The beginning
DINA was founded as Diesel Nacional S.A in 1951 by the Mexican federal government, through the Ministry of Finance and Public Credit and Ministry of Economy. It approved the constitution of the company Diesel Nacional, SA, with a duration of 45 years and a capital stock of 75 million Mexican pesos, which was contributed by the private sector and government, with the latter being the majority shareholder. Its plant was built in the Fray Bernardino de Sahagún City in Hidalgo, Mexico.
In 1952, Diesel Nacional signed manufacturing and technical assistance agreements with the Fiat. The result was production of the first assembled units: the 682 / T tractor-truck, and later production was extended to the automotive segment with the FIAT 600, FIAT 1100 and FIAT 1400B models. The passenger transportation segment started with model 682 RN bus in 1956. The high production cost of Fiat vehicles forced the cancellation of the contract in January 1960.
In 1961, an association was started with Flxible, which allowed obtaining the license to build two bus models in Mexico, the Flxible Hi-Level and the Flxliner, known in Mexico as the DINA 311 "Hunchback" and the Olympic Dina respectively.
In 1962, the Mexican government imposed limitations on the automotive industry, which included tariff barriers on the importation of vehicles entering Mexico, for both freight and passenger transportation, as well as obtaining their components from abroad. Thus, domestic production companies benefited from protectionist policies, a situation favorable to DINA during the next three decades. Other policies served as important factors for the export of freight trucks to several Latin American countries starting in the 1970s.
In 1968, the national production of the NT and NH engines of the Cummins company began. In 1973 it bought 60% of the shares of Motores Perkins S. A., established in Mexico, to counteract its main competitor, Chrysler, which previously owned that shares. In 1987, a technological alliance was signed with Navistar International. Two years later DINA was acquired by the Consortium "G" Group DINA, though it continued to use Navistar engines.
Consolidation of the parastatal in the Mexican market
Being an engine production and assembly company with tariff protection, DINA obtained agreements with Mexican companies that produced freight trucks and foreign transportation sector, from the 1970s. This was primarily with CASA (Carrocerías de Aluminio SA), CATOSA (Carrocerías Toluca S.A.) (currently OperBus) and CAPRE (Carrocerías Preconstruidas S.A.) (currently NovaCapre).
In 1974, the Maquiladora Automotriz Nacional Company (MAN) was formed to assemble pickup trucks with the DINA brand. The 1000, 3000 and 3200 models were manufactured, all with International's Scout model technology with Perkins engines, the Dina D1000 was based on International D-Series between 1974 and 1976. Later, DINA trucks were manufactured with bodies similar to Chevrolet's Custom. MAN ceased truck production in 1983.
Due to the growing demand and diversified in its line of products, from 1976 different commercial divisions were created within Diesel National SA, remaining as the main controller and forming a decentralized parastatal corporate group. Hence the corporation was primarily composed of these operating groups: During the early 1980s, the bus and freight truck industry of was monopolized in Mexico, primarily concentrated in the hands of DINA and Mexicana de Autobuses S.A. (MASA). Reasons for this were unfair competition practices by other companies, with prices below actual cost, and the consolidation of previously imposed tariff restrictions. This as a result of the economic crises in that began in 1982, a situation that would be less favorable for domestic companies constituted by private investment. Thus, companies such as bus manufacturer Sultana had to suspend production and temporarily close its plants in 1982.
In 1981, DINA and Navistar (now International) entered into a technology cooperation contract. The result was the introduction of model S-series trucks, the 7400, 7800 and 9400. In 1985 it formed a partnership with General Motors for the manufacture and export of vehicles and assembly parts. During that decade DINA Autobuses reached their sales peak, led by CEO Miguel Ángel Anguiano Rodríguez.
Privatization and globalization
In 1989 the parastatal Diesel Nacional, S.A. (trucks, engines, plastics and buses) was acquired by Consorcio Grupo G S.A. de C.V., owned by the Rafael (†), Armando, Guillermo, Alfonso and Raymundo Gómez Flores brothers, from Jalisco. The Gómez Flores family was a shareholder in Mexicana de Autobuses S.A. (MASA), through Motor Coach Industries (MCI).
