Rising Sun over Europe
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• Despite the current downturn. Hino is believed to be reviving plans for the assembly of its commercial vehicles in Britain. It came close to a joint venture with ERE in the 1970s, and could be enticed to try again by an increasingly protectionist EC and rising shipping costs.
But the premises of Hino importer Harris UK, in Catterick, North Yorkshire, will not be used to assemble vehicles, says the company's Brendan Fitzgerald.
One target for a joint venture could be the Leyland assembly plant in Lancashire, one of the most modem truck factories in Europe. It is equipped to handle the longest chassis, such as eight-wheelers and buses, and is working well below its capacity. However Leyland Daf denies that it is considering a venture with any of the Japanese truck builders.
Another contender for UK production is Nissan, which announced in July that it is to build 400 trucks a year in Dublin. The first vehicles, imported in kit form, will be sold by the end of this year.
Any move by a Japanese manufacturer into Britain, where Japanese car manufacture is thriving, would give it access to the EC and would allow it to serve existing markets better.
Unlike most European manufacturers, IIino has been prospering, due mainly to rising exports to South East Asia. This month it reported a 25.7% rise in pre-tax profits for the six months to Septem her, with sales up 11%, and the crowded Japanese market is continually encouraging manufacturers to look for new export targets.
Sales in Europe are dependent on good service networks. Daf has one of the better ones and last month chairman Aart van der Padt said he was looking at co-operation deals which might be mutually beneficial and hold down costs. Having lost the battles to control Steyr and Pegaso, a nonEC deal looks likely.