Hinduja Group flagship commercial vehicle manufacturer Ashok Leyland Ltd has outlined an ambitious global expansion strategy, targeting 25,000 export units in the near term while reaffirming its long-term goal of becoming one of the world’s top 10 commercial vehicle manufacturers.
In his message to shareholders in the company’s Annual Report, Ashok Leyland Chairman Dheeraj G. Hinduja said the company will deepen its international presence through a combination of organic growth, local assembly operations in key overseas markets and selective strategic partnerships under the Group’s “Partnership for Growth” philosophy.
Export expansion to drive global ambitions
Hinduja said Ashok Leyland is well positioned to capitalise on emerging export opportunities, aided by India’s evolving trade agreements.
“The India-EU trade agreement and the anticipated trade pact with the United States open important doors for Indian exporters, and we are positioned to benefit from both,” he said.
The company, however, remains watchful of global economic uncertainties, commodity price volatility and fluctuations in fuel prices that could affect fleet operators, while continuing to manage its cost base prudently.
Eyes technology leadership
Ashok Leyland plans to intensify investments in electrification, alternative fuels and artificial intelligence as part of its future-ready mobility strategy.
“We will advance our electrification and alternative-fuel capabilities, with technology and cost leadership as explicit objectives. We will continue to embed AI across our products and operations wherever it creates measurable advantage for our customers,” Hinduja said.
He added that the company would maintain financial discipline after transforming its balance sheet from a net debt position to a net cash position of nearly ₹6,000 crore, giving it the flexibility to pursue long-term growth initiatives.
Strategic partnerships to accelerate innovation
The company will continue investing in premium products while pursuing selective partnerships with global technology companies in propulsion systems, powertrain electronics and vehicle safety technologies.
According to Hinduja, these collaborations will combine Ashok Leyland’s vehicle integration expertise with advanced global technologies, helping accelerate product development and keep its portfolio future-ready.
EV business reaches profitability
Ashok Leyland highlighted significant progress in electric mobility during FY26. Its electric vehicle subsidiary, Switch Mobility India, achieved net profitability during the year, marking an important milestone for the business.
Switch India delivered 1,530 electric buses, registering 238% year-on-year growth, while electric light commercial vehicle sales rose 56% to 1,600 units.
The company said Switch currently holds market leadership in both the electric bus segment and the 2-4 tonne electric light commercial vehicle category.
Strengthening EV ecosystem
The company’s mobility services arm, OHM Mobility, now operates more than 1,400 electric buses across Indian cities, providing valuable operational data that feeds into product development.
Ashok Leyland also commenced construction of a greenfield battery pack manufacturing facility at Pillaipakkam near Chennai during the fourth quarter of FY26.
The company said indigenous battery manufacturing will help reduce dependence on imported components while improving cost competitiveness over the long term.
To strengthen its technology capabilities, Ashok Leyland has established three dedicated Centres of EV Excellence focused on electric propulsion systems, battery technology, and software for electric and autonomous vehicles.
Expanding alternative fuel portfolio
Beyond battery electric vehicles, Ashok Leyland is expanding its presence in LNG, CNG and hydrogen-powered commercial vehicles.
Its alternative-fuel portfolio currently includes two models of electric light trucks, three models of electric medium and heavy commercial trucks, multiple electric bus configurations, as well as CNG and LNG offerings.
Hinduja said the company’s objective is to bring the total cost of ownership of alternative-fuel vehicles to levels where customers can adopt cleaner technologies without compromising on commercial viability.
Strongest position in company’s history
Highlighting Ashok Leyland’s transformation over the past few years, Hinduja said the company has never been stronger.
“Our balance sheet, product portfolio, market positions and the depth of our management team are, by every measure, the strongest they have been in the company’s history. Our vision to become one of the world’s top 10 commercial vehicle manufacturers is the organising principle behind the choices we make today, and the progress of FY26 has moved us some steps closer to it,” he said.