Leyland to start making buses from Feb

Truck and heavy vehicle maker Ashok Leyland will start manufacturing buses at its Dubai plant by February 2008.

"The Dubai plant is pretty much on target, and we will commence production of bus bodies and semi knocked-down vehicles (SKD) by February 2008," Ashok Leyland managing director R Sashasayee told reporters on the sidelines of the SIAM convention.

He said the plant has an initial production capacity of 2,000 buses, and the company would increase it in terms of integration and number of units.

On its tie-up with Nissan, Sashasayee said the joint venture would manufacture light commercial vehicles (LCVs) in the range of 1-6 tonne.

Ashok Leyland and Japan-based Nissan Motors had, on August 29,  announced floating three joint ventures to strengthen their light commercial vehicle business.

Sashasayee declined to comment on the location of the plants, total investment plans and product specifications, but said both companies would disclose their business plans by October when the memorandum of understanding is likely to be signed.