Very welcome to the Volvo Group third quarter press conference. My name is Christer Johansson, heading up investor relations, and with me I have our CEO, Martin Lundstedt, and our CFO, Jan Ytterberg. We will do as usual. We'll start off with presentations followed by a Q&A session. With that, Martin, over to you. Thank you, Christer, for that and also from my side, most welcome to this business update related to the third quarter 2021. First and foremost, as a summary of the quarter, we continued to deliver a strong performance despite the ongoing and challenging supply chain situation. This is really thanks to all employees and business partners in the entire group doing extraordinary efforts and really focusing on actually delivering both trucks, buses, and machines, but also our services. That is also a true proof of why decentralization, accountability, and the ownership mentality is so important for the Volvo Group today. The strong customer demand for our products and services across business areas continues, demand is stronger than supply right now, but we also anticipate that it will be so for the coming quarters here. Our operational focus is therefore on supply chain, it is on production, it is also in the aftermarket activities to thereby manage our customers' lead times and uptime since they have very high activity levels. The order board is very strong, it is now a balancing act between the order intake, the quality of the order board, production, and deliveries. We have been, and we will continue to be restrictive in our firm order intake into the manufacturing system related to the full order books. Visibility in the supply chain remains low with a high level of uncertainty, we have a very good interaction and cooperation with our supply chain partners around the globe, we will continue to gradually improve our output. The pandemic and its ripple effect is not over yet. At the same time, we see that demand for transport and infrastructure continue to be strong here and now, but also supported by several societal trends, e-commerce, for example, with that comes also higher demands on more sustainable solutions. Perform and transform at the same time. On the transformation side, our customers' interest to decarbonize their operation is increasing by the day, we continue to lead this journey, we will talk about that just in a second here. When we talk about the future, we are committed to be climate neutral and achieve net zero greenhouse gas emissions in our value chain by 2040 at the latest on a global scale. At the same time as we are decarbonizing the output from our propulsion and from our powertrain systems by electrification, battery and fuel-cell electric, and also renewable fuels, we now also move ahead to further decarbonize the materials used in our products. We are very proud that we, a couple of weeks ago now, presented the world's first machine and heavy-duty equipment vehicle produced with fossil-free steel, along with our partner, SSAB, and the world-leading HYBRIT initiative. More vehicles will follow now and we will start small-scale serial production in order also to let our customers be part of this very exciting journey. The TARA, as you see on the screen here, is a real example of a sustainable future. It is electric, it is autonomous, and it is also based on fossil-free steel. Coming to the quarter, as a summary, customer demand, as I said, continued to be very strong in quarter 3, and net sales were growing to SEK 85.3 billion, growth with 20% adjusted for FX. We delivered an adjusted operating income of SEK 9.4 billion and an operating margin of 11%, showing also strong resilience with a solid result despite the constrained supply chain with unplanned stops also in quarter 3, but also related to the strike in the beginning of this quarter in U.S. for Volvo Trucks. The industrial cash flow amounted to minus SEK 5.7 billion, where quarter 3 normally is a seasonally weaker quarter, but also this time compounded by the constrained supply chain causing more unfinished vehicles in inventory. Jan, of course, will come back to that later here. Last year's strong figure was the result of the ramp-up after the long stop at the beginning of the pandemic and was, of course, an exception. On a 12-month rolling basis, the return on capital employed in industrial operation increased to 25.6%. All in all, a strong and solid quarter. Truck deliveries increased with 33% thanks to growth in most regions, and deliveries for construction equipment decreased with 9%, almost entirely related to China, while other regions were showing solid growth. Electrification and the demand for electric vehicles and machines is growing day by day, and we are in many dialogues with customers in different regions and in different segments. As I said before, reducing CO2 has rapidly become the main priority for many of our customer segments. This is very positive, and we will continue to push for more rapid build-out of infrastructure, of the energy networks, and the green generation of energy together now with the rollout of our equipment. We are very active in this journey. The result is a positive book-to-bill situation, still from low numbers, but rapidly increasing. Order intake north of 400 units and deliveries almost 200 units. This is truly the opportunity of the century and be part of leading this very interesting and motivating transformation. Also, on the service sales side, strong figures. The freight market and also the infrastructure market is strong, resulting in the customers' activities in most regions are on a high level with good truck and machine utilization. Adjusted for FX, service grew with an impressive 10% in relation to last quarter. Also we see that it is now above pre-COVID levels. We have true sales, both related to the high activity, but also through really focused activities here. Global sales amounted to SEK 22.5 billion. Our service business is so important for the long-term relation with our customers, obviously, but also when it comes to the resilience for our company. We have very good traction in our service activities, but there is still so much more to do in order to increase the share of wallet in the rolling fleet together with our customers. Repair and maintenance, contract penetration, productivity services, as well as uptime services, but also the electromobility journey, where