Ashok Leyland expects 8-10% Growth in the Commercial Vehicle segment this FY

Switch Mobility, the brand behind electric vehicles, achieved significant growth in FY23 and established itself as an industry leader.

According to Ashok Leyland, the domestic commercial vehicle industry is predicted to rise by 8-10%. This good growth is aided by the government's infrastructure expenditure and strong replacement demand from core sectors.

In his address to shareholders in the Annual Report 2022-23, Ashok Leyland Chairman Dheeraj G Hinduja stated that CV sales in the current fiscal year will exceed the previous peak achieved in 2018-19.

Hinduja described how a Chennai-based commercial vehicle manufacturer is preparing to capitalize on unexplored opportunities without jeopardizing market share or profit potential. Furthermore, he stated that demand in FY 2024 will exceed demand in FY 2018-19 (pre-covid times).

Also Read: Ashok Leyland will manufacture its forthcoming electric trucks at its Hosur LCV plant.

Other factors driving growth include increased government infrastructure spending and good expectations from the steel, cement, and mining industries. Hinduja stated that the company is optimistic about expanding its potential.

Last fiscal year, Ashok Leyland sold 1,14,247 Medium and heavy commercial vehicles (M&HCV) in the domestic market, representing a 75.5% increase. LCV sales were 66,669 units, a 28% increase over the previous year.

Hinduja further stated that the brand is making good progress in terms of product and technology development.

Switch Mobility, the brand behind electric vehicles, achieved significant growth in FY23 and established itself as an industry leader.

The company officials hope that the LCV business continues to grow at this rate in the coming years.