Daimler Trucks Asia to receive a boost of 300 Million for production network

Lately there was a rumor in the market of commercial vehicles that Daimler Trucks are in a mood to expand their production network. The rumors have proven to be true with the announcement of an investment that will be of 300 million. This amount will be spent to boost the vehicle production as well as the sales network in the Asiatic market. The Daimler India Commercial Vehicles Pvt. Ltd., which is also known as DICV in the commercial vehicle market has also announced that it would manufacture FUSO FI trucks in the near future.

Daimler Trucks

This announcement was made in the Tokyo Motor Show earlier this week. It is interesting to know that DICV, which is a 100% completely owned subsidiary of the globe’s leading commercial truck makers Daimler AG is getting into the market of medium-duty trucks now.

There is one more subsidiary of Daimler AG, MFTBC that will be bundling with DICV in the Asian business to materialize the target of 2,90,000 units of FUSO trucks as well as the already running trucks of BharatBenz brands. The target is to be achieved by the end of year 2020 and so the investment is being sanctioned. One must understand that this investment is above and over the already/existing planned funding for the running projects. The plan is very practical and viable for the Mitsubishi Fuso Truck and Bus Cooperation who has joined hands with DICV under a clear motto of “Building Together”. Both MFTBC and DICV have very attractive and commercially viable products for the cargo transportation and related businesses. Hence, the strategists of both the firms see forth a bright future in an alliance rather than being competitors in the highly profitable Asian market.

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Many commercial vehicle observers, from the automobile realm are of the opinion that all this is being done; to promote the FUSO FI trucks in the Asian market more aggressively. It may be true, but on the other hand the production of BharatBenz will also increase with innovative addition to its technological aspects. Consequently the sales would increase and a good profit is expected by the manufacturers. Right now, the latest variants of FUSO FI trucks are celebrating their debut in the Tokyo Motor Show. The truck is made in accordance to the Asiatic and African market requirements. Since a lot of automobile firms have been tapping the huge market of Africa lately, Daimler Trucks Asia doesn’t want to lag behind in the competition.

The President and CEO of MFTBC, Dr. Albert Kirchmann is of the opinion that with this particular investment the firm will expand their existing manufacturing volume as well as the assembly network, so they may be ready for the future demands in the markets of Asia and Africa. He later added that they have been thinking to make the investment in a joint team, which was suppose to be strong and belonged to two cultures. Hence, the teams from India and Japan makes for that perfect balanced mixture for a successful future business through excellent production.