Otokar Has Enlarged The Target! Aim; To Be In The Top 5 In Europe!

The company, whose tens of thousands of buses carry millions of passengers all over the world, aims to continue its steady growth in the Scandinavian countries, Germany and Latvian markets in the coming period.

Otokar, one of the Koç Group companies, increases its claim in the bus sector with new vehicles. Otokar, which has the widest product range in Turkey with buses of different lengths from 6 meters to 21 meters, shared its growth targets in Europe at the press conference held in its factory in Sakarya and introduced the new vehicles of its alternative fuel bus family and its autonomous bus.

Increased Exports by 84 Percent in the First 9 Months Compared to Last Year

Stating that Otokar, which set out with the aim of doing what has not been done in Turkey and produced Turkey's first intercity bus, played an important role in our country's industrialization revolution; Otokar General Manager Serdar Görgüç said that; “We are celebrating the 60th anniversary of our company on the 100th anniversary of our Republic. We have managed to become Turkey's leading automotive company since 1963 and have continued to grow. We became one of the 19 companies that have been regularly included in the ISO 500 list, where Istanbul Chamber of Industry announced Turkey's 500 largest industrial enterprises, for 55 years. In order to spread our success in our country to all over the world and to increase our added value to Turkey, we turned to exports and opened up to different markets. Fortunately, we have achieved many successes in 60 years. Today, we have become a global brand in the bus segment, exporting to 60 countries.”

Evaluating Otokar's first 9 months results, Görgüç said that; “With the success we achieved in global markets and the valuable contributions of all our stakeholders, we achieved 73 percent of our turnover from exports in 2022. We renewed our success in exports in the first 9 months of 2023. In the first 9 months of the year, we increased our exports by 84 percent in US Dollar terms compared to the previous year, reaching an export figure of 368 million USD. While we increased our turnover 1.5 times in TL terms, we achieved a 75 percent increase in US Dollars. We have a very successful performance in the field of commercial vehicles. 71 percent of our turnover from vehicle sales, especially in Europe, came from commercial vehicles.”

Growth in Global Markets

Noting that Otokar is advancing its goals in the bus field under two main headings; Commercial Vehicles Deputy General Manager Kerem Erman listed these areas as growth in global markets and developing its alternative fuel product range. Emphasizing that the company has maintained its leading position as Turkey's leading bus brand for 14 years, Erman said that; “This is a great source of pride for us. We produce the most preferred vehicles in our country. We demonstrated a successful performance in the first 9 months and our bus sales numbers have already exceeded the total for 2022. We are determined to maintain our leadership in the market.”

Emphasizing that Otokar buses are in service in 60 countries, Erman talked about the growth targets in Europe as follows: “We continued to take strategic steps to strengthen our success in Europe, our target market. In order to be closer to our customers in line with our growth target in Europe in the bus field, after our subsidiary companies in France and Romania, we acquired Mauri Bus System, one of the most established companies in Italy with its 101-year history, and established our company "Otokar Italia". We continue to take firm steps forward and grow in Europe. We now aim to carry our successful growth across the continent to the Scandinavian countries, Germany and Latvia. Our goal in the medium term is to be among the top 5 players in Europe in the bus field.”

Emphasizing that Otokar is the largest exporter brand among domestically-owned bus brands, Erman indicated that they will soon become Europe's largest factory producing under one roof with the investments they made in the production areas in Sakarya Arifiye.

"Demand for Alternative Fuel Buses Will Increase"

Kerem Erman stated that Otokar, which produces Turkey's first hybrid, first electric and first smart bus, identifies public transportation trends and user needs in advance and develops appropriate solutions, and said that; “We meet the needs of operators in Turkey and around the world with cost-effective, environmentally friendly and sustainable transportation solutions. We allocate 7 percent of our turnover to research and development activities. Our R&D expenditure in the last 10 years reached 2.1 billion TL. We introduced our first electric bus in 2012 with the aim of reducing global climate change and carbon footprint. As of today, we have a wide family of urban electric buses ranging from 6 meters to 19 meters. Today's sales trends show increasing demand for alternative fuel buses.”

