Ashok Leyland, a flagship of Hinduja group, which have 15 per cent current market share in Light Commercial Vehicle (LCV) segment in the country, is taking steps to launch its first ‘left hand drive vehicles’ in the LCV segment in January next year. The launch of left hand drive vehicles is to grab 20 per cent exports market share from the current export size of 5 per cent.
Talking to reporters after launching a new upgraded “DOST +” with 2.75 Ton Gross Vehicle Weight (GVW) in LCV segment Nationally, here today, Ashok Leyland President (Light Commercial Vehicles) Mr Nitin Seth said that more than 80 per cent of the countries have left hand drive options.
The overall market size in LCV segment was 4.50 lakh per annum and in which the company’s market share was 15 per cent , he said and claimed that in the first months in the current fiscal, the company grew by 20 per cent in this segment and our main aim is to achieve 1 lakh units by 2020.
When asked about the investment in left hand drive vechiles, he said that any new platform required investments between Rs 500-600 crore and there is a huge demand for LCV segment in the range of 2 tonne and above.
As part of this plan, we will launch at least one new vehicle in every six months in upper category, Mr Seth said that the 2 tonne below category market has shrunk by about 50 per cent in the past 3-4 years.
To a question, he said there is no impact on the LCV due to either demonetization or GST but affected by individuals as most of LCV are linked with finance.
The commercial vehicle major has launched Dost + in the 2 tonne to 3.5 tonne category. The new LCV offers 18 per cent more payload, superior mileage and comes with additional warranty.
‘We have a strong market share of 43 per cent in both telugu states of Andhra Pradesh and Telangana against 15 per cent all India but Hyderabad alone have 53 per cent market share in LCV segment, he claimed.
The new vehicle ” DOST+” was donated as a tradition to the famous temple in Tirumala this morning, Mr Seth said with this new launch, Ashok Leyland has further strengthened the DOST brand.
DOST+ will address the needs of the upper end of small commercial vehicles segment in the 2T to 3.5T GVW segment and the price would start at Rs 5.47 lakh (ex-showroom in Hyderabad), he added.