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CONTENTS
CONTENTS AWARDS
10 / T&F AWARDS ‘22 T&FME speaks to the winners at the Truck & Fleet Awards 2022 in Dubai.
ALSO THIS ISSUE … NETWORK
06 / NEWS FROM THE MONTH DHL opens first-ever EV hub in Dubai and the all-electric Porsche Taycan comes to Yas Marina Circuit. ANALYSIS
18 / SPARES AFTER COVID-19 Glasgow Consulting Group’s Vishal Pandey looks at the KSA and UAE aftermarkets.
06
18
20
22
26
30
TEST DRIVE
20 / E-TECH EXAMINED T&FME takes to the roads of Normandy to test Renault’s E-Tech’s range. TEST DRIVE
22 / TRACK STARS Going behind the wheel to see how AGMC and Bridgestone’s partnership ensures drivers stay on track in Dubai. MOBILITY
26 / STELLANTIS GOES GREEN T&FME looks at how Stellantis will achieve 100% electric vehicles sales within the decade. MANUFACTURING
30 / KSA ENTERS EV MARKET How Lucid Air is bringing electric vehicle production to the Kingdom. PARTING SHOT
32 / AN ELECTRIC START The story behind the first stage of the Extreme E championship held in NEOM.
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APRIL 2022 01
WELCOME
GROUP MANAGING DIRECTOR RAZ ISLAM raz.islam@cpitrademedia.com +971 4 375 5483 MANAGING PARTNER VIJAYA CHERIAN vijaya.cherian@cpitrademedia.com +971 4 375 5472 DIRECTOR OF FINANCE & BUSINESS OPERATIONS SHIYAS KAREEM shiyas.kareem@cpitrademedia.com +971 4 375 5474
CAR-LESS? PREPARE TO GO BACKWARDS I had the dubious pleasure of spending much of the last month car-less. For a person who writes about vehicles for a living, walking out of a building and not getting into a car is a bit like roaming around a shopping mall backwards. For a start it’s awkward. You’re also suddenly very conscious of what you’re doing… and what you should be doing. And, besides, there’s that nagging feeling that it is taking a heck of a lot longer to get around. Of course, living in the 21st Century, we should all be questioning how much we rely on our cars to get around. Unless you’ve made the jump to electric. In which case you can feel quite smug about driving to the next charger, if you can find one. And one that works. Surviving – and I really do believe that is not an overstatement – in a car-less state takes a heck of a lot adjustment and difficulty, particularly if your non-daytime job is to ferry the smaller family passengers around. I’m used to spreading my time between the UK and Dubai but being car-less in both, as I was this month, highlights the problems we have with relying on vehicles and the alternatives that could replace them. Homebase in Europe is a small provincial town
where, if you need to deviate even slightly from heading into the centre of town or heaven-forbid a village, then your only alternative is a taxi via the overpriced and under-fleeted local firms or catching an Uber. And they’re rarer than a fast car charger. Dubai, on the other hand, has a plethora of options when it comes to mobility when you’re going off the mass-transport piste. From personal experience, this is less than ideal too. Yes, you can book a taxi, but you may have to wait and often far longer than it takes to flag one down. Plus, even in a city where mobility is relatively affordable, you can quickly rack up quite the tab over the course of several days. With my fleet hat on throughout, it is obvious that smart mobility has a lot of refinement to go but also there are a lot of opportunities out there for services that reward repeat users and loyal customers. Our cities and towns weren’t made with modern mobility in mind, but technology can bridge the gaps. With the cost of fuel going up and the carbon rising there needs to be more companies like ekar, for instance, that are providing intelligent and flexible solutions. Any other approach to mobility, is well, backwards.
STEPHEN WHITE EDITOR, TRUCK&FLEET ME STEPHEN.WHITE@CPITRADEMEDIA.COM 02 APRIL 2022
PUBLISHING DIRECTOR ANDY PITOIS andy.pitois@cpitrademedia.com +971 4 375 5473 EDITORIAL EDITOR STEPHEN WHITE stephen.white@cpitrademedia.com +44 7541 244 377 ADVERTISING SALES MANAGER BRIAN FERNANDES brian.fernandes@cpitrademedia.com +971 4 375 5479 DESIGN ART DIRECTOR SIMON COBON simon.cobon@cpitrademedia.com DESIGNER PERCIVAL MANALAYSAY percival.manalaysay@cpitrademedia.com PHOTOGRAPHY MAKSYM PORIECHKIN maksym.poriechkin@cpitrademedia.com MARKETING & EVENTS EVENTS & CONFERENCE PRODUCER PAUL GODFREY paul.godfrey@cpitrademedia.com +971 4 375 5470 EVENTS EXECUTIVE MINARA SALAKHI minara.s@cpitrademedia.com +971 4 433 2856 SOCIAL MEDIA & MARKETING EXECUTIVE GLADYS DSOUZA gladys.dsouza@cpitrademedia.com +971 4 375 5478 CIRCULATION & PRODUCTION DATA & PRODUCTION MANAGER PHINSON MATHEW GEORGE phinson.george@cpitrademedia.com +971 4 375 5476 WEB DEVELOPMENT SADIQ SIDDIQUI ABDUL BAEIS FINANCE CREDIT CONTROL EXECUTIVE CAMERON CARDOZO cameron.cardozo@cpitrademedia.com +971 4 375 5499 FOUNDER DOMINIC DE SOUSA (1959-2015)
The publisher of this magazine has made every effort to ensure the content is accurate on the date of publication. The opinions and views expressed in the articles do not necessarily reflect the publisher and editor. The published material, adverts, editorials and all other content are published in good faith. No part of this publication or any part of the contents thereof may be reproduced, stored or transmitted in any form without the permission of the publisher in writing. Publication licensed by Dubai Development Authority to CPI Trade Publishing FZ LLC. Printed by Printwell Printing Press LLC. CPI Trade Media. PO Box 13700, Dubai, UAE. +971 4 375 5470 cpitrademedia.com © Copyright 2022. All rights reserved.
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Aldar announces launch of Louvre-branded residences
70% COMPLETION RATE ON STAGE TWO OF UAE NATIONAL RAIL NETWORK
It has been a good start to the year for rail enthusiasts in the GCC, hasn’t it? After what seems to have CONSTRUCTION
been a quiet time on
Abu Dhabi Maritime breaks ground on several new marina and ferry station projects
the news front from the rail authorities in Saudi, UAE and Qatar, we are starting to see some real progress (Etihad Rail achieves 70% completion
ANALYSIS: How the Japan Pavilion was designed to connect cultures
rate on Stage Two of UAE National Rail Network). Hopefully we can start
CONSTRUCTION
to see the different
Damac announces completion of roof slab works on Zada Tower
networks start to unite for a number of reasons. The obvious being better trade and movement of goods across the region, assuming we can make that process as smooth as possible for companies. I also see rail as fundamental
CONSULTANT
Eltizam Asset Management Group’s LITE set to target real estate development
to enabling greener transport in the region. It should also lower the costs for certain freight entering at ports and logistics hubs. On a personal note, I can’t wait to travel across the region as a train passenger – and, of course, I’ll be
CONSULTANT
Q Properties launches $2.2bn Reem Hills residential project
04 APRIL 2022
packing my log book.
INSIGHT: Connecting the virtual and physical worlds
Dubai Spotter
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Preparing fleet in the GCC for a sustainable future 24 May 2022
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The third edition of our flagship conference and unique test drive programme returns and sets out to help fleets face up to the challenge of succeeding in a rapidly changing landscape while planning for the future. The Truck and Fleet Conference continues to help fleets in the UAE run leaner, safer, more efficiently. Now an established fixture on the transport and logistics calendar, the third conference returns in 2022 with the demands on fleets to be key players in the region never being greater, this is also an exciting time where opportunities such as e-commerce, last mile delivery services and digitalisation can take an operation to another level.
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NETWORK
TAYCAN EV TRACKING IN UAE CAPITAL / EKAR EXPANDS INTO ASIA DHL’S EV HUB TAKES A BOW IN DUBAI / JUMA AL MAJID INTRODUCES SONATA SMART TAXI
NETWORK
All-electric Porsche Taycan on track in Abu Dhabi ABU DHABI MOTORSPORTS AND ALI & SONS MOTORS REVEAL THAT THEIR NEW ELECTRIFIED PROGRAMME FEATURES THE ALL-ELECTRIC PORSCHE TAYCAN TO YAS CIRCUIT ELECTRIC VEHICLES With the new additions to the Drive Yas experiences, visitors can now book different driving and passenger experiences in the Porsche Taycan Turbo unleashing up to 680 horsepower and an acceleration of 0-100 km/h in just 3.0 seconds on the iconic Yas Marina Circuit track, the region’s home of motorsport. The award-winning Taycan is the brand’s first all-electric model. With top speeds of up to 260 km/h, the Turbo model will hit the track as a true Porsche sports car allowing enthusiasts a thrilling adrenaline experience around the Yas Island course.
The all-new Porsche experiences also feature the region’s first live biometric data system, allowing drivers to receive real-time statistics and detailed insights on their physical and psychological performance. An innovative app monitors the driver’s response to the experience and performance on mind and body while on the circuit. The new experiences complement further developments at Yas Marina Circuit for owners of electric vehicles as a number of charging points are installed for private use by visitors to the circuit or those looking to take their car on
track during the Yas Track Days. “It is with great pleasure that we welcome our new partner Porsche Centre Abu Dhabi bringing one of the most distinguished automotive brands in the world to Yas Marina Circuit,” said Saif Al Noaimi, CEO, Abu Dhabi Motorsports Management. “We are honoured to provide our iconic platform to what is an incredible feat in automobile design in the shape of the all-electric Porsche Taycan Turbo at the region’s home of motorsport in an all-new Yas Electrified driving experience.” “Within this new partnership, we look forward to seeing the
joy on the faces of automotive enthusiasts and those interested in seeing this new technology up close and personal on the track, as they hit top speeds in one of the most revolutionary driving experiences at the iconic Yas Marina Circuit.” Mohammed Al Daheri, managing director, Ali and Sons Automotive added: “There is no better opportunity to prove its true sports car credentials to drivers and passengers alike than on a challenging and high-speed F1 track. “The new drive experiences showcase that the future of motoring has arrived.”
