Ashok Leyland Targets ASEAN To Expand Export Business Globally

Key Highlights

• Ashok Leyland targets ASEAN for export growth.

• Export target set at 25,000 units.

• Partnership signed with PT Pindad.

• FY26 exports rise 13% to 18,082 units.

• New Saudi Arabia plant under development.

Ashok Leyland is now focusing on ASEAN countries as its next major export growth hub. The company plans to increase its overseas business and target around 25,000 export units over the medium term through localisation, partnerships, and ecosystem-driven expansion.

The company management said ASEAN could become Ashok Leyland’s next “home market” after successfully building a strong presence in GCC, Africa, and SAARC regions.

ASEAN To Become Ashok Leyland’s Next “Home Market”

Speaking during a post-earnings media interaction, Managing Director and CEO Shenu Agarwal said the company is now shifting its focus towards ASEAN markets after achieving scale in other global regions.

According to Agarwal, the company has already achieved some early success by establishing distribution channels in ASEAN countries.

He said, “Our next home market that we want to target is ASEAN.”

Partnership With PT Pindad To Support Growth

Ashok Leyland recently signed a memorandum of understanding with PT Pindad, an Indonesian state-owned defence and mobility company.

The partnership will focus on cooperation in defence and electric mobility solutions. Agarwal said this collaboration can help Ashok Leyland strengthen its position in ASEAN markets across commercial vehicles as well as electric mobility.

Focus On Building Complete Local Ecosystems

Ashok Leyland said its export strategy is different from traditional vehicle exports. Instead of only shipping vehicles from India, the company focuses on creating complete “home markets” with local manufacturing, distribution, service support, and spare-parts networks.

Agarwal explained that the company enters a market only after building a complete ecosystem to support customers and operations.

Currently, Ashok Leyland exports commercial vehicles to more than 40 countries worldwide. Indian commercial vehicle manufacturers are increasingly focusing on exports to reduce dependence on domestic demand cycles and create additional revenue streams.

GCC Expansion Continues With New Manufacturing Facilities

Ashok Leyland already operates a local assembly facility in Ras Al Khaimah in the UAE. The company is also setting up a new manufacturing plant in Saudi Arabia as part of its GCC expansion strategy.

The company said it has built strong distribution partnerships over several decades along with parts warehouses and 24/7 service support teams in these markets.

Export Volumes Expected To Rise Further

Chairman Dheeraj Hinduja said Ashok Leyland expects exports to grow significantly over the next three to five years, although India will continue to remain the company’s largest market.

He added that the company is progressing steadily towards its medium-term export target of 25,000 units.

Export Business Shows Strong Growth In FY26

Ashok Leyland’s export business recorded healthy growth in FY26. The company’s total exports increased by 13% year-on-year to 18,082 units, compared to 15,255 units in FY25.

Its total commercial vehicle sales, including exports, also rose 13% to 2,20,437 units during the fiscal year. The growth was mainly supported by stronger demand from GCC markets, Africa, and the SAARC regions.

The company now aims to strengthen its global footprint further by expanding aggressively in ASEAN markets through partnerships, localisation, and electric mobility opportunities.

Also Read: Ashok Leyland To Start In-House EV Battery Pack Production By FY28

CMV360 Says

Ashok Leyland is steadily strengthening its global export business with a strong focus on ASEAN markets. The company plans to expand through localization, strategic partnerships, and electric mobility opportunities. With growing demand from GCC, Africa, and SAARC regions, exports are expected to rise further in the coming years. Ashok Leyland’s ecosystem-based approach, including local manufacturing and service support, is helping the company build long-term international growth and move closer to its 25,000-unit export target.