CHENNAI, Mar 12: Swedish luxury car maker Volvo Cars
India would introduce ‘Make in India’ battery operated plug-in
hybrid during the second half of this year, a top official has
said.
The company besides introducing the hybrid would also
look at tapping rural markets in the country under its plan to
expand footprint, Volvo India, Managing Director, Charles
Frump said.
Soon after the government had lowered customs duty on
import of parts and components of electric vehicles to 10 from
15 per cent in January, the company discussed its plan to
bring in battery-operated electric vehicles to India, he said.
“I think we are going to be the first automotive company
in India to have a Make in India, plug-in hybrid. That will be
coming on XC90 in our Bangalore facility, in the second half
of the year.
So this is quite an exciting announcement to make.
We already have a CBU plug-in hybrid and I think to make
that as a local assembly is exciting for us”, he told PTI.
To a query about the localisation level of cars to be
introduced in India by Volvo, he said, “in October 2017 we
opened our Bangalore facility and we started with XC90 and
then over the course of last year we added X90 and XC60.
Now, 60 per cent of our vehicles are assembled in
Bengaluru from a volume perspective”.
“We have decided to expand the line up on the number of
cars assembled here,” he said.
On tapping tier II and III markets, he said the company
was looking at expanding in smaller cities.
“Recently we added a dealer in Indore and Raipur. We
opened a showroom in Calicut. Volvo has good representation in
Vijayawada, Vishakapatnam and so there is good opportunity for
us in some of the smaller growing markets”, he said.
“But at the same time we have added a showroom in Noida
recently. Even in bigger markets, we have seen opportunity
(coming up),” he said.
On factors driving sales in rural areas, he said raising
income, understanding of luxury cars among customers.
“We have 25 outlets now. This year we are looking at two
or three more outlets (to expand presence)”, he said in
response to another question.
Frump and senior company officials were here recently to
announce the company’s dealer Artemis Volvo Cars, which is now
certified as a Volvo Personal Service dealer.
Under the Volvo Personal Service Dealer initiative, a
customer would get reduction of waiting time by at least 50
per cent, enabling technicians to have direct contact with
customers among others.
In 2018, Volvo Cars India reported a 30 per cent rise in
retail sales at 2,638 units as against 2,029 units in 2017.(PTI)
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