DHL GLOBAL FORWARDING BELIEVES THAT MORE THAN HALF OF NEW CAR SALES IN THE REGION WILL ELECTRIC VEHICLES BY 2040
06 APRIL 2022
meconstructionnews.com
NETWORK
DHL OPENS FIRST-EVER EV HUB IN DUBAI LOGISTICS
EKAR EXPANDS INTO ASIA ON-DEMAND
On-demand car rental company ekar has launched its car subscription service in Malaysia, starting in Kuala Lumpur. The move comes hot on the heels of its Thailand launch announcement last month and its service will be the first offering of its type available in starting city Kuala Lumpur. The firm explained in a statement that it plans to roll-out across Malaysia towards the end of 2022. ekar also expects to launch peer-to-peer carshare in Malaysia by the end of 2022. “The product-market fit for techenabled and cost-effective personal mobility is irrefutable. The Malaysian Finance Minister has stated that largely due to car ownership, 40% of millennials spent more than they earned, and 47% of Malaysian youths had high credit card debt. That, together with the smartphone penetration and internet usage, makes using ekar’s car subscription service a no-brainer,” said Stas Betin, Chief Commercial Officer. “ekar is capable of launching a new market within a month. Built modularly, ekar’s Mobility OS can easily expand the number of our product verticals available in each market, making localization efficient. That, together with our global support infrastructure, ensures seamless integration with relevant stakeholders to create optimal personal mobility solutions,” added Vilhelm Hedberg, Founder, ekar. “Travelers and expats traveling between countries can now enjoy the ekar experience seamlessly across borders. Our global footprint is growing, and we welcome the opportunity to provide world-class personal mobility services across MENAT and Southeast Asia.” meconstructionnews.com
The region’s first-ever electric vehicle (EV) and battery logistics hub has officially been open in Dubai’s Jebel Ali Free Zone. Built by DHL Global Forwarding and developed in close cooperation with the EV team of DHL Customer Solutions & Innovation (CSI) The warehouse includes a dedicated EV battery storage area which will DHL added will be expanded to 2,000-sqm later this year. “It is extremely exciting for the DHL team to inaugurate the region’s first facility for EV batteries and other dangerous goods,” said Fathi Tlatli, president Global AutoMobility Sector, DHL CSI. “This Center of Excellence complements our global EV logistics network
and reflects our global experience matched with local expertise. It supports the UAE’s and Middle East’s transition to the circular economy by ensuring a consistent supply chain for sustainable mobility solutions. “Our customers benefit from integrated compliant solutions enabling EVs growth within the region, such
as safe storage, returns management, defective battery management, recycling, and much more.” According to DHL, EVs are a critical to decarbonise the transport sector and noted that the EV market is expected to grow six times its size over the next ten years, on the back of surging EV sales.
JAM BRINGS HYUNDAI’S SMART TAXI TO UAE TAXIS Juma Al Majid Est., the exclusive distributor of Hyundai cars in the UAE, is proud to announce the launch of the Hyundai Sonata AI Smart Taxi in strategic partnership with Streamax Technology and GBS Solutions. Juma Al Majid Est is also the strategic partner for The International Association of Public Transport MENA’s (UITP) Transport Congress & Exhibition, the region’s premier public transport event that presents a window to the evolution of the public transport sector.
A memorandum of understanding signed between Suliman Al Zaben – Director Hyundai UAE, Samer H. Alish, - Regional Sales Director for Streamax Technology and Basil Assaf – CIO at GBS Solutions on 6th February at The International Association of Public Transport MENA’s (UITP) Transport Congress & Exhibition, stated that Streamax Technology and GBS Solutions will be exclusive partners, providing Juma Al Majid Est. with smart mobility through their Artificial Intelligence solutions and technical support.
The newly launched Hyundai Sonata AI Smart Taxi comes with an integrated streaming technology which enhances safety, operation, and customer experience. The AI cameras installed within the car detects various aspects such as the driver’s fatigue, response time and other factors to ensure safety of the occupants. The AI technology also ensures every passenger ride is captured in the system. The AI technology integrated cameras detect and alert the concerned, on any left belongings of the customer in the taxi after a trip.
APRIL 2022 07
NETWORK
TADWEER AND AL DHAFRA USING IOT TECH WASTE MANAGEMENT
Tadweer says the use of Internet of Things (IoT) technology at its construction and demolition waste recycling station in the Al Dhafra region of Abu Dhabi is the first time that the technology has been implemented in the Middle East. Tadweer explained that the deployment will enable the C&D Waste Recycling Station to increase operating time to the maximum limit, while also improving energy efficiency through the use of smart remote movement sensors which will monitor the station’s assets and machinery. This technology will connect every
device using a cloud-based platform that can produce a detailed analysis of every device’s status, said the firm. The technology enables remote monitoring systems at the station to measure the health and status of
devices, such as temperature and vibration per minute, providing data that reduces the likelihood of devices going offline and increasing their lifespan, thereby improving the station’s overall efficiency. “Applying IoT technology at the Center’s C&D waste recycling station is in line with Tadweer’s efforts of keeping up with the latest and most advanced technology and employing it at its facilities,” said Abdul Mohsen Mubarak Al Katheeri, director of Projects and Facilities at Tadweer. “We are confident that this technology will maximise productivity and efficiency at the station.”
ETIHAD RAIL PASSES NEW MILESTONE TRANSPORT Etihad Rail is working at an accelerated pace to complete Stage Two of the UAE National Rail Network, after the launch of Stage One of operations in 2016, finishing 70% of the project despite the conditions imposed by the pandemic, it has been announced. The update was shared during a visit to the project
by HE Suhail bin Mohammed Faraj Faris Al Mazrouei, Minister of Energy and Infrastructure, where he inspected the progress of construction works across various sites in the emirate of Abu Dhabi. This inspection was carried out aboard the inspection train, which has been designated for site inspection and supervision, Etihad Rail said in a statement. The Minister was accompanied by HE Eng. Hassan Mohamed Juma Al Mansouri, Undersecretary for
Infrastructure and Transport Affairs. They were received by His Excellency Shadi Malak, Chief Executive Officer of Etihad Rail, and representatives from the Company. During their visit, Al Mazrouei and Al Mansouri inspected the main O&M facility, which is the nerve centre of the network, responsible for controlling the operations of the whole network. Al Mazrouei was briefed on the train operating systems, and toured the centre and its facilities, which are seeing ‘exceptional progress’.
LOGISTICS PARK AT JEDDAH PORT GETS GREEN LIGHT LOGISTICS
A long-term agreement between the Saudi Ports Authority (Mawani) and shipping specialist Bahri has been signed which will see the construction and operation of an integrated logistics park on land leased at the Jeddah Islamic Port, with a total area of 95,436sqm. The logistics zone will provide storage and handling services for all types of inbound and outbound shipping containers that are owned by Bahri and other entities. It will be capable of storing reefer, insulated and dry containers with services like container maintenance and repair, container cleaning, bonded storage, and haulage available to clients at any given point, explained Mawani. “Launching this project forms a core part of our initiatives to achieve the objectives of the National Transportation and Logistics Strategy (NTLS), which envisions setting up similar logistics zones within and beyond Saudi ports to empower the Kingdom’s bid to become a global logistics hub, as well as provide world-class logistics services to accelerate economic development,” said Mawani president Omar Talal Hariri. Spread over 12.5sqkm and equipped with 62 berths and four terminals, Mawani is said to be positioned in its drive to position the Jeddah Islamic Port amongst the top ten globally. Efforts are underway to expand the port’s capacity and upgrade its operations with the help of development projects and concessions.
INSIDE THIS ISSUE: TEST DRIVES OF THE NEW RENAULT E-TECH D-WIDE AND BMW’S 5-SERIES M, TRUCK AND FLEET AWARDS WINNERS, AND MORE!
08 APRIL 2022
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NETWORK
BEEAH AND CHINOOK KICKSTART REGION’S FIRST W2H2 PLANT FUEL
Beeah Energy and Chinook Sciences have signed an agreement to begin development of the Middle East’s first waste-to-hydrogen plant. The facility will produce low-cost, green hydrogen, as well as high-quality activated carbon. Building on its commitment for zero-waste cities and clean energy solutions, the project further demonstrates how Beeah can address the twin challenge of unrecyclable waste, and contributing to green mobility simultaneously, said a statement from Beeah. Non-recyclable waste wood and plastic will be processed using Chinook RODECS gasification and pyrolysis technology, which will produce up to 18,000kg of green hydrogen a day at full operational capacity, the statement explained. The signing ceremony took place at the UK Pavilion at EXPO 2020 Dubai,
in the presence of Simon Penney, Her Majesty’s Trade Commissioner for the Middle East and Her Majesty’s Consul General for Dubai, as well as other dignitaries from the UK and UAE. Khaled Al Huraimel, group CEO of Beeah stated, “Beeah has always recognised the value of energy recovery from waste, and this new project will
not only showcase the potential of waste-to-hydrogen but it will also support a circular economy across multiple fronts throughout the region.” Production of green hydrogen will be significantly cheaper than that of fossil fuels. The plant will host a hydrogen fueling station, equipped to provide enough fuel cell grade
Benefits:
ü Cleans New Common Rail High Pressure Diesel Fuel Injectors without removing ü Restores Power & Fuel Efficiency ü Removes Combustion Chamber Deposits ü Reduces harmful emissions, black smoke ü Cleans the entire Diesel Injection System, including injection pump & oxidation catalyst
M O E ed ü rov p Ap meconstructionnews.com
hydrogen for several large trucks and buses every day, the statement added. Dr Rifat Chalabi, chairman and co-founder of Chinook Sciences Group noted, “We are excited to work with Beeah Energy and use our patented RODECS gasification and pyrolysis technology in the UAE to produce fuel-cell grade hydrogen for their fleet. The technology breaks down hydrocarbons from waste through advanced thermal treatment to release and recover green hydrogen. Then, when the green hydrogen is used in vehicles, it emits only water as a by-product.” The plant’s unique operational concept allows it to run profitably even during a time that the hydrogen market is still developing. As the hydrogen market grows the plant will switch more of its operational hours away from activated carbon and toward green hydrogen production to meet hydrogen requirements, the statement concluded.
“New common rail diesel injection and conventional injection system compatible”
www.BGMiddleeast.com APRIL 2022 09
AWARDS
10 APRIL 2022
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AWARDS
AND THE
VOTE GOES TO… The inaugural Truck and Fleet Awards was a night of surprises and celebration in Dubai
O
pening the voting for the inaugural Truck and Fleet Awards meant that this was a night where the transportation and logistics industry got a true picture of which are the most valued trucks, products and operators in the market. Taking place at the Raffles Dubai hotel, the event represented the culmination of a three-month process where the industry was invited to vote in a number of categories. Almost 2,000 people voted prior to the evening across awards such as the Heavy,
Medium and Light Duty Trucks of the Year. The evening was kick-started by Renault Middle East president Gregoire Blaise who urged the industry to remain positive and work closely to continue to raise standards in the market. The list of nominees and winners read like a who’s-who of the industry and T&FME head of content Stephen White told the audience that he hoped the Awards can establish themselves “as a rallying point to celebrate the professionalism of transportation and logistics and all the other forms of mobility we are seeing in the region.”
