Ashok Leyland’s JV to foray into passenger transport vehicle segment

Ashok Leyland Ltd. | Automobiles-Trucks/Lcv | Automobiles | BSE: 500477 | NSE: ASHOKLEY

09 Dec 2011 Evaluate

Ashok Leyland and Nissan Motors’ JV - Nissan Ashok Leyland Technologies that launched LCVs for cargo transportation this September, is planning to foray into the passenger transport vehicle segment in the next couple of years.

The company will launch passenger segment vehicles and goods light commercial vehicles (LCV) powered by diesel and CNG fuel in its second phase of expansion. The LCV for goods transportation will be of 12.5 GVW (Gross Vehicle Weight), with a pay load capacity of 5-6.5 tonnes. In the passenger segment, the seating capacity would be for eight to 24 passengers. The production will commence during 2012-13 and the company would launch one new variant every year for the next 4-5 years.

The company had launched LCV for cargo transportation in September, this year and the reaction and response from the market has been very positive. The booking had surpassed 3,000 units.

Recently, Ashok Leyland had reported 53.36 percent jump in commercial vehicle sales at 7,878 units in November. The company had sold 5,137 units in the same month of 2010.

The company’s domestic sales were 6,477 units in November, as against 3,885 units in the same month of the previous year, up 66.72 percent. The exports increased 11.90 per cent to 1,401 units last month from 1,252 units in the year-ago period.