A little less than five months after it announced assembly operations in India, the Swedish premium carmaker has rolled out its first locally assembly product, an XC90 SUV.
10 Oct 2017 | 4626 Views | By Autocar Pro News Desk
Volvo Cars, the Swedish premium car manufacturer, today rolled out first India-assembled car – the XC90 SUV – from its plant in Bangalore. On May 18, 2017, Volvo had announced that it would start assembly operations in India later this year. The company says the India market has strong long-term ...
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Volvo Cars, the Swedish premium car manufacturer, today rolled out first India-assembled car – the XC90 SUV – from its plant in Bangalore. On May 18, 2017, Volvo had announced that it would start assembly operations in India later this year. The company says the India market has strong long-term potential for the luxury vehicle segment and the decision to assemble Volvo cars locally is in line with its aim to achieve a 10 percent segment share by the end of the decade.
The assembly operations focus on models based on Volvo’s SPA modular vehicle architecture. Apart from the XC90, more models on the SPA architecture are slated for local assembly and an announcement on the same will happen at a later stage.
Volvo Cars is working together with Volvo Group India – the truck, bus, construction equipment and Penta engines manufacturer – for its assembly operations and is making use of Volvo Group India’s existing infrastructure and production licenses near Bengaluru.
"It’s a moment of great pride for all of us at Volvo Cars,” said Charles Frump, the newly appointed managing director for Volvo Auto India. “The rollout of the first locally assembled Volvo car speaks volumes for the company’s commitment to grow further in India. The last three years have been good for us in India and we noticed a positive and encouraging growth in terms of increased segment share, world-class product and new dealer appointments. With global standards in quality, we are a formidable luxury car company in India and on-track to gain a bigger share of the segment.”
“Volvo Cars’ decision to assemble its models locally reflects the ‘Make in India’ initiative and benefits our customers. While the Indian luxury market is still relatively small, it is forecast to grow rapidly in coming years. Volvo currently has a segment share of about 5 percent and aims to double this by 2020. Volvo Cars in India have had a robust 32 percent growth in sales volumes in the past two years and the 2017 trend is as per our plan to achieve 2,000 cars, which will witness a growth of 25 percent year-on-year,” said Frump.
In 2016, Volvo sold over 1,400 cars in India, an increase of 24 percent compared to 2015.
Volvo Auto India currently sells eight luxury models comprising the S60 sedan, S60 Cross Country, V40 hatchback, V40 Cross Country, XC60, XC90, XC90 Excellence plug-in hybrid, and the S90 premium sedan.
The carmaker currently markets its products through its dealerships in South Delhi, West Delhi, Gurgaon, Ahmedabad, Surat, Mumbai, Chandigarh, Coimbatore, Hyderabad, Chennai, Bangalore, Kochi, Vishakhapatnam, Kolkata and Vijayawada. Expanding soon to Lucknow and Pune.