He added: “Frankly, I have been blown by the response we have had in the market. I never expected that we would have nearly 2,000 people voting. Every single one of the companies, including those that didn’t make the final shortlist, should be incredibly proud that people in not just their dozens but hundreds consider their product or company worthy of their support. So well done one and all! “I think every nominee exhibit the very best in fleet management or technology that we have here. And in many cases, I think, they exceed standards that you expect in other mature markets.”
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O RGAN ISED BY
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APRIL 2022 11
AWARDS
TRUCK BODYBUILDER OF THE YEAR NOMINEE Bin Jabr Enterprises NOMINEE Gorica NOMINEE Naz Industries LLC (Mammut) NOMINEE Schmitz Cargobull WINNER
Al Shirawi Equipment Company
Trailer and truck bodybuilders define or redefine the capability and productivity of a fleet operation. They are the ones that step in to refine what a fleet really needs when it is on the purchasing journey. This award recognised best practice and outstanding levels of customer service. With such a high quality
field of nominees, this was an appropriately tough category to win but in the end ATLAS - Al Shirawi Equipment Company was the overwhelming winner, a company that offers a full range of local support including procurement, specification and design – and has secured a partnership with one of the biggest truck launches of the past year. “We were one of the first bodybuilders in the UAE, starting 47 years back. Over the years, we have revamped with adding more product lines and stateof-the-art technology. We plan to expand across the region towards the greater Africa and Middle East region. We’re still investing in the business and have a bright future,” said Azeem Jamal, global sales manager, Transport Equipment, Al Shirawi Equipment Company.
DISTRIBUTOR OF THE YEAR NOMINEE Bin Jabr Enterprises NOMINEE Gorica NOMINEE Naz Industries LLC (Mammut) NOMINEE Schmitz Cargobull WINNER
Al Shirawi Enterprises
Distributor or Importers are the most critical link when it comes to buying new trucks or keeping your fleet on the road, and are the ultimate middle men and build relationships over years and decades with both manufacturers and fleets. They are the ones that pick up the phone in your fleet’s hour of need. The
industry was asked which distributor goes over and above expectations and helps your fleets become an uptime champion? Winner Al Shirawi Enterprises has reduced the average age of fleets to 2.06 years. “This award is the fruit of many years of hard work and big investment. It’s not my award but for the whole team because I believe in teamwork. We have a very professional team working in the market and in the field. They have done a great job by sustaining, our customers old and new. We’re expecting big challenges, because the competition is increasing and that’s why we have to double our efforts and double our attention and investments in order to sustain our market share,” said Samir Salamoun, director - commercial vehicles, Al Shirawi Enterprises.
TYRE TECHNOLOGY PROVIDER NOMINEE Apollo Tyres NOMINEE Continental NOMINEE Goodyear WINNER
Bridgestone
Tyre technology is truly under pressure to deliver safe and fuel-saving travel, but the industry is moving beyond providing just rubber to the market. As such, this award recognises innovation in these areas as well progress in helping to make cities smarter and safer for everyone. The award was one of the hardest fought categories with the nominated 12 APRIL 2022
companies scoring triple figure votes from the industry. The winner Bridgestone is well-established across the Middle East but as proof of its smart mobility credentials, it is testing its tyres in Egypt to see how far a fleet of 13 electric vehicles can go in the chaotic streets of Cairo and Alexandria. “I think we continue to surprise and believe in tyre technology. We think technology and quality is the number one priority for our product. We continue to spend time and money to achieve that. This year, sustainability will be our main focus,” said Bridgestone regional tyre technical head Yasuhiro Ueyama. meconstructionnews.com
AWARDS
WASTE MANAGEMENT FLEET NOMINEE Averda NOMINEE BEEAH Group NOMINEE Imdaad WINNER
Suez Middle East Recycling
The UAE has recently taken some major steps in its progress towards its net zero target of 2050, not least pledging $163 billion to invest in renewable energy. Be under no illusions, this is a serious undertaking on a national scale driven in part by its desire to meet its commitments within the international community but also diversify its economy. At the forefront of this drive are the growing number of private waste management
firms that serve its cities and communities. The challenge for fleets is how to balance being green with being profitable. In 2021, Suez Middle East Recycling embarked upon a two-year project to have the best and safest fleet of vehicles in the GCC region: “Fleet management is part of the group’s international to have good fleet safely and the best fleet we can have. We have a good maintenance strategy and perhaps the safety features of our fleet is much bigger or better than most of fleets in the other region. We have started a programme to fix sensors to our vehicles, including 360 degree cameras and driver monitoring systems. We take precautions and safety measures to ensure that people who interact with us are safe,” said Ajay Kumar, general manager, Suez Recycling Middle East.
VAN OF THE YEAR NOMINEE Ford Transit NOMINEE Isuzu D-Max NOMINEE Maxus V80 NOMINEE Nissan Urvan NOMINEE Renault Master WINNER
MB Sprinter
There is no doubt that the rise of e-commerce and online shopping has made Vans more popular than ever in the region. This is award celebrated the everflexible van’s role in the SME, retail and hospitality spaces. This was another award that inspired a lot of
votes on the Truck and Fleet Awards website but in the end the winner garnered over 40% of the votes. The Mercedes-Benz Sprinter, was one of the first modern vans to be launched in the market, and is known as both a cargo carrier and a people carrier. It is also a van that always seems to be in a hurry. “The Sprinter is the flagship of our portfolio. And this is another confirmation that it is very well recognised in Middle East and very well recognised all over the world. We are a pioneer in technology and we set standards for safety for comfort and for luxury in the entire segment. This year is burdened by the shortages in semiconductors, but we are still sure that we are going to continue the success of Sprinter,” said Borko Leposavic, regional sales manager for Mercedes Benz Cars, MENA.
LOGISTICS FLEET OF THE YEAR NOMINEE Aramex NOMINEE CSP Abu Dhabi NOMINEE DHL NOMINEE FedEx WINNER
DSV
The Logistics Fleet of the Year award recognised the fleets that have been on the frontline ever since the outbreak of the Covid-19 pandemic, ensuring our shop shelves stayed full, our homes and families stayed safe and hospitals stayed open. With the worst of the pandemic now over, all the nominees here meconstructionnews.com
continue to place the region and the UAE particular at the heart of global trade. DSV has continued to invest in its fleet expansion programme with safety placed at the very forefront of its strategy. “DSV is one of the leading transport companies in the region and the third biggest in the world. We have placed a lot of investment into technology; working with manufacturers to improve the equipment and machines, as well as our sustainability and carbon footprint. We were the first to implement advanced safety features in the Middle East as we believe driver safety is a priority. Improving our carbon footprint helps us to improve our bottom line while supporting our clients at the same costs,” said Mohammed Jabar, global transport and logistics managing director, DSV. APRIL 2022 13
AWARDS
ACHIEVEMENT IN FLEET MOBILITY NOMINEE FLEETBOARD NOMINEE Goodyear NOMINEE Location Solutions NOMINEE Realogik WINNER
SAF HOLLAND TRAKR
The Achievement in Fleet Mobility award recognised an innovator and disrupter who has proven it can bring new types of mobility and transport to market in the past 18 months. The award also recognised solutions that can make the biggest impact to a fleet’s bottom line.
SAF HOLLAND is a company that has developed a system that reduces CO2 Emissions and promises noise cancellation, electrical power Generation while driving. Helping trailers convert their kinetic energy to electrical energy. “We are very innovative in regards to axles and suspension for trailers. And with this solution, we are reducing the CO2 and noise. And of course, we are reducing the diesel consumption for the fleet owners,” said Jean Khoury, managing director, SAF Holland Middle East.
HEAVY FLEET OF THE YEAR NOMINEE Al Faris NOMINEE Oryx Mix NOMINEE Sijimix NOMINEE Western Bainoona Group WINNER
Momentum Logistics
The all-important Heavy Fleet of the Year Award, which recognises those fleets that operate in the harshest of conditions. These fleets drive the biggest trucks because they have face the biggest challenges day in and day out. Momentum Logistics is a company that has been undergoing a fleet renewal campaign during one of the
most challenging market climates for a generation. It has placed its drivers first by deploying the latest safety technology as well as taking a forensic approach to building up its fleet and maintaining its profitability. All huge challenges for fleets in its part of the market. “We believe that growth is based on the acquisition of new trucks. This is great recognition from the industry so that we can continue for the next few years to invest in new Fleet to minimise the cost of operations and at the same time be reliable for our customers. sometimes being reliable with our customers. We have major plans of expanding in the UAE as well as Saudi Arabia. And again, growing the fleet of heavy-duty trucks is the solution to our profitability and excellence,” said Wilfried Hugebaert, managing director, Momentum Logistics.
MIDDLE EAST LAUNCH OF THE YEAR NOMINEE Allison Transmission – Xfe NOMINEE Iveco - Way Range NOMINEE MAN TG Range NOMINEE UD Trucks - Croner/Quester Euro V WINNER
Renault Trucks ME – TCK Evolution
Despite the disruption and challenges caused by Covid, manufacturers have continued to bring their newest trucks and technology to the region. All the shortlisted companies were commended for their commitment to the market and finding new ways to keep new technology coming to the Middle East. 14 APRIL 2022
Renault Trucks launched its latest range last year by taking to the internet. When they realised they couldn’t do test drives for the world’s media because of Covid, they launched it in a video game. Since then it has been running a campaign of physical launches throughout the regional network. “We have had to be innovative with this launch worldwide, all based online, with a lot of engagement and commitment. The TCK launch was mainly about driver comfort, fuel efficiency, and robustness, which is really our range’s main asset especially in the tough Middle East climate and applications. The trucks will be available in the market this year and we have a lot of market share growth to be achieved,” said Gregoire Blaise, vice president, Renault Trucks Middle East meconstructionnews.com
AWARDS
MEDIUM DUTY TRUCK OF THE YEAR NOMINEE DAF LF NOMINEE Hino 500 NOMINEE Isuzu F-Series NOMINEE Renault Trucks D NOMINEE UD Trucks Croner - Euro 5 WINNER
Mercedes-Benz Atego 1726
The Medium Duty Truck of the Year was one of the closest categories in terms of votes reflecting the high quality of entrants for our first Medium Duty award. In the end, the winning truck, the Mercedes-
Benz Atego 1726 is a 4x4 powerhouse that packs an Automatic Transmission with 6 forward gears and 1 reverse gear and proves that being all torque is no bad thing when you’re taking on the desert. “This is 17t vehicle with a 6-Speed gearbox, four-wheel drive configuration, so it’s often used in off-road desert applications can be used also as a bus for staff transport. The Allison Transmission is taking away stress from the driver and making it even easier to drive in desert and in off-road situations. We want to bring up this category of medium duty trucks and this product will complement our Actros and Arocs range that everybody knows. We will find the best truck for the application,” said Olaf Petersen, GM, Daimler Commercial Vehicles MENA FZE.
