OSM Bangladesh JV to invest $10mn for electric truck manufacturing foray.

Faridabad-based Omega Seiki Mobility (OSM) has entered into a joint venture (JV) with Dhaka-based Brandwin group for the proposed JV entity to invest US$10 million for manufacturing and distributing its 1-ton and 3-ton MIKA trucks which are expected to take the CKD route initially with commercial production expected to begin by mid-2024.

Company officials declined to share the exact structure of the partnership with the Brandwin Group JV entity but confirmed that OSM will be the technology partner in the joint venture.

“The trucks JV entity formalities will be closed in the next two to three months and we plan to make close to 500 electric trucks per year.” company officials said.

Uday Narang, Founder and CEO of Omega Seiki Mobility sharing his input on the announcement said ” We will support Bangladesh’s switch to sustainable last-mile transportation with our electric two and three-wheeler to trucks foray as part of our commitment towards to Net Zero and creating sustainable transportation solutions which promote clean mobility.”

With the Brandwin JV OSM plans to disrupt the high-priced BEV trucks market and export its Mika range of trucks to the Far East, Africa, and even Europe to “take OSM on the global electrification map” Narang further said.

OSM’s Bangladesh partner for electric trucks Ali Haider Ratan, Managing Director & CEO, Brandwin Group of companies sharing his views on the JV said that usage of electric vehicles is all set to increase in Bangladesh and one of the major advantages with OSM lies in their Korean lineage for BEV trucks.

“By maintaining high quality and with proper marketing strategies we believe, we can secure a large portion of the market share within the shortest possible time in Bangladesh.” Haider Ratan further added.

The EV maker’s electric three-wheeler passenger and cargo JV in Bangladesh with the Nitoy-Niloy Group announced in 2021 will start commercial production by April 2023.

The Nitoy-Niloy Group is one Bangladesh’s largest importers and distributors of Tata Motors.

OSM which is also a leader in India’s last-mile service category with its brand “UNOXpres” is running its fleet operation across 20 cities.