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CAPITAL EQUIPMENT NEWS
APRIL 2017
29
Despite the downward market conditions,
Terex Trucks continues to do well, especially
helped by a strong dealer in the region, Bab-
cock, which has also invested heavily in our
product and aftermarket support capabilities.
For example, the recent R100 million Middle-
burg facility is testimony of Babcock’s com-
mitment to the brand. The high cranage in
the facility is able to work on our 100 t rigids.
MS: You mentioned that the RDT market
was in the doldrums last year. In a good
year, how big is that market?
GW:
The total market in a good year could be
as high as 200 units plus. It is also important
to note that the rigid market is renowned for
being unsteady, as it goes up and down a
lot. Last year was a perfect storm around the
world. The driver of the market is mostly coal
and it is a commodity that didn’t enjoy the best
of times globally as demand lowered in China.
MS: You mentioned the significance
of a strong dealer such as Babcock
in southern Africa. Have you seen
improved business since you went into
the Babcock stable?
GW:
Absolutely, Babcock is a well-
respected dealer well-known for its
strong backup support structures. We
have benefitted from Babcock’s good
reputation, as well as its widespread
support infrastructure throughout the
region. Babcock has many professional
teams working on the ground and has
invested heavily across the region to be
able to support the product. They also
have extensive market knowledge due to
working in the region for a very long time,
which has exposed us to some customers
we didn’t have before.
MS: How big is your dealer footprint
across Africa?
GW:
We cover the majority of the continent.
There are a few open areas where we are
currently looking for representation. Our
biggest dealer to date is obviously Babcock,
which covers the whole of southern Africa.
We also have SMT, which covers 20
territories in central Africa including Uganda
and DRC, and is also a very strong dealer.
MS: What would you say is the jewel in
the crown in your product range?
GW:
Basically the TR100 is the most long-
term successful product we have in the
stable. We sell RDTs in the 40 t, 60 t, 70 t
and 100 t range. The most successful in this
range are the TR60 and TR100. For the big
mining projects, the TR100 is the flagship
product.
Our focus is on a simple product driven
by mechanical engines. For us, our strength
over the years has always been a relatively
simple product. Around 80% of the global
market is still the non-regulated markets
where a simple product absolutely thrives. If
you are working in the middle of nowhere,
you don’t want to be hanging around waiting
for service because you are not able to fix
the product yourself. The reason why the
TR100 is very popular, apart from being the
best climber in the market and good on fuel
efficiency, is that it is simple to maintain,
given its mechanical basis.
MS: What is your outlook of the
business this year?
GW:
We have a very positive outlook for
2017and are encouraged by an increase in
requests and orders from across the global
market.
b
MS: You mentioned the importance of
emerging markets to Terex Trucks. Just
how important is Africa for you?
GW:
In terms of potential market, the whole
of Africa, especially for ADTs, is massive. In
my EMEAR region, there are other important
territories such as Russia with its big focus
on coal and gold mining as well as the UK and
Germany but Africa is a major focus point for
us. South Africa, for example, remains a key
ADT destination and we see more growth
opportunities in the future.
MS: What is the state of market in
southern Africa at this stage?
GW:
Last year was a very good year for ADTs
despite the slump in commodity prices. The
southern African market took delivery of just
over 500 articulated hauler units, and was
one of our priority marketing areas in the
EMEAR region.
However, it was very different for rigids.
The whole market performed poorly with
34 machines sold last year. The main
setback was the commodity prices and a
lot of second hand machines available in
the market. There has also been a big hold
back on the release of mining contracts,
and mining contractors have also held back
on any capital projects.
We have a very positive
outlook for 2017 and
are encouraged by an
increase in requests and
orders from across the
global market.