Volvo to hike mfg capacity, India outsourcing

 "We are trying to increase the purchase of components from the engine suppliers to other truck plants of Volvo around the world. So far we have with the Indian suppliers an order book of Euro 75 million and we expect to increase that to about Euro 90 million this year. We have a project to source more components in general from emerging markets like India, so that we will have further impact in the years to come," Leblanc said.

PTI adds: Volvo India today said it is in talks with China's Dong Feng to float a joint venture project to serve Asian markets.

"We are currently in talks with them, and are looking towards picking up a 50% share in the joint venture. Right now, everything is only in the discussions stage," Eric Leblanc, managing director, Volvo India said.

The interest in a joint venture with a Chinese company is aimed at consolidating Volvo's position in the Asian markets and to serve the two largest markets in this part, China and India, he said.