The Hindu Business Line : Volvo India bets on more car sales

New Delhi, Oct. 16 Volvo India said that it expected its sales to more than double over the next one year considering its dealership expansion in newer cities and a wider product portfolio.

The Swedish luxury car maker expects to sell above 200 cars next year, up from the 100 cars that it sold since it set up its operations in September last year.

Luxury models

“The luxury car market is continuing to expand. In a slowdown, the most expensive category of cars shows the highest growth. So we are not affected,” said the Volvo India Managing Director, Mr Paul De Voijs, at the launch of a variant of its sports utility vehicle XC90 priced at Rs 58 lakh ( ex-showroom Delhi.)

The SUV would be imported as a completely built unit like its other models S80, a luxury sedan and XC90.

Mr Voijs said that the company would launch another SUV XC60 next year after it makes its debut in the European markets.

Compact cars

Responding to a question on introducing its compact cars in India which it sells in Europe, he said, “We have 1.6 litre powered engine S40, V50 and C30 cars in our portfolio. There is a possibility of these cars coming into India, but no step in this direction has been taken so far.”

These cars are priced around Rs 10 lakh in the European market. But when they are brought in India as imported models, the price almost doubles at a duty of 116 per cent.

“With volumes being less for such cars, assembling it here is not a feasible options,” he said.

Volvo that currently has four dealerships in the city would expand its network to 12 dealerships over the next one year.

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