Ashok Leyland is planning to set up a ‘mother plant’ in India under its UK-subsidiary Switch for its electric vehicle business.
An Indian entity will be formed under Switch UK which will put up the plant. The company’s entire electric vehicle business will move to Switch which will also develop EV-specific platforms in buses and electric light commercial vehicles.
Gopal Mahadevan, CFO, Ashok Leyland said that Ashok Leyland’s existing EV products like the e-buses it has already supplied to cities like Ahmedabad and Patna will also move to Switch. The EV investments for Switch will not come out of Ashok Leyland.
Also, a total of 750 crore will be spent by the company on ‘debottlenecking the LCV factories’ and on ‘safety and regulations and residual spend’.