery technology and the necessary infrastructure are in place. But until then our industry is in what I would call a transition period, where solutions like hybrids and alternative fuels – or a combi­nation of the two, like our hybrid trucks – will offer the best solutions and reasonable total operating economy figures for real-world customers.” “Scania’s new hybrid trucks can operate day in and day out in challenging urban environments, offering the same uptime and foreseeable need for maintenance as conventional Scania trucks. But when adding the electric, zero-tailpipe-emission capabilities, they turn into a tool that offers a sustainable transport solution like no other comparable truck. Their powerful electric machine and a useful operative range of 10 km in electric mode open up a world of oppor­tunities.” “Distribution trucks as well as urban construction trucks will, for instance, have the opportunity to fulfil tasks in areas that are sensitive and crowded in the day during night time instead. They have zero emissions and noise levels well below the 72 dB(A) that have become a de-facto standard, based on the Dutch PIEK regulation.” What is Scania’s strategy regarding charging and battery usage? “The lithium-ion technology is still the best proven solution available. Just like in our former HEV truck, the HEV/PHEV trucks are primarily utilising regenerative braking for their charging by capturing kinetic energy. The intention is to drive the truck in Auto Zero Tailpipe Emission (ZTE) mode, which means that the electric machine is always used to start moving and at lower speeds, provided that energy is available in the battery. Using the Auto ZTE mode will result in the lowest possible fuel con­sumption since it will cut the internal combustion engine (ICE) every time that is favourable.” “The coming PHEV (plug-in) option will mean that the truck can always start its work fully charged. Then complementary charging can also be carried out during a driver’s shift while their truck is parked for loading or unloading, or while they are resting. Adding 22 kW of power to the battery takes about 20 minutes with a regular power supply. Even more considerable fuel savings can be achieved in this way.” “We have set quite conservative parameters for battery usage, to secure a long battery life. By avoiding battery drainage and high spikes, the battery will last between four to seven years under normal conditions, depending on the operation. The driver can force battery charging while driving (to prepare for their expected need for ZTE driving) but that will of course result in a fuel penalty.” How can the driver steer and monitor battery usage? “In these vehicles, the driver can monitor the energy flow in the instrument cluster. When the brakes are applied, the truck will be able to tell whether the brake power provided by the electric machine can handle all the regenerated energy or the exhaust brake or if service brakes must provide support. In a display in the instru­ment cluster, blue arrows will show if the generated power can be fed straight back into the battery. If the driver actually brakes harder than what the re­generative system can handle, the arrows will turn yellow.” “Just like with any other heavy truck, a planned, driving style using anticipation pays off from many perspectives. The display in the instrument cluster also shows the battery’s status and the expected ZTE driving range.” “These trucks have an electric retarder, with the typical Scania retarder lever on the steering column. It offers five various positions: 1-3 mean braking only with the electric machine; position 4 means maximal braking with the electric machine plus utilising the ICE’s exhaust brake; while position 5 means that a down­shift for in­creased engine braking is added.” Which engine options are available with the hybrid? “The truck can be ordered with any DC09 engine, with 280, 320 or 360 hp. The truck on display at IAA has a DC09 320 engine. What more is new about this hybrid truck generation? “We have included a new power boost option in these trucks, for instance. If the driver does a kick-down, the electric machine will offer a power boost of 50 kW or some 250 Nm, provided that the battery is sufficiently charged. If the driver chooses Per­­for­mance mode, an extra boost of 20 kW or 150 Nm is always added during accele­ration even if the kick-down function is not engaged.” “In fact, our hybrids will automatically boost the available torque in many situations to avoid the need for down­shifts, which of course increases the fuel-saving potential. They will in general use quite different gear-shifting strategies compared with con­ven­tional trucks. The typical starting gear is 5 or 6, thanks to the massive torque that is readily available from the electric machine. And when braking or reducing the speed of a vehicle, down-shifts are avoided to