we see that both in depth and the duration of the contracts are increasing. That is, of course, also very important now when we are moving forward in the electromobility journey. When we come to trucks, start with some great news here also. We have lately got two larger, and one in particular very large order, showing now that it's not only the pilot units for different customers, but also growing in the real operation of our core customers here. One example that came in and signed in beginning of October, so not related to the quarter three figures, but so important, so we want to mention, DFDS ordered 100 Volvo FM heavy duty trucks for their port and logistics operations in Europe. Also Performance Team in California, which is a Maersk company, ordered 16 VNR heavy duty for their warehouse and distribution operation in North America then. That is also a result of the Volvo LIGHTS project that we are running there, where we are cooperating also with the big ports around infrastructure and all the other prerequisites in a very positive way. Volvo Autonomous Solutions, together with Aurora, also revealed the first prototype for the autonomous Volvo VNL heavy duty Class 8 truck for hub-to-hub autonomous transportation in U.S. Also Volvo Trucks has agreed now to acquire the JMC Heavy Duty Vehicle Corporation in China. The plan is to produce the full range of Volvo cab over engine trucks, the FH, the FM, the FMX, as of end of 2022. Market forecast is, of course, a chapter in itself, it's of course high level of interest here. To start with, of course, they are based on the current visibility, still the current visibility is very low. Therefore, flexibility and our ability to adjust is, of course, the key focus. Current visibility is low. Uncertainty is, of course, also significant, mainly then related to the supply chain situation. When we are now taking down the market forecast for Europe and North America, 10,000 for Europe and 20,000 for North America for 2021, it's not related to the demand. It is solely related to the supply chain capabilities. I think that is a very important message to bear in mind here. That's also the reason why we are guiding now for an improvement for next year, up to 300,000 units, both for Europe and for North America. Where we are also clear that initially, at least of the year, that increase will still be decided by our ability to step by step improve the supply chain situation and thereby the output. Demand is larger than supply, both in Europe and in North America. Brazilian demand, also strong, of course. We are now saying that the market for 2021 is unchanged, that we said before at 95,000 and approximately 100,000 next year, of course, driven by good activities in the commodities and the agriculture sector. Maybe to mention China. We are keeping guidance unchanged at 1.65 million trucks for this year, where you know that it was an extremely strong market in the spring, both related to the high activity level, but also related to the pre-buy of CN6 emission levels, and a weaker second half of this year. We anticipate that to continue, thereby guiding for a total market in China of 1.1 million units for 2022. When it comes to orders were down with 6%, while deliveries were up with 33%. As I've said several times now, demand is stronger than supply. Hence we have been, and we are, and we will continue to be restrictive to book firm orders in our manufacturing system. It is more important for us to deliver on the promise that we have already made towards our customers. We have solid and long order books. We are constantly working with the order book quality. Focus now is to deliver and to continue to balance, as I said, the order book, the quality of that, together with supply and demand. Price realization is solid. We are currently ahead of the raw material cost and cost inflation. When it comes to market shares, Volvo Trucks and Renault Trucks in Europe are very well received. We have the newest ranges in the market. Combined, Volvo and Renault have, year to date, 24.2% market share, with Volvo Trucks reaching market leadership in September, isolated with 18.4%. We have, during Q3, gradually been catching up after a weaker market share development in Q2. As we are the first truck OEM also to electrify our ranges in serial production, we have a first-mover advantage. Combined, Volvo and Renault reached just north of 60% in market share for the electric heavy-duty sector. Of course, volumes are still low, interest is high. Now the ball is rolling here, and we will continue to see good development. In North America, we were held back then for Volvo Trucks on deliveries by the strike that ended in July. We came out at 8.5% for Volvo and 7.4% for Mack, and 15.9% combined then. There is clearly room for improvements here given these interruptions. Focus now is to continue to deliver on the strong order book here. In Brazil, a market share that is stable on a good level of 21.6%. Last year was actually historically exceptionally good, but 21.6 is good. In South Africa and in Australia now, we are gradually also coming back after the disruptions that we have had in the supply chain. Situations are improving here. Going into Volvo Construction Equipment, what we see there, couple of news. First and foremost, that we are continuing also to roll out in the compact segment new machines and solutions. Three new machines now, three that are all introduced in the compact segment in Europe. Two of them are currently also introduced in North America. Very good step forward. Also during the quarter that we have actually changed and revealed the full program for the CEV4 norm in India also with 16 new products. Also, in the mining and construction segments, market forecasts are based on current low visibility, and uncertainty is also here significant due to the supply chain and ongoing pandemic. There is, however, also here a broad-based increase of demand across our key regions and key segments, with the exception of China. Changes to the market. We are not changing North America when it comes to this year, but we are expecting a 10% growth as from next year. For Europe, we are increasing this year with five percentage points and another 5% as midpoint for growth in relation to 2021 sequentially for 2022. South America, very strong, increasing this year with 10 percentage points up to +50%, and we