Volvo Readies Low-Cost Truck for Asia

AB Volvo and its Japanese subsidiary, UD Trucks Corp., plan to introduce a low-priced large commercial truck for Asian markets by year-end, The Nikkei reports.

Volvo expects the new truck to help it boost Asia Pacific sales revenue 50% from 2012 to 103.9 billion kronor (€12.1 billion) by 2015, according to the Tokyo-based newspaper, which does not cite its sources.

The Nikkei offers no details about the truck but predicts it will be priced at about 5 million yen (€38,000).

The model will be assembled on new production lines set up at Volvo plants in India and Thailand and at a plant in China operated by UD Trucks and Dongfeng Motor Corp., the newspaper says. It adds that output in China and India will be mainly for local markets, but Thailand will supply markets throughout southeast Asia and Africa.