The Business Year

WAVE OF GROWTH

Seeking to be the leader in the sale of industrial vehicles in Spain, IVECO is pulling out all the stops in terms of investing in technology and production.

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In 1990, IVECO acquired 100% of the shares of Spanish industrial company ENASA, and since then it has positioned itself as the sector leader. How has the company evolved since then?

ÁNGEL RODRÍGUEZ LAGUNILLA Within IVECO, Spain is an important country; it is the second-most important country in terms of market. In addition, it is also important in terms of our industrial presence. We have two factories in Spain, one in Madrid and the other in Valladolid. In Valladolid, we manufactur­e our light vehicles, while the heavy vehicles are produced in Madrid. We have more than 4,000 workers in Spain. The company constantly invests to adapt to technologi­cal changes. We include all the technologi­cal updates in our manufactur­ing line. We want to be a sustainabl­e business for all our partners.

RUGGERO MUGHINI Having two plants in Spain is not only a matter of pride, but also a matter of responsibi­lity because we have to position the brand in the right markets. This brand has the responsibi­lity to be the market leader, a position we have maintained for many years.

The factory in Valladolid received the Award for Best Company 4.0. What’s the importance of digitaliza­tion for IVECO?

ARL In terms of the digitaliza­tion of processes, and from an industrial point of view, in the next 10 years we will experience a radical change compared to what we have seen in the last 50 years. In the industry sector, the leap will be massive. IVECO started with this process several years ago. In 2019, we received an award from the Ministry of Industry as the best 4.0 industry. This year, we received another award for digitaliza­tion, which demonstrat­es the effort of IVECO to improve productive processes. The challenge is to find practical uses for new technologi­cal developmen­ts, which is not always easy. There are many developmen­ts in areas such as robotics, AI, and augmented reality, but sometimes it is difficult to find practical uses for them.

RM Industrial digitaliza­tion is an extremely broad concept. We will also witness the digitaliza­tion of transport. The same evolution that we have seen in mobile phones will take place in vehicles in the next 10 or 15 years. If we connect vehicles to the internet, they will gain access to additional services, allowing the transporta­tion industry to be more efficient and productive. Now, our trucks can connect to the internet. We will have a network in Europe that will help our vehicles record a better performanc­e.

What were your financial results in 2020 compared to 2019?

RM We gained market share in heavy vehicles. 2020 was not as successful as originally predicted, but it was not as bad as expected in March. Some 95% of our dealers ended the year with positive figures.

Can you elaborate the company’s strategy in terms of sustainabi­lity?

ARL For us, sustainabi­lity is part of our DNA. We started to develop vehicles in natural gas 25 years ago. In buses, we are pioneers in electric buses as part of our portfolio. Sustainabi­lity is essential for us. We signed a joint venture with US-based start-up Nikola to develop electric trucks. About 75% of the energy that IVECO consumes comes from renewable energies. We also have an important program to reduce CO2 emissions within our production process. We believe the entire production chain has to be sustainabl­e.

What hydrogen projects do you have in the works?

RM The 2030 roadmap developed by the EU mandates all manufactur­ers to reduce gradually CO2 emissions till 30% in 2030. In order to reach that goal, 20% of vehicles will be either electric or hydrogen powered. IVECO will launch the first electric vehicle in 2022 and hydrogen vehicle in 2023. We will be ready to carry out the roadmap assigned by the EU.

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