SCANIA TO SET UP MFG. PLANT IN BANGALORE

Scania Commercial Vehicles India will be setting up a new plant in the Narasapura industrial area in Bangalore. The company will be investing Rs 2.25 billion in this unit over the next five years with Rs 1.50 billion being invested in the coming year. The first truck will be rolling out by 2013. Initially, the plant will assemble bus and trucks as a CKD. At a later point, Scania also plans to include coach building and service workshops to this facility. Within the next five years, the company plans to roll out 2000 heavy haulage trucks and 1000 inter-city coaches and buses from its plant

PACCAR MAY LAUNCH DAF TRUCKS IN INDIA

U.S. commercial-vehicle maker Paccar Inc. is studying the possibility of introducing heavy-duty trucks in India from its Dutch unit DAF Trucks NV, as it attempts to expedite its global growth by tapping into emerging markets and partly offset a slowdown in Europe.
Donald Schulte, managing director for India initiatives at Paccar, in a recent interview said the company is considering options to either sell imported fully-built trucks in India or to build an assembly plant.
A foray into India by Paccar would put it into competition with other global truck makers such as Daimler AG, Volvo AB, MAN AG and Navistar International Corp. who already operate here either via their own units or with joint ventures with local companies.
A total of 499,965 trucks and buses were sold in India during April-November 2011, up 20% from a year earlier, according to data issued by the Society of Indian Automobile Manufacturers. The market is dominated by Indian companies such as Tata Motors Ltd., Mahindra & Mahindra Ltd. and Ashok Leyland Ltd.
"We see India as a major commercial-vehicle market that is growing," Mr. Schulte said. "We always take a long-term view of a market and we are studying our options for India."
He said Paccar doesn't have a definite time frame to commence operations in India.
Paccar is participating at the ongoing Auto Expo in New Delhi with its DAF brand of trucks. DAF trucks are currently made only in Eindhoven, the Netherlands, and in Westerlo in Belgium.
"We see infrastructure investments, increasing buying power of people will make it a very compelling investment in India for those who want to have a long-term investment," Mr. Schulte said.
Bellevue, Wash.-based Paccar is the second-largest seller of heavy-duty trucks in the U.S. behind Daimler's Freightliner brand. Its North American truck brands are Kenworth and Peterbilt.
As part of its steps to expand in emerging markets, Paccar said recently it had begun constructing an assembly plant for DAF-brand trucks in Ponta Grossa, Brazil. But the company has said it would scale back truck production in Europe.
The company last year started a technical center in the western Indian city of Pune in partnership with KPIT Cummins Infosystems Ltd. Mr. Schulte said the Pune center is the third such facility for Paccar after the U.S. and the Netherlands.
He said staff count in Pune will be expanded to 200 by the end of December from 25 now.

Auto Expo 2012: Man Force forays into bus segment; unveils 'Man Airobus'

Commercial vehicle maker Man Force Trucks on Saturday announced its foray into the bus segment and said the company is eyeing a 50 per cent jump in overall sales at 6,000 units this year.

The company, which today launched 'Man Airobus' at the 11th Auto Expo here, said bookings for the Rs 60 lakh priced-bus have already started and it plans to sell around 250 units by the year-end.

"Entering into the bus segment is an extension of our product portfolio as we try to become a full scale commercial vehicle manufacturer. The bus segment is a growing market in India," Man Force Trucks Managing Director Sudhir Mehta told PTI on the sidelines of the Expo.

He said the 'Airobus' is placed in the market between the premium bus and rear-engine bus. The new product is a 45 seater inter-city air-conditioned coach powered by 220hp diesel engine. It is being manufactured at the company's facility at Pithampur in Madhya Pradesh, where it has production capacity to make 24,000 trucks a year.

Asked about its sales target this year, Mehta said, "Last year, we had around 4,000 trucks. This year, we plan to sell around 6,000 units including the bus."

Besides, the company said it has lined up three-four trucks to be launched this year.

Last year, Pune-based Force Motors had announced to exit the JV by selling 5.58 lakh shares for 150 million euro (over Rs 1,050 crore) to the Germany-based MAN. "We are still in the process of exiting from the joint venture. The exit will not have any impact on the quality of the existing products," Man Force Trucks Chairman Abhay Firodia said.

Force Motors and MAN formed the joint venture company in 2006. At the time of formation of the JV, the Indian firm was the majority partner with 80 per cent stake, which became a 50:50 partnership in 2008.

