Archion Corporation plans to reduce its Japanese truck production network from five sites to three by the end of 2028, as part of an integrated platform strategy covering heavy, medium and light-duty truck development. The group has set a target operating margin above 10% and return on equity of 15% by FY2032.

The retained facilities will be plants in Kawasaki, Koga and Nitta. Archion aims to merge development, procurement and logistics functions across Hino Motors and Mitsubishi Fuso Truck and Bus, reducing duplicated investment and freeing resources for zero-emission vehicle (ZEV) and advanced technology development.

Archion’s two major shareholders are Daimler Truck AG at 44.25% of listed shares and Toyota Motor Corporation at 37.45%, giving the two groups a combined stake of 81.7%. The group’s mid-term business plan, presented on 15 May 2026, set operating profit and free cash flow key performance indicators (KPIs) that will also determine executive remuneration.

The filing addresses ongoing compliance remediation at Hino Motors following engine certification misconduct disclosed in March 2022. Hino has since obtained ISO 9001 certification covering engine design and certification application processes, and operates an external-consultant review programme under obligations from a US settlement.

Archion’s nine-member board includes four independent outside directors and a majority-independent Audit and Supervisory Committee. No director compensation was incurred as of 1 April 2026, the date the company formally commenced operations.

Source: Archion