Volvo stands alone on new engine listing

GREENSBORO, N.C. (Aug. 26, 2002) – Volvo Trucks has taken a unique approach in its response to the controversy surrounding the higher prices of trucks equipped with new EPA-mandated engines.

All the engines, which must meet strict emission standards set by the EPA by Oct. 1, will add an estimated cost of $5,000 to $10,000 to the price of any new truck. But unlike most OEMs, Volvo is clearly separating the two costs and will list the price of its new D12 engine as a stand-alone item on the invoice. It’s a marketing approach similar to the way oil companies clearly separate their profits from costs and government taxes at the pump.

“We’ve listed it as a surcharge, if you will,” Susan Alt, Volvo’s vice-president of marketing, told Today’s Trucking while the company was unveiling its new VN truck series in Greensboro last week. “We wanted the customer to understand our investment and the reason why this price increase is coming. We’re simply trying to make a point by clarifying this is an EPA surcharge.”