VE Commercial Vehicles Limited (VECV), a joint venture between the Volvo Group and Eicher Motors Limited, is looking to participate in upcoming government tenders for the rollout of electric buses, Suresh Chettiar, Executive Vice President of VECV’s Bus Division said.
Chettiar said this on the sidelines of the PRAWAAS 4.0 event held recently in Bengaluru, where the company showcased its range of public mobility solutions.
VECV currently has between 300 and 350 electric vehicles operating on Indian roads. “Our intent is to grow gradually to ensure we remain relevant to the applications we are participating in,” said Chettiar, highlighting the company’s strategic approach to market expansion.
At the event, VECV presented an array of products including the luxurious Volvo 9600 coach, the electric Eicher Skyline Pro-E 13.5m monocoque intercity coach, and the Eicher Skyline Pro 3010 school bus. Since its inception in August 2008, VECV has established a comprehensive portfolio encompassing Eicher-branded trucks and buses, Volvo Buses India, exclusive distribution of Volvo Trucks in India, engine manufacturing and exports for the Volvo Group, and non-automotive engines, alongside its Eicher component business.
Chettiar pointed to robust demand for buses in India, driven by macroeconomic changes and overall societal development. “Economic growth is transforming infrastructure, enhancing the economic conditions of urban dwellers, and improving overall quality of life,” he noted, emphasising the industry’s recovery from the downturn caused by the pandemic.
Following the initial revival post-COVID-19, the industry saw a surge in replacement demand, which was soon bolstered by new demand growth. “We are in the midst of unprecedented growth in the bus industry,” Chettiar observed, adding that the sector has witnessed a 20% growth rate over the past year, mirroring similar gains from the previous year. Demand is rising across various segments, including school buses, staff transport, state transportation units, and tourism.
“We are now seeing momentum that is growth-oriented, and I expect this growth trajectory to continue for the next couple of years, with the industry resetting at higher levels,” Chettiar concluded, underscoring VECV’s optimistic outlook on sustained market expansion.