VECV to produce Volvo Group's AMT in India

VE Commercial Vehicles (VECV), a joint venture between Volvo Group and Eicher Motors, announced an investment of ₹544 crores for the production and final assembly of Volvo Group's 12-speed Automated Manual Transmission (AMT). This greenfield factory will be established at Vikram Udyogpuri Integrated Industrial Township, near Ujjain, Madhya Pradesh, with an initial capacity of up to 40,000 units annually.

This strategic move, aligned with India's "Make in India" vision, leverages VECV's 18-year successful partnership with Volvo Group. The AMT technology is globally proven to enhance fuel economy, productivity, and reduce driver fatigue. Approximately 90% of the AMT units produced by VECV will be exported or sold to Volvo Trucks Corporation, Sweden, under a technology license arrangement, while the remaining units will be integrated into Eicher Heavy Duty trucks.

The project is deemed commercially beneficial for VECV, securing state-of-the-art technology and providing good returns. It signifies a substantial step in modernizing commercial transportation in India and other emerging markets, benefiting both Volvo Trucks Corporation and VECV in their respective heavy-duty truck businesses.