NEW DELHI :
Truck maker Ashok Leyland Ltd plans to steadily increase its compressed pure gasoline (CNG) vary to attract in as much as 40% of gross sales within the intermediate business automobile (ICV) section from this gasoline variant, an organization official mentioned.
The transfer follows the truck maker shedding market share within the ICV market, the largest quantity generator within the business automobile house, after it deferred a CNG launch.
On the similar time, Leyland continues to develop its electrical automobile (EV) and E-Mobility-as-a-service (E-MaaS) portfolio beneath its electrical mobility arm Swap Mobility, which goals to boost $200 million-$300 million in an ongoing funding spherical, with an outlook for extra rounds sooner or later.
“Our competitors got here in quick when the intermediate truck market began shifting to CNG. They might rapidly change to CNG based mostly on their bus engines, however we needed to create engines particularly for vehicles,” mentioned Sanjeev Kumar, head, medium and heavy business autos (M&HCVs), Ashok Leyland.
“Now we have come out with an engine that has the very best horsepower and torque on this section and will probably be a giant differentiator for Leyland. So, we did take time, however the thought was to create a completely baked product,” Kumar mentioned.
Ashok Leyland has introduced the launch of 14- and 16-tonne CNG vehicles, with plans to increase its vary to an 11 tonne truck within the subsequent two months and finally additionally to multi-axle autos, he mentioned.
The launch comes at a time the business automobile market is seeing a rebound after a three-year hunch.
“We’re seeing constructive alerts from many functions. E-commerce and metal are doing very nicely, and cement has picked up, too. Numerous contracts are being awarded for a lot of infra initiatives. Over the past six months, we’ve seen massive motion on coal and iron ore, that are massive demand mills. With the funds that the federal government has offered, we’re going to see a whole lot of motion on capex,” Kumar mentioned.
Within the intermediate and light-weight business automobile market, fleet operators favour CNG over diesel as the previous gives considerably decrease operating prices. The quickly rising variety of CNG fuelling stations and a inexperienced tax on diesel CVs are additionally accelerating adoption.
CNG already accounts for 35%-40% of the ICV market and greater than 10% of your entire business automobile market at current.
There’s a scarcity of vehicles with fleet operators, which is spurring demand, in keeping with Kumar.
Leyland can also be creating alternate gasoline applied sciences resembling liquefied pure gasoline (LNG) as a attainable substitute for diesel-run M&HCVs. The thought, in keeping with Kumar, is to have the ability to supply these applied sciences to the market when the ecosystem important to their adoption matures.
Within the meantime, Swap Mobility plans to begin E-MaaS in India quickly and is in talks with non-public fairness traders to boost $200 million to $300 million, in keeping with Gopal Mahadevan, chief monetary officer, Ashok Leyland.
Supply: Live Mint