BUS & COACH OF THE YEAR NOMINEE Ashok Leyland Falcon NOMINEE Ashok Leyland Oyster NOMINEE Siemens & Hafilat Electric Bus NOMINEE Volvo 7900 WINNER MAN Lion’s Coach
This award celebrates getting people from A-to-B safely, comfortable and efficiently. In a truly a closely fought battle by two of the biggest names in the segment. Second place Volvo 7900 lost narrowly by just a few votes which in its electric form is one of the quietest and advanced vehicles in the market. The winner, the
MAN Lion’s Coach is already a multiple award winner and for a quarter of a century has become known for its performance, reliability and sustainability. “We have proven that our transport solution in trucks and buses are providing our customers, and our customers’ customers the best in class solutions today. Transport safety on the road, comfort in public transport, connectivity: all the elements count in the transport business. I’m very happy and it’s a very prestigious award for us. You can transport money on the internet today, but you can’t transport people. The transport of goods and people on a wheel is still a futureoriented transport solution. And this is underlining that we are future-oriented,” said Joerg Mommertz, regional head of MEA and Latin America, MAN Truck and Bus.
LIGHT DUTY TRUCK OF THE YEAR NOMINEE Ashok Leyland Partner NOMINEE FUSO Canter - Euro 5 NOMINEE FUSO eCanter NOMINEE Hino 300 WINNER
Isuzu N-Series
The final vehicle award of the evening, the Light Duty Truck of the Year, featured a list of nominees that demonstrate how the online shopping boom has accelerated sales in the past two years. With LCVS proving their worth to more fleets than ever particularly in the retail and food distribution meconstructionnews.com
sectors, the winner, the Isuzu N-Series has found its niche as a competitive option for fleets that need to move quickly and efficiently. “The light duty commercial segment of the market is a very competitive segment. It has a key role in infrastructure and the FMCH segment. It’s moving eCommerce. Literally, especially during the pandemic which has been a huge demand for commercial easy moving, quick delivery vehicles within the marketplace. I’m actually very surprised that we got it because it’s a very competitive segment of the market. We’ve got good reliability and durability. And we’ve been here for many, many years. So yes, we are here to stay for longer,” said Anton du Plessis, general manager, Isuzu Vehicle Sales, GENAVCO. APRIL 2022 15
AWARDS
OUTSTANDING MANUFACTURER NOMINEE DAF NOMINEE Daimler Commercial Vehicles MENA NOMINEE Hyundai Motor Company NOMINEE MAN Truck and Bus NOMINEE Renault Trucks Middle East NOMINEE Schmitz Cargobull NOMINEE UD Trucks WINNER
Scania
One of the undoubted major awards of the evening, the Outstanding Manufacturer of the Year
award accumulated some of the largest number of votes out of all the open categories. It was also one of the hardest to create a shortlist for with many of the nominees racking up hundreds of votes each with all the OEMS and manufacturers that featured in the vote are constantly pushing forward innovation in the market. er. “Winning is confirming the quality of the vehicles that are present in the Middle East and our ambition to actually beat the journey to sustainable transport. We have a great product and definitely people within not just us but all our partners within the region. We are trying to find solutions for the customers waiting for newtrucks and to keep them happy,” said Marián Černoch, managing director, Scania Middle East.
EXCELLENCE IN FLEET SAFETY AWARD NOMINEE DSV NOMINEE Schmitz Cargobull NOMINEE Suez Middle East Recycling WINNER
STS Group
From dedicated driver programmes, operational initiatives, technology solutions, all the nominees shared a dedication to setting a benchmark for others to follow. STS Group sets an example to its peers when it comes to being safer. It is fully committed to providing quality transportation by maintaining the highest level of safety, outstanding customer service, while rewarding drivers for
adhering to the strictest driving standards. “I think over the last five years, we’ve demonstrated that we will continually invest in new technology to ensure that we go above and beyond in protecting our customers and other road users to ensure that our journeys are safe, and that we can provide great customer service. Certainly, during the pandemic, the tracking and tracing systems we had in place, allowed us to identify if there was a concern with a passenger that had had Covid, but more so going forward, our technology has allowed us to identify the trends that are causing, then reducing, road accident... by investing more in our people with the technology that we have on our vehicles,” said spokesperson Steve Burnell, managing director, STS Group.
MIDDLE EAST FLEET OF THE YEAR NOMINEE Emirates Transport NOMINEE Momentum Logistics NOMINEE STS Group NOMINEE Suez Middle East Recycling WINNER
DSV
This award was aimed at finding the overall best fleet in the market. Representative of the wide range of fleets that operate in this market they all share a dedication to the very best in fleet management practices that would not be out of place in any market in the globe. This proved to be an extremely competitive 16 APRIL 2022
category, with their shared focus on professionalism, dedication to the safety of their drivers and other road stakeholders proving that we can reach the highest standards here in the Middle East. However, DSV has an outstanding track record and continues to not only navigate the challenges of the pandemic, but also expand its geographic footprint into new markets. “I believe we’ve done a great job in maintaining a good number of people and a very high standard taking into consideration the current challenges in the market. We keep our feet at the highest standard there is in the industry. We are always looking always ahead. Our main target in 2022 and 2023 is to get an electrical truck into the UAE market,” said Wajdi Manifi, director of operations, DSV Abu Dhabi. meconstructionnews.com
AWARDS
HEAVY DUTY TRUCK OF THE YEAR NOMINEE DAF XF NOMINEE MAN TG Range NOMINEE Mercedes Actros NOMINEE Renault Trucks C NOMINEE Scania BEV NOMINEE UD Trucks Quester WINNER
Scania NTG
Unsurprisingly this was one of the most hotly contestes awards during the voting period, with almost 1,500 people registering their pick for the best big truck in
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the market. At one stage the top trucks were neck and neck but eventually only one truck emerged to reign supreme. The Scania NTG represents the culmination of a decade of work to set a new standard for what is premium in the region’s transport industry. “Since the launch, the Scania NTG has proven itself in the Middle East market. We spent a lot of time and resources in developing this truck while putting a lot of focus into the driver, the operating economy for the customer andm first and foremost, the fuel consumption. This was a nice surprise, and I’m very proud of our truck. We will continue to deliver to our customer, not just a product, but the best the organisation that supports it,” said Hans Wising, sales director, Scania Middle East.
APRIL 2022 17
MARKET REVIEW
SOLID
GROWTH
In the third of a series of articles, Glasgow Consulting Group’s Vishal Pandey looks at the KSA and UAE aftermarkets
I
t is no surprise to hear that most vehicles and parts sold in Saudi Arabia and UAE are imported. Nor is it a shock to hear that the downward trend in sales in the aftermarket reflects a drop in car sales in both the KSA and UAE markets over the past five years. However, Glasgow Consulting Group’s auto-expert Vishal Pandey believes that the passenger car aftermarket can grow as sales return and the second-hand market booms. “The auto parts market potential in Saudi Arabia and UAE is robust and expected to grow at a healthy rate in the next 5 years,” notes Pandey. He adds: “Both the Saudi and UAE automotive markets are now more geared towards a ‘service oriented’ business model with more players focusing on customer experience and after sales service.” Currently there is a small local auto parts and truck production, but no light 18 APRIL 2022
vehicle production, in Saudi Arabia. But this burgeoning sector will be a major beneficiary going forwards. Spurred on by government support, Saudi Arabia is also creating a domestic automotive industry and has encouraged global vehicle manufacturers to establish local operations, which will lead to local job creation, as well as technology and skills transfers, he believes. In the more immediate short term, there is the fall-out of the Covid 19 pandemic to contend with and the disruption caused by events in Europe which are driving volatility in the price of oil and the global economy. “The KSA passenger vehicle aftermarket component market contracted from SAR 12.5 billion in 2019 to SAR 10.6 billion in 2020 due to COVID 19… a dip of 16%,” he notes. “With vehicles in operation remaining same and increasing demand for used cars, the aftermarket demand for auto components is expected to remain resilient. The dip in the
Both the Saudi and UAE automotive markets are now geared towards a ‘service oriented’ business model”
average miles driven by vehicle is likely to have gone down and would have a mild negative impact on parts demand. But this should be back to normal in the second half of 2022.” Indeed, Vishal Pandey predicts that the passenger car market in both KSA and the UAE will recover in 2022 and their dip in 2020. “Owing to the high dependence on personal cars for commutation in KSA, the demand for passenger cars is likely to rise in the short to medium term,” he predicts. “Also, with vehicles in operation remaining same and increasing demand for used cars, the aftermarket demand for auto components is expected to remain resilient.” While the volume growth of aftermarket parts in the aftermarket is expected to remain muted due to the dip in sales of 2016 to 2020 in passenger car sales. Pandey forecasts that in value terms there could be a growth of around 8.5% driven by meconstructionnews.com
MARKET REVIEW
post-Covid with pent up demand and the inflation caused by price increase by suppliers. This could see the total value of the parts such as tyres, batteries and components contributing to a select maintenance parts market worth over a billion dollars per year by 2025. This constitutes a rise from $10.6bn in 2020 to $16bn in the next three years. In both the UAE and Saudi Arabian automotive markets, Covid has changed the habits of consumers in the passenger car market with mobile servicing, shared mobility, contactless servicing, vehicle pick-ups, among the trends seen at the retail end of the auto-industry. But there are other market drivers too, says Pandey, including the impact of the rise in female drivers. “About 3 million-plus female drivers (15% of the total female population of KSA) are expected to be on the roads of KSA after the ban got lifted in June 2018; augmenting the demand for aftermarket spares parts and service in the country,” he says. Localised production by OEMs will also have an impact in the years ahead.
