Daimler to showcase its ‘Make in India’ program at Hannover Fair

Daimler AG is to showcase its extensive involvement in India at its stand at Hannover Messe, the world's leading industrial show in halls 6 and 16, on April 13 -17, 2015. India is the partner country for the trade fair this year and prime minister Narendra Modi’s visit is slated for next week.

Dr Dieter Zetsche, chairman of the Daimler Board of Management and Head of Mercedes-Benz Cars is slated to meet the Indian prime minister. Among the topics to be discussed will be the ‘Make in India’ which seeks to further strengthen India’s industrial base, thus developing the country to an internationally recognized production hub.

"There are already more than a billion people living in India. Their demand for mobility is high - they want to travel by bus and receive prompt deliveries by truck. We are expecting continued growth of the country's population and economy and thus also of the sales market for commercial vehicles," said Dr. Wolfgang Bernhard, member of the Board of Management of Daimler AG responsible for trucks and buses. "We at Daimler Trucks and Buses recognized the potential of the Indian market early on and have been utilizing it consistently ever since."

Daimler has invested around 700 million euros (Rs 5,350 crore) in the set-up of the Oragadam, Chennai plant and the development of the BharatBenz truck brand which has trucks in all major weight categories, from nine to 49 tonnes. Around two and a half years after the market launch, there are over 20,000 BharatBenz trucks in use on Indian roads.

“BharatBenz trucks stand for quality, reliability, and efficiency. Thus, they offer exactly what our Indian customers need. Our sales figures reflect this: Last year, sales of our vehicles rose by 59 per cent compared to the previous year,” says Erich Nesselhauf, CEO and managing director of Daimler India Commercial Vehicles (DICV). “The start of the bus production marks the next chapter of our success story. We are excited to present our activities in India at the Hannover Messe.”

Daimler is investing another 50 million euros (Rs 382 crore) in the bus plant, which will start operations on the premises of the existing plant at the end of May. The plant has an initial capacity of 1,500 units per year with a possible expansion to 4,000 buses. This is where rear-engine buses for the premium segment will roll off the assembly line under the Mercedes-Benz brand . The product portfolio will also include front-engine BharatBenz buses tailored to the requirements of the Indian high-volume bus market.

With a high level of local content and the export business from India, Daimler's commercial vehicles business is already a prime example of this target. Daimler Trucks and Buses use a high level of local content for production in Chennai. About 85 percent of the vehicle components are produced locally.

Since 2013, Fuso trucks have also been rolling off the line in Chennai under the umbrella of Daimler Trucks Asia. These trucks are earmarked for export to the growth markets of Asia and Africa. Exports to the Middle East and Latin America are to follow this year.