While diesel bus sales have decreased in Europe in the last 4 years, the demand for alternative fuel buses has increased. While CNG bus sales increased by 49 percent, electric bus sales grew 3 times this increase. Emphasizing that Otokar has been implementing innovative technologies since the 2010s by foreseeing the dynamics of the market, Erman said the following about its goals in this direction; “Our goal is to expand our alternative fuel bus family and make our entire product range low and zero emission. Our inherently zero-emission buses are already ready to meet the needs of the European market, which is in transformation to minimize the negative effects of global climate change. This change will be critical in moving us towards our goal of being among the top 5 in Europe. We are increasing our claim in the market with the new members of our electric vehicle family that we introduced today. In non-European markets, we will continue to sell both diesel and alternative fuel vehicles.”

New KENT Family

Otokar introduced its new KENT bus family at the meeting. Otokar Commercial Vehicles Engineering Group Director Erdal Usta, who states that KENT buses are currently used in many metropolitan cities, especially in Europe, with CNG, electric and diesel versions, with different lengths from 10 meters to 21 meters, said the following about the new KENT: “We reflected the experience and knowledge we gained from our KENT buses, which serve in different geographical and climatic conditions, and user expectations and needs to the new KENT. We designed the new KENT family in accordance with alternative fuel technologies from the very first stage. Comfort is given priority in New Kent. While the new driver's cabin increases driving pleasure with its driver controls, it differentiates the passengers' travel experience with new air ducts and new interior design.”

In the new e-KENT, the electric member of the KENT family, the spaciousness of the interior stands out. The vehicle, which has NMC and LFP technologies and works with batteries with increased capacity of 450 kWh and above, offers a modular and spacious interior in the rear passenger compartment thanks to the removed engine room.

Otokar KENT Hydrogen: Its Output Is Only Water Vapor

Accelarating its green transportation efforts in order to contribute to a sustainable future, Otokar introduced KENT Hydrogen, its first bus with hydrogen fuel cell technology. Providing information about the vehicles at the meeting, Erdal Usta said that; “We consider KENT Hydrogen as a very important step in terms of showing the point Otokar has reached in product design and technology. KENT Hydrogen will provide great support to reducing carbon emissions, clean energy transformation and sustainable transportation policies.”

In KENT Hydrogen, hydrogen, a gas that can be obtained from renewable energy and water, combines with oxygen in the fuel cell on top of the vehicle to produce electricity. KENT Hydrogen, which works with the electricity produced, greatly reduces harmful emissions by producing only water vapor and makes a significant contribution to improving air quality in cities. The vehicle is also designed with plug-in hybrid technology, the fuel cell can charge itself while driving. This increases the range of the vehicle. The 12-meter low-floor vehicle promises a spacious journey with its high passenger capacity and large interior volume. KENT Hydrogen, which can be filled in less than 10 minutes, offers a range of over 600 km.

Otokar's New Electronic: e-TERRITO

TERRITO, a Class 1 vehicle developed by Otokar for the European market, was designed for short distance intercity, service and school bus areas in Europe. TERRITO, which won the German Design Award 2023, is now electronic. The 13-meter-long e-TERRITO stands out with its optimum range, high performance, zero emissions, and versatility and independent front suspensions. Emphasizing that the vehicle is an ideal solution for the needs in the European market, Erdal Usta said that; “Providing superior handling with its batteries located on the vehicle floor, e-TERRITO will be one of the rare service vehicles that can enter Europe's zero-emission zones.”

Autonomous e-CENTRO will provide service 24 hours a day, 7 days a week

Otokar continues to bring new capabilities to its iconic microbus, the electric e-CENTRO, which has attracted attention since the day it was introduced. Featuring Level 4 autonomous driving technology, e-CENTRO can travel without the need for a driver. Developed to comply with traffic rules, the vehicle detects its position precisely. The vehicle, which can provide uninterrupted service at any time of the day or night, regardless of weather conditions, approaches the stops on the determined route, allowing passengers to get on and off without any problems. Developed in line with the expectations of municipalities and operators, the vehicle can serve in different climate and weather conditions. Able to provide uninterrupted transportation service 24 hours a day, 7 days a week, e-CENTRO offers an ideal platform for the autonomous vehicles of the future.