TATA MOTORS UNVEILS 3 NEW VEHICLES ( After Maret Spare Parts Dealers should be increase Inventory from 2013 Mid)

Tata Motors today unveiled at the New Delhi Auto Expo 2012 the company's new LCV & ICV range, and the Tata LPT 3723, India's first 5-axle rigid truck. They will be commercially launched in the next financial year.

Speaking on the occasion, Mr. P.M. Telang, Managing Director - India Operations, said, the LPT 3723 will create new segments and generate higher incomes for their owners. As importantly, we are displaying our progress with alternate fuel technologies towards a more comprehensive portfolio for the future."

The Tata Ultra LCV & ICV range will comprise a series of variants from 5 to 14 tonnes. The range will be powered by new generation 3L (138 HP) and 5L (168 HP) common rail (DiCOR) 16-valve engines, offering higher aggregate life, longer service intervals and low NVH.
The sleek and elegant walk-through steel cabin, a dash-mounted cable shift gear and hydraulic cabin tilt mechanism make the driver at home. Ergonomically designed mechanically suspended seats with integral headrest, power steering, which is tiltable, telescopic and collapsible, and clear-lens headlamps will make long drives stress-free in all weather conditions. The instrument cluster -- showing live and trip mileage, clutch and brake wear indicator, seat and door ajar warning, water-in-fuel indicator, economy assistance -- permits continuous vehicle monitoring in drive.
The Ultra's high strength Domex 650 steel rolled chassis frame with high tensile strength and straight long member construction allows the platform the flexibility of multiple wheel bases at multiple payload points. Radial tyres, parabolic leaf springs, tuned shock absorbers and, for the first time in the category, disc brakes ensure safe transit of goods.

The Tata LPT 3723 is India's first 5-axle rigid truck. With a payload of 25 tonnes (ideal for cement and steel movement), it will radically change transportation economics by reducing he cost/tonne-km.
It is powered by a Cummins 6BT 5.9L engine (154 kW power at 2500 rpm) and mated with a 9-speed gearbox, the first in a rigid truck in India. Twin steerable front axles, a twin-drive axle and a tag-lift axle, the only truck to have such a technology, reduces tyre and fuel costs. The turning circle diameter of 21.9 metres makes it more manoeuverable than a tractor-trailer. The air-conditioned cabin, ergonomic dashboard and instrument cluster and stylish interior trims give drivers the comfort to cover longer distances at a stretch.

Tata Ultra 714 truck: Powered by a DICOR 3L engine, the Tata Ultra 714 truck delivers 138 HP and torque of 360 Nm. The truck comes loaded with features like a roof hatch, 12V utility socket, music system, digital clock, cab tilt lock indicator, low fuel level indicator lamp, brake lining wear indicator, air filter service electrical indicator, water in fuel indicator, door ajar lamp and leather finish dashboard.

Tata Ultra 1017 truck: The Tata Ultra 1017 truck comes with a DICOR 5L engine, delivers 168 HP and a torque of 590 Nm. The truck offers HVAC, cruise control, ABS, suspended driver seat, 12V utility socket, music system, power window, electrical mirror, centralised locking, Tachograph Telematics (GPS), digital clock, cab tilt lock indicator, low fuel level indicator lamp, brake lining wear indicator, door ajar indicator, air filter service electrical Indicator, water in fuel indicator, alloy wheels, low washer fluid indicator and leather finish dashboard.

Volvo launches new range of buses

By 2015, it expects more than 50 % of sales to come from Asia

Volvo on Thursday launched its new range of buses, comprising city bus and coaches, aimed at inter-State routes and cities. The expanded range of Volvo buses in India now includes three new models that are the first-of-its kind in the country and takes the company's bus range to ten different products.

Stating all of developments follow just three months after Volvo announced its ambition to be a $1-billion company in the coming years, Volvo Bus Corporation President Hakan Karlsson said: “About three months ago we promised that we will play a bigger role in the progress of the Indian bus industry and announced an investment of Rs.400 crore. Today, we stand here with a product range that will take us there.”

“Our focus remains to drive quality of life and with our current range we will be spreading the Volvo experience to a larger market in the country. We have defined a clear role for India in the future — as one of the largest markets in the group, a global hub for selected models, local product development and that utilises the synergies we hold as a group in India,” he added.

