Commemorating the completion of 10 successful years of partnership between the Volvo Group and Eicher Motors, VE Commercial Vehicles (VECV) has announced the plan to set up a new production facility for trucks at Bhopal with investment of Rs 400 crores. The Madhya Pradesh Government has allotted land for the new plant and work to set up this plant is expected to start soon. The plant, which will have an initial capacity of 40,000 trucks, is expected to go on stream in the next 18 months. Currently, VECV’s Pithampur (near Indore) plant has the capacity to manufacture 90,000 trucks.
With a strong foundation built on mutual trust, respect and win-win approach, the joint venture has grown from strength to strength over the years to put VECV in a very good position with a yearly average growth of over 18 per cent in last ten years with turnover of Rs 10,200 crores in 2017-18.
The entire Board of Directors of AB Volvo was present on the occasion to celebrate the highly successful joint venture in India.
Speaking on the occasion, Martin Lundstedt, President and CEO, Volvo Group, said, “India is a home base for Volvo Group, with a presence of over 2 decades across our various business lines and we reiterate our strong commitment to the future of the country and VE Commercial Vehicles.”