Daimler India inaugurates bus plant near Chennai

Commercial vehicle maker Daimler India Commercial Vehicle, a 100 per cent subsidiary of Stuttgart-based Daimler, on Wednesday inaugurated its new bus manufacturing facility set up at an investment of Rs 425 crore at Oragadam.

Chennai: Commercial vehicle maker Daimler India Commercial Vehicle, a 100 per cent subsidiary of Stuttgart-based Daimler, on Wednesday inaugurated its new bus manufacturing facility set up at an investment of Rs 425 crore at Oragadam.

"With the opening of bus plant, DICV is expanding its business and becomes a full-fledged commercial vehicle manufacturer in Indian market," Daimler Trucks and Buses, Member of Board of Management, Dr Wolfgang Bernhard said after formally inaugurating the bus unit.

He further said: "We continue to strengthen our presence in Indian commercial vehicle market with new products now also including buses. With an investment of Rs 425 crore, the bus plant set up at an initial capacity of 1,500 units, (capacity) can be further expanded to 4,000 units."

The bus plant, spread across 27.91 acres in the premises of existing Rs 4,400 crore manufacturing facility of the company would manufacture and assemble buses under two brands -- Mercedes Benz and BharatBenz.

While BharatBenz buses would have front engine for short distance travel targeting school, staff and tourist transportation segments, Mercedes Benz would roll out buses with rear-engine targeting the premium segment for inter-city transportation.

The new plant would manufacture buses with gross vehicle weight (GVW) of nine, 16 and about 16 tonne range.

The company has sold more than 20,000 BharatBenz range of trucks while it shipped over 2,000 units from Chennai.

Daimler Buses India Managing Director Markus Villinger said the new bus plant would create 1,300 job opportunities in the state. Currently, the Chennai plant employs about 3,000 people.

Daimler India Commercial Vehicle has partnered with Ireland-based Wrightbus International for setting up the bus plant.

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