expect another sequential growth of 10% as midpoint for 2022. Of course, also to mention China, given the very strong start of the year and then a weaker second half now, we are remaining with the current forecast on 2021, and we are guiding for a decrease of -20%, then sequentially for 2022. When we look at the orders and deliveries for construction equipment, orders were down with -1%, while deliveries were down with 9%, and the decrease is almost entirely coming from China. There is a continued good demand in our core segments, and good machine utilization drives both services and replacements. In addition, we have low dealer inventories and low dealer pipeline. Volvo CE has not so far been as impacted as trucks with regards to the semiconductor shortages and other shortages, but also, of course, a very tense situation. On Volvo Buses side, demand is gradually gaining momentum. Orders increased with 34%, while deliveries increased with 2%. This is, of course, related also to the gradual softening of restrictions, where travel and tourism are step by step coming back. Volvo Buses also revealed a very important part of their product portfolio, and that is the global electric bus chassis platform, the BZL, allowing also to grow this business now together with some of the very strong and professional body builders that we have around the globe in Asia, in Australia, in South America, but also in Europe. This is based, of course, on the electric platform that we have in the group and not at least on the platform that Volvo Buses are already providing in Europe. The launch of this is very exciting and important for buses now when the need of electric executions are taking off. Volvo Penta, also here, we continue to see solid demand across segments with orders up 34%, deliveries up 6%. Also here, a struggle, of course, to meet this high demand. Penta is taking also next step when it comes to the electric drivelines and powertrains, and in serial production, both for on land and off or at sea executions. What you can see here is also the cooperation, along with Danfoss, developed an electric hybrid propulsion system that has been successfully tested on a crew vessel boat now. On a final note here, for VFS, Volvo Financial Services, we did see, of course, an increased business volume related to the increases in our other business areas with a stable penetration of 30%. There is a continuous good portfolio performance related, of course, to high activity levels among our customers, and they are making relatively good or even good profits. VFS is also playing a very important role when it comes to the electrification journey. We see that the need of that type of bundled solutions are even bigger, and penetration in our electric portfolio, for trucks, for example, are 43%, so 14 percentage points higher than on the diesel side. We expect that to grow when we are bundling offers into equipment as a service. Very interesting and good and solid quarter. By that, I will leave the word to you, Christer. Thank you, Martin. That brings us to the next speaker, our CFO, Jan Ytterberg, that will now take us through the financials. Jan, please, let's dig into the numbers. Thank you, Christer. We saw similar trends here in the third quarter as we experienced in the second quarter. Shortages on semiconductors, other materials, and also transport capacity, putting pressure on the supply chain, leading to disruptions, production slots that were lost, and also higher costs. With now the vehicle deliveries being capped due to the supply chain constraints and also R&D accelerating gradually now, participating in to take the lead of the transformation, we, as an organization, we need to focus on boosting the service volume, increasing prices, and maintaining the cost discipline that we have had for the last quarters, also the coming quarters. If we move into the numbers and start with the group net sales, FX adjusted, they were up some 20%, reflecting then better truck deliveries and service revenues. We see this as a generic phenomena across regions except then for Asia, where the lower demand in China of machines and also trucks is impacting negatively. As regard FX, we had a limited effect on sales. If we move over to the earnings, despite a quarter with considerable supply chain challenges, we were able then to improve our adjusted operating income with SEK 2.2 billion, up to SEK 9.4 billion, and an operating margin of 11%. In the present inflationary environment that we have, it is important to adjust prices continuously and in advance of the cost pressure we see from raw materials, but also from other materials, including freight. We can see that we continue to be successful also here in the third quarter of doing that, especially then related to trucks, but also to services across our business areas. The strong transport demand affecting both services also the vehicle side is impacting positively. As relates to services, we are back or actually above pre-COVID levels now. As relates to truck deliveries, we see that we are hampered by the supply chain constraints. Anyhow, we had a considerable improvement of the earnings related to the truck deliveries and deliveries in general. The effect on capacity utilization, which we expected and which might you have expected on the volume, was offset by cost increases to handle the disturbances. We also have a positive effect coming from the mix in construction equipment, where we have been selling more of heavier Volvo-branded machines into the regions of Europe and North America with better commercial conditions in general. As relates negative effects, we can say something about our JV income. It is minus SEK 650 million, more or less, compared to the third quarter last year, mainly related to our Dongfeng joint venture, which is of course affected by the lower truck demand in China and also partly then to the inclusion of our fuel cell joint venture cellcentric as from the second quarter this year. As relates to FX, very small effects in general. If we talk about Q4 and earnings, we will have a somewhat positive effect coming from the transaction exposure. Martin was into the cash flow. It is a vacation quarter, the third quarter. It is our cash flow-wise weakest quarter seasonally. As deliveries are low, production is low, and we are paying down the payables from the second quarter. This