Volvo Group has announced a Rs 1,400 crore investment to expand its manufacturing facility at Hoskote, near Bengaluru. 

The MoU was signed in the presence of Karnataka Chief Minister Siddaramaiah, Industries Minister MB Patil, and Volvo Group CEO Martin Lundstedt.

The expansion will increase the production capacity at the facility from 3,000 to 20,000 trucks and buses annually, catering to both domestic and international markets. Over 2,000 direct employment will be created, significantly boosting the local economy and exports.

The new facility will integrate with Volvo’s existing units in Peenya, Hosakote, and Dharwad. Bengaluru also hosts Volvo’s Global Competence Centre (GCC), employing over 3,500 people across R&D, IT, procurement, logistics, and finance.

The new facility will strengthen Karnataka’s position in clean mobility and industrial growth, as Chief Minister Siddaramaiah emphasised the state’s 25-year partnership with Volvo, crediting the company for revolutionising the luxury bus segment in the state.