Volvo's Strategy in India's Electric Vehicle Market: Navigating Challenges and Opportunities

Volvo Car India, a prominent player in the luxury car market, has stated that it will not be pursuing benefits under India's electric vehicle promotion scheme at the moment. According to Managing Director Jyoti Malhotra, the current scale of the industry is a determining factor in this decision.

Malhotra pointed out that while the current Completely Knocked Down (CKD) strategy is providing sufficient benefits, the company remains open to evaluating new avenues as the industry evolves. The introduction of competitors like Tesla in India is seen positively, with Volvo welcoming increased competition as beneficial for consumer choice.

Despite rare earth magnet shortages not directly affecting the company, Volvo aims for a mix of electric and hybrid models but will only consider more significant hybrid offerings if tax conditions become favorable. The company anticipates a steady sales trajectory as it transitions to new platforms.

(With inputs from agencies.)