maximise power regeneration.” What about the electric PTO, how is that useful? “In order to utilise the truck’s full potential, urban truck solutions like these need to have a full set of capabilities, like an electric mode functionality that ensures that the truck remains silent and the possibility to operate bodybuilding features like a crane without creating a disturbing noise. “We have also provided the hybrids with electric power steering and an electric brake compressor, which means they can run in truly electric mode without having to put the ICE on idle for brake air supply, for instance.” What about services and financing? “When we offer solutions like this, they will gradually come with the kind of services that will help our customers take full advantage of them. Neither the complete truck nor the ICE is ‘complicated’, but as always when electrification is part of the picture, factors like residual value, battery life-length and reparability must be taken into consideration.” How does Scania Zone fit in with hybrid trucks? “Scania Zone is an optional Scania Fleet Management service that fits excellently with hybrid trucks, for instance, but Scania Zone can of course be used with all kinds of modern Scania Trucks.” “Scania Zone supports drivers by facilitating compliance with traffic regulations or local environmental zones. Scania Zone delivers position-based adjust­ments or suggestions in pre-defined zones in real time to the vehicle, thus helping the driver to comply with the rules.” “Our PHEV/HEV can use functions in Scania Zone such as Speed limit and Auto­mated electric mode when entering a sensitive geographical zone. When the truck leaves the zone, it automatically returns to regular operation.” Please find a separate press release about Scania Zone in Scania’s IAA press kit. Which kinds of operations would trucks like this be suitable for? “They will of course fit within Scania’s modular system and we offer a number of cab series and axle configurations for both tractors and rigid trucks. In combination with the three diffe­rent power levels we offer with DC09, it means that a broad variety of urban application trucks can be tailor-made based on our hybrids, and they will be capable of handling GTWs weighing up to or even more than 26 tonnes.” “All kinds of distribution trucks are what first comes to my mind, but it doesn’t stop there. Urban tippers, preferably with L-series cabs, as well as waste-handling trucks and all kinds of vehicles for public maintenance in urban environments will most likely fit within this solution since we offer P- and G-series cabs as well.” Can you guarantee the 10 km range? “It is never black or white when talking about range. Yes, 10 km is a relevant number under normal conditions, but it can of course vary. It depends a lot on the driving conditions, the number of stops and starts, whether or not it is hilly, the outside temperature and so on. Under ideal conditions, the actual figure can also be higher.” Finally, what’s it like driving a hybrid like this one? “It is a truly relaxed experience, just like driving any other Scania truck from the new generation. This actual truck at IAA has an L-series cab which of course adds extra capa­bilities when driving in busy urban environments. But apart from that, this could be any Scania distribution truck since the smart functions and the sustainability are so well integrated in the truck itself. And it handles well; you won’t notice the extra weight and the powertrain works seamlessly.” “And that is kind of the point: operating innovative trucks like Scania’s hybrid should not be more complicated than operating a ‘normal’ truck. Scania as a manufacturer and all our potential customers out there have a learning curve to climb the coming decade. That is why each commercial step that the solutions customers are expected to actually pay for and earn money from, has to be a real-world solution capable of handling real challenges.” . .

Volkswagen Group Press Release / September 3, 2018 Clarity, strength and innovative transport solutions - that is what TRATON stands for, as Andreas Renschler, Chairman of the Board of Management of TRATON AG and member of the Board of Management of Volkswagen AG, explains in this interview. Mr. Renschler, what was wrong with the name Volkswagen Truck & Bus? Didn’t you like it? (Laughing) There was nothing wrong with the name. But it is no longer the right name for our Group. So, what are the reasons? Why are you renaming your company? Well, there are several reasons. First of all: The time has come for a new kind of company in the transportation industry. We aim for nothing less than transforming the way we do our business – and our customers will benefit from that. We will embrace a new model based on the spirit of partnerships and openness. This is the key for quick action in our rapidly changing environment. You