Mr. Karlsson also pointed out that by 2015, Volvo expected that more than 50 per cent of its sales would come from Asia, mainly China and India.

“We are developing a global hybrid and we will showcase it in the upcoming Auto Expo here…this bus will be launched in India in future.

“We also plan to export buses from India to South America like Mexico and Europe,” he added.

According to Volvo Buses Managing Director and CEO (South Asia) Akash Passey, “We now have the local competence and experience to raise the momentum of change manifold. This is just as we expand our market access and raise standards and expectations.

We are on our way to reaching our vision of a $1 billion company with 5,000 buses produced each year by 2015.”

The company is now selling about 1,000 units every year.

BharatBenz trucks from Daimler by mid-2012

Plans to manufacture buses in India as there is a ‘huge potential' in the Indian market

Eager to cash in on the fast growing commercial vehicle segment, Daimler India Commercial Vehicles (DICV) on Wednesday said it would introduce its new range of trucks under the BharatBenz brand by mid-2012.

The wholly-owned subsidiary of Germany's Daimler AG also plans to export trucks from India besides manufacturing buses from its Chennai plant.

“The full range showcase of the new BharatBenz trucks will happen in March …the production starts in April. The market launch will happen in the third quarter of the current year,” DICV Managing Director and CEO Marc Llistosella told journalists here.

In February last, DICV had introduced the new BharatBenz brand for the Indian market.

The company has set up a 400-acre production plant at Oragadam near Chennai with an investment of Rs.4,400 crore in setting up manufacturing and marketing and sales paraphernalia.

The plant will initially produce 36,000 units a year and later expanded to produce 72,000 units by starting 2013 on which the company will spend an additional Rs.350 crore.

Exclusive showrooms

DICV also has aggressive sales plans and is setting up exclusive showrooms in about 100 locations by this year-end. “The total truck market in India (in the 6-49 tonnes range) is estimated to be around 3.4-lakh units and is expected to grow annually at 5 per cent till 2020,” Mr. Llistosella added.

Export plans

On export plans, Mr. Llistosella said the BharatBenz trucks could be exported to markets such as Africa, the Middle-East and Southeast Asia. The company also plans to manufacture buses in India as there is a ‘huge potential' in the Indian market.

Force Motors to launch new variants, products

Force Motors is aggressively focusing on its newest vertical, the personal vehicle devision, to shed its commercial vehicle maker tag. It will display two variants of its SUV, Force One, at the Delhi Auto Expo next month.

""We will show a four-wheel drive and a concept luxury weekend getaway versions at the Auto Expo, with the latter having luxurious interiors,"" said Prasan Firodia, managing director, Force Motors. He added, ""We will also show a new 26-seater monocoque bus which will go into regular production by April 2011.""

The bus will also have two variants, a luxury version which will seat between 10-18 people and the standard 26-seater. Firodia said these buses are targeted at inter- and intra-city needs with the luxury bus being a scaled down version of the standard-setting Volvo luxury coaches. He declined to reveal the price or the names of these products which wil be anounced in Delhi on January 6.

The bus has been developed internally and is not part of the technical collaboration agreement Force Motors has signed with Daimler AG for vans. Those vehicles are still a year away, Firodia said. The passenger and commercial vehicle maker will also show its hybrid Traveller coach while it plans tyo offer CNG on its small commercial vehicle, the Trump

Tata Motors launches new bus models Divo and Starbus Ultra

 Tata Motors Tuesday launched two new bus models, Divo and Starbus Ultra, priced, respectively, at Rs.66 lakh and Rs.15 lakh (ex-showroom New Delhi).

The company said the two models will cater to the growing needs of urban public transport. "With the introduction of the Tata Divo and the Tata Starbus Ultra the company will more comprehensively address the burgeoning need of public transportation," said Ravi Pisharody, president, commercial vehicles business unit.

Divo is a luxury air conditioned coach for inter-city passenger transportation and tourist operations. The bus's design component comes from the company's Spain-based subsidiary Hispano Carrocera.

"Divo offers customised interior features such as different seating layouts in semi-sleeper and seater configurations, wide seats with recline, head flaps and armrests," Pisharody said in a statement.

The bus also sports unique features such as entertainment system, refrigerator, mobile charging points, destination board and public address system.

Divo is powered by a 285 HP Cummins engine coupled with a six-speed overdrive gearbox for higher fuel efficiency.

