Daimler India Commercial Vehicles (DICV), the BharatBenz maker and Daimler Truck subsidiary, has signed a non-binding facilitation memorandum of understanding (MoU) with the state of Tamil Nadu for a proposed Rs40bn ($419.1m) investment. <\/p>\n
The commitment would bring DICV’s total investment in India to over Rs145bn. <\/p>\n
The funds are earmarked for BharatBenz product development, manufacturing, research and development, infrastructure and technology readiness, with the initiative expected to generate roughly 400 jobs over the proposed timeframe. <\/p>\n
DICV runs a 400-acre integrated manufacturing and R&D site at Oragadam, near the state capital Chennai, where it employs more than 4,000 staff and works with over 400 local suppliers. <\/p>\n
The company said that it sources around 92% of BharatBenz product value from its Indian supplier network. <\/p>\n
BharatBenz entered the Indian market in 2012. <\/p>\n
The company has also recently opened a Parts Logistics Centre in Pune, aimed at improving parts availability and dealer service support. <\/p>\n
Beyond its domestic operations, DICV plays a role in Daimler Truck’s global supply chain. <\/p>\n
It has exported more than 75,000 trucks and buses along with over 330 million parts to upwards of 70 markets, and ships transmissions from its Chennai operations to Daimler Truck facilities in Germany. <\/p>\n
DICV managing director & CEO Torsten Schmidt said: “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. <\/p>\n
“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.” <\/p>\n
In June this year, DICV signed an MoU with the Ministry of Road Transport & Highways (MoRTH) under the Government of India’s scheme for replacing old trucks and buses in the Delhi-NCR (National Capital Region). <\/p>\n