Heavy-Duty Gains Mask a Softening Bus Market for Volvo Eicher

VE Commercial Vehicles (VECV), the joint venture between Eicher Motors and Sweden's Volvo Group, reported a robust start to the calendar year, with total wholesales climbing 24.9% in January 2026 compared to the same period last year.

The company, which is part of Eicher Motors, shipped 10,601 units in January, up from 8,489 units in January 2025. These figures represent “wholesales,” which in the automotive industry refers to the number of vehicles a manufacturer sends to its dealerships, serving as a primary indicator of factory activity and anticipated retail demand.

The growth was primarily fueled by a significant uptick in the domestic truck market. Sales of Eicher-branded Small, Light, and Medium-Duty (SCV/LMD) trucks, vehicles typically used for last-mile urban deliveries and regional logistics, surged 42.6% to 5,401 units. Similarly, Heavy-Duty (HD) trucks, the workhorses of the long-haul freight and construction sectors, saw a 33.5% increase, totaling 2,680 units.

However, the domestic bus segment proved to be a drag on the overall performance. Sales for Heavy-Duty buses plummeted 65.4%, while Light and Medium-Duty buses saw an 11.4% decline. This divergence suggests a cooling in institutional or public transport procurement even as industrial and e-commerce-driven logistics remain hot.

Beyond Indian borders, VECV’s export strategy showed significant momentum. Total exports leaped 55.8%, reaching 701 units. The growth was most pronounced in the export bus segment, which skyrocketed by 175% year over year.

The premium Volvo Trucks and Buses segment remained relatively stable, posting a modest 2.4% increase, with 171 units sold in January.