year, the seasonality was even more pronounced due to the production disturbances, also due to some timing effects on the payable side. Looking at the first nine months combined, we can see that on the working capital side, it is more the inventory that is impacting negatively, and it is, of course, related to the ramp-up of production, also to the strategy we have of bringing in materials, critical parts and components to restore or refill buffers and also create and cater for higher volumes going forward. As Martin mentioned, the inventory of new trucks also was impacted by more of incomplete vehicles. All in all, minus SEK 5.7 billion in the quarter. Net cash position end of September, SEK 42.5 billion. That is a reduction of SEK 25 billion during the quarter. SEK 19 billion is related to the dividend and SEK six then is related to the negative cash flow. We then move over to our segments and start with Group Trucks, we can see that the improved resilience of Volvo Group is clearly seen here in Group Trucks, also in this quarter, when adjusted operating income increased from SEK 1.3 billion to SEK 5.8 billion and a margin of 10.9%. This quarter was another quarter characterized by the supply chain constraint and shortage of materials, mainly then the semiconductors, and as I mentioned, also the transport capacity. Besides causing the unplanned production stops, we are talking roughly over a couple of weeks here in the third quarter for Group Trucks, it has also a clear inflationary tendency that, together with the pressure from increased raw materials, requires quick and continued adaptations of our prices to customers. We were once again successful in this quarter in Group Trucks, and a little ahead of the curve, so to say, battling down the headwinds from raw materials in a positive way. We also have a positive effect coming from the launch of the new Volvo range. Besides, then the more of generic increases that we have on the price side. Costs were incurred and substantial time was also absorbed to complete unfinished trucks coming off the line. A challenge to manage, which is of course considerable and difficult due to the size of the logistic flow we have at Volvo Group. A balancing act, a fantastic job actually done by our employees and suppliers and other partners. Despite this, truck deliveries and net sales were higher than the third quarter last year, which was of course a pandemic-affected quarter, contributed then positively to the earnings. That was partly offset by a negative mix effect on the market side, more vehicles outside Europe and also on the product side with more of medium-duty trucks. The lack of transport capacity is clearly seen also in our used truck business. Profitability is on record high level and inventory on record low levels. The same trends of improved prices and volumes reflecting the utilization and transport demand is seen in our service earnings. On top of that, we have continued to see the positive effects of an increased penetration of our contracted services. JV income impacted negatively with the same comments as I made for the Group. Moving over to Construction Equipment there, then where we see the demand of delivery and deliveries of machines and services continue to be high, except then, as was mentioned, in China. This gave a favorable shift for us with more of heavier machines, Volvo branded machines into Europe and North America. Implicitly, the weight of China was lower, and they have a lighter machine mix, which then is impacting positively. We should remember that third quarter last year was a very strong quarter for China in general. This shift was also seen in the net sales. It was up 11%, whereas deliveries were down 9%. Service earnings improved by volume and price across markets. These positive effects were the main effects behind the improvement of SEK 0.6 billion to SEK 2.6 billion for Construction Equipment here in the third quarter, giving a margin of 13.4%. Besides this, we have some negative effects coming from lower vehicle volume and of course also then related to the capacity utilization. We also have the raw material pressure, mainly from steel, impacting more in Construction Equipment since the machine cost structure is more raw material heavy. In areas outside China, we have been able to compensate that by prices. If you take a look on the combined markets and the combined Construction Equipment, we have a negative net of price minus raw materials. Moving over to buses. The trend of improved utilization of the bus fleet continues. We saw that on the service revenues and the service demand. You also see more activities on the used side, which is another sign of improved business sentiment, though from very low levels. The lower adjusted operating income of some SEK 200 billion to a black zero, more or less, related to very low capacity utilization, of course, reflecting the last quarter's low demand and low order intake. We also had some production disturbances that added on top of that. Furthermore, we had a negative market mix, we also had offset that by a positive FX effect. The hard work of bringing down the break-even level for buses was clearly seen here, where we were able to deliver a black zero despite these headwinds, which is of course very promising when we now are seeing that demand is gradually coming back. For Penta, demand and volumes of both engines and services continue to be strong. The supply shortages and capacity constraints have now started to affect more substantially also on the Penta side, both related to cost deliveries, of course, it's hampering to meet the demand that we are seeing in the market. Despite this, engine deliveries were higher than last year, mainly related to the industrial segment. On the service side, we saw high activity on the marine leisure side with the strong and long boating season impacting positively. Despite these positive effects, from demand then, adjusted operating income decreased as supply chains constraints and cost impacted negatively. We also see more of activities on the market side, and also that we have high ambitions on both present and future technology impacting on the R&D cost side. FX had a negative effect of some SEK 40 million. Adjusted operating income just above SEK 500 million, giving a margin of 14.5%, which is a good third quarter if we look in historical perspective, but