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aimlerChrysler AG, the parent company of heavy-duty truck manufacturer Freightliner, said it plans to reduce costs and utilize parts sharing to increase 2006 profits at its truck group, Bloomberg reported.
While it did not provide a time frame for the initiative, DaimlerChrysler said its truck group, which posted a 34% year-over-year increase in profit in the second quarter, has already reduced costs by about $380 million through parts sharing, according to Bloomberg.
Future parts-sharing measures include the “use of only three engine families worldwide, instead of the current eight, the use of common axles and transmissions, and the continued use of many common parts such as standardized steering wheels,” said Andreas Renschler, DaimlerChrysler’s board member responsible for the truck group and buses.
Meanwhile, the automaker plans to cut second-half retail shipments at its Chrysler unit by up to 47%, Bloomberg reported.
Sales of pickup trucks and sport utility vehicles at the company’s U.S.-based Chrysler unit have declined in 2006, prompting DaimlerChrysler to cut shipments of Jeep and Dodge models to about 705,000 from about 1.33 million a year earlier, Bloomberg said.
