Daimler Trucks plans over Rs 2,500 crore of new investments in Asia

Mumbai, November 22, 2013: The Indian commercial vehicle may be witnessing one of its worst times, but the long-term outlook for the market is positive.

Global automobile major Daimler’s latest investment decision reflects that confidence for India as well as other Asian markets. The company will invest over Rs 2,500 crore (€ 300 million) between 2014 and 2018 to boost the production and sales network of Daimler Trucks in Asia. This is over and above the existing and already planned investments. Daimler has a total dedicated investment of over Rs 4,400 crore (approximately €700 million) in its India commercial vehicle plant at Oragadam, near Chennai. The company has Mitsubishi Fuso Bus and Truck and Bus Corporation (MFTBC) and Daimler India Commercial Vehicles (DICV) in Asia. The two commercial vehicle subsidiaries MFTBC and DICV are bundling their Asia business under the umbrella of Daimler Trucks Asia with a view to reaching their joint target of 290,000 units of the FUSO and BharatBenz brands until the year 2020.

Dr Albert Kirchmann, president and CEO, MFTBC, said: “With this investment, we will expand our existing production and assembly network in order to prepare ourselves for the demand in Asia and Africa. Thus, we are investing in the future of a strong team from two cultures. I am proud of the team from Japan and India, which is working hard together in order to bring the right products for the future markets on road”.

Daimler AG announced the debut of the DICV-manufactured Fuso FI (medium-duty) truck at the ongoing Tokyo Motor Show. The vehicle, which is one of a total of five Fuso truck models from the production facility of Daimler India Commercial Vehicles, is custom-tailored to customers in the growth markets of Asia and Africa.

Photograph: The new made-in-India Fuso F1 (medium-duty) truck from DICV celebrates its international trade fair debut at the 2013 Tokyo Motor Show. This model, along with four other models, is intended for export in the Asian and African growth markets and is to be marketed in 15 selected countries by the end of 2014.