With order book full, Volvo's plants to be busy till March
With its order book full with trucks and construction equipment, the Indian plants of Swedish automobile major Volvo will be busy till March, said a top official of Volvo Group India.
VE Commercial Vehicles Ltd is a joint venture between the Eicher Motors Limited (EML) and Volvo Group. The company came into existence in July 2008, comprising of five business verticals - Eicher trucks and buses, volvo trucks, Eicher Engineering components and VE Powertrain. The company also includes an entire range of commercial vehicles, engineering design businesses, components and distribution of Volvo Trucks. All the business units are already working in full swing and are well established. The company is headquartered in New Delhi. The company has integrated commercial vehicle factory at Pithampur. They also manufacture at Thane, Dewas and SEZ Pithampur. The company has an employee base of more than 11,000 employees. They aim to improve their efficiency in the nation and the developing markets, resulting in the reduction of logistics cost for goods and people. Ever since their starting they owe their establishment to the increase demand of driving modernization in commercial transportation, in Indian as well as global markets. Eicher trucks and buses finished their 29 years of operations in India in June 2017. They also revealed their entire new range of future generation trucks and buses at a product reveal function in Pithampur, back in 2013. The all new products have been named as "Eicher Pro" series. They have been specialized in adopting the most professional and philosophical approach to modernize the Indian trucking industry. They promise to deliver world class fuel efficiency, higher loading capacity and overall vehicle life time profitability. Volvo trucks in India are a well go with the mining and the construction industries. They are the first truck manufacturers to introduce the highly popular European design and high performance trucks with latest technologies. Eicher Engineering Components came into being in 1992, and has evolved itself as an established player in its segment of manufacturing power train components and gear boxes.
With its order book full with trucks and construction equipment, the Indian plants of Swedish automobile major Volvo will be busy till March, said a top official of Volvo Group India.
The spend will be on new products that are BS6 compliant, said company CE & MD Vinod Aggarwal.
Commercial vehicle sales are often seen as an indicator of economic growth. This could be indicative of a recovery in the economy, provided there are no more disruptions.
In the domestic CV market, Eicher branded trucks & buses have recorded sales of 5084 units in September 2017 as compared to 4148 units in September 2016 representing a growth of 22.6%.
At present it is rolling out 9,000 units a year. The company manufactures light commercial vehicles and passenger cars too. In India, it is trying to push the pickup vehicle model in the passenger car segment, a trend which is already there abroad. Apart from India, the company has a plant in China too.
The scheme offers sops on electric and hybrid vehicles of up to Rs 29,000 for bikes and Rs 1.38 lakh for cars, thereby lowering their price for buyers.
Around 6000 owners of commercial vehicles including mini trucks, trucks, buses, taxis, autos and tempos have evaded payment of tax to the tune of over four crores approximately.
According to auto component apex body ACMA, the estimated investments being lined up would be upwards of $30 billion as the industry factors in technology transformations as well electric mobility trends.
The company, a joint venture between Volvo Group and Eicher Motors, had sold 4,374 units in the same month last year.
Mini-trucks, dominated by Tata Ace, Mahindra Jeeto and Supro, will show a growth in sales this year – perhaps as high as 12%.
Eicher Trucks & Buses has partnered with Bangalore International Airport Ltd for the earthworks of its second runway.
Given this backdrop, the IndusInd stock which on Tuesday touched a record high.
A GST notification exempting registration of some of the associated entities would save transporters from a lot of paper work.
The BSE Auto index rose 0.65 per cent and was trading at 23,565 around 9.55 am (IST).
The company, however, said that commercial vehicle makers are under profitability pressure due to increasing competition and cost of meeting stronger emission standards.
India is already the exclusive manufacturing hub for the 5-8 litre, medium-duty Euro VI engines for automotive applications for Volvo's home base in Europe.
Unlike NBFCs, commercial vehicles and the quantum of loans are bigger.
The scarcity had led to a production cut of almost 50% at Tata Motors, the country's largest truck maker, and affected 20% to 40% of output at other manufacturers in April, according to people familiar with the matter.
Commercial vehicle sales fell 23% in April to 41,490 units, the lowest since November 2009, when the volume was 40,855 units.
Over 20 models of BS-IV compliant trucks were at display during the launch "Truck World," at Salem near here on Thursday last, for the benefits of transporters.
Name | DIN | Designation | Date of joining | |
---|---|---|---|---|
Vinod Kumar Aggarwal | Unlock to View | Unlock to View | Director | 26 Oct,2016 |
Hakan Sven Karlsson | Unlock to View | Unlock to View | Director | 26 Oct,2016 |
Jacques Pierre Marie Michel | Unlock to View | Unlock to View | Director | 26 Oct,2016 |
Lila Firoz Poonawalla | Unlock to View | Unlock to View | Director | 30 Mar,2015 |
Prateek Jalan | Unlock to View | Unlock to View | Director | 30 Mar,2015 |
Philippe Divry | Unlock to View | Unlock to View | Director | 03 Feb,2012 |
Raul Rai | Unlock to View | Unlock to View | Director | 26 May,2008 |
Siddhartha Vikram Lal | Unlock to View | Unlock to View | Managing director | 07 Mar,2008 |
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