The auto parts market potential is robust”
“KSA is currently developing a car manufacturing hub and working to incentivise investors to pump money in the industry. The auto cluster aims to attract local and foreign investment, increase export capabilities, create employment and contribute to economic diversification as a part of Kingdoms’ 2030 Vision Reform Plan.” The second hand auto spare parts market in the KSA has also significantly developed over the last decade and it is one of the key suppliers of second hand automotive
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spare parts in the Middle East owing to largest automotive fleet in the region. “Second hand auto spare parts are primarily sourced from damaged cars, which are sold by insurance companies at throwaway prices, and the remaining are collected from police auctions,” he remarks. Rising investments are being perceived in new channels of customer engagement such as quick delivery modes and online sales of spare parts in KSA. Online websites — such as Babatin Auto Parts, Souq (an Amazon company), Desertcart, Awok and ACDelco — are now selling automotive spare parts and have increased/boosted sales through online channels over the last few years. This reflects a shift in how people are buying in the aftermarket and how they want services such as car washing, servicing and parts changes, as well as roadside assistance when they break down. “Mobile apps for auto-servicing are gaining traction in both Saudi Arabia and the UAE,” he says. “In KSA, there is an increasing preference for mobile app aggregators – such as Car Hub, elzhalha and Morni – that connect users with service providers.”
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APRIL 2022 19
TEST DRIVE
TIME FOR
PLAN E
T&FME is in France to test drive an electric D-Wide as Renault launches its ambitious E-Tech plan
T
he first thing that hits when you’re behind the wheel of the all-new electric D Wide E-Tech is how quiet the cab is. Shifting out of the Normandy plant where the truck and its fellow electric Ts and Cs are produced, the only sound you can hear is the sound of the power steering. Navigating a route through the local town of Blainville-sur-Orne feels unerring as you stop at a traffic light or junction. There’s no judder or tell-tale diesel rumble. Normally waste runs are clunking stop-start affairs, this on the other hand is, dare T&FME suggests, almost relaxing. Small wonder they put us in a spa the night before the plant visit. The ride, in short, is impressive. Clearly a test drive can’t replicate the hustle and bustle of a daily waste operation but sneaking up on traffic in what is normally a
20 APRIL 2022
16t behemoth is a powerful demonstration of how our cities and communities can be far quieter places to be. Assuming that the infrastructure can be in place to support them. And it was this point that was returned to over and over again during the visit: if electric trucks are to be adopted quickly then we need to be able to support them with the infrastructure to go with it. This is something Renault Trucks, which boasts the largest fleet of electric trucks on the road in Europe, is keen to address. And partly why it has dropped the ZE moniker in favour of E-Tech. Indeed, the French manufacturer no longer wants to provide you with merely a truck but everything you need to keep it on the road too. Last month, Renault Trucks unveiled the E-Tech brand and its ambitions in the field of e-mobility with an offer geared towards providing, what it calls, 360° support
540 The T and C E-Tech will have two to six lithiumion batteries with a capacity of 180 to 540 kWh
for its customers. It wants 50% of its sales to be electric by 2030 and, by 2040, 100% of the vehicles sold will be carbon neutral. To put that in context, in 2021, 249 electric trucks were delivered and 613 were ordered. The electric trucks produced in Normandy represent a tenth of the plant’s 2,000-plus units per year. It is therefore unlikely to be a coincidence that it wants to see 2,000 electric trucks produced instead. Slotting into the current production line, chassis are fitted with the electric drivelines, cooling systems and, of course, batteries, instead of traditional engines, transmissions and fuel tanks. Seeing it in action, it is easy to see how production could be scaled up to add more electric trucks instead of fossil-fuel equivalents. Although T&FME is told that there is also a need for the auto-cluster and supply chain involved to also be scaled up meconstructionnews.com
TEST DRIVE
at the same time. It also needs that transport and logistics industry to follow it into this new era. The entire E-Tech offer is designed to provide comprehensive support for hauliers in their transition to carbon neutrality. As such Renault Trucks is combining its production of high performance electric vehicles with all-round support for customers. It wants to guide fleets making their own transition into the roles suitable for heavy e-mobility such as urban deliveries and waste management. Consequently, it is investing time and resources to bulk-out knowledge at the distribution end of the sales channel and beyond that to monitoring the operations of their electric trucks. During T&FME’s visit, we were given the overview of how this can work in practice. An initial phase helps customers draw up their decarbonisation plans and analyse and define their needs. It is here that the manufacturer will offer its expertise helping to get the right truck solution for their business and their budget. Things then get really technical. The second phase of diagnosis involves getting precise knowledge of the customer’s activity, including analysis of the fleet and routes and an analysis of the sites’ electrical facilities. The company explains that this can involve the use of simulation tools to help customers make decisions and monitor their activity, such as a carbon emission reduction simulator and a range simulator. Following this diagnosis, Renault Trucks provides the customer with a detailed recommendation, which includes a roll-out schedule and a forecast of the reduction in CO2 emissions for the coming years. Renault Trucks describes itself as becoming the architect of the decarbonisation project and co-builds the new electric mobility ecosystem alongside the customer during the next phase. It will explore financing options for the fleet and any or governmental subsidies that may make the adoption possible. This can go beyond the set-up of the truck, its equipment and bodywork, to the on-site charging facilities needed on site. Even before your new truck is delivered the company is offering to provide its customer with an electric truck, so that it can be tested in real working conditions. Finally, Renault Trucks will act as the project manager for the customer’s decarbonisation solution: “Installation of on-site charging facilities, training of drivers and fleet administrators, etc. Last but not least, Renault Trucks and its network support customers in the operational monitoring of their fleet, thanks to vehicle connectivity.” meconstructionnews.com
AIMING TO RAMP UP PRODUCTION The electric trucks produced in Normandy represent a tenth of the Blainville-sur-Orn plant’s output but Renault Trucks is targeting at least 2,000 in the coming years.
This will involve the manufacturer monitoring the charging facilities, tracking driving and consumption and making suggestions for optimisation, recommending routes, and optimising maintenance operations. Ultimately, to sell electric trucks, it has recognised that hauliers need practical support in their transition to electric vehicles. It is promising to be at their side in their decarbonisation plans, providing support based on expertise, anticipation, proximity, peace of mind and fast performance. The unveiling of E-Tech was also an opportunity for the company to expand its all-electric range and from next year two
50%
Renault wants 50% of its sales to be electric by 2030
new models of up to 44 tonnes, namely the Renault Trucks T E-Tech for regional transport and the Renault Trucks C E-Tech for construction applications. Since 2020, the manufacturer has been marketing a range of all-electric trucks from 3.1 to 26 tonnes, manufactured in France – and now feels confident it can support heavier operations when the routes and applications are suitable. The new models in the heavy-duty range will be fitted with two or three electric motors providing a combined power of up to 490 kW (equivalent to 666 hp). The company has also confirmed that they will be also equipped with an Optidriver gearbox. The Renault Trucks T and C E-Tech will have two to six lithium-ion battery packs with a capacity of 180 to 540 kWh. The vehicles’ batteries can be fully charged in 9.5 hours by alternating current (AC) up to 43 kW, or in 2.5 hours by direct current (DC) up to 250 kW. These trucks will be able to travel up to 300 km on a single charge and up to 500 km with a one-hour intermediate fast charge (250 kW). In order to adapt easily to any type of bodywork and consequently to any type of use, the Renault Trucks T and C E-Tech can be equipped with three types of power take-off (PTO): electric, electromechanical or on the gearbox. In addition to having a gross vehicle weight of 44 tonnes, they will be available in 4x2 and 6x2 tractor versions and 4x2, 6x2 and 8x4 tridem rigids.
THE TOTAL SET-UP The E-Tech range offers state-of-the-art heavy electric vehicles, but the real attraction could be the charging support on offer to fleets.
APRIL 2022 21
TEST DRIVE
GETTING A GRIP T&FME takes to the Dubai Autodrome track to push Bridgestone’s Potenza and BMW’s M Series to the limit
B
ridgestone and BMW AGMC recently entered into what they are calling a strategic partnership to match the powerful BMW M Series cars with the Japanese tyre-maker’s performance brand Potenza. The tyre itself has earned a solid reputation for offering superb grip in dry conditions, opening up the possibility for quick handling and sharp turning. So, where better to test this behind the wheel than on a warm early Spring day in Dubai’s auto-home? Arriving early (for once), T&FME was soon at a track-side media conference held at the Dubai Autodrome, where the two companies explained that Bridgestone will be supplying AGMC’s new BMW M Series with their Potenza tyres. During which we were told that the tyres “offer unsurpassed 22 APRIL 2022
traction and control, allowing customers to fully experience the thrill of driving. “The tyres are designed to enhance driver experience, while also empowering cars to achieve their full potential. This high-performance tyre’s tread design has also incorporated new, sustainable technology to improve braking and abrasion resistance.” “At Bridgestone, we recognise the power of teamwork as a cornerstone of success, and are moving strongly in this direction of partnership, leadership, and excellence,” said Stefano Sanchini, regional managing director of Bridgestone Middle East and Africa. “We are confident in the capability of our Potenza tyres to maximise the potential of the BMW’s M-Series. At Bridgestone, we are committing to creating more efficient mobility solutions and services than ever before. Our tyres are future
The tyres are designed to enhance driver experience, while also empowering cars to achieve their full potential”
oriented, sustainable, and focused on meeting the demands that may arise over the next two to five years, and beyond.” Jochen Becht, AGMC spokesperson, marketing director, Rolls-Royce, BMW, MINI said that the firm was delighted to announce what we called an exciting partnership alongside Bridgestone. “Our M vehicles are all about unlocking potential when it comes to power and driving dynamics and with the Potenza tyre we have another marketleading product to help us achieve this. “Having trust in a tyre is critical when maximising performance so the traction and control the Potenza offers fits perfectly alongside the M Series. We know the incredible capability of our vehicles and are proud to work alongside a partner who can help us even further enhance the driving experience for our meconstructionnews.com
TEST DRIVE
M Series customers. We are heading to establish AGMC as the pinnacle for driving experience in Dubai and northern Emirates and are very delighted to found in Bridgestone a strong partner to help us in achieving our goals.” With the formalities out of the way, it was time to don helmets and move downstairs to the awaiting 3 and 5 M Series BMWs that were waiting in the paddock. The BMW M Power Experience is intended to offer drivers a taste of what it feels like to master a car in racing conditions. In Europe, enthusiasts are encouraged to take a BMW M model “to the limit – to feel one time like a genuine racing driver” and it made sense for AGMC to bring the experience to a performance car and auto-fans hub like Dubai when it was first announced on a 12-month basis last March. The drift- and circuit training courses are part of the supreme disciplines of the BMW M Driving Experience whether on asphalt or snow and ice in Germany. While drivers here won’t be careering around the Alpine-bound Red Bull Ring or the worldfamous Nürburgring Nordschleife, they are offered a total of 10 vehicles comprising of the BMW M2 Competition, the BMW M3 Competition, the BMW M4 Competition, the BMW M5 Competition and the BMW 330. The Experience also provides a drivers with an in-depth three-and-a-half-hour safety driving course, where instructors will teach and guide guests to become even better drivers while pushing the BMW M vehicles to their limit in a controlled environment. During the course, guests can also practice essential
WORKING IN PARTNERSHIP The Potenza tyres are designed to enhance driver experience, while also empowering the available BMW cars to achieve their full potential.
