Volvo Will Decide if it Will 'Make in India' by This Year

A source claims a team based out of Sweden is also looking at the possibility of having local assembly in India and may finalize the decision to start local assembly in India during the current year.

Currently, Volvo sells its cars in India via imports, which renders its cars a tad bit expensive. Consequently, the company has been eager to commence assembly in the country - which will not only bring down prices, but will also help increase volumes. For now, Volvo's Indian line-up includes the following models: V40 Cross Country, S80, S60, XC60 and XC90.

In February, 2015 we told you about Volvo's rumoured plans to partner up with either Mahindra & Mahindra, Hindustan Motors and General Motors India to utilise their manufacturing plant of to assemble some of its models in the country. Neither of the aforementioned companies have made a statement about this.

Local assembly apart, Volvo India is targeting a growth of 70 per cent growth i.e. 2,000 units during the current year. The work on that target should be aided by the plans to add new models here including the V40 hatchback, new S60 sedan, and the new XC90 SUV this year.

Furthermore, the carmaker will also expand its sales network; it hopes to have about 22 dealerships across the country by the end of this year.

(With inputs from PTI)