April 19, 2021

Volvo India to exit diesel, plans to go full electrical

(This story initially appeared in on Mar 10, 2021)

Swedish luxurious carmaker Volvo will likely be phasing out diesel automobiles from India by the top of this 12 months and progressively transfer over to solely electrics as the corporate works in direction of native meeting of inexperienced automobiles.

The corporate, owned by China’s Geely, plans to launch one electrical automobile per 12 months because it shifts its automobile portfolio to sustainable mobility, consistent with the worldwide plans of its guardian for a whole transition to inexperienced, Jyoti Malhotra, the brand new MD of Volvo Vehicles India, stated.

The corporate unveiled its first full-electric automobile meant for India — ‘XC40 Recharge’ compact SUV — and this will likely be launched in direction of the start of the festive season later this 12 months (prone to be priced round Rs 45 lakh).

Malhotra stated the corporate is contemplating native CKD (utterly knocked down) operations as GST on electrics is 5% in opposition to 45-50% on bigger petrol/diesel automobiles.

“We’re evaluating (native EV) now… We’re growing a enterprise case,” he stated, including that the corporate may even conduct a feasibility examine for a battery meeting plant and likewise attainable export of inexperienced automobiles.

Malhotra stated Volvo India expects a wholesome development in its enterprise, and is seeking to double gross sales in two years from 1,400 items it offered in 2020. “Enterprise was difficult final 12 months because the nation and the economic system was hit by corona pandemic. Nonetheless, issues have bounced again, and we’re seeing numerous positivity now.”