Volvo, Eicher set to unleash “huge wave” in trucks
A new range of fuel-efficient vehicles will be rolled out in India from 2013 to 2015 by VE Commercial vehicles, a joint venture between Volvo and Eicher Motors Ltd. The business model represents a long-term view, where a full truck range will be developed, become the best in the country and, over time, challenge the big players. The four-year partnership will provide a strong foundation for building on the base it has achieved with the VE Commercial vehicles.
The next “huge wave” coming from this joint venture is visible technology in terms of new cabins and vehicle platforms, which will start by the end of 2013 and stretch all the way to 2015. A new range of competitively priced vehicles with top-class fuel efficiency will soon enter the market. With the new range, there will also be synergies with Volvo’s global sourcing for certain commodities and aggregates. Engines are already being dispatched from India to Volvo’s global supply chains, while other back-end projects are being examined.
Asia accounts for 25% of Volvo’s turnover today, with India becoming one of its key markets. The goal is to have this component increase in the coming years. The long-term plan is to gain inroads to Africa and other ASEAN countries, as well as the Middle East in the years 2015-2020. (August 29, 2012)