Daimler India aims to achieve break even by end of 2018 despite challenges

The company conceded that meeting BS-VI norm will be a challenge, but said it will be a good oppurtunity for the company to modernise and upgrade

 

Daimler India Commercial Vehicle (DICV) has aimed to achieve its first full year break-even by the end of December 2018. 

The company is on course to achieve break-even this year, said DICV's Managing Director and CEO, Erich Nesselhauf.

"We have created a solid base to cater both India and global markets," said Nesselhauf, adding that the company had a good year despite challenges like demonetisation, emission norms etc. He also said the company hopes to close the year with over 10 per cent growth.

Nesselhauf conceded that meeting BS-VI norm will be a challenge, but said it will be a good opportunity for the company to modernise and upgrade.

DICV currently has a capacity of upto 72,000 units per year depending on the shift model. "Doubling our total output, from the 100,000 units made so far to 200,000 units looks realistic within the next three years," he said. Today, exports account for around 30 per cent of the sales.

"We have developed an eco-system to cater both domestic and export markets", Nesselhauf said. Presently, more than 50 million parts are sourced by the company from India.

The company ruled out the possibility of bringing electric vehicles in the immediate future as the country is not ready yet.