AB Volvo, the Swedish builder of commercial vehicles, including trucks, buses and construction equipment is planning further growth in Saudi Arabia and Qatar as well as the UAE in 2012, Anders Osberg, chief financial officer of the Volvo Group said on Monday.
“It is an attractive place to be, we are looking at relationships with banks and so on to try and sell our products even further,” Osberg said.
“There are potential markets for us today where we haven’t been that active before but are trying to break into now.
“Saudi Arabia, for instance, is a potential good market from the trucks and construction equipment perspective.”
The company’s sales in the Middle East are likely to rise 30 percent by 2015 in all the manufacturer’s product ranges, Osberg said.
However, the executive said that the European heavy-truck market will shrink by 10 percent in 2012 from the 240,000 vehicles forecast for 2011.
During the third quarter of 2011, demand remained favorable in most of the Volvo Group’s markets.
Sales rose to SEK 73.3 billion. Operating income improved to SEK 5.8 billion, compared with SEK 4.9 billion in the year-earlier period, corresponding to an operating margin of 7.9% (7.7).
In the third quarter, net sales increased by 15% to SEK 73.3 billion (64.0). Adjusted for currency movements and acquired and divested units, sales increased by 22%.