DICV Boosts R&D Spending to Strengthen BharatBenz Trucks and Buses in India

Key Highlights

• Rs 211 crore spent on R&D in FY25.

• Focus on fuel efficiency and lower ownership costs.

• BharatBenz HX series launched for mining and construction.

• DICV sales increased to 22,356 units in 2025.

• Exports reach over 70 global markets.

Chennai-based Daimler India Commercial Vehicles (DICV) has significantly increased its focus on product development and engineering in FY25 as demand patterns in the commercial vehicle industry continue to evolve. The company spent Rs 211 crore on research and development (R&D) during the financial year to improve fuel efficiency, vehicle safety, drivability, uptime, and lower ownership costs across its product range.

According to the company’s latest Board Report for FY2024-25, sourced from Tofler, DICV’s R&D spending accounted for 2.02% of its total turnover. The company said its engineering and technology investments are aimed at meeting changing market requirements and preparing for future mobility needs in India and export markets.

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Focus on Better Efficiency and Lower Operating Costs

DICV’s latest engineering efforts are focused on practical improvements that directly impact fleet operators and transport businesses. The company is working on several upgrades, including improved heavy-duty gear ratios, a variable steering gearbox, wind deflectors for enhanced aerodynamics, suspension upgrades for buses and heavy-duty trucks, and a common electrical and electronics architecture.

The company is also developing an automated manual transmission (AMT) system for mining trucks and introducing Tyre Pressure Monitoring Systems (TPMS) for premium buses. These upgrades are expected to improve fuel economy, reduce driver fatigue, simplify diagnostics, improve uptime, and lower the total cost of ownership for customers.

In the commercial vehicle industry, factors such as vehicle reliability, operating cost, and downtime play a major role in purchasing decisions. DICV’s latest engineering push appears to be aimed at strengthening its competitiveness in these areas.

Imported Technology Being Adapted for India

A key part of DICV’s strategy involves adapting global technology for Indian operating conditions. The Board Report mentions the imported G131 AMT transmission technology for heavy-duty truck platforms, with the import phase planned between 2024 and 2027.

The project is currently marked at the “Pre-QG09” stage, indicating that the technology is still in the early development and localization phase. DICV’s engineering teams are working to modify the system to suit Indian road conditions, operating cycles, payload requirements, and cost expectations.

This approach allows the company to combine international technology standards with local engineering expertise.

Strong Localization Strategy

Localization continues to remain a major focus area for DICV. The company stated that its vehicles are benchmarked against international standards while also being customized specifically for Indian customers.

DICV is increasingly using locally sourced parts and advanced technologies developed with Indian suppliers and vendors. The company believes this strategy will help improve vehicle performance and reliability while keeping manufacturing and maintenance costs competitive.

For commercial vehicle operators, especially fleet owners, lower maintenance expenses and higher uptime remain critical factors. DICV’s localization strategy is designed to address these concerns while also strengthening the domestic supplier ecosystem.

BharatBenz HX Series Targets Construction and Mining Sector

Since August, DICV has also started offering the new BharatBenz HX series, specially designed for India’s growing construction and mining industry.

The HX range currently includes two heavy-duty truck models, the 2828C HX and the 3532C HX. According to the company, these trucks have undergone extensive customer trials across challenging construction and mining locations in India.

DICV said testing with more than 150 vehicles and multiple customers showed noticeable improvements in operational efficiency. The HX series has been tailored to handle demanding operating conditions while improving productivity and reducing operating costs for fleet owners.

India Remains a Strategic Market for Daimler Truck

The company’s increased R&D investment also reflects the growing importance of India for Daimler Truck AG.

According to the company’s annual report for 2025, DICV’s sales in India increased to 22,356 units in 2025 compared to 21,434 units in 2024. The company described India as a strategic opportunity that supports both domestic growth and future export expansion.

Daimler Truck noted that DICV, which started operations in 2012, is helping build a strong foundation for profitable export growth while benefiting from rising domestic demand.

Large Manufacturing and Export Presence

DICV is a wholly-owned subsidiary of Daimler Truck AG and manufactures trucks ranging from 9 to 55 tons, along with BharatBenz buses and bus chassis.

The company operates its large manufacturing facility at Oragadam near Chennai, spread across 400 acres. The facility includes a modern test track and houses the company’s headquarters, R&D center, and training operations.

Over the years, DICV has invested more than Rs 9,560 crore in its India operations. Apart from serving the domestic market, the company also exports vehicles and components to over 70 countries across Africa, Asia, Latin America, and the Middle East.

With rising demand for efficient and technologically advanced commercial vehicles, DICV’s latest investment in engineering and localization highlights the company’s long-term commitment to the Indian CV market.

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CMV360 Says

DICV’s increased investment in R&D highlights its strong focus on developing smarter, more efficient, and cost-effective commercial vehicles for India and export markets. With improved localization, advanced engineering upgrades, and new BharatBenz HX models for construction and mining, the company aims to strengthen its position in the competitive CV industry. Rising sales, global technology adaptation, and export expansion also show that India continues to play a major strategic role in Daimler Truck’s long-term growth plans.