Volvo CE to Launch Localized Medium Wheel Loaders in India in 2027

Key Highlights

• Volvo CE plans to introduce localized medium wheel loaders in India in 2027.

• SDLG loader assembly and distribution transition is expected to end by 2026.

• Volvo CE currently sells around 100 premium wheel loaders in India annually.

• The EC650 65-tonne mining excavator has been launched with a 435-hp Volvo engine.

• The company is strengthening its focus on mining, infrastructure, compaction and electric equipment.

Volvo Construction Equipment (Volvo CE) is preparing to launch localized, Volvo-branded medium wheel loaders in India in 2027. The new machines will help fill the gap created by the company's exit from its joint venture with SDLG.

Speaking ahead of bauma CONEXPO INDIA 2026 in Greater Noida, Dimitrov Krishnan, Managing Director of Volvo CE India, explained that the company is reshaping its product portfolio and business operations while continuing to focus on the Indian market.

Volvo CE currently sells around 100 premium Volvo-branded wheel loaders every year in India. These machines mainly cater to large mining and industrial operations. However, the company previously relied heavily on its SDLG partnership to address demand for more value-focused medium wheel loaders.

Krishnan confirmed that Volvo CE will not have these products available from January, but said new products are planned during 2027. Engineers at the company's Bengaluru Technology Centre are working on India-focused solutions based on Volvo's global wheel loader platforms.

SDLG Transition to Continue Through 2026

The new loader strategy follows Volvo Group's decision to end its 18-year joint venture with SDLG, which was established in 2008. The divestment was completed last year as part of Volvo Group's broader move to exit China-based joint ventures.

As part of the transition, Volvo CE will continue to assemble and distribute SDLG loaders from its Bengaluru plant until the end of 2026. At the same time, SDLG is developing its own independent assembly and distribution network in India.

The transfer of sales territories is being carried out in phases as the two businesses move toward separate operations.

Volvo CE Continues to Reshape Its Portfolio

The changes are not limited to wheel loaders. Volvo CE has also reshaped its global product portfolio by exiting the asphalt paving business. In 2024, the company completed the sale of its asphalt paving business to Switzerland-based Ammann Group. Volvo CE said pavers no longer fitted its long-term strategy because it did not plan to develop a complete asphalt ecosystem, including batching plants.

Following a 12-month contract manufacturing transition, Ammann shifted paver production to its Gujarat facility. Volvo CE has retained its road compaction business. The company continues to manufacture and sell soil compactors, double-drum rollers and pneumatic tyre rollers.

Focus on Fuel Efficiency and Larger Machines

Volvo CE has also introduced Volvo Asia CV5 electronic engines, including the 494 and 483 models that are also used in Eicher commercial vehicles, in its compactors and EC210E2 excavators. The move is aimed at improving fuel efficiency while helping reduce maintenance costs for customers.

The company's changing product strategy was also visible at bauma CONEXPO INDIA 2026, where Volvo CE commercially launched the EC650, a 65-tonne-class mining excavator powered by a 435-hp Volvo D13E engine.

The company also displayed a wider range of construction and compaction equipment, along with electric machinery such as the L120 electric wheel loader.

Mining and Infrastructure Drive Equipment Demand

According to Dimitrov Krishnan, India's mining industry is now operating at a much larger scale and requires equipment that can deliver both reliability and fuel efficiency in demanding conditions.

Contractors are also increasingly moving toward larger machines. At the same time, equipment demand is being supported by India's ₹16 lakh crore railway project pipeline and continued urban infrastructure development.

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CMV360 Says

Volvo CE's upcoming medium wheel loaders will fill an important gap in its Indian portfolio following the SDLG transition. The company is combining local engineering with global platforms while increasing its focus on mining, infrastructure, compaction and electric equipment. With contractors moving toward larger machines and infrastructure activity continuing, Volvo CE is preparing a more localized and broader product strategy for India's evolving construction equipment market.