Ashok Leyland to invest USD 10 million to expand UAE plant

Ashok Leyland has announced the expansion of its plant in Ras Al Khaimah, UAE and has established a new design and training centre at the plant as well. The company will be making an investment of $10 million (approximately INR 66.99 crore) to satiate the demand in GCC (Gulf Cooperation Council) nations and is likely to expand the plant further to target African markets as well. The investment will triple its installed capacity to 6,000 units per year.

Apart from increasing the production of current models, the investment will also see Ashok Leyland introducing new models in the region including midi buses and trucks. Currently, the output of the RAK plant is 12 buses a day and the new investment will enhance this to 20 buses a day – apart from the production of trucks in the factory.

Ashok Leyland is the second largest commercial vehicle manufacturer in India and the fourth largest bus manufacturer in the world. The factory in Ras Al Khaimah is a joint venture between Ashok Leyland and the Ras Al Khaimah Investment Authority (RAKIA) and is the only certified local bus factory in the UAE and GCC region.