Volvo Cars India sold 1200 units in 2014 (pan India) and aims to sell 2000 units in 2015 to achieve a growth of 65 per cent as compared to last year. This growth is expected to be fuelled by both the introduction of new models/variants as well as semi-aggressive expansion plan that will involve Volvo opening new showrooms in smaller cities and towns.
It currently has presence in all the major metros but given India’s spread of wealth this seems to be a step in the right direction. Further expansion plans include Vijayawada (scheduled to open in April), Orissa, Indore, Ludhiana, Rajkot, Trivandrum and Madurai of which the last one will be the third facility in Tamil Nadu. Across most of the smaller regions it is the XC60 and S60 which are most in demand across all regions and makeup 65 per cent of Volvo’s sales.
Volvo currently brings its cars to the Indian market via the CBU route making them significantly higher priced than the rivals. The most obvious solution seems to be to locally assemble the cars. While reports suggest that the company is on the lookout for a local assembly partner, Tomas Ernberg, MD of Volvo Cars India, refused to comment on the development only hinting that would happened sooner or later.
We also quizzed Tomas on Volvo’s famed Polestar racing programme for the Indian market. He said that there were currently no plans for its introduction in India nor is Volvo going to get involved in the burgeoning Indian motorsports scene anytime soon.