Daimler India CV to invest Rs 4,000 crore in Tamil Nadu
Daimler India Commercial Vehicles (DICV) on Thursday announced an additional investment of around Rs 4,000 crore in Tamil Nadu to strengthen its capabilities needed for the next phase of BharatBenz growth in India.
The move will support BharatBenz trucks and buses, manufacturing, research and development, infrastructure and future technology readiness, besides creating 400 jobs over the proposed period, the Daimler Truck AG's wholly-owned subsidiary said.
The additional investment would take DICV's cumulative investment in the domestic market to over Rs 14,500 crore, reaffirming its long-term commitment to building BharatBenz in India, the company said.
The additional investment is being outlined as part of a non-binding facilitation memorandum of understanding (MoU) with the Tamil Nadu government at the Tamil Nadu Investment Conclave, it added.
BharatBenz has over 2,20,000 trucks and buses operating in India and catering to freight movement, construction, mining, logistics and passenger mobility, with a network of 420 dealers, according to the company.
"As infrastructure, logistics, mining, construction and passenger mobility continue to expand, Indian customers need trucks and buses that deliver higher uptime, safety, reliability and operating efficiency.
"Through BharatBenz, we are strengthening products, localisation, service readiness and parts availability for India, while also reinforcing the country's role as an important manufacturing and supply base within Daimler Truck's global network," said Torsten Schmidt, Managing Director and CEO, Daimler India Commercial Vehicles.
India's commercial vehicle market is closely linked to the country's economic progress, DICV said, adding that continued investment in roads, highways, industrial corridors, ports, mining, logistics infrastructure and public mobility is increasing the need for reliable trucks and buses that can deliver higher uptime, safety, efficiency and total cost of ownership.
The company said its India ecosystem is built to support this next phase of growth.
It has a 400-acre integrated manufacturing and R&D facility at Oragadam near Chennai, with approximately 92 per cent of BharatBenz product value localised through its Indian supplier ecosystem.
While BharatBenz remains DICV's core India brand, the company also plays an important role in Daimler Truck's global network as a manufacturing, sourcing and engineering base.
DICV said it has exported more than 75,000 trucks and buses and over 330 million parts to more than 70 markets, while also supplying transmissions from Chennai to Daimler Truck plants in Germany.
This gives India a dual role: serving one of the world's most demanding commercial vehicle markets through BharatBenz, and contributing products, parts and capabilities to Daimler Truck's international operations, it stated.
With this proposed investment, DICV aims to deepen the foundations that have shaped BharatBenz in India: localised product development, strong supplier partnerships, nationwide customer support and a growing role in Daimler Truck's global manufacturing and supply network, it said.
