GÖTEBORG, Sweden--(BUSINESS WIRE)--The Volvo Group (STO:VOLVA) (STO:VOLVB) has reached an agreement with Scandinavian Logistics Partners AB (Scanlog) to sell surplus capacity in rail transport from Belgium to Sweden. The agreement will produce benefits in terms of costs and environmental impact.
The Volvo Group’s freight train, the so-called “Train 8” leaves from Umeå via Älmhult in Sweden fully loaded with truck components to the Group’s truck plant in Ghent, Belgium with ten departures a week. But only 10% of the load capacity is used during the return trip to Sweden.
The Volvo Group is always trying to optimize transport based on reliability, cost and environmental impact. The means of transport is chosen that best meets the criteria. For this reason, the Volvo Group has been seeking opportunities to use surplus capacity that arises from Train 8’s return journey from Belgium to Sweden.
Scanlog’s requirement matches prevailing conditions and an agreement has now been signed with them. From July 1, 2014, The Volvo Group will sell the surplus capacity to Scanlog, which in turn sells cargo space to its customers.
“Rail transport as a logistics solution has been around for a long time in the Volvo Group, as one way of reducing our logistics costs and our environmental impact,” says Anders Bergström, head of short sea shipping and rail within the Volvo Group. “We have long been looking for opportunities to take advantage of the wagons that go from Gent to Sweden for return loads. In working with Scanlog we can do it while maintaining reliability of supply and delivery without risking that our own delivery chain will be disturbed.”
Train 8 in brief
Twice a day, five days a week, Volvo's train runs between Sweden and Belgium, on a route that looks like the figure 8. Wagons with parts from factories in Umeå, Gothenburg and Olofström meet in Älmhult and are linked together for transport to Ghent, Belgium. Train 8 is based on a tripartite agreement between the Volvo Group, Volvo Cars and Green Cargo.
June 30, 2014
The Volvo Group is one of the world’s leading manufacturers of trucks, buses, construction equipment and marine and industrial engines. The Group also provides complete solutions for financing and service. The Volvo Group, which employs about 110,000 people, has production facilities in 18 countries and sells its products in more than 190 markets. In 2013 the Volvo Group’s sales amounted to about SEK 270 billion. The Volvo Group is a publicly-held company headquartered in Göteborg, Sweden. Volvo shares are listed on OMX Nordic Exchange Stockholm. For more information, please visit www.volvogroup.com or www.volvogroup.mobi if you are using your mobile phone.
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