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Coming up in HSS June: Specialist Trucks (inc telehandlers, sideloaders, heavy duty trucks & container handlers); Pallet Networks; Transit Packaging (inc pallets, shrinkwrap, containers, temp controlled, strapping, weighing & dimension analysis); Value Added Logistics. Supplement: The Warehouse

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Simple trucks, solid job
September 1st 2010

Sir Neville Bowman-Shaw talks to Simon Duddy about efforts Samuk UK has been making to boost its service offering

Acommon criticism levelled against Chinese lift trucks in the UK is availability of parts. The neighsayers usually open the conversation by acknowledging that Chinese trucks are getting better and are indeed cheaper than Western counterparts, but then they say 'Ah, but have you tried getting parts when they break down?' Sir Neville Bowman-Shaw acknowledges that in the past Chinese suppliers have tended to see their role as unit manufacturers rather than suppliers of parts. But he has made considerable efforts to provide effective service and parts supply to UK customers of Samuk.

"We carry a huge quantity of parts at our main depot and European parts centre in Peterborough. First pick availability is 80% off the shelf and customer feedback is very good. In the event that we need to order a part from China we can get it in three days if it is urgent," says Sir Neville.

The operation carries a stock inventory of approximately 60,000 parts and supplies these throughout Europe to dealers or direct to end users when appropriate.

Despite having a strong parts operation in place, the industry stalwart emphasises the importance of prevention over reaction and says the specification of Samuk trucks helps in that respect.

"Hangcha uses the Keep It Simple Specification (KISS) philosophy. Other manufacturers are suffering because they are making their products too complicated.

"In addition, if you are an operator with a small fleet, you are better off going for something simple that a local engineer can fix.

"The problem with complex models is often identifying the problem when a truck breaks down. If a truck breaks down in Aberdeen an engineer may be sent from Glasgow to fix it, with a laptop, at £60/hour. It takes a lot of time and money." But with a basic specification Samuk's trucks, manufactured by Hangcha in China, leave themselves open to the criticism of being old-fashioned and unsophisticated.

"There is no problem," insists Sir Neville. "They work. Our trucks can climb a slope into a container as well as any other make. The hydrostatic models are quite nice going into containers but they cost too much." Hangcha owns a factory capable of building 80,000 1.5-3tn counterbalance trucks per year on a single shift basis, which was formally opened last October. Sir Neville is confident the world lift truck market will bounce back from recession in the next few years, which he argues makes the timing of the factory opening astute. Hangcha will produce 58,000 trucks this year with 39,000 for the Chinese market.While Hangcha makes many components itself, it also buys in technology when necessary to boost the quality of the trucks. Sir Neville plays a role in deciding the specification of trucks destined for Europe.

He believes Chinese products are making steady progress against the traditional reluctance in the UK to buy them.

"Japan took 40 years after World War 2 to become accepted, to become a premium brand in fact," he says. "We have the same thing with Chinese products but it will take a fraction of the time.We have overcome basic criticism during this recession. I think it will be 15 years, then China will be looking out for someone else." He adds that Samuk are now getting orders in the 'tens' and he'll be disappointed if the company does not sell 500 this year.

With 200 trucks in stock, he adds that Samuk can supply quickly.

But one concern is protectionism.

"We offer trucks at around 80% the price of a premium brand.

So, if such a truck costs £20,000, we'll be able to supply one for around £16,000. But protectionism is an issue. For example, if we bring in a hand pallet truck, we have to pay 43% import duty."

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