Volvo plans local assembly of hybrid vehicles in India

According to a recent media report, Volvo is planning to start local assembly of hybrid vehicles in India. In addition to hybrids, the company is also considering additional models from its non-hybrid line up for local production in the next 2-3 years.

Charles Frump, MD, Volvo Car India has told the media that it is currently evaluating the possibility of building hybrids locally. The carmaker is also in talks with the government to create a favourable environment for the sale of hybrid vehicles in India, which will be a stepping-stone towards electric vehicles (EV).

Currently, the XC90 and S90 are locally assembled at Volvo's manufacturing facility near Bangalore. The company plans to start locally assembly of the XC60 and V90 Cross Country sometime around 2019. Meanwhile, the XC40 compact SUV is likely to be launched later this year. Volvo might build the XC40 in India in order to compete with rival brands.

Volvo's first electric car is scheduled for launch in 2019. Moreover, by 2025, the company is aiming to sell 1 million EVs globally and that includes India. Maruti and Toyota have already announced their plans to launch their first EV in India in 2020. Hyundai too has shown interest in the EV space and plans to start local assembly of EVs by 2019.

Source: Economic Times