Tata to make worlds largest bus plant in India

Tata Motors is setting up the largest fully-built bus plant in the world, which will make it one of the leading global bus manufacturers. The company is currently scouting for a location in southern India.

The company will initially have an annual capacity of 7,000 fully-built buses and luxury coaches, for which the Tatas have entered into a joint venture with Brazil-based Marcopolo—the largest mass manufacturer of fully-built buses in the world. The joint-venture controlled by Tata Motors will entail an initial investment of Rs 200 crore.

The second phase of expansion will see the entry of Europe’s largest super-luxury bus manufacturing company—Hispano Carrocera of Spain—where Tata Motors will hold 21% stake with an option to acquire 100% in future. Tata Motors will use Hispano Carrocera’s expertise to manufacture ultra-luxury buses targeting Europe, the US and other developed markets.

“We will be offering a complete range of fully-built passenger vehicles, right from the 7-seater Magic to the 54-seater fully-built buses. Marcopolo is a mass-volume maker of fully-built buses while Hispano Carrocera is Europe’s best luxury bus maker. This strategic alliance (with Marcopolo and Hispano Carrocera) will give us access to their design and technological capabilities to fully tap the growing potential of this segment in domestic and export markets,” said the Tata Motors spokesperson.



The company is chasing a sales target of 50,000-60,000 passenger carriers in the next few years to emerge the largest player in terms of units, ahead of leading bus manufacturers like DailmerChrysler and Volvo.
Tata Motors has already launched fully-built small passenger vehicles—Magic and Winger—based on the one-tonne Ace platform in June this year.

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