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Scania inaugurates manufacturing facility in India

Volkswagen-group owned Swedish commercial vehicle (CV) maker Scania has just set up a manufacturing facility at Bangalore, India. The facility will build both on-road trucks and buses through separate assembly lines for the Indian market. While Scania has had a presence in the commercial vehicle space since 2007, through its alliance with Larsen and Toubro for off-road and mining trucks, it is only recently that the CV maker has forayed into the on-road truck and inter-city bus spaces. Click here to read Team-BHP's report on Scania's inter-city buses

High points of Scania's new factory at Narsapura, off Bangalore:

  • The factory entails an investment of 250 crore rupees
  • The factory plans to employ 800 people in the next five years
  • Scania's plans include the assemblage of 2,500 heavy haulage trucks and 1,000 inter city buses
  • The localization level for trucks stands at 18 % while that for bus bodies stands at 100 %
  • Scania plans to progressively include higher local content in both its trucks and buses
  • The facility will also contain a service workshop and a central parts warehouse
  • The facility will function as Scania's Indian head office and the head of all commercial operations within the country
 
Scania's Narsapura factory is in close proximity to Volvo's bus and truck factory. Narsapura also plays host to Honda's two wheeler factory, with British motorcycle maker Triumph also likely to set shop nearby. Trial production for off-road and mining trucks has begun at Scania's new factory in Narsapura. The production of on-road trucks will begin shortly with bus production to commence from early 2014. In India, Scania will primarily take on commercial vehicle makers such as Volvo, MAN, Mercedes Benz, Tata Motors and Ashok Leyland. Notably, the Volkswagen group owns two CV makers that operate in India, Scania and MAN. 
 
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