The traction and control the Potenza offers fits perfectly alongside the M Series”
motorsport driving techniques, such as seating position, posture, accelerating, braking and cornering. Upon completion, participants will receive feedback and a certificate at the end of a gruelling but exhilarating session around the FIA sanctioned circuit. Unfortunately, the briefing on this occasion was a short overview on what to expect in the vehicle, including how to get the best out of both car and tyre on a truncated version of the 5.39km track. Opting for the more statesman-like 5-Series – a car which is associated with limo and luxury car hire in the Emirate through companies such as Emirates Bus and Quick Lease – there was little chance to appreciate the more refined points of
the vehicle but plenty of track time to appreciate how its M- variant can handle the undulating course (seriously, this would be one of heck of a quick ride to the airport). The short-version of the Autodrome circuit still includes the dipping, curving departure from the finishing straight which was an immediate test for both brakes and tyres as the car headed into the apex. And it was here that the Potenza really came the fore, taking on all of the front weight of the car and providing the grip coming out of the corner to paw into the 300bhp that sits under the bonnet. With automatic transmission as standard, it is easy to see even a moderately experienced commuter could take on the course. There was no fiddling with down or upshifting here just the pleasure of being able to throw the car into the corners with it quickly coming apparent that the Potenza can offer even a bit of drift and wiggle room for mistakes. By the second lap, the heads-up display was readily dialling up beyond 200 km/h before crunching onto the carbon ceramic brakes and a racing rhythm was emerging with the car easily slipping in and out of the corners. Power and brake, power and brake – and then more power as we took on the rising final chicane and corners and into the home straight. As a demonstration of both BMW’s and Bridgestone’s track-craft, the Experience had done the trick. And you can easily see the two powerhouse brands sticking together – in more ways the one – in the Autodrome for years to come.
TEASING THE 7-SERIES A few weeks before its world premiere and on the occasion of this year’s BMW Group Annual Conference, Frank Weber, has revealed that the focus is initially on technology highlights, a new front-end design based on hallmark BMW design features and a unique interior experience consisting of digital features and exclusive materials. In April, the premium car manufacturer will present the all-electric BMW i7 (combined power consumption: 22.5 — 19.5 kWh/100 km according to WLTP; CO2 emissions: 0 g/km; forecast
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based on the vehicle’s development status to date) and with it the entire new BMW 7 Series. With the all-electric BMW i7, the Bavarian premium automobile manufacturer is expanding its range of locally emission-free vehicles to the exclusive segment of its top-ofthe-range models. “The new BMW 7 Series is absolutely trail-blazing in every respect. Like no other model, the BMW 7 Series stands for BMW’s innovative strength,” says Weber. “The all- electric BMW i7 is also the most powerful BMW 7 Series. It combines the best driving
experience with the ultimate digital experience. This makes it the ideal vehicle for forwardthinking, responsible decision-makers and avant-garde pioneers.” In the BMW i7, the characteristic design elements of twin round headlights and BMW grille have been completely reinterpreted to achieve a modern and distinctive look. Some of the special design
statements ore upper light elements made of exclusive crystal gloss and the illuminated contour of the kidney grille. In the interior, the focus is on the innovative user experience created with new My Modes and the latest generation of the iDrive operating system. My Modes enable the driver to precisely customise the car’s driving characteristics and interior ambience.
APRIL 2022 23
WORKSHOP
PETROMIN TARGETS CV MOBILITY IN KSA / BRIDGESTONE CELEBRATES T&F AWARD / SHELL SECURES ABU DHABI DISTI DEAL / PRAMAC’S BATTERY SECOND LIFE
WORKSHOP
Petromin CV Care Centers open in KSA
PETROMIN LAUNCHES ‘STATE-OF-ART’ COMMERCIAL VEHICLE CARE CENTERS TO SUPPORT SAUDI ARABIAN T&L INDUSTRY SERVICING
Petromin says it is continuing its expansion into the multi-modal mobility space by announcing the launch of its newest division, Petromin Commercial Vehicle Care Centers in the Kingdom of Saudi Arabia. PCVC will provide a multitude of services for commercial vehicles, from preventive maintenance, brakes, tires, suspension, batteries, diagnostics, and electric to major repairs and overhauls. The new centers have been introduced to support the rapidly expanding and flourishing transportation
industry in the Kingdom which has been designated as strategic within the Saudi Vision 2030 initiative. Petromin already has an extensive roster of clientele including some of the most prominent logistics, delivery, long-haul carriers, and public transit companies in Saudi Arabia. Unlike franchised distributors, PCVC is not limited to any specific brand and will service all commercial vehicle brands and models. Last year, 926 billion tons of cargo were transported across the country by on-road vehicles, and that
SERVING THE FUTURE The facility will also service emergent commercial transport platforms such as the Electric Vehicles (BEV) and hydrogenpowered Fuel Cell Electric Vehicles (FCEV).
is expected to exceed 1 trillion tons by 2026. PCVC will assist transportation and logistics companies to meet the demand by maintaining their vehicles in top condition, minimizing downtime, and improving operational efficiencies through exceptional service carried out by professional, highly trained technicians utilising latest state-of-the-art equipment. Gary Flom, CEO of Petromin’s National Transportation Solutions Company, the parent of PCVC, said the launch will disrupt the industry “by elevating the service to unprecedented heights. We aim to have 80% of all repairs completed within 24 hours. That is a lofty target, but utilising only the top-notch, latest equipment, highly optimised inventory of spare parts, and specially trained professional technicians, we will make a huge impact across the entire mobility space in the Kingdom, now and in the future.” “Mobility is at the crossroads of an exciting, revolutionary phase. There is a new, modern approach and higher focus on the total cost of ownership, adaptation of advanced fleet management technology as well as emergence of sustainably-minded alternatives.”
PRAMAC BREATHES SECOND LIFE INTO I-PACE BATTERIES BATTERIES
Jaguar’s engineering team have worked with Pramac to develop a zero-emission energy storage unit powered by secondlife Jaguar I-PACE batteries, taken from prototype and engineering test vehicles. Called the Off Grid Battery Energy Storage System (ESS), Pramac’s technology – which features lithium-ion cells from one-and-a-half second-life Jaguar I-PACE batteries, supplies zeroemission power where access to the mains supply is limited or unavailable. To showcase its capability, the unit helped Jaguar TCS Racing prepare for the 2022 ABB FIA Formula E World Championship during testing in the UK and Spain, where it was used to run the team’s cutting-edge diagnostic equipment analysing the race cars’ track performance, and to supply auxiliary power to the Jaguar pit garage.
INSIDE THIS MONTH’S WORKSHOP: WHAT STELLANTIS’ CEO HAD TO SAY ABOUT GEARING UP FOR THE NEXT GENERATION, LUCID AIR COMES TO KSA AND MORE
24 APRIL 2022
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WORKSHOP
BRIDGESTONE DELIGHT AT T&FME AWARDS
SHELL SECURES ABU DHABI DISTRIBUTION DEAL LUBRICANTS
Shell Markets Middle East Limited (Shell) has secured an agreement with United Motors & Heavy Equipment (UMHE), a subsidiary of Darwish Bin Ahmed & Sons Group - one of the leading civil engineering and building construction contractors in the UAE, to bring its industrial lubricants’ products to Abu Dhabi and Al Ain. As part of the agreement Shell will supply lubricants products and solutions, catering to a diverse portfolio of industries ranging from industrial to manufacturing, oil & gas, construction, and power. “We are proud to partner with United Motors & Heavy Equipment as we look to expand our value proposition in the UAE’s capital and serve our customers efficiently and effectively,” said Haytham Yehia, general manager, Shell Middle East. “This partnership will allow us to meet the increasing demand for high quality lubricants and enhance product accessibility for our growing customer-base. We are confident that our partnership will further strengthen the availability of our premium quality products, and enable our customers to enhance efficiencies of their operations.” Abdulla Darwish Alketbi, Group Managing Director, Darwish Bin Ahmed & Sons Group added: “Through this partnership, we will now have access to distribute a high-quality product portfolio from Shell’s lubricants, which we are confident, will further enhance our distribution efforts in this market.” Utilising Shell’s global expertise and UMHE’s strong local conglomerate footprint, the partnership is aiming to play an integral role in bringing worldclass products to the UAE’s capital.
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TYRES Bridgestone’s regional managing director says his company is delighted to have won the Tyre Technology Provider of the Year Awards at the Truck and Fleet Awards 2022. The company was presented the award last week at the inaugural event after it secured the most votes in the category. Bridgestone secured the award in recognition of the organization’s contribution towards innovation and excellence, as demonstrated by their wide range of technologically advanced products and services. These innovative technologies have been aimed at fulfilling the pressing demands on the tyre industry to deliver products that aid safe and fuel-efficient travel, said the company in a statement. It added: “The award further highlights Bridgestone’s calibre in producing innovations and stateof-the-art technology that help
UNDERLINING COMMITMENT Bridgestone said: “It always sets a high benchmark as a leader in tyre innovation. By securing this award, the company has further underlined its commitment to create more innovative and sustainable technologies.”
make cities smarter and safer.” “Bridgestone is delighted to have earned this award in recognition of our innovative capabilities,” commented Stefano Sanchini, regional managing director, Bridgestone MEA. “Technology constitutes the foundation of our vision for the future as we continue to transform into a mobility solutions provider. We are striving to embed the
most advanced solutions that will promote safety, efficiency, and sustainability. This award is especially dedicated to the valuable employees at Bridgestone, who put in a tremendous amount of hard work to embody our mission statement: ‘Serving society with superior quality.’” Bridgestone added it has always been a “champion for encouraging innovations” in the tyre industry.
HYVA LAUNCHES NEW 40TM CRANE PTO
Hyva has added the 40tm family to its highly successful EDGE Line cranes. These cranes offer a first-class lifting experience, cutting-edge innovation, and the best available warranty in the industry – 3 years general warranty and 5 years on structural parts, claimed the manufacturer in a statement. The 40tm family comprises 5 models: 3 Rack &
Pinion and 2 Endless Slewing models. The HC 401 is rated at 40tm and features a rack and pinon and double linkage set-up which helps the truckmounted system offer a 430o slewing angle. Also available is the Short Boom HC01 K, the HC441 44tm Proportional model which features a Proportional Lift Control System (P-LCS), the endless slewing and
EFFICIENCY: ITALIAN-STYLE The EDGE Line is produced in a new dedicated crane assembly line in Poviglio, Italy, and is developed, said Hyva, according to best-in-class manufacturing principles in terms of quality and efficiency.