already started this approach by building up and intensifying your global partnerships. For instance with Navistar in North America, Hino and Sinotruk in Asia, and Volkswagen Commercial Vehicles, which is now part of Volkswagen’s volume group. Therefore, we need an unique name in order to behave self-confident and independent on the global stage. The new name TRATON is the next milestone on our way to increase independence – and an important step towards capital market readiness. TRATON will definitely foster our visibility as a leading Group for innovative transportation solutions. It will increase our attractiveness for new talents as well as for capital markets. And of course, it will also make it easier to distinguish us from Volkswagen AG. Very important is also the internal effect: The name will strengthen the Group’s joint identity and uniqueness! TRATON reflects the DNA of a company, that was designed for and born in a new era of transportation. I assume you discussed more options. Why did you choose TRATON? Actually we discussed a lot of options! Our creative team explored hundreds of names. From Eastern mythology to compounds, to acronyms, to Scandinavian folklore. Believe me, no stone was left unturned in our quest to find the best name for our new company. And you have to consider: It also had to be available. With TRATON, we have found a name reflecting the terms that are important to us and define our identity. And what are these terms that TRATON reflects? You can find them literally in the name. The first three letters hint to the transportation business we operate in. They invoke our vision to transform and reinvent ourselves and also the entire transportation system. And of course they also show our respect to over a century of our brands’ tradition. A tradition of creating innovative solutions for the movement of people and products. The last three letters explain our great responsibility for moving immense tonnage around our world. Eventually the “on” in the end showcases our always-on attitude. Around the clock, around the world, we enable our customers and partners to stay always on with our innovative products. To sum it up: The name that we created, is powerful and unique. And TRATON will drive us into an exciting future. (Smiling) I can strongly recommend to watch our TRATON brand movie on our website! With this strong messages: Will we one day see a TRATON truck on the highways? Definitely not! Our brands will keep their own and proud identity! This is very important for us. For our customers, nothing changes due to the name change. Our brands will continue to provide strong solutions to serve their customers’ demand. Going forward, we will have an even more clear positioning with this strong new umbrella for our brands in the market: MAN, Scania, Volkswagen Caminhões e Ônibus, and RIO. So, if the brands’ identity is that important, what will TRATON stand for? You have to think bigger. The role of the Group is to see the entire picture. Transportation has reached a new era. Everything is in a flow thanks to an increasing transportation of goods, digitization and connectivity. And on the other side we see ever higher emission standards and all other kinds of regulations. We are designed for and born in this new era: combining the agility and spirit of a start-up with the extensive experience of our great traditional brands. With this unique set-up, we are perfectly positioned to deliver the best solutions – and by that to re-invent transportation for future generations. This is what TRATON stands for! Your ultimate goal is creating the Global Champion of the industry. Can you achieve this easier as TRATON than as Volkswagen Truck & Bus? TRATON sharpens the focus on our Global Champion strategy. It will make us better, so that we can improve transportation. We have a clear goal: we want to become Global Champion of the transportation industry. Don’t forget: Our group was formed to achieve that goal. And we are making good progress! Since our foundation, we have grown together faster than expected. Now we are running at full speed on our way to capital market readiness. The new identity will increase our independence even further, bring us a higher visibility and grant us flexibility to finance future growth. Our Group contains tremendous potential that we will fully evolve – this is just the beginning! .

Scania Group Press Release / August 31, 2018 At IAA in Hannover 20–27 September, the full Scania new generation truck range will be on display, including trucks for long-haulage, construction and urban applications – all alternatively fuelled. Scania also takes a further step to the already broadest alternative offer in the market by introducing a plug-in hybrid distribution truck. This full range of alternative fuel trucks and buses is a manifestation of the increasing opportunities for decarbonisation. .

