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Reuters / July 21, 2015

Volkswagen Group plans to set up its new truck business close to its Wolfsburg headquarters in Germany, as the carmaker strives to build heavy goods vehicle operations capable of taking on rivals Daimler and Volvo.

VW is pooling its controlling stakes in truck makers MAN and Scania into a global commercial truck business, Truck & Bus GmbH.

The new group will be based in Brunswick, about 25 kilometers (16 miles) southwest of VW's own headquarters in Wolfsburg, and will start off with 50 employees, VW said.

The trucks group, which includes MAN's Latin American operations, will be run by former Daimler trucks chief Andreas Renschler, who joined VW in February.

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