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Gurgaon News - 2004

Volvo to make India export hub

NEW DELHI : Swedish truck major Volvo Corp is gearing up for an off-highway drive in India . The euro 19-billion major is planning to enter the construction equipment, marine engines and power systems markets, initially through the import route. In addition, it plans to make India the manufacturing and export hub for trucks and hi-tech buses.

Volvo, in an application filed with FIPB, said the trucks and buses would be supplied to various Volvo group companies across the globe. "The Volvo group is in the process of making additional investments in India to make this a hub for the Asia-Pacific region for manufacturing buses and trucks," it said.

The Swedish firm said it has also identified manufacturers of high-quality and low-cost components in India . The company has established an emerging market sourcing division in India.

Regarding its expansion and diversification plan for the Indian market, Volvo said it plans to import and sell various construction equipment, including excavators, wheel loaders, graders and articulated haulers. The products would be used in areas like infrastructure, mining land fill, steel and cement manufacturing. It plans to enter the leisure industry, through import route, by marketing its range of marine engines in the country