40tm HC 405e and its proportional slewing counterpart the HC 445e. Hyva said the cranes have from 2 to 8 extensions, 8.02 to 20.90m maximum outreach, and a 10m Jib (not available for K-boom and Marine versions). Other features to increase operator efficiency and safety include: Magic Touch (MT) which allows the driver to open the crane from transport position and back, at the touch of a button; Dynamic Load Diagram (DLD) optimises stabilisation and allows the driver to verify in advance the crane lifting capacity based on truck stability; and the DLD Simulator which shows the operator the possible working area for different scenarios of load and stabiliser extension before use. Available as option in dedicated markets is the new feature Connectivity 4.0, an innovative accessory designed to increase customer efficiency through the Cloud where all relevant data are stored to support crane operation and maintenance. APRIL 2022 25
FEATURE
THE GORILLA
IN THE ROOM
Stellantis CEO Carlos Tavares presents his vision for tackling the costs of transitioning to an electric future
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arlos Tavares called the five-year pain of dealing with Stellantis’ transition the gorilla in the room last month, but unveiling the firm’s Dare Forward 2030 strategy to a global audience he had other, more immediate, worries on his mind. “Our thoughts and prayers go to our 71 Ukranian colleagues, and their friends and families. Personally and on behalf of Stellantis, I would like to share my deep personal concern for the serious situation our colleagues are facing. At the moment, we cannot reach three 26 APRIL 2022
of them, but we continue our outreach and support in what is a rapidly evolving situation.” Confirming that the company which includes Peugeot, Fiat and Chrysler in its ranks will abide by and follow any sanctions that follow, he continued with the unveiling of Stellantis’ strategy, a bold strategic plan for the coming decade that it believes will drive its employees to be ‘second to none’ in value creation for all stakeholders. Stellantis has committed to becoming what it describes as the industry champion in the fight against climate change and has set a goal of reaching carbon net zero emissions by 2038.
We are moving and we are moving fast”
“Dare Forward 2030 inspires us to become so much more than we’ve ever been. We are expanding our vision, breaking the limits and embracing a new mindset, one that seeks to transform all facets of mobility for the betterment of our families, communities and the societies in which we operate. “Powered by our diversity, Stellantis leads the way the world moves by delivering innovative, clean, safe, and affordable mobility solutions.” Dare Forward 2030 is an extension of the company’s long-term plan that it launched a year ago. Tavares said the ensuing meconstructionnews.com
FEATURE
FIGHTING THE GREEN FIGHT Stellantis has unveiled what it describes as a bold strategic plan for the coming decade. It has spent the last 12 months formulating the Dare Forward 2030 programme and has led to it achieving net zero by 2038.
12 months have been among the “most intense in my 40-year career”. While the gears have been rapidly shifted throughout the operation, he also travelled to 12 different countries and 30 manufacturing sites. “Connecting with colleagues, hearing their ideas and having meaningful exchanges about the future of Stellantis, I can testify to the extraordinary energy and enthusiasm around our company for building something truly unique,” he said. “I deeply treasure the privilege I have to serve Stellantis as the CEO, fully conscious of the value that we can bring to the society in which we operate. The word “we” is meconstructionnews.com
We want to have a future where mobility is accessible to all”
very important, and one of the most important things we did in our first months together was to define our purpose. Our reason for existing.” Stellantis wants to be the industry champion in climate change mitigation, becoming carbon net zero by 2038, with a 50% reduction by 2030. Taking a leadership role in decarbonisation, as well as a decisive step forward in the circular economy. “We will lead the automotive industry and achieve carbon net zero by 2038 from well to wheel and throughout the entire supply chain. We know we can be part of the solution and we are ready to do our part in protecting
humans from the negative effects we are already seeing from climate change,” he continued. “This is our promise to society. Reaching the carbon net zero objective by 2038 is a daring challenge. A daring challenge, we are proud to lead” As part of that leadership, Stellantis is setting course for 100% of sales in Europe and 50% of sales in the United States to be battery electric vehicles (BEVs) by the end of this decade. It also plans to have more than 75 BEVs and reach global annual BEV sales of five million vehicles by 2030 – including the newly revealed Ram 1500 BEV pickup. “Today, we are thrilled to present the Jeep brand’s first-ever fully electric SUV launching in early 2023 and a new pickup truck arriving in 2024. Our journey is fuelled by a focus on innovation and engineering excellence that will put the latest technology into all our vehicles – from the most affordable to the high-performance and luxury – all offered through the extensive product portfolio of our incredible and unique house of brands.” Stellantis has set out four main areas to focus on as sees out its progress through the decade: electrification, AI, autonomous driving and a fourth pillar to incubate the start-ups that will shape the auto-industry into the second half of the century via the Stellantis Venture Fund. Tackling the first, he says the group has targeted the right amount of investment on the right technology to reach the market at the right timing. In total over €30 billion will spent through 2025 on its four BEV-centric-platforms. “STLA Small, Medium, Large and Frame are the backbone of this plan, all designed with a high level of flexibility and components sharing,” he says. “The platforms partner with our family of three electric drive modules that are compact, flexible and easily scalable. “We are on track in performance and timing on both fronts and further, our battery ecosystem is well set with our electric powertrain joint venture with Nidec, our fast charging network rollout with Free2move e-solutions and our planned five gigafactories spanning North America and Europe that will, together with Samsung, LG, ACC and other sourcing contracts, contribute to our estimated needs of 400 gigawatt hour by 2030.” He adds that this is an increase of 140 gigawatt hour from its initial plans: “With investments in factorial and ACC, we are also accelerating development of solid state batteries to give us more range, faster charging and lighter battery technologies. APRIL 2022 27
FEATURE
And with Vulcan to secure a decarbonized supply of battery-grade lithium hydroxide. “We are innovating, driving costs down and packaging the latest technologies in all our vehicles from the most affordable ones to the high performance offerings. We want to have a future where mobility is accessible to all,” he affirms. “The combination of the platforms, EDMs, high energy-density battery packs and charging networks deliver a best-in-class performance in efficiency, range and recharging.” The Stellantis electric action plan goes beyond battery power and it is looking to be a front-runner in the hydrogen race. “Our solution combines the advantages of hydrogen fuel cells and electric battery technology. Fuel cell electric vehicles are particularly suited to the needs of commercial vehicle customers requiring long range, fast refueling and zero emissions without compromising payload capacity,” he explains. “That’s why we were the first to launch a hydrogen van for last-mile delivery.” Late last year, Stellantis delivered the first orders of its Citroën Jumpy, Peugeot Expert and Opel Vivaro mid-size vans to key fleet customers. Initial feedback is very positive, thanks to the three minute fast refueling for 400 kilometers of driving range, he claims. “And we already have a good level of orders. In 2024 we plan to increase our mid van production capacity and extend our hydrogen offer to large vans in Europe. And in 2025, we will start extending our large van
100% ELECTRIC SALES BY THE END OF THE DECADE Stellantis CEO Carlos Tavares says the firm is ‘setting course’ for 100% of sales in Europe and 50% of sales in the United States to be battery electric vehicles (BEVs) by the end of this decade.
Fuel cell EVs are particularly suited to commercial vehicle customers”
offer to US customers while further exploring opportunities for heavy duty trucks.” In the realm of software and AI, Tavares describes the firm as working at full speed to get a fleet of 39 million connected vehicles with a regular over the year updates representing up to 400 million every year. “This fleet of vehicles will generate €20 billion of revenue at 40% gross margins through five business pillars. Our strategy is to disconnect the hardware and the software cycles to create a product that can evolve regularly following customer needs. We will have three technology platforms deployed at scale: STLA SmartCockpit,
CONSOLIDATING IN THE MIDDLE EAST Stellantis’ Middle East and Africa shipments were up 6% in 2021, while market share grew in most major market’s yearon-year. The UAE saw a 41% increase across all brands from the same period last year, with Jeep increasing sales from 25% and PEUGEOT increasing by 70% respectfully. Saudi Arabia witnessed a 36% growth across all Stellantis products with PEUGEOT being the automaker’s highest performing brand with a 222% growth over the same period in 2021.
28 APRIL 2022
STLA AutoDrive and STLA Brain across the four EV focused vehicle platforms.” Stellantis also vertically integrating key elements of new electronics and software platforms, closely managing the complete electronic supply chain, including semiconductors, to ensure access to the best technologies and guarantee the fulfillment of its vast volume ambitions. “STLA Brain will feature the most advanced systems on chip in cooperation with key technology partners, and we will complete our targeted vertical hardware and software integration for all products before 2030. Our co-operations with Amazon and Foxconn on STLA SmartCockpit will make our vehicles the most wanted, most captivating place to be using A.I. and advanced cloud solutions. “We will also master the highest levels of autonomous driving technology and ensure our customers are confident the tech is safe and reliable. We are already offering among the best level 2 solutions. In 2024 with a STLA AutoDrive introduction will bring a handsfree highs of Level 3 solution with our partner BMW,” he says, adding the technology will be available in the LCV segment via its partnership with Waymo. “We are preparing to solve the delivery as a service challenge and bring an autonomous solution for light commercial vehicles. Leveraging our exclusive partnership, Stellantis will deliver the first prototype vehicles for the project by the end of 2022. Our ambition is to make commercial use of this technology available in the second half of the decade.” He adds that new incoming data from 34 million connected vehicles will lead to the creation of a new data business within the group. He predicts that almost half of its revenue can come from this new venture. “We look at data in two ways. One to support our internal operations, especially the continuous improvement of our customers experience, and the development of AI-based features. And two, to support data as a service for external customers.” Ending his brief of the Dare Forward 2030 strategy he explains that the Stellantis Corporate Venture Fund, with a initial fund of 300 million euros, will identify the best startup potentials beyond its traditional network. He adds that this will accelerate the “innovation potential in our company.” He continues: “We are moving and we are moving fast to become a mobility tech company.” Ultimately, Tavares believes that meconstructionnews.com
FEATURE
A NEW MEGAFACILITY FOR KSA Stellantis Middle East has launched a new mega-facility for sales, servicing and spare parts (3S) housing seven major automobile brands underpinning high levels of convenience and a top-quality brand experience, in partnership with Petromin, a leading automotive services company in the Kingdom of Saudi Arabia. Spanning 12,000m2, the stateof-the-art new facility in the Khurais Road automotive district will feature a dedicated 3S facility for Jeep brand including the unique Jeep Lounge concept combining social, F&B and showroom space as part of a community-driven approach to automotive retail. The complex will also include a multi-brand 3S space for Dodge, Chrysler, RAM, Fiat and Abarth, along with a standalone Alfa Romeo dealership boasting a premium showroom space in line with the luxury Italian brand. The launch of the facility marks the latest development in the partnership between Stellantis and Petromin which will greatly increase the footprint of Stellantis brands throughout KSA, including the launch of the Abarth brand in KSA for the first time. Speaking at the launch, Markus Leithe, group managing director for Stellantis Middle East, said: “At Stellantis, we are dedicated to elevating our brand portfolio in the Kingdom of Saudi Arabia by establishing a world-class retail network featuring ‘industry first’ innovations through our ongoing partnership with Petromin. As Saudi Arabia’s capital, Riyadh represents a key stage of these growth plans in the Kingdom, and the launch of these new facilities will provide the foundation for the introduction of an exceptional product offering from Stellantis in 2022.”
