Volvo Cars, the premium carmaker, announced today that it will start vehicle assembly operations in India in 2017.
In establishing its assembly operations, Volvo Cars is working together with Volvo Group, the truck, bus and construction equipment manufacturer, and will make use of Volvo Group’s existing infrastructure and production licenses near Bangalore.
The assembly operations will be located near Bangalore in southern India and focus on models based on Volvo’s SPA modular vehicle architecture.
In 2016, Volvo sold over 1,400 cars in India, an increase of 24 per cent compared to 2015.
Volvo currently has a premium segment share of close to 5 per cent and aims to double this by 2020.
As it stated in
Geely’s Volvo Cars to start India assembly by year-end
Volvo Cars will set up the assembly operations together with Volvo Group India and Penta engines manufacturer, and will make use of Volvo Group India’s existing infrastructure and production licenses.
Volvo Cars has been owned by China’s Zhejiang Geely Holding (Geely Holding) since 2010.
Volvo Group India currently manufactures Volvo trucks, buses and construction equipment at its Hosakote unit.
Volvo Auto India, which sells and markets the Volvo car in India, said the establishment of the unit was part of its long-term commitment towards the India market.
Swedish luxury carmaker Volvo Cars on Thursday said it would roll out its first India-assembled car by the end of the year.
As it stated in Geely-owned automaker Volvo Cars said on Thursday it would start vehicle assembly operations in India this year aiming to grab a bigger share of the country’s fast-growing premium car segment.
Volvo Cars has a premium segment share of roughly 5 per cent, and aims to double it by 2020.
Volvo Cars said it will be working together with Volvo Group in India , using the truck maker’s infrastructure and production licences, but disclosed no financial details.
“Starting vehicle assembly in India is an important step for Volvo Cars as we aim to grow our sales in this fast-growing market and double our market share in the premium segment in coming years,” Volvo Cars chief executive Hakan Samuelsson said in a statement.
Volvo’s sales in India rose 24 per cent in 2016 to over 1,400 cars.