Volvo 2007 Annual Report Download - page 31
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Please find page 31 of the 2007 Volvo annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.In recent years, the markets of Eastern Europe have shown strong
economic growth, which has entailed increased investments in
infrastructure with an ensuring increase in demand for heavy trucks
and construction equipment. In 2007, the Volvo Group increased its sales
in the region by 69%.
Major opportunities
in Eastern Europe
Rapid growth
The countries of Eastern Europe still have a
good way to go to achieve the levels of pros-
perity of Western Europe, but with growth
fi gures measured in GDP of 5–10% in most
of the countries, their economies are growing
at a signifi cantly higher
rate than the economies
of the west.
This rapid economic
development is notice-
able in many areas. Con-
struction cranes mark the
cityscape wherever you go, say Roger Alm
and Tom Jörning, heads of the East Europe
Region and Central East Europe, respectively,
at Volvo Trucks.
Private consumption is also on the rise, which
leads to a growing need to transport goods –
thereby in- creasing demand for trans port
capacity.
Effi cient transport of goods and people is
vital for this positive economic development to
continue. Demands are increasing for improved
infrastructure, with roads, bridges, railways,
airports and ports being top priorities.
The infrastructure has been, and in many
areas still is, weak, with a lack of a functioning
road network with modern highways and major
roads. But major investments are now being
made in expanding the road network with
transport routes that link east and west, north
and south.
“In several of the countries, the investments
have accelerated after the entry into the EU.
Thanks to strong economic growth in the region,
the need for modern truck transport is growing,
says Roger Alm, head of region East Europe at
Volvo Trucks.
lo ser
The 2012 Soccer World Cup will be played in
Poland and the Ukraine, which will further
stimulate the expansion of infrastructure,”
says Tom Jörning.
The Volvo Group’s products and services
play an important role when roads, bridges,
tunnels and buildings are
to be built. This applies to
everything from wheel
loaders, exca vators and
trucks for construction
transport to generator
units that supply power.
A functioning infra structure contributes to
building prosperity and in creased prosperity
means that more resources are created to
invest in infrastructure.
Not only roads are being built. Many coun-
tries have a considerable lack of housing, but
with the assurance that comes from improving
fi nances for a growing number of people, new
homes are now being planned and built at a
rapid rate.
A global group 2007 27