Bengaluru: Luxury vehicles company Volvo Cars on Thursday announced that it will start vehicle assembly operations in India in the fourth quarter of 2017.
“Volvo Cars, in association with, The Volvo Group, will soon start assembling cars in our existing facility at Hosakote in Bengaluru,” said Tom von Bonsdorff, MD, Volvo Auto India.
The company plans to reduce risk in India by aligning its strategies with the ‘Make in India’ policy. “Volvo Cars aims to take 10 percent of share in super luxury cars segment by 2020 in India,” said Mr. Bonsdorff.
Volvo Cars currently has 17 showrooms and plans to add four more in Pune, Lucknow, Delhi and Ludhiana in 2017. Volvo Cars, according to Mr Bonsdorff, has gained more traction in South Indian cities such as Vijayawada, Hyderabad, Vizag and Telangana. He feels that the Indian luxury car market is still relatively small and needs to grow in the coming years.
“Volvo Cars in India have had a robust 32 per cent growth in sales volumes in the past 2 years and the 2017 trend is as per our plan to achieve 2000 cars, this will give us a growth of 25 per cent year-on-year,” said Mr Bonsdorff.