TRANSPORTATION IS CHANGING ITS SHAPE, OTOKAR CONTINUES TO SETTING TRENDS!

Otokar Commercial Vehicles Deputy General Manager Kerem Erman:

“IN 2026, AN ELECTRIC VERSION OF ALL OUR MODELS WILL BE ON THE MARKET”

“THERE ARE MANY ADVANTAGES OF HYDROGEN ELECTRIC VEHICLE”

“WE ARE READY FOR AUTONOMOUS VEHICLES TO BE ON TRAFFIC”

Introducing its new vehicles in its factories built on an area of ??552 thousand square meters, Otokar's Deputy General Manager of Commercial Vehicles, Kerem Erman, answered the questions of Nuray Pekcan, Editor-in-Chief of My Truck Magazine. Stating that they will launch an electric version of all their models in 2026, Erman also emphasized that the software and electronics of the batteries of e-CENTRO vehicles belong to them and that they are working to not be dependent on any battery manufacturer in the future. Erman also touched upon the advantages of hydrogen electric vehicles and shared his knowledge and opinions about autonomous vehicles.

 “We are Proud to Celebrate our 60th Anniversary in the 100th Anniversary of the Republic”

“We Produce Public Transport Vehicles from 6 Meters to 21 Meters”

Stating that they are proud to celebrate the 60th anniversary of their company on the 100th anniversary of the Republic, Erman started his speech by explaining their product range. Erman said that; “We produce public transport vehicles in different lengths from 6 meters to 21 meters. Although diesel vehicles currently constitute a significant part of the demand, including exports, we also produce zero-emission, CNG vehicles. We serve in the microbus segment with our Centro model. For the bus segment  we serve in with the urban models of KENT, TERRITO, DORUK and one of Otokar's most important models; SULTAN models. And in tourism; with the DORUK, SULTAN and KENT models. At the same time, we both export SULTAN's brand NAVIGO abroad and continue its sales in Turkey.”

“The Demand for Electric Vehicles Will Also Be Reflected in Our Production”

“We will Launch an Electronic Version of all our Models in 2026”

Stating that last year, electric vehicle tenders, including in Europe, constituted 5 to 10 percent of total tenders, but this year electric vehicle tenders were between 30 and 40 percent, Erman said that; “Therefore, these rates will also be reflected in our production rates. However, we do not say that we will only make electric vehicles or only diesel vehicles. We export to 60 countries and we have to take a position according to the needs of these countries. Therefore, we have to produce all kinds of vehicles, from CNG vehicles to diesel vehicles, from electric to battery electric or hydrogen electric. However; our goal is to launch an electronic version of all our models, including the SULTAN group, in 2026.”

“We are Organized in a Way that we can Easily Add Differences to the Assembly”

“We can Move Very Quickly From Idea to Market”

Stating that they produce in a way that will reduce costs as much as possible and be as close to mass production as possible, Erman continued his speech as follows; “We produce a wide range of products, but no two of these vehicles are the same. For example; each municipality's request may be different, so we have to produce different vehicles. So, even though these vehicles look the same from the outside, they are different on the inside. Therefore, we organize it in a way that is closest to mass production but can easily add differences to the assembly. Our biggest advantage is that R&D is done internally. We are located on the same campus with our strong R&D team. Therefore, we can move from idea to market much faster.”

“The Two Most Important Issues in These Vehicles; Integration and Software.”

“Our Engineers Prepare the Software”

Stating that “The two most important issues in these vehicles are; integration and software”, Erman continued his words as follows; “Being able to do this software internally is the biggest advantage. We naturally supply some parts from outside, but how they can be used depends on the software. Our engineers prepare this software.”

“The Software and Electronics of e-CENTRO's Battery Belong to Us”

“We May Not Be Dependent on Any Battery Manufacturer in the Future”

Pointing out the importance of the battery in electric vehicles, Erman said that; “We buy batteries with different chemicals from abroad, we have battery suppliers. However, in some cases, we collect our batteries indoors because we need to be very different from the market. For example; we developed the battery of the e-CENTRO vehicle, which we refer to as a microbus. The software and electronics belong to us. We can use this battery in our other vehicles, but we chose our smaller vehicle to start with. In this way, we increase our level of knowledge. However, in the future, we can use it in any of our vehicles by collecting our own battery and making its electronic software, without being dependent on any battery manufacturer.”