not as good as the extreme third quarter last year. Last but not least, Financial Services with the stable penetration and improved deliveries for the group. We had a positive effect on new retail financing that improved compared to last year, and that also contributed to a bigger credit portfolio ending the quarter. Customers' payment ability and performance continue to be strong in the aftermath of strong demand and a very strong pricing power for the transporters presently. Looking at the portfolio, we have some pockets of concerns still. As a consequence, write-offs and credit expenses were at low levels in the quarter. If we remember last year, that was a quarter affected by the pandemic, the general business uncertainty, and also to the fact that a lot of customers needed to modify their contracts. Subsequently, last year, third quarter, we had high credit expenses. All in all, some SEK 300 million less of credit expenses, of course, contributing to the SEK 400 million of improvement up to SEK 800 million. Besides that, we see improvement related to the portfolio as such, increasing then, but also to improved interest margins in the portfolio. With that, Christer and Martin. Thank you for good numbers, Jan. I'm moving over to you, Martin. How would you summarize the quarter? I think to start with, it has been another very interesting and challenging quarter, obviously. Extraordinary work by the whole organization and very close collaboration with customers and supply chain partners. Also actually summarizing what we have talked about regarding the Volvo Group for the future. Stronger underlying performance, better resilience in the cycle, a very clear and transparent capital allocation in order to lead the transformation. I think that is actually what we have been seeing in this quarter. Looking forward to the future because there is a lot of interesting things ahead of us now. Thank you very much, Martin. Jan, can you join us here because now we're moving over to the Q&A session. Operator, can you please give us the first question? Thank you very much. Ladies and gentlemen, if you have a question for the speakers, please press zero one on your telephone keypad. The first question comes from Hampus Engellau from Handelsbanken. Please go ahead. Thank you very much. Three questions from me. Starting off on the order side, would it be possible for you to maybe discuss how you secure the quality in the order book and then a little bit more flavor on how that works? Secondly, related to that, if you could maybe quantify the lead times, how long are the lead times now, and how do you think that will play out in terms of my third and last question, and the production run rate, you have indicated that you have an ambition of increasing the run rate during the fourth quarter, but given what we see on the supply restraints, that might be a challenge. Also, if you could maybe discuss that. Those are my three questions. Thank you. Thank you, Hampus. First and foremost, when it comes to the order board, I think just to come back to quarter 2 last year when we actually flushed the order book, it was in hindsight very important, obviously, because then we gradually built it up again. We have since been very active to be very close to our dealers, but also to our customers on what is actually placed in the order book. Then little bit depending on what customer type, customer segment, and also region, we have different means of securing that quality. Everything from different levels of down payments and other type of commitments, obviously. We are also going through the order book and order board with our dealers and customers on a frequent basis. I should say from that perspective, it is good. At the same time, obviously, when the order book is rather long out in time, that's the reason also why we are pretty firm and restrictive now of not putting in too many more orders in the order board beyond that. Obviously we have a number of customers that need to do that for planning reasons, and we have a constant dialogue. The lead times, generally speaking, are longer. Also differs, of course, between segments and regions, but they are reaching now quite a bit into 2022, obviously. For some of the segments and regions, even into the second half of 2022, and that goes not only for trucks but also for other segments. When it comes to the production run rate, I think one reflection we should do anyhow, between quarter 2 and quarter 3 on the truck side, is that we actually had an absolute improvement, small but absolute improvement, despite that it was a vacation quarter, showing that we have managed. Everyone knows, obviously, that it's not 1 or 2 of the supply chains that we are looking at, but quite a few. Visibility is still low, but it shows that our cross-functional work is working fine. We will continue to stretch, thereby also meeting different type of disturbances because the demand is high. Customer really wants to have both, as Jan said, the new and used equipment and also the services. This will continue to be the name of the game. What one can add, of course, is that we were mentioning incomplete vehicles, and that is, of course, also consuming hours out in the production to take care of these in the float, so to say, and make it a finished delivery. That is also a part of the production chain right now. We are clear on that, and I think that with the stronger resilience we see in the group also, we have the means to be offensive here and to be very close to the industrial system to increase and to fight for every machine and truck, et cetera. Demand is high, supply needs to continue to improve, that is what we are working on. From a semi perspective, from what you see today, can you say that this situation has improved, or is that maybe too soon? I think, as we say, visibility is low. On that note, obviously, now we have another grip on the situation together, because when we were running into this situation in, you can say in end of or mid quarter one, and then it continued quarter two, then it was a little bit more all over the place, if I put it like that. Now we clearly see where do we need to work, et cetera, but visibility is low, but, if anything, somewhat improved. Semiconductors in that regard is in so many of the different supply chains. That's the reason why we say that we need to continue to be very close