Dina Planning a Comeback
December 17, 1999
Mexico's Consorcio G Grupo Dina is ready to make a comeback, Adolfo Hegewisch, executive director of operations and sales, recently told Reuters news service.
Once Mexico's leading truck and bus manuacturer, the company's market share has fallen from 40% in 1994 to an estimated 10% today. The company has struggled to pay off huge debts incurred after the Mexican peso devaluation in 1994 then sent the country's economy into a tailspin.
To raise cash it sold its U.S. based Motor Coach Industries International this year.
Dina's three-year plan is to consolidate its position in the Mexican market and begin exporting to the U.S. Hegewisch said they hope to double output in 2000, to over 6,000 heavy vehicles a year and increase market share to 16%. The estimate, he says, is conservative since Dina has a firm order for 2,000 trucks from Western Star which will be its first exports to North America. Western Star has ordered some 9,000 trucks to be delivered over the next three years.
He also told Reuters that Dina has no plans for investment next year apart from some plant improvements. Plans to expand into Brazil have been postponed until 2001.