Scania strengthens position in China

Scania strengthens position in China

Scania in China has signed a strategic partnership agreement with
leading Chinese power generation engine distributor, Shanghai Boden
Engine Co., Ltd. The exclusive deal, has a potential of hundreds of
Scania power generation engines in the Chinese market during the first
year, holds an even higher long-term potential.

The stable Chinese economic development in the past three decades has
led to growth in the power generation engine market by more than 100,000
units per year, which makes China the largest genset market in the
world.

“We think the timing is right to enter the big Chinese market on a
larger scale,” says Mikael Lindner, Sales Director, power generation
engines at Scania. “Our preparations have laid a good foundation and
with Shanghai Boden Engine Co., Ltd. we have found a strong business
partner.”

“A premium engine like Scania will be the first choice for highly
demanding customers in China that are looking for the best in fuel
economy, durability and reliability. We are very positive for the future
market potential of Scania engines.” says Zhang Zhiqian, Managing
Director of Boden Engine.

“Strategically, this agreement marks the beginning of a reinforced
marketing effort by Scania Engines in China. With the support of the
Scania organisation, we believe that the cooperation between Scania and
Boden will deliver added value to the customers. Scania power generation
engines have a bright future in China,” says Mats Harborn, Executive
Director, Scania China Strategy Office.

Shanghai Boden Engine Co., Ltd. is a newly founded Chinese engine
distributor, supported by top off-road equipment manufacturers in China.
This agreement with Scania in China gives Boden the exclusive sales and
service authorisation for Scania power generation engines in the Chinese
market.

For further information, please contact:

  · Mikael Lindner, Sales Director, Power Generation Engines, Scania
Engines.
Tel: +46 8 553 850869, e-mail:
mikael.lindner@scania.com (mikael.lindner@scania.com)
  · Mats Harborn, Executive Director, Scania China Strategic Office
Tel: +86 10 8447 5892-219, e-mail:
mats.harborn@scania.com.cn (mats.harborn@scania.com.cn)