Volkswagen Trucks and Buses will invest 14 million to strengthen its presence in Peru.

The heavy division of Volkswagen Trucks and Buses is at a key moment to strengthen its position in the competitive Peruvian market, a sector where 99 brands compete for customer attention. In this context, the German company, represented in the country by Euromotors, has outlined an ambitious plan for 2024 and 2025 that includes a significant investment of 14 million dollars, aimed at improving its operations and expanding its product offerings. Luis Alvarado, Commercial Director of Trucks and Buses at Euromotors, noted that despite the supply challenges faced by the industry throughout 2023, Volkswagen managed to maintain its revenue and profit levels. However, the company could not avoid a slight decline in its market share, selling 480 units in 2023 compared to 600 the previous year. This reflects a complicated environment, where competition and economic factors have played a crucial role in its operations. Alvarado highlighted that the start of 2024 has brought a series of challenges, both internal and external. The lack of corrective measures from the government to boost the economy has created an atmosphere of uncertainty, which could affect private investment. Nevertheless, the executive expressed optimism about a potential improvement in the second half of the year, which would allow Volkswagen to achieve its growth target of 10% to 15% and thus regain its market share. In order to strengthen its presence, Volkswagen plans to allocate approximately 9 million dollars to maintain an adequate mix of truck and bus models that meet the needs of its corporate clients. Additionally, the company will invest 2.5 million in its after-sales division, ensuring the availability of original spare parts and necessary tools for service. Locales and workshops in Lima and provinces will also receive an additional 2.5 million for infrastructure improvements. The company currently has a network that includes six dealerships and five authorized workshops nationwide, being responsible for after-sales service for over 12,500 units of its brand in the country. The importance of its infrastructure is reflected in the needs of the Peruvian market, where over 90% of cargo is transported by trucks due to the insufficiency of other means of transport. The agricultural sector has become a fundamental pillar for the demand for vehicles, as this industry requires a high volume of trucks for its logistical operations. Alvarado emphasized that there is no sector that does not depend on trucks for distribution, highlighting the industry's relevance in the national economy. To boost its sales, Volkswagen will focus on three key areas: solid waste transportation using compacting trucks for public cleaning, beverage distribution, and expansion into sectors such as mining and construction, which require vehicles for work in challenging terrains. These areas represent significant opportunities to increase its market share. The commercial director also mentioned that, despite the investment and expansion plans, they are constantly evaluating the possibility of opening new workshops and technical service points, although no specific locations have been confirmed at this time. This underscores Volkswagen's intention to adapt and grow in a challenging environment. With the push of these initiatives and a positive outlook for the sector, Volkswagen Trucks and Buses seeks not only to regain its market share but also to establish itself as a key player in the development of the country's transport infrastructure. The company seems ready to compete in an increasingly robust and diversified market, where innovation and service will be essential for its success.