and interact with our suppliers. We can say that we have been training for three quarters now. We have been training for three quarters. Thank you very much. Thank you. Thank you, Hampus. We take the next question. Thank you. The next question comes from Claes Berglin from Citi. Please go ahead. Thank you. Hi, Martin and Jan. Claes at Citi. First on stop weeks. On top of the normal summer shutdowns, how many stop weeks did we see in the quarter? What I'm trying to get to is the underlying truck margin. Obviously, it was very solid, but extra stop weeks. I think you said, Jan, that it was a SEK 2 billion hit EBIT from lower production year-over-year in the second quarter in trucks. I'm just wondering if you could help us a little bit there in the third quarter as well. I have to start here because we actually discussed how we should formulate that. We said around a couple of weeks. I think that is enough precise guiding, but around a couple of weeks in addition to the vacation. For Group Trucks. Yeah, for Group Trucks. Okay, perfect. That's in line with me. My second one is looking at construction and the margins across the different regions. I think, Martin, you said before that the margin has improved in Europe and North America relative to China since the last downturn in 2015. Even if China falls by 20% next year, as per your guide, you still might do quite well looking at EBIT owing to mix. It would be great to hear a little bit about your thoughts there on profitability improvement since the last downturn across the regions. Would you like to start? I can start there. Of course, we are starting from a high level, a good level in China, looking at 2020. We have also talked about the price competition that we see, mainly then on excavators with the domestic players there. We also have, and we should remember that, a good, flexible cost structure. We think that we are able to handle this in a good way, depending, of course, on the magnitude and size of the decrease and the speed of it. I was not here before, but I think we are as prepared as we could be for this. I should say also, when it comes to the price realization and how the balance is looking, I think we have a good balance today in the portfolio in Volvo Construction Equipment. If anything, during the last, so to speak, hike in demand in China, 2010 and beyond, it was a little bit so big, that increase in China, some of the other key regions were almost a little bit forgotten. I think today we have a good balance, we have good traction. The key segments in, not at least North America and Europe, but also Latin America, for example, is performing well. That is a strength in the portfolio mix, basically. Exactly. Yeah, which has changed to the better with developed markets- Absolutely increasing the profitability. Yeah. Yeah, it's good. My very final one is on battery electric and 40% market share here in Europe, off to a very good start. I'm interested to hear, Martin, what you're seeing on the aftermarket side. Can you talk about the recurring opportunities again that you mentioned at the last Capital Markets Day? I'm interested to hear if customers indeed are keen on outsourcing more handling of the battery pack, the software, and also if these longer service contracts that you talked about on battery electric, if these are indeed coming through. Yeah. First and foremost, it's early days, right? What we see now when the size of each order is increasing, exactly these type of discussions are coming into play to completely different extent because when you are starting to order a number of trucks for piloting or to have a number of them in front of your headquarters, then it's not that type of question. Now when bigger orders are coming in with real type of operations, we're talking about the financial construct, as I mentioned also in the VFS update. We are seeing that when it comes to the repair and maintenance contract penetration, where we are in Volvo Trucks, for example, only selling with what we call the Gold contract, meaning both repair and maintenance contracts and also the duration of the contract. Also in addition to that, other productivity and uptime services, for example, route optimization, battery surveillance, also as you say, also included the battery lifecycle management, because that is one of the key aspects for our customers to feel confident to take the step into electric. How is the durability of the battery? What about, so to speak, the life length when it comes to energy storage? How can we offset that with the second life and then down the road with recycling? Absolutely is what we see and what also our customers want to have. That is why we say that the electrification is a great opportunity for the service development of the company. Thank you. Thank you, Claes. We're ready to move to the next question. Thank you. The next question comes from Tom Narayan from RBC. Please go ahead. Hi, Tom Narayan, RBC. Good morning, Martin and Jan. Thanks for taking the questions. I also have three. You kind of answered this, but just curious, maybe from a 2022 outlook perspective for HD trucks, Europe and North America, what are you hearing specifically from your suppliers on semis? You mentioned lack of visibility, but are they actually telling you something concrete, lack of visibility? As you know, Daimler Truck is planning a big turnaround in Europe. In its past, they did have a bigger market share on the continent. Curious as to your thoughts on the competitive landscape in Europe on the HD trucks, given their plans. Lastly, on China CE, I don't know if you can answer this, but when would you expect this government spending to come back? Is this a multi-year issue or how should we think about that? Thanks. First and foremost, if we talk about the 2022 outlook, of course, again, when you look at the different supply chains for the truck, for the machine, or for the bus, whatever, of course, there is a multi-dimensional type of value chain. When we look at the bigger and more complex components and systems and the tier 1s, we are not only working in those systems, but also with the tier 2 and tier 3 and even tier 4. Obviously gradually now we are seeing, okay, how can we mitigate this and how can we think about 2022, et cetera. Our current judgment, as I said, is that supply still will be, so to speak, the deciding factor of the total