Ashok Leyland Plans Major Expansion in Diesel Truck Line

Ashok Leyland, the flagship firm of the Hinduja Group, is preparing for a significant product launch in the diesel truck segment, anticipating stronger demand in the remaining months of the fiscal year. Managing Director and CEO Shenu Agarwal, in a recent analyst interaction, outlined the company’s roadmap for new launches, technology upgrades, and capacity expansion across its commercial vehicle portfolio.

Agarwal said the company is sharpening its research and development capabilities to shorten product development cycles and respond more rapidly to evolving regulatory norms and customer needs. “We are working extensively on strengthening our R&D resources to improve time-to-market and align quickly with changing requirements,” he noted.

A major part of this strategy includes the introduction of an all-new family of heavy-duty diesel trucks. The upcoming models, offering power outputs of 320 hp and 360 hp, are being designed with next-generation heavy-duty aggregates to improve durability and reliability. According to Agarwal, the trucks will be powered by six-cylinder engines delivering the highest peak torque in their classes, enabling operators to achieve faster turnaround times and higher monthly earnings.

Alongside diesel offerings, Ashok Leyland is accelerating its presence in cleaner mobility solutions. The company currently has two light electric truck models, three MHCV electric truck options, and multiple variants of electric buses already in the market. Agarwal added that the company has broadened its alternative fuel portfolio with ventures into CNG, LNG, and hydrogen-powered technologies, reflecting its multi-path approach to decarbonisation.

The company is also expanding its fully-built bus manufacturing capabilities. The newest and most modern bus plant in Lucknow is scheduled for inauguration soon. Once the Lucknow and Andhra Pradesh facilities are fully ramped up, Ashok Leyland’s bus body-building capacity is expected to exceed 20,000 units annually, up from the current level of approximately 12,000 units.

Looking ahead to the second half of the fiscal year, Agarwal said the company remains upbeat about market prospects across both the Medium and Heavy Commercial Vehicle (MHCV) and Light Commercial Vehicle (LCV) categories. The LCV segment has already witnessed improvement, supported by recent GST rate reductions. Agarwal expects the MHCV sector to stay strong as well, driven by rising consumption and renewed momentum in infrastructure development.

He emphasised that GST rationalisation—from 28% to 18%—has played a crucial role in lowering the cost of acquiring new trucks and buses. Additionally, GST reductions across various goods categories are likely to stimulate freight movement, further benefitting the commercial vehicle industry.

With new diesel models on the horizon, a growing alternative-fuel lineup, and expanded bus production capacity, Ashok Leyland appears positioned to leverage the anticipated industry upturn in the months ahead.