On the other hand, Starbus Ultra is meant for intra-city transport and is available in luxury, standard, school and deluxe variants.

"These (variants) are available in different seating configurations of 22-46 seater, on different wheelbases," the statement said.

The bus is powered by 497 engine coupled with a six-speed gearbox with overdrive and cable shift mechanism.

Commercial vehicles defy slowdown

Paradoxically, commercial vehicle (CV) sales have belied expectations of a slowdown in spite of weak Index of Industrial Production (IIP) numbers, month after month. Typically, CV sales display a strong correlation to IIP, which mirrors the state of economic activity in the country. But it’s different this time around.

Growth in industrial activity has slowed to 5% during the first six months of fiscal 2012 as against 8.2% during the year-ago period. But the Indian Foundation of Transport Research and Training (IFTRT), in its monthly analysis, said sales growth was 23% in November for light commercial vehicles (LCVs), intermediate commercial vehicles (ICVs) and multi-axle vehicles.

Although there are jitters about a slowdown in the sector, so far LCVs have been leading the run-up in sales. Market leader Tata Motors​ Ltd clocked a 25% year-on-year (y-o-y) rise in CV sales in November, mainly driven by a 38% increase in LCV sales. The company has a 58% share of the LCV market, even as other companies such as Force Motors Ltd​ and Eicher Motors Ltd are registering strong growth and late entrants such as Mahindra and Mahindra Ltd and Ashok Leyland​ Ltd are also faring well.

According to Umesh Karne, analyst, Brics Securities Ltd, “Buoyancy in the sector is due to demand from the organized retail sector, higher demand in consumer durables, construction in urban areas and replacement demand.” Higher replacement is due to insistence from large customers to provide a younger fleet. Meanwhile, better lifestyle in rural and semi-urban areas, along with a higher movement of agri-commodities, has also led to fleet expansion.
Of course, moderation in truck sales is visible. For November, Tata Motors’ truck sales rose a mere 7% from a year ago, compared with double-digit growth registered during October. Ashok Leyland, which has a strong southern presence in trucks, also posted 53% sales growth for November, albeit on a low base. A report by Edelweiss Securities Ltd hints at a lower single-digit increase in trucks from December.
The IFTRT note on monthly sales says that part of the sustained sales momentum is due to high discounts offered by manufacturers, who had raised prices steeply over the last eight quarters. Analysts estimate growth of about 9% in trucks and a robust 16-17% in LCVs for fiscal 2012. Still, market leader Tata Motors’ stock has underperformed the benchmark indices since the June quarter, perhaps due to its exposure to the passenger vehicles segment, which has been hit by a slowdown.
The outlook for CVs as a whole seems to be clearing up, with the interest rate cycle peaking and raw material costs expected to recede. The only grey area is profit margins, which would adversely affect earnings growth and in turn valuations.

Hyundai plans to launch commercial vehicles in India soon

Tokyo: Korean auto major Hyundai Motor on Thursday said it is currently studying the Indian market to launch commercial vehicles as part of its global plan to strengthen the segment.

To begin with, the company that mainly sells compact cars in India, is considering to introduce high-end and premium trucks in the country.

A file photo of a Hyundai plant

“There are lots of possibilities to launch commercial vehicles in India. We are currently studying the Indian market. So, we are planning,” Hyundai Motor Company deputy general manager (commercial vehicle marketing team) J. D. Lee told the news agency on the sidelines of the Tokyo Motor Show.
Asked by when the company could launch the commercial vehicles in India, he said, “We hope to launch it very soon.”
Without giving details, Lee said the company is looking at high-end and premium trucks for the Indian market initially. Besides, it is also considering at introducing buses as well.
“We are trying to launch high-end and premium trucks. As far as the models that we have, I think it is not a problem. We have many models all over the world,” he added.
He said the company took time to enter the Indian commercial vehicles market as the low cost ones used to be more attractive there, which is changing now.
“Premium model truck is attractive (now) for the Indian market but we think bus is also profitable,” Lee said, adding the company is deciding which model will be launched.
“Then, we will decide how many units. It is not enough to just launch a product, we have to think about the service part also and that is taking time,” he added.
The company, which Thursday showcased a new luxury bus ‘Universe’ here, said it has gradually expanded its presence in the commercial vehicle segment over the last few years, starting with Japan and South Africa.
Besides, last year it had entered Spain, China, Vietnam and Pakistan as well.