During the first years of privatization, it maintained commercial relations with partners who had obtained agreements during its stage as a parastatal company. Thus, in 1991, DINA introduced the NAVISTAR series DTA-360 and DTA-466 engines to the freight truck and bus segments. In 1992, and lacking sufficient production capacity, a commercial and technological agreement with Marcopolo S.A., was necessary to deliver trucks in semi-knock-down form and knowledge sufficient to fulfill new bus orders.[2] Marcopolo was a leader in production and sales of buses in South America at that time. The result of this agreement was manufacture of bodies for the Marcopolo Paradiso and Viaggio models for the Mexican market for a 10-year term. In 1993, export of these models to Central and South America began.
Chrysler had an equity percentage and sales through its dealers. Grupo G acquired these shares and consolidated its own network of distributors. Navistar was also liquidated in its shareholding.
In 1994, the DINA Composites, S.A. of C.V. company was established to develop plastic technologies for the automotive industry.
That same year, Grupo G acquired the assembly plants of Motor Coach Industries
The importance of being called DINA
In October 1999 Sterling Trucks of Freightliner LLC (subsidiaries of Daimler) acquired Western Star Trucks, with the sole purpose of breaking it so that it in turn damaged DINA Trucks, since it had signed an agreement with DINA for the production of 9,000 freight trucks.[6][7][8] On February 7, 2000, the strike of the Sindicato Nacional Independiente de Trabajadores de la Industria Automotriz, Similares y Conexos broke out, whose main request was a 24% increase in salary, when the company could only offer 13% more 2% in benefits. Concludied three days later with the acceptance of 13% increase.
On July 20, 2000, Western Star Trucks was acquired by Freightliner, the reaction was that contracts with DINA were reviewed in October 1999 that contemplated the assembly of HTQ trucks to re-branded trucks in the North American market. Once acquired Western Star by Freightliner, it cancelled the contract with DINA unilaterally and only 700 units were manufactured for sale in North America, instead of the 9,000 units contracted. Workers began a strike on October 6, 2000, lasting until March 6, 2001, demanding a 40% salary increase. On October 28, DINA filed a claim for breach of contract with Western Star Trucks with the International Chamber of Commerce for US$110 million. On January 31, 2001, it announced cuts of 6% of its workers followed by a 40% layoffs in April 2001.
In February 2001, the resizing of the company DINA Trucks for the resumption of regular operations without the Western Star contract was evident.
Conclusion of the resizing of DINA Buses in Mexico
In 2001, to avoid bankruptcy, a group of administrative staff of Grupo Empresarial G, owners of the company remnants, carried out the financial restructuring of DINA Camiones. This process consisted of the sale of the plants that the group owned. In 2002, the government of the state of Hidalgo bought the facilities of the DINA Camiones plant. In 2005, a group of Argentine businessmen bought the Argentine DINA plant. Subsequently, problems arising due to the cancellation of the contract with Western Star Trucks, was settled by legal means. Freightliner paid a large compensation to the Mexican company. In compliance with the agreement, the amount was not disclosed.
In 2004, the process of designing new passenger units began, based on HTQ technology, as well as on national and international standards.
Starting in 2007, the first five prototypes of the chassis were concluded. The design and construction of a new plant began, along with the necessary equipment and tools. This was in the same industrial zone of Ciudad Sahagún, state of Hidalgo, Mexico. In July 2007, a prototype departed the new DINA plant. Its purpose was to conduct road tests, prior to production and marketing.
In May 2008, the restart of DINA Camiones was announced, with the production and sales of four new bus models, all of them the urban type: DINA Linner, Runner, Picker and Outsider.
At the time of restarting operations that year, the investment was US$100 million. The plant had a capacity of 23 units per day, 450 direct and 750 indirect jobs, and five concessionaires in different Mexican states to sell their units in Mexico.
Present
To this day, the company offers different products and services for transport, always focused on the urban and foreign bus market. The firm launched a gas-powered bus, the DINA Linner G in the year 2010, and also a specific cargo truck, the DINA Hustler in the year 2011, a tractor-truck for container transport in commercial ports.
By increasing their participation in the Mexican market once again, DINA resumed exporting units to some countries in Central America, where certain models of the company currently circulate. Thus, by increasing its commercial presence, other bus models were launched in 2013. The firm returned to the foreign transport segment, the DINA Buller.