>> In Europe, trucks are moving a whole lot faster than cars, out of the dealership studies. Sweden's Volvo raising forecast Friday, after sales beat expectations. Demand's strong in Europe and the US, where it owns the Mack brand. Profit up to over $1.1 billion, it's best ever third quarter.
With reservation, Stockholm says global economic growth has helped, but isn't the full story.>> Additionally, a lot of players have been replacing their existing fleets with newer fleets, because they held off on making investments right after the economic crash of 2008. And that's why the world was seeing a lot of new orders.
>> It's a very different story for car makers and their suppliers. Figures out earlier this week showed European auto sales down by almost a quarter in September. Volkswagen shipments even harder hit, down by almost a half. New emissions tests, the big reason. Car sales on hold while all new models are subjected to mandatory retesting.
The slow down confirmed in numbers Friday from tire maker Michelin. Sales skidding 5% to car makers in Europe and China. But if truck makers are happy right now, in the long term, they face the same challenge as car makers. Managing the transition to electric and automated vehicles. This is Volvo's vision of what a driverless truck might look like.
For it, and its rivals, future success will depend on who best navigates the coming technological revolution.