Indian vehicles and automotive components manufacturer VE Commercial Vehicles (VECV), an equal joint venture between automotive maker Eicher Motors and the Swedish peer Volvo Group, plans to invest in a new plant in Bhopal.
VE Commercial Vehicles is building a new 40,000-unit truck capacity with an initial investment of 400 crore rupees ($53.8 million). The plant is aimed at enhancing VECV’s market share in the heavy-duty truck segment.
The investment comes at a time when European rivals Man Trucks and Scania have exited India’s competitive freight-carrier industry.
VECV has so far invested about $470.7 million in the operations and at the end of the last financial year, it had generated a turnover of $1.3 billion.