Jessica Contrera, The Washington Post / September 3, 2018 He arrived at the coal mines, textile mills and industrial factories dressed in a three-piece suit. He wooed those in charge, asking to be let in. He was just a humble Bible salesman, he claimed, who wanted to spread the good word to the laborers inside. What Lewis Hine actually wanted was to take photos of those laborers — and show the world what it looked like when children were put to work. In the early 1900s, Hine traveled across the United States to photograph preteen boys descending into dangerous mines, shoeless 7-year-olds selling newspapers on the street and 4-year-olds toiling on tobacco farms. Though the country had unions to protect laborers at that time — and Labor Day, a federal holiday to honor them — child labor was widespread and widely accepted. The Bureau of Labor Statistics estimates that around the turn of the century, at least 18 percent of children between the ages of 10 and 15 were employed. Hine’s searing images of those children remade the public perception of child labor and inspired the laws to ban it. Today, the Library of Congress maintains a collection of more than 5,000 of Hine’s photographs, including the thousands he took for the National Child Labor Committee, known as the NCLC. “It was Lewis Hine who made sure that millions of children are not working today,” said Jeffrey Newman, a former president of the New York-based committee. The organization’s mission wasn’t about showing the public that children were being used for financial gain — that was already a well-known fact. At the time, many believed the practice had substantial benefits. Youths could learn the value of hard work. Businesses could increase their productivity and decrease the hourly pay. Parents could depend on their children to support the family, meaning the adults could work less or not at all. As one mother remarked to the NCLC in 1907: “I am really tired of seeing so many big children ten years old playing in the streets.” Hine’s photos showed the price: unsafe working conditions, dangerous machinery and business owners who refused to educate the children or limit their working hours. Though there had been investigations that attempted to expose these circumstances in the past, “The industry simply dismissed those reports as — the term they would use today is — ‘fake news,’ ” said Hugh Hindman, a historian of child labor. “When Hine comes along and supplements the investigations with pictures, it creates a set of facts that can’t be denied anymore.” Taken with a heavy Graflex camera, Hine’s photos were paired with captions and stories from his interviews with the children, who would tell him their ages, backgrounds and working conditions. If they didn’t know their own age, Hine would estimate it by measuring them. As a Bible salesman or in one of his other disguises — he posed as a postcard salesman and a machinery photographer, Hine could hardly be seen whipping out a measuring tape. That’s why he wore a three-piece suit. He could measure the children against the buttons on his vest. Hine’s affinity for telling the stories of the downtrodden probably came from his own start in life. At 18, he began working at a Wisconsin furniture factory after the death of his father. It was up to Hine to keep his family financially afloat. According to the International Photography Hall of Fame, Hine worked 13 hours a day, six days a week, until he could move on to a seemingly better job — as a janitor in a bank. He began taking college courses on the side to become a teacher. One of Hine’s mentors encouraged him to move to Manhattan and begin his teaching career in one of the city’s private schools. It was there that Hine picked up photography. In the hope of teaching his students to respect the new wave of immigrants coming into the city, he began visiting Ellis Island and photographing the new arrivals. Hine’s work attracted the attention of the NCLC, which had been founded in 1904 with the mission of ending child labor. The organization had a particular project in mind for Hine. Today, the use of photography as a tool to expose wrongdoing is hardly revolutionary. But in Hine’s time, when newspapers were just beginning to incorporate photos into their daily product, it was nearly unheard of. Hine is credited with inventing the term “photo story” and for popularizing a style of portraiture in which the subject looks straight into the camera. His images demand that the viewers look into the children’s eyes. In many, the children are looking right back. The National Child Labor Committee published Hine’s photos in its publicity material, trying to influence lawmakers and power players to address the injustice being done. Exhibits, newspapers and progressive media outlets picked up his outrage-inspiring work, ensuring it was seen across the country. But there was no such thing as going viral in the early 1900s. The spread of Hine’s photos and the reform that they inspired was extremely slow. The Fair Labor Standards Act, the federal law that would prohibit most employment of minors, wasn’t passed until 1938. Hine died two years later — long before his work would be recognized for the impact it had. Now Hine’s photos appear in museum exhibitions, are sold at auctions for upward of $5,000 apiece and are credited with influencing generations of documentary photographers. “If Hine were working today, he’d be traveling the world, photographing kids still working 14 or 15 hours a day with no serious pay and no health benefits,” said photo historian Daile Kaplan. But the effort that funded and published Hine’s work, the NCLC, is no longer continuing his legacy. The organization spent more than a century investigating labor issues in fields, sweatshops and well-known corporations, including Burger King. But in 2017, it shut down without announcing its closure. Its website disappeared. Its phone number still rings, but no one answers. Newman, the former NCLC president, said the organization simply ran out of money and had trouble paying its debts. In its final years, the threat of child labor didn’t have the fundraising power it once did. In a rare instance in which an organization dedicated to a social ill had worked itself out of a job, the NCLC board decided to “declare victory and just move out,” Newman said. “There may well come a time when the NCLC may need to be reinvented and started up again,” he predicted. Without the NCLC, there remains one organization still bearing Hine’s name: a fellowship for Duke University graduates who want to become documentarians. The young fellows chronicle lives inside food pantries, foster homes and struggling neighborhoods. Their work is in the spirit of Hine’s legacy — but looks incredibly different. Along with still photos, they employ video, audio and even virtual reality to show the injustices of the world. None, as of yet, has had to impersonate a Bible salesman to get the job done. .