New Way^® Partners with DHAPSA to serve Latin America

03.13.13

Scranton, IA - New Way^® Trucks, a subsidiary of Scranton Manufacturing, and a premier manufacturer of refuse truck bodies in the U.S., has joined forces with DHAPSA Corporation, one of Mexico's foremost manufacturers of commercial vehicle superstructures. The joint venture will produce New Way^® brand Cobra, Viper, and Diamondback refuse bodies to Mexico, Central America, and South American markets and will continue New Way's growth into new markets around the globe.

DHAPSA is a leading manufacture of superstructures for many types of industries in Mexico including truck-mounted cranes, ambulances and armored vehicles of all types and sizes. They have alliances with several USA-based companies, including Altec and Navistar Defense. DHAPSA is a market leader in all of their chosen markets.

"Currently, manufacturers of refuse truck bodies in Mexico have maintained a poor standard and customers need better products at better prices. This is what we intend to accomplish with this joint venture for Mexico and other export markets," says Xavier Merino, DHAPSA CEO.

"All of us at Scranton Manufacturing are excited about our joint venture with DHAPSA. The joint venture will open doors to business throughout Mexico, Central America, South America, and beyond," says Phil Allen, VP of Sales and Marketing. "The joint venture will not affect New Way's USA workforce and New Way^® will continue to service our USA customers from our main facilities in Scranton and Carroll, Iowa as always."

"The purpose of the joint venture is to enable New Way^® to increase our export base by having access to high sulfur chassis engines manufactured in Mexico. Mexico and Latin America do not use the same engines that are used in the USA due to environmental emission control requirements," says Mike Dryden, Director of International Sales. "Many Latin American countries have trade agreements in place with Mexico and enjoy lower duties than offered to American manufacturers. This will reduce freight costs and lower duties, providing our customers a more cost effective product."