Volvo Group has signed a Memorandum of Understanding (MoU) with the Government of Karnataka to invest Rs 1,400 crore in expanding its manufacturing operations in Hosakote, Bengaluru. The investment aims to establish the company’s fourth international manufacturing hub in India.
The agreement was signed in the presence of Karnataka’s Large and Medium Industries Minister MB Patil by Industries Department Principal Secretary S. Selvakumar and Volvo India Managing Director Kamal Bali.
The expansion is expected to generate over 2,000 direct jobs and increase production capacity at the Hosakote facility from 3,000 to 20,000 trucks and buses annually. The facility will cater to both domestic and international markets and contribute to India’s role in the global supply chain.
Volvo Group CEO Martin Lundstedt stated that the investment would help the company meet local and global market demands while supporting job creation in the region.
The new facility will join Volvo’s existing manufacturing units in Peenya, Hosakote, and Dharwad. The company also operates a Global Competence Center in Bengaluru, employing over 3,500 people in research and development, IT, procurement, logistics, and finance.
The expansion aligns with Volvo’s broader strategy to strengthen its presence in India, where the company sees significant market potential.