PYEONGTAEK, Gyeonggi Province-- Volvo Trucks Korea, the No. 1 commercial vehicle importer by sales, rolled out two models of the FE cargo series seeking to target customers searching for mid-to-large trucks as demand in the local logistics market continues to diversify, the company said Tuesday.

The 9.5 ton 6x4 cargo designed to transport big volumes, and a smaller 5 ton 4x2 truck for delivering freight in the city are the first-ever semi-large size trucks introduced here.

“We have launched the FE series, Korea‘s first semi-large size trucks, to keep up with the changing cargo market, while presenting a wider variety of products to customers,” said Kim Young-jae, managing director of Volvo Trucks Korea, during the launch event held at the company’s technical center in Pyeongtaek, Gyeonggi Province.

With the latest FE series, Volvo Trucks Korea has completed its product portfolio ranging from midsize FL series to large size truck lineups, the company noted.

South Korea’s commercial vehicle market has been rapidly expanding in size, showing a 20 percent on-year growth last year, according to data from Korea Automobile Importer and Distributors Association.

Import commercial vehicle makers make up some 40 percent of the market share, with Volvo Trucks Korea at lead followed by Man Truck & Bus Korea and Scania Korea. 

The company emphasized, high tech safety systems-- lane departure warning system, electronic stability program, and Volvo compression brake-- have been installed to ensure top notch safety.

It has become mandatory for commercial vehicles on Korean roads to be equipped with safety systems from 2019 after a series of fatal truck and bus accidents last year.

Volvo Trucks Korea also expressed confidence in the fuel economy of FE series trucks.

Fuel economy for commercial vehicles vary depending on freight volume and weight.

The two models are priced between 100 million won and 120 million won, about 10 percent expensive compared to similar local trucks.

“Although the FE series is slightly expensive, we believe high fuel efficiency will off-set the price and enhance profitability for owners five years after purchase,” Kim said.

The FE cargos are powered by D8K engine, developed exclusively for FE series, and contains a 12-gear auto transmission dubbed I-Shift, the company said.

Volvo Trucks Korea aims to sell roughly 3100 units this year, up 10 percent year-over-year.

It had also posted a 10 percent on-year sales hike in 2017 and sold 2,900 units, the company said.

Amid competition among commercial vehicle makers to provide improved customer service, the company plans to expand the number of service centers nationwide to 40 centers by 2020 from the current 29. 

By Kim Bo-gyung (lisakim425@heraldcorp.com)