Ashok Leyland has decided to exit the Multi Purpose Vehicle (MPV) segment in India and stick to what it does best—build buses.
Ashok Leyland, at present makes Stile, an MPV that has been stopped and Dost range of light commercial vehicles, in a joint venture with Japanese based auto maker Nissan.
Vinod K. Dasari, the Managing Director of Ashok Leyland says that the Stile did not sell as well as the company expected. But the company may enter this segment later, if there is some future event occurring. He also said that there will be no changes in the equity holding pattern in the joint venture.
Eyeing the global bus market though, Ashok Leyland will set up bus assembly plants in Africa, Middle East and one in India as well. The company will ship out the bus kits to assembly plants abroad.
Ashok Leyland is looking forward to retain its market share and is also hoping that its LCV market will pick up in the coming months.