Navistar International, a troubled truck American based company have been subject of a bid from Europe’s number one car producer, Volkswagen.

Volkswagen is making the purchase in order to compete with Daimler trucks, who are currently ahead of them in this particular segment of the market in the United States.

Daimler is in fact the world’s largest commercial vehicle producer. They own the American brand Freightliner, giving the company knowledge, experience, technology and helping them understand exactly what it takes to succeed in the country. Volkswagen is in essence hoping to copycat that sentiment with the potential purchase of Navistar.

Navistar are experiencing their worst performance on the truck market in their history. During the second quarter of the current financial year the company have made a loss. This was largely due down to the fact that the company had hefty fines relating to warranties offered for engine built in 2010 and 2011. Shares have since dipped by a huge 28 per cent since the news broke. However since Volkswagen have taken an interest in purchasing the company, shares have since increased.

Current Volkswagen truck brands of Scania and MAN SE are not front runners by any means in North America, with a small presence. These two brands are leaders around the European region. Emerging car markets such as Brazil currently have Volkswagen’s truck brands as one of the top brands too.

The North American Truck charts currently have the likes of Freightliner, Volvo, Navistar and Paccar taking advantage of the truck segment. One of the reasons has been that European truck technology simply doesn’t adapt to American needs.

Volkswagen are yet to release an official statement on the story.

Volkswagen passenger cars in the meantime are experiencing a good level of sales in the United States. They are not as successful across the Atlantic as they are here in the European region but the company have been growing in America and are expected to report record sales at the end of the year.

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