[volkman10]

Volvo Cars commits to ‘Make in India’, local assembly confirmed. Strategic alliance with the Swedish Volvo Group India for assembly of cars in Hoskote -Bangalore, that currently builds trucks and buses.

Volvo Auto India Plans,
- XC90 SUV roll out in this year -2017
- Local assembly of all SPA (Scalable Product Architecture) platform ( XC90/S90)
- Future plans V90 CROSS Country
- XC 60 Compact SUV

While the Indian premium market is still relatively small, it is forecast to grow rapidly in coming years. Volvo currently has a premium segment share of close to 5 per cent and aims to double this by 2020. In 2016, Volvo sold over 1,400 cars in India, an increase of 24 per cent compared to 2015. Year-on-year sales growth in the first four months of 2017 amounted to more than 35 per cent.

[CrAzY dRiVeR]

Originally Posted by volkman10

Volvo Cars commits to ‘Make in India’, local assembly confirmed.

Excellent news and really looking forward to it. Volvo has been pricing their cars really well even though they were CBU units. Now things should get more interesting with the local assembly plan.

Moreover, the modern generation Volvo cars are becoming very competent, capable of giving the Germans a run for their money.

[dZired]

Volvo Cars India has officially confirmed plans to start local assembly of its cars in India. The XC90 flagship SUV will be the first product to be assembled locally, while other models in the Swedish automaker's portfolio will also take the CKD route in the future. The company is targeting to introduce the first locally built model in the Indian market by the end of this year.

For the said local assembly operations, Volvo Cars India will be using the existing infrastructure of the Volvo Group in the country. Volvo already manufactures trucks and buses at a plant in Hoskote, near Bangalore. The XC90 too will be assembled at this facility for the time being. Eventually, Volvo wants to start local assembly of all models based on the SPA (Scalable Product Architecture) platform.

With the commencement of local assembly, Volvo will no longer need to pay heavy taxes on its CBU imports. This will help the automaker to price the products more competitively, which might in turn provide a boost to the company's sales figures. Volvo currently has a market share of 5% in the premium vehicle segment, which the automaker is aiming to double by 2020.

Link to Team-BHP News

[motorworks]

I hope Volvo can bring its prices down. Instead of trying to be an alternative to the Big 3, Volvo can position itself as an alternative to the other niche players. For example, how about the S60 at a Skoda Superb kind of price point? It would really prove to be a good alternative.

[Sahil]

Good move by Volvo, they will now be seriously playing with the big boys. All these years they seemed to be just testing the waters trying to be niche but I am glad they have shown their commitment to market to finally get CKD models.

The XC90 is a great looking car and if priced well can sell well here. However, it might not bring in big volumes to justify manufacturing, they should look at lower models soon. Hopefully they clean up their portfolio and focus on products that are relevant here, models like the S60 All Road are perhaps one of the worst launches in the luxury car market in India.

[quickdraw]

This is great news, hopefully, they will continue the trend of pricing their products well. Unfortunately, they still have a long way to go in terms of the dealer network. I tried reaching out to them multiple times to get an S90 TD but for some reason, it never happened and we ended up going for a 5 series with massive discounts.

Originally Posted by Sahil

models like the S60 All Road are perhaps one of the worst launches in the luxury car market in India.

What are you referring to?

[sandeepmdas]

Excellent news made sweeter by the timing of it: on a day Chevy decided to shut Indian sales ops.

Thanks for their buses and trucks, Volvo does not need to build their brand in India anymore. They have that advantage over Lexus and even Porsche.

[CrAzY dRiVeR]

Originally Posted by dZired

Volvo already manufactures trucks and buses at a plant in Hoskote, near Bangalore.

Interestingly (and news to me) - the press release clearly says that Volvo cars and Volvo buses have only one common thing between them - the name. And are two entirely seperate entities.

Originally Posted by quickdraw

What are you referring to?

I guess he is referring to the S60 Cross Country

http://www.team-bhp.com/forum/indian...nto-india.html

[volkman10]

Originally Posted by CrAzY dRiVeR

Interestingly (and news to me) - the press release clearly says that Volvo cars and Volvo buses have only one common thing between them - the name. And are two entirely seperate entities.

Yes there is nothing in common but Volvo Group India will lend out a portion of their manufacturing plant in HOSKOTE for assembly of Volvo cars. They will probably use the test track available for trucks also and seem to have worked well as cultures( origin) seems to converge too.

Financial details for above has not yet been revealed, This is a strategic alliance and these talks were kind of on and off in the last one year.

[quickdraw]

Originally Posted by CrAzY dRiVeR

I
I guess he is referring to the S60 Cross Country

http://www.team-bhp.com/forum/indian...nto-india.html

Oh, yes I remember that thread. Looks like things have changed since then. With the polestar launch, S90 pricing and XC killing it in sales. They have an amazing portfolio of products and great pricing. But the fact that they missed out on a sale just because they are internally confused (I booked the TD online). Let's hope Volvo pulls their socks up now that it has skin in the game. I'm sure they can have a great market share in next few years.

[sgiitk]

Great news. I have always had a soft corner for Volvo. The nearest think to a 'tank' you can get. In the EU they are the preferred mounts of Doctors for their reliability and toughness.

I remember in the UK one of our colleagues had a chain reaction of his Volvo with his f-i-l's Merc. The Volvo survived almost unmarked.

[atu2good]

Welcome news!! When it comes to Volvo people have always appreciated their solid build no nonsense approach towards car making, though not so much can be said about the plain looking non racy exteriors. With the introduction of XC90, S90 and the Polestar all of that is changing for the better. The most obvious revision in the design language have been the new headlights. The lamps have been given Volvo’s Thor’s Hammer’ daytime running light layout and the grille’s been altered to include the company’s updated badge design.
Also with CKD the car prices, regestration and insurance prices will go down

[GTO]

As a firm believer of the 'if you want to sell it here, build it here' philosophy, I'm delighted by this news. The new & sexy Volvo is in stark contrast to the old & boring Volvo. If I were running Mercedes / BMW / Audi India, I'd definitely be keeping a close eye on Volvo. Their new designs are extremely desirable, the tech is there, and their cars are generally well-priced. If it has priced CBUs so nicely, one can only predict how competitive the CKDs will be.

Am certain that the success of the XC90 made Volvo headquarters send the $$$ here. At the global level, Volvo is still a small company and it has to carefully watch its expenditure. Says a lot about the potential of the luxury market in India.

Also says a lot about the Indian-owned Jaguar-Land Rover which doesn't seem to have the commitment that foreign luxury marques are showing here. Strange no?

On an end note, competition is only going to make things better for us customers. Audi, BMW & Mercedes don't have it easy. The new kids on the block (Volvo, Lexus and Jaguar-Land Rover) want a piece of the action too. Porsche is also launching more & more smaller cars at lower price points. Fun times ahead.

[volkman10]

Volvo cars will enter into contract manufacturing of cars with Volvo Group India at its facility in Bangalore.

Will use the infrastructure and licences of the Volvo Group.

There are two things here: firstly, we will have to ensure that the cars that come out of that plant are in line with our global quality benchmarks

Secondly, it was known that we were looking for partners in India for contract manufacturing or a similar assembly setup. We just found out that Volvo Group India’s setup is very good for us. We are quite happy about the fact that we will be able to use their infrastructure and licenses they have. We think that with the current volume and with the projections that we have for the next few years, this is the best solution

Link

[volkman10]

Reliable sources confirm all parts in CKD kits arrives for XC 90.

The first locally built XC 90 rolls out of the assembly line.