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technology will only take the group so far in its aspirations. People, including the customer, has to be at the heart of everything Stellantis is aiming to achieve. “We aim to be No. 1 in customer satisfaction for our products and services in every market. We will pay exceptional attention to the full end-to-end experience, working to eliminate any friction throughout the value chain. We will lead the commercial vehicle market with the most efficient portfolio of products and services bringing exceptional solutions to our professional customers. “We are making Stellantis an extraordinary place to work and a magnet
Dare Forward 2030 inspires us to become so much more than we’ve ever been”
for people with the drive to make customers’ lives better, unleashing our full potential for the digital and electrified future. “We are adding more powerful engines to our strong global operations. Operational excellence, speed of execution and a breakeven point of less than 50% of shipments will remain our hallmarks. We will double our Net Revenues by 2030 and sustain double-digit Adjusted Operating Income margins throughout the decade. “We are proud of our rich history. It shows our grit, perseverance and agility. To this we add the mindset of entrepreneurs to deliver Dare Forward 2030.”
STATE OF THE ART SECURITY Alfa Romeo is the first automaker to link a car with an NFT digital certificate. The technology is based on the “blockchain card” concept, a confidential and non-modifiable record of the main stages in the life of an individual vehicle.
APRIL 2022 29
FEATURE
LUCID
THINKING
The launch of manufacturing for Lucid Air marks a major a milestone in Saudi’s automotive and green goals
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hen the first vehicles roll out of Lucid Air’s new plant in Saudi Arabia, the Kingdom will take several steps in several directions to achieve its aspirations to be a player in the next generation of electric vehicles, as well as diversify its oil-dependent economy. Lucid Group has recently been setting new standards with the longest range, fastest charging electric car on the market. With the signing of agreements with the Ministry of Investment of Saudi Arabia (MISA), the Saudi Industrial Development Fund (SIDF), and the Economic City at King Abdullah Economic City (KAEC) last month, it has laid the groundwork for a full production factory in Saudi Arabia. The agreements are expected to accelerate Saudi Arabia’s 30 APRIL 2022
strategic goal to transform and diversify its economy through the development of sustainable energy and transportation. Indeed, Lucid estimates that the location of its first international manufacturing plant in the Kingdom may result in up to $3.4 billion of value to Lucid over 15 years, and the facility will enable Lucid to address growing demand for Lucid’s products. “Lucid aspires to be a catalyst for change wherever we go, so it makes perfect sense that we are bringing electric vehicles to one of the world’s biggest oil producing nations. Establishing a global manufacturing footprint is a practical, natural step and enables us to grow our brand, scale our business, and address worldwide and untapped market demand on an entirely new level, while also taking action to address climate change through inspiring sustainable transportation,” said Peter
We are thrilled to introduce the world’s most advanced electric vehicles to more global markets”
Rawlinson, CEO and CTO, Lucid Group. “Our strong relationships with the Public Investment Fund and our partners at MISA, KAEC, and SIDF also give us unique insight into the demand for luxury cars and SUVs in Saudi Arabia and beyond, and we are thrilled to introduce the world’s most advanced electric vehicles to more global markets.” Lucid reviewed multiple opportunities before selecting KAEC in Saudi Arabia as the optimal location and opportunity for its first international manufacturing facility. The new manufacturing hub will be fully owned by Lucid and enable the company to meet growing international demand for luxury electric vehicles. Lucid also expects to benefit from the availability of competitivelypriced commodities and energy and a newly emerging domestic supply chain, and a factory location that facilitates global logistics. The meconstructionnews.com
FEATURE
company further expects to be able to access financing to build and equip the manufacturing facility and to train automotive workers. Lucid plans to establish operations at KAEC for re-assembly of Lucid Air vehicle “kits” that are pre-manufactured at the company’s U.S. AMP-1 Manufacturing Facility in Casa Grande, Arizona, and, over time, for production of complete vehicles. At its peak, the company expects to manufacture up to 150,000 vehicles per year at the KAEC facility. Construction of the plant is expected to start in the first half of 2022. Vehicles in the initial phase will be slated for the market in Saudi Arabia, but Lucid plans to export finished vehicles to other global markets, including exclusive models designed to appeal to Lucid’s discerning customers in the region and beyond. Lucid’s AMP-1 in Arizona will continue to serve as the company’s central manufacturing hub, with the Lucid Production System and other manufacturing technologies refined in the United States before deployment at other factory sites. Lucid has already commenced the second phase of construction at AMP-1 to add 2.85 million square feet of space, with plans to further expand to an annual production capacity of 365,000 vehicles in Arizona. The company expects that its production capacity in Arizona and Saudi Arabia will exceed 500,000 vehicles per year in aggregate when each facility reaches its target capacity. The company anticipates that Saudi Arabia’s efforts to foster an automotive ecosystem through its Saudi Vision 2030 should yield cost savings for Lucid as well as environmental benefits, with reduced transportation of product to the customer. The project should also enable opportunities for Saudi Arabia to diversify and transition from fossil fuels to sustainable energy and transportation. Lucid expects to employ several thousand people at its KAEC facility once full production capacity is established, the majority of which are expected to be Saudi Arabian citizens. Lucid has already established an internship programme with the PIF to provide educational opportunities and training for Saudi Arabian citizens at Lucid’s facilities in California and Arizona to develop talent for operations in Saudi Arabia. The company, in addition, will build and run dedicated training centres in KAEC to support skills development for the workforce. PIF has been partnering with leading innovators globally such as Lucid, meconstructionnews.com
which demonstrates PIF’s commitment to shape the economies of the future and drive the economic transformation of Saudi Arabia in line with Saudi Vision 2030. “Today, we take a major step towards Saudi Arabia’s goal of diversifying its economy by creating a new manufacturing hub to spearhead the future of mobility for the Middle East region. “Attracting a global leader in electric vehicles such as Lucid to open its first international manufacturing plant in Saudi Arabia reflects our commitment to creating long-term economic value,”said HE Khalid AlFalih, Minister of Investment of Saudi Arabia. “This project demonstrates the confidence investors have in Saudi Arabia’s competitiveness, its ability to create opportunity and serve global demand for a highly complex product such as electric vehicles,”
We are proud that KAEC will serve as a global launchpad for new sustainable mobility innovations”
According to SIDF chairman and Saudi minister of industry SIDF His Excellency Bandar Alkhorayef establishing Lucid’s new manufacturing hub in the Kingdom of Saudi Arabia is aligned “with our national priority of diversifying the economy, and more specifically in growing and diversifying the industrial sector as part of the Kingdom’s Vision 2030 and The National Industrial Development & Logistics Program.” He adds: “We are proud to partner with Lucid to enable this new industry in Saudi Arabia, which is one of the future’s most complex and technology-dependent industries, and a major contributor to the supply chain development of other related industries that intersect with auto manufacturing. “We look forward to working with Lucid and other leading companies as we build out our global competitiveness.”
A COUP FOR EMAAR Bringing Lucid Group to KAEC is also a coup for master-developer Emaar, The Economic City. CEO Cyril Piaia says that the first international plant in KAEC marks a significant milestone in its own journey to becoming a leadingedge city with a world-class manufacturing and logistics hub.
SUPPORTING SAUDI VISION 2030 KAEC wants to be a global launchpad for new sustainable mobility innovations such as Lucid’s electric vehicles.
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PARTING SHOT
AN ELECTRIC
START
Drama from the first lap to the last as NEOM hosts first stage of sustainable off-road race Extreme E
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EOM, the world’s first 100% technological and emission-free urban development hosted the first stage of the Extreme E motor racing competition last month. After an exciting race, Rosberg X Racing (RXR) claimed winner’s podium during the Desert X Prix in the Extreme E Season 2 opener in NEOM, Saudi Arabia – despite RXR’s ÅhlinKottulinsky colliding with McLaren XE’s Tanner Foust on the first lap and forcing the race to restart. Extreme E is the world’s first sustainable off-road motor racing championship and is appropriately starting its second season at a city which will run on desalinated water as well as solar and wind power. The 6.9km Desert X Prix is said to offer breath-taking backdrops, stunning rock formations and challenging gradient changes for the drivers The five-stage championship is designed to give visibility to the impact of climate change, as well as to raise awareness of the
need to tackle it and accelerate the transition to a low-carbon economy. The drivers compete against nine other teams, made up of some of the biggest figures in the motorsport world. Participating once again on the NEOM course was the ACCIONA | SAINZ XE Team led by rally legend Carlos Sainz and 14-time Women’s Trial World Champion Laia Sanz and their Odyssey21, the championship’s 100% electric SUV. On this occasion, Sanz was chased down on the closing corners of the race and passed by X44’s Kristoffersson on the penultimate corner. “I think I did a good job, it was good but Kristoffersson is just too fast! But I think we must be happy with the result especially after a hard day yesterday and Carlos did an amazing job in the first lap and then things were much easier in the second one,” said Sanz. “On the red flag restart – at first, I thought this could not be fair because Carlos did a great job in the first lap and in the start. So I think Extreme E made a good decision in how they
did the restart – it was the best solution. “We saw today that we can fight to win races and this give us so much confidence and motivation. I knew last season and with taking part in the Dakar it would be a big help compared to last year in Extreme E where I started from zero. I’m happy with my improvements since then and also very happy to have such a good teacher in Carlos.” While its team may have been frustrated in the race, Acciona is heavily involved in Saudi’s drivce to build greener infrastructure and is working on six reverse osmosis desalination plants in the country, using the most efficient technology with the lowest carbon footprint. According to the Spanish firm, taking part in Extreme E consolidates its commitment to a new system of motor racing that demonstrates the reliability of electric mobility and the competitiveness of renewable energy in one of the most demanding races on the planet: “The company thus reinforces its social commitment to sustainable development, gender equality and the fight against climate change through mass sport events.”
NEXT ISSUE: PREVIEWING THE UPCOMING TRUCK AND FLEET CONFERENCE IN DUBAI, AND MUCH MORE!
32 APRIL 2022
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