German auto major Mercedes-Benz plans to enter the city bus market in India. The company said this segment offers huge opportunity and it will be a major focus in India. The company is also betting big on the luxury bus segment, expected to grow by 20 per cent, year-on-year.
Speaking to reporters after handing over the keys for multi-axle coaches to a local firm today, Wilfried Aulbur, managing director and chief executive officer, Mercedes-Benz India Pvt Ltd, said: “The company is planning to enter the city bus market, which offers huge potential.”
While declining to give any time frame for the proposed foray, he said “Soon, we will come out with an announcement.”
City buses refer to the low-floor buses, sold at a price of around Rs 65 lakh each, where currently major players, including Ashok Leyland, Tata Motors and Volvo, are competing.
The German luxury vehicle maker, which has 13 per cent market share globally in the luxury bus market, says India is an important market for the company to sell its luxury buses. The company introduced 2-axle coaches in 2008 and 3-axle coaches in the beginning of 2010 and has a current order book of 43 buses here.