Truck makers to raise prices due to high steel cost

Higher prices of steel products and other cost increases have forced two Japanese truck and bus manufacturers to announce price hikes. Harald Boelstler, president of Mitsubishi Fuso Truck & Bus Corp., said the company will raise prices on all truck and bus models as early as August in the Japanese market. Hino Motors Ltd. said the same day it will raise prices within a range of 1.9 to 3%, effective July 1. Steel product prices are expected to keep rising, Boelstler said at a press conference in Otofuke, Hokkaido. In addition to price hikes, Mitsubishi Fuso will have to consider workforce reductions in Japan where truck sales have stayed sluggish, he said. Two other truck makers, Isuzu Motors Ltd. and Nissan Diesel Motor Co., are expected to follow suit. (June 30, 2008)