Fuso and Hino trucks to merge

Jun 08, 2023

Merged company to offer environmentally-friendly vehicles

Fuso and Hino, two leading brands in the truck segment, have concluded a Memorandum of Understanding to merge both their companies in order to accelerate the development of advanced technologies. The memorandum was signed by the parent companies of both truck brands; Daimler Truck Holding AG for Mitsubishi Fuso and Bus Corporation, and Toyota Motor Corporation for Hino Motors Ltd.

Daimler Truck, Fuso, Hino, and Toyota will collaborate toward achieving carbon neutrality and creating a prosperous mobility society by developing CASE technologies (Connected/Autonomous & Automated/Shared/Electric) and strengthening the commercial vehicle business on a global scale.

Fuso and Hino will merge on an equal footing and collaborate in the areas of commercial vehicle development, procurement, and production. Together, they will form a globally competitive Japanese commercial vehicle manufacturer. Daimler Truck and Toyota will equally invest in the (listed) holding company of the merged Fuso and Hino. They will collaborate on the development of hydrogen and other CASE technologies to support the competitiveness of the new company.

The four companies intend to promote the use of environmentally friendly vehicles and increase the value of mobility in the world's social systems. By joining forces, Fuso and Hino hope to enhance the competitiveness of Japanese truck manufacturers, helping to strengthen thefoundation of the Japanese and Asian automotive industries and contributing to their customers, stakeholders and society.

Both Daimler Truck and Toyota offer full lineups tailored to local needs. They hope to provide diverse options based on local conditions andhow their customers use vehicles.

"We at Daimler Truck are very proud of our products, because trucks and buses keep the world moving. And soon they will even do so with zeroemissions. So there is a great future ahead – and today's announcement is a crucial step in making that future work economically and in leading sustainable transportation. The planned new company will be a major force in Southeast Asia and an important associate of the Daimler Truck family," said Martin Daum, CEO of Daimler Truck.

"This collaboration among our four companies is a partnership for creating the future of commercial vehicles in Japan and the future of mobility society. Our four companies will work together with a shared vision of achieving carbon neutrality by strengthening CASE technologies and ofchanging the future of commercial vehicles and building the future together by solving social issues," said Koji Sato, CEO of Toyota Motor Corporation. "This close collaboration will enable us to accelerate the decarbonization of the transportation industry, creating an even stronger Japanese commercial vehicle manufacturer. Under the two well-established brands of FUSO and Hino, we will continue to take a leading role in serving customer needs in Japan, Asia and beyond," said Karl Deppen, CEO of Fuso.

"We will unite our aspirations to ‘support mobility and contribute to society’ and, hand in hand, accelerate advanced technology development inorder to overcome the increasingly fierce global competition. Through these efforts, we will strive to tackle societal challenges such as achieving carbon neutrality," said Satoshi Ogiso, CEO of Hino.

Details on the scope and nature of the collaboration including the name, location, shareholding ratio and corporate structure of the new holding company will be decided over the course of the next 18 months. The parties envisage signing of definitive agreements in the first quarter of 2024and aim to close the transaction by the end of 2024. Once all parties involved reach an agreement, they will move forward based on the approval of the relevant boards of directors, shareholders, and authorities.