Ashok Leyland aims 40% ICV sales from CNG variant
ROADS & HIGHWAYS

Ashok Leyland aims 40% ICV sales from CNG variant

Ashok Leyland Limited has planned to expand its compressed natural gas (CNG) range to make about 40% sales in the intermediate commercial vehicle (ICV) segment from this fuel variant.

The initiative follows the truck maker losing market share in the ICV segment, which is the biggest volume generator in the commercial vehicles (CVs) after the delayed CNG launch.

The company continues to develop its electric vehicles (EVs) and E-Mobility-as-a-service (E-MaaS) portfolio under its electric mobility arm, Switch Mobility, aiming to raise $200-300 million in ongoing funding round.

Ashok Leyland announced the launch of 14 and 16 tonnes of CNG trucks and plans to expand its range to an 11 tonne truck in the next two months and multi-axle vehicles. This launch arises when the commercial vehicle market is seeing a rebound after a three-year slump.

In the ICV and light commercial vehicle segment, fleet operators favour CNG over diesel as fuel as it offers significantly low running costs. The increasing number of CNG fueling stations and a green tax on diesel CVs are also under adoption.

Currently, CNG accounts for 35-40% of the ICV segment and over 10% of the entire CV market. The recent shortage of trucks with fleet operators is spurring demand.

The company is also developing alternate fuel technologies like liquefied natural gas (LNG) as an alternative for diesel-run Medium and Heavy Commercial Vehicles (M&HCVs). It will be able to offer these technologies to the market when the ecosystem essential to their adoption matures.

Chief financial officer of Ashok Leyland, Gopal Mahadevan, said Switch Mobility plans to begin E-MaaS in India soon and it's in discussion with private equity investors to raise $200-300 million.

Image Source

Also read: Ashok Leyland to deliver 200 trucks to Bangladesh

Ashok Leyland Limited has planned to expand its compressed natural gas (CNG) range to make about 40% sales in the intermediate commercial vehicle (ICV) segment from this fuel variant. The initiative follows the truck maker losing market share in the ICV segment, which is the biggest volume generator in the commercial vehicles (CVs) after the delayed CNG launch. The company continues to develop its electric vehicles (EVs) and E-Mobility-as-a-service (E-MaaS) portfolio under its electric mobility arm, Switch Mobility, aiming to raise $200-300 million in ongoing funding round. Ashok Leyland announced the launch of 14 and 16 tonnes of CNG trucks and plans to expand its range to an 11 tonne truck in the next two months and multi-axle vehicles. This launch arises when the commercial vehicle market is seeing a rebound after a three-year slump. In the ICV and light commercial vehicle segment, fleet operators favour CNG over diesel as fuel as it offers significantly low running costs. The increasing number of CNG fueling stations and a green tax on diesel CVs are also under adoption. Currently, CNG accounts for 35-40% of the ICV segment and over 10% of the entire CV market. The recent shortage of trucks with fleet operators is spurring demand. The company is also developing alternate fuel technologies like liquefied natural gas (LNG) as an alternative for diesel-run Medium and Heavy Commercial Vehicles (M&HCVs). It will be able to offer these technologies to the market when the ecosystem essential to their adoption matures. Chief financial officer of Ashok Leyland, Gopal Mahadevan, said Switch Mobility plans to begin E-MaaS in India soon and it's in discussion with private equity investors to raise $200-300 million. Image Source Also read: Ashok Leyland to deliver 200 trucks to Bangladesh

Next Story
Infrastructure Energy

REC Transfers HVDC Project to Power Grid

REC Limited has successfully handed over the Special Purpose Vehicle (SPV) for a High-Voltage Direct Current (HVDC) transmission project to Power Grid Corporation of India Limited (PGCIL). This strategic move aligns with the nation's objectives to strengthen its power transmission network. Key Highlights: Project Overview: The HVDC project, under the inter-state transmission system (ISTS) initiative, is a critical component of India's push toward robust and efficient electricity transmission. It aims to handle bulk power transfer across long distances while ensuring minimal losses. Role of RE..

Next Story
Infrastructure Transport

NF Railway Collaborates with IIT Guwahati

The Northeast Frontier (NF) Railway has signed strategic Memorandums of Understanding (MoUs) with IIT Guwahati to foster technological advancements and improve railway operations in the region. This partnership focuses on innovative solutions to enhance safety, efficiency, and sustainability in rail infrastructure. Key Highlights: Purpose of MoUs: The collaboration aims to leverage IIT Guwahati's expertise in technology and research for implementing cutting-edge solutions across railway operations. Key areas of focus include: Automation and digitization in maintenance. Sustainability initiati..

Next Story
Infrastructure Transport

Danapur Division Modernization Plans Revealed

The Railway Board has unveiled ambitious plans for the expansion and modernization of the Danapur Division, a critical hub under the East Central Railway. The initiative focuses on infrastructure development, enhanced passenger amenities, and operational efficiency. Key Highlights: Scope of Modernization: The Railway Board's blueprint emphasizes: Upgrading existing infrastructure to accommodate more passenger and freight traffic. Improving station facilities, such as platforms, waiting areas, and connectivity. Introducing advanced signal systems for safer and smoother operations. Freig..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000