Volvo-Eicher Drives 'Make in India' with ₹544 Crore AMT Plant in MP

VE Commercial Vehicles (VECV), a joint venture between the Volvo Group and Eicher Motors, has announced a ₹544 crore investment to set up a greenfield manufacturing facility at Vikram Udyogpuri Industrial Township near Ujjain, Madhya Pradesh.

The new plant will produce Volvo Group’s globally acclaimed 12-speed automated manual transmission (AMT) systems, with an initial annual capacity of 40,000 units. The project aims to strengthen local manufacturing in line with Volvo’s global quality standards and support the modernization of India’s commercial vehicle sector.

The AMT technology is expected to enhance fuel efficiency, reduce driver fatigue, and increase overall productivity—supporting the Government of India’s Make in India initiative.

This investment builds on 18 years of successful Volvo–Eicher collaboration and reinforces VECV’s position as a key player in the commercial vehicle market across India and 40 international markets in Asia and Oceania.

News by Rahul Yelligetti.