Zero subsidies for Mack and Volvo trucks

Mack and Volvo truck man interviewed on the Power Wireless this morning, they employ some hundreds of workers at Wacol (Brisbane) and turn out some 250 big units per annum for the local market. No government assistance. When the CEO came from the US he talked to workers and management and distributors etc but not the government.

They shed some workers during the crash but made some changes and came out in better shape than they went in, so they could move on to invest in more people and plant.

There is a union presence but they have no problems because there was cooperation to ride out the difficult period. Which union is that I wonder?

This is a record of Mr Abbott’s visit to the site in August.

[Too busy to check details or do further investigation.]

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16 Responses to Zero subsidies for Mack and Volvo trucks

  1. Token

    Its not just the engines.

    One of the best companies I worked with made the tipper trailor beds for many industries. The management and workers were uniformly committed to meeting customer demands. They are exporting like crazy to this day.

  2. Craig Mc

    Good for Mack & Volvo – they’re helped by the fact that trucks are big enough items to better absorb our higher labour costs. Maybe their unions aren’t any different to Holden/Ford/Toyota’s – they might just be better placed to deal with the problems they cause.

  3. Rafe

    The man said they have a competitive advantage in the local market because they design to suit long hauls and big loads where a lot of imported rigs don’t cut it until they are modified. They do some exporting to local places like NZ, P/NG and some other places not far away (which surprised me, where are the long hauls in P/NG?)

  4. Elizabeth (Lizzie) B.

    Nothing like pulling together in a crisis. Here’s a song about dat. The trick is to sustain it, and get a clear direction, fighting off the wrecking loonies on the way who are spoiling for a stoush.

    Mack and Volvo are to be congratulated. Glad to hear this success story.
    Never likely to hear it from the luv media though, are we?

  5. They do some exporting to local places like NZ, P/NG and some other places not far away (which surprised me, where are the long hauls in P/NG?)

    Indeed. Had they a road system there’d be some long hauls. I’d have a look at where in PNG the trucks are going, and who is buying them.

    Same topic: Where are the long hauls in NZ?

  6. stackja

    Mack and Volvo truck man interviewed on the Power Wireless this morning, they employ some hundreds of workers at Wacol (Brisbane) and turn out some 250 big units per annum for the local market. No government assistance. When the CEO came from the US he talked to workers and management and distributors etc but not the government.

    Yes I heard this too.

  7. Driftforge

    which surprised me, where are the long hauls in P/NG

    Lae to Mt Hagen and then on to the mining / gas fields would be the longest run. Length isn’t huge but the workload is; poor road conditions, mountainous terrain (Dalai Pass clears 8900 feet) both contribute.

  8. Rohan

    What about Volgren? They manufacture buses and they also turn a profit. My next door neighbor is a senior engineer there.

    Rafe, PNG might need rigs that are tough to deal with poor road conditions. Aussie made trucks evidently fit that description.

  9. Rafe

    Thanks D’forge and Rohan, I get it, the rugged terrain requires the same kind of toughness and reliability needed for the long hauls in the heat of N Australia.

  10. calli

    The Highlands Highway from Lae to Hagen is very rough. A couple of massive climbs (Kassam and Daulo) with the added risks of rock falls and subsidence due to earthquakes. It’s probably still the cheapest way to get goods up from the ports. Anything taken by air is hugely expensive.

    I travelled the road many times in the 80′s. I don’t think much has changed since then.

  11. JimD

    Rafe,
    The guy’s from USA. For an Australian perspective, for Long Haul and Big Loads read Line Haul and Heavy Duty. Whilst the advent of B doubles and A double & triples compounds things a bit the principal differentiation remains the same so if we go back to the days of just semi trailers and road trains and use Mack Trucks as an example we get a simple comparative. A bogie drive Mack primemover for linehaul application tared about 9 tonnes and was geared to maintain highway speeds about 100kph at GVW/GTW 42.5 tonnes. The comparative Mack prime mover for road train application tared a few tonne more a/c heavier chassis and drive train, was geared to about 80kph and rated to 100 odd tonnes. Horses for Courses .

  12. stackja

    Monday December 16, 2013
    Chris Smith speaks to Mitch Peden, Vice President of Marketing, Communications & Operational Services at AB Volvo, Australian truck manufacturer. They discuss Toyota’s Union entitlements.
    audio linky

  13. Struth

    Mack/volvo, of course relatively new partnership.
    Paccar’s Kenworths are a much longer Australian success story.
    All big foreign parent companies of course.
    There in some ways is government assistance for these trucks , not through money but legislation.
    If the bureaucrats controlling Australian trucking had their way (which they are getting) all Australian trucks would be cab over european types. This is your volvo. They do this through dimensional limits and differing legislation right down to how much you get harrassed by transport officers (scalies). You are a lot less likely to attract attention driving a certain type of truck.
    There is an old saying in the road transport industry. “At least if you drive a cabover truck you’ll always arrive at the accident scene before your engine”.
    With Australia’s disgusting roads cab overs have shorter wheel bases that make them rougher to ride in than long wheel base trucks and worse for the roads.
    With many experienced drivers now leaving the industry, for many many reasons, these euro trucks are easier to drive, any numbat can get one going. Is that good?
    Any way without getting bogged down, for many reasons these trucks are not the choice of many operators, but through government regulation winners are picked.

  14. wreckage

    Yeah, there’s a crazy amount of stupid legislation regarding trucks. However it’s just reality that Australia needs efficient transport, and the legislative environment will have to adapt.

  15. NATO

    What power can a union gain from such a company?

  16. NATO

    Please forgive my html slip. To quote “When the CEO came from the US he talked to workers and management and distributors etc but not the government.”

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