market for the coming quarters at least. Then we will see when it will shift into a more demand-driven total market. Yes, on that at least we see, and we have very tight plans, including the uncertainty, obviously. Then again, there are quite a number of other supply chains where we are gradually now working that through. Step by step, we're getting there again sequentially, step-by-step improvements, and we will continue to push, be close, and that's the reason why there are a number of factors that should be taken with a certain consideration. When we talk about the order intake, for example, when we talk about disturbances as such, because we will continue even when we can produce more to be very close to that. We are meeting, so to speak, disturbances again, given the high demand. That is number 1. On the market share, this is a market that we know well in Europe, obviously, and it has been always a very highly competitive market. We have strong product ranges now out there, both for Volvo and for Renault, that is just released. Great performance, great feedback. I think also we have an organization that is really focused on this now, that has a strong accountability and decentralization. Also, the electromobility story. That is one piece of it. We have seen also gradual improvements now. The second piece, I think, is still also the whole service business where we have good traction now. It's both the market share play where we will continue to have a strong offering, but it's on the new products, but it's also the service business. We are looking forward to that. China, as you say, it's always a discussion, what will be, so to speak, the different countermeasures, et cetera. I think everyone understands that at one point in time it was healthy with this type of correction. It was compounded with a lot of incentives, et cetera, not at least related construction infrastructure, and just continue like that should not have been good. It should have only created another bubble. Let's see a little bit. I think it's about adaption, flexibility. We have a good mix for Volvo Construction Equipment, as an example, also with other regions showing great demand. Okay, thank you. Thank you. We'll move to the next question. Thank you. The next question comes from Daniela Costa from Goldman Sachs. Please go ahead. Thank you very much. Good morning. I'll ask two things. They relate to the U.S., actually. Looking at some of the indicators, for example, on the U.S. used truck side, volumes have started to soften a bit, then in general, the PPI of heavy-duty trucks in the U.S. has also not improved as much as other product categories out there, and it's actually, I think, slightly down in September. Do you think this is just volatility? How's the competitive landscape on the U.S. at the moment, especially, I guess, after the Navistar deal? If you could talk a little bit through that, related to that, sorry, a second part to that question. In your market outlook, you still have growth for next year. You mentioned now during the call, some of the growth for next year in general is the supply chain, the deliveries you can't have now, or the market can't have now into next year. Can you talk through the breakup of the, I think it's 11% growth that you have for the U.S. market in the slide? Is that just supply or there's an underlying growth? That was question 1, which I guess ended up being 2, but one small final question on the U.S. If you could give us a bit of a You have the electric trucks market share in Europe. Can you give some comments on the positioning in the U.S. where things are standing? I guess there's probably not big enough data yet to tell us market share, but it would be interesting to hear on the developments U.S.-specific. Thank you very much. Thank you. I can start with at least the used side. I mentioned that, and that was a generic comment on profitability being extremely high. Prices, you shouldn't use the word ridiculously high, but very high on used side has been. The inventories is extremely low, and that is a problem that is hampering the sales, of course. What we also see in this situation is that our customers are holding on to their leasing contracts, et cetera. They're not, of course, because they don't get the new ones, handing back their vehicles, and by that, we are also stopping sort of part of the inflow on the used side. Maybe it's more of that, on the used side that you're seeing. There was a question on- The total market, also activity level in September, et cetera. To take one month, it's a little bit dangerous to do that. I think it's a little bit flattening out, but you need to understand a little bit the underlying factors of that as well. If I put it like that, helicopter money coming into U.S. during the pandemic, restrictions on restaurants and travels, et cetera, I think there has also been a boom when it comes to the private consumptions, obviously, and we have seen a lot of that coming through. Also with very, very long lead times, because it has been a lack of drivers, it has been a lack of terminal workers, et cetera. That is also what we hear from our customers. One reflection on that is that now when we are taking down U.S. with 20,000 units for 2021, that is related to supply chain. Eventually, that needs to come out to the market. The 300,000 level that we are guiding for next year in U.S. is absolutely what the market is demanding. Our prediction is that they are actually demanding more than that, since at least in the beginning of the year, supply will continue to dictate, so to speak, the total volumes. 