“We Believe that Generating Electricity from Hydrogen will Become even more Prominent.”

“The Advantage of Hydrogen Electric Vehicle is Huge”

Stating that there are two strategies regarding hydrogen vehicles, Erman explained them as follows; “One of them is hydrogen internal combustion engine. Therefore, here you use hydrogen as fuel in an engine you know. The other is; producing electricity from hydrogen. We offer this in our KENT Hydrogen vehicle. We believe that generating electricity from hydrogen rather than internal combustion engines, especially in city buses, will become even more prominent. The costs of the hydrogen internal combustion engine, including maintenance, are very high. However, there is no such problem with the hydrogen electric vehicle, and it has many advantages. For example, you do not need to carry as many batteries as in our purely electric vehicle. While we carry an almost two-ton battery in our e-KENT vehicle, in our hydrogen electric vehicle you fill hydrogen tanks with a much smaller battery and that hydrogen allows you to produce electricity. However, how hydrogen is obtained is also important because you need electricity to obtain hydrogen. Therefore, if you can obtain hydrogen from solar or wind energy, this is an environmentally friendly move. If you do it otherwise, it is not very advantageous.”

“Storing and Transporting Hydrogen is Not Very Easy”

“If Hydrogen Becomes an Easily Dispersible Substance, Vehicle Prices Will Fall”

Mentioning that; “Hydrogen is the smallest step”, Erman continued his words as follows: “This is not very easy to stock and transport. There shouldn't be a leak. The strategy of each country is different, and in our country, our holding works together with its subsidiaries. As a result, if hydrogen becomes a very easily dispersed substance; I believe that if you can fill the hydrogen tank like you fill a diesel vehicle at a fuel station, the prices of the vehicles will decrease.”

“In Some Municipal Procurement Cases, On-Site Service is Required from Us, We Can Provide This”

“We do not have any problems with the service of any of our vehicles, including our electric vehicles.”

Giving statements about the services they provide, Erman continued his statements in the speech as follows: In some municipal procurements, we are also required to provide service. They can request year-round service in their own garage. For example; “We established our company in Romania for the 400 vehicles we sold to Romania. Because we are responsible for the maintenance and service of those vehicles for eight years. We can do this. Therefore, we can provide this service for our electric vehicles and other vehicles. We do not have any problems with the service of any of our vehicles, including our electric vehicles, within the municipalities and with our service network in Turkey.”

“We are Ready for Autonomous Vehicles to Be on the Road”

“Autonomous Vehicles Will Also Be Needed for Economic Reasons”

Speaking about autonomous vehicles and technology, Erman said that; “We think that our 6.6-meter, autonomous e-CENTRO vehicle may first be used to transport visitors on closed campuses. We are prepared for any regulatory preparations so that these vehicles can be put on the roads. We want to make these small vehicles autonomous and put them on the market as quickly as possible. Because we know that; there will be a demand for these vehicles. Especially abroad, there is a shortage of drivers in both the bus and truck segments. There are not enough drivers. Therefore, autonomous vehicles will be needed not just for fun, but also for economic reasons.”

“We will continue to grow as a pioneer of trends”

“We will also be in Scandinavia, Latvia and Germany as of the Second Half of 2024!”

Stating that they have grown very rapidly in commercial vehicles and that this growth has spread over the last three years, Erman shared the following expressions while finishing his words; “We continue to grow both in the domestic market and in exports and increase our market share. There are municipal elections in March next year, so there is a small movement. However, regardless of this, we will continue to grow with our new vehicles and foreign investments. We will continue to grow as a pioneer of trends by following all the markets we serve. We export to 60 countries. Demand may decrease in some countries due to economic conditions, but there are also countries that constantly make strong purchases and to which we export. Places where we do not provide service are Scandinavia, Latvia and Germany. Now we want to take a market share in these regions with our zero-emission vehicles. We have prepared the sales order accordingly, our staff and vehicles are ready. We are working on minor modifications. You will be able to see our vehicles here as of the second half of 2024 and especially in 2025.”