Swedish truck and bus manufacturer Scania has broken ground on a new vehicle assembly plant in Narasapura, Bangalore, India.
Scania is planning to invest INR 2.5bn ($45.2m) in the new facility over the next three year period and the first vehicle from the facility is expected to be rolled out in early 2013.
The new 140,000m2 facility will feature a completely knocked-down (CKD) assembly unit for truck and bus chassis, in addition to a planned bodybuilding of city buses and coaches.
Scania Commercial Vehicles India managing director Henrik Fagrenius said, "We aim to produce and sell 2,000 heavy trucks and 1,000 intercity buses and coaches per year within the next five years.
According to the company, the Narasapura manufacturing facility is expected to assist in increasing its sales and service offerings.