2021 decrease is not related to demand. It is related to the continuous fight on the supply chain. The good news about that is that actually, our view is that we will smoothen out a little bit the cyclicality, because if everything was perfect and have an overshoot in 2021 should not have been ideal for anyone anyhow. I think that is good. When it comes to electric trucks, you are absolutely correct. We are active in U.S., both with Mack and Volvo, but a little bit too early days for data and for market shares. That is also why we talked about the orders that we are taking now, not at least in primarily, you can say, on the West Coast than with the big ports, where we are building out also infrastructure together with partners, but also on the East Coast and specific segments related, for example, to waste collection. It will come there also step by step, and there is a big interest among customers also related to their Scope 3 activities, for example. Thank you, just following up on the competitive landscape on the U.S. post Navistar and the pricing data that doesn't look to improve that much in there. Just volatility. Sorry for that, Daniela. First and foremost, I think as similar to Europe, it has for a long time been a very competitive market with strong players. We feel that we have a strong and competitive offering. Product quality is in great shape, fuel efficiency in great shape. It's really about now continue to have good deliveries, both on the product side and the service side. Obviously, with what we are guiding for now, a 300,000 market, and also the possible now cost inflation and pressure, we need to continue to execute on price realization, both on products and services. Thank you. Thank you. We'll move to the next question then. Thank you. The next question comes from Jose Asumendi from JP Morgan. Please go ahead. Hey, thanks very much. Jose, JP Morgan. Martin, a couple of questions. The first one on buses. Can you comment a little bit on your electric driveline launch there? I'm slightly concerned, not just for Volvo, but I think for the traditional truck and bus players that with electrification, we've seen other competitors like BYD entering the market, taking substantial market share. I'm not sure right now how your product competes against BYD and whether you are going to be able to claw that market share back in the coming years. We'd love to hear more thoughts on this as, obviously, there could be a read-across into trucks going forward. Second question, a little bit more on the positive side, China truck heavy duty opportunity for you, this is going to be probably one of the biggest opportunities growth-wise in the coming five to 10 years. Can you give us a bit more details? How do you see this market? What kind of opportunities for you? Any details you can give us also on the product side. Thank you. Thank you, Jose. I think both requests were positive, by the way, don't worry. What we see on the electric buses, for example, we are actually together with them, also BYD and Yutong, et cetera. We are market leader during this year in Europe on the electric bus side for city buses. What we see now is also that when this market is maturing, coming back to the truck side also, more complete solutions when it comes to route optimization, the battery management, circularity as a whole, grid capacity, et cetera, also a great platform that we are sitting on now when we are ramping up step by step. For Europe, we are very excited about the development. The good news to your question about the chassis is that we can expand that now to markets where there is, so to speak, a body builder tradition, and we have very strong links with that in Australia and Southeast Asia, Latin America and Middle East, in U.K., partly in Spain, et cetera. Therefore, the chassis execution now, based on the modular platform of our electric components, will give Volvo Buses great opportunities also to, first and foremost, have a competitive offering, then utilize the full-fledged solution sitting with VFS, sitting with the service and retail network in these markets, also the optimization when it comes to the connected and digital solutions, when it comes to, again, battery surveillance, et cetera. Very excited about that development. Important launch. China, to your point, the even more, so to speak, sophisticated segments are growing step by step, not at least driven by e-commerce, also with the sustainability efforts in China as in other markets. We see also how inbound and outbound from not at least automotive is gradually maturing into this high mileage, high uptime type of execution. That's the reason why we are now establishing the footprint in China with the full-fledged solutions for the Volvo FH, Volvo FM, and Volvo FMX. That is the full heavy-duty range with all the different executions, so you don't need to have the compromise of guessing. I should not say that we guess, a little bit guessing because you have longer shipment times. Here, then we can optimize for each customer thanks to the modular system. Absolutely right, we see how that segment is growing. It's still relatively small, but small in China, given the percentage of north of 1 million trucks, will be a very interesting market for Volvo Trucks and for the Volvo Group moving forward. Thank you very much. Thank you, Jose. We have time for one final question. Thank you. The next question comes from Olof Cederholm from ABG Sundal Collier. Please go ahead. Hi, it's Olof from ABG. Thanks for squeezing me in at the end. Maybe a bit of a reiteration of earlier questions, but just to clarify the Q4 comments, continued disruptions. You had around two stop weeks in Q3, but lots of vacation time as well. When we look into Q4, do you expect to, despite the disruptions, still have the normal seasonal improvement quarter-over-quarter that you usually have in production rates? I think it's a great comment, obviously. What we have said is that the focus is to continue to increase step-by-step production. Visibility is still low to have exactly firm view on that, but absolutely we are set for continuing to push this. Then we will see how we'll get. I think the message here is that we have shown strong resilience, strong flexibility, thereby we will be also offensive on that note to see where can we go, what will it give. Of course, the vacation effect should play in. We have been having three to four normal weeks in vacation also. Let's see. On the other hand, vacation is also positive for certain suppliers for recovery, let's see. I think the maneuverability of the group is strong. Demand is there. We will continue to push the limit in order to meet that and execute that strong order book. That is what we can say at the time being. One can say it has been a very strange year so far with pretty flat net sales all over the quarters, SEK 85 billion-SEK 95 billion. Let's hope then that we come back to a more normal seasonality here in Q4, as you said, low visibility still. Thank you very much. Thank you, Olof. Thank you very much. That concludes this press conference. We're looking forward to see you in the fourth quarter. Take care, everyone.