Daimler India Commercial Vehicles (DICV), the maker of BharatBenz trucks and buses and a wholly owned subsidiary of Daimler Truck AG, will invest approximately ₹4,000 crore additionally in Tamil Nadu to strengthen its manufacturing, product development and research capabilities in India.
The proposed investment is part of a non-binding facilitation Memorandum of Understanding (MoU) signed with the Tamil Nadu government at the Tamil Nadu Investment Conclave.
The investment will take DICV’s cumulative investment in India to more than ₹14,500 crore, underlining its long-term commitment to expanding BharatBenz and strengthening India’s commercial vehicle ecosystem.
Since BharatBenz entered the Indian market in 2012, more than 2.2 lakh trucks and buses have been deployed across the country, serving freight, construction, mining, logistics and passenger mobility segments.
Investment to strengthen product and technology capabilities
The proposed investment will support BharatBenz’s product development, manufacturing, research and development, infrastructure and future technology readiness. It is also expected to create approximately 400 jobs over the proposed investment period.
The investment comes as India’s commercial vehicle market is being supported by continued spending on roads, highways, industrial corridors, ports, mining, logistics infrastructure and public mobility.
DICV said the investment will help BharatBenz respond to evolving customer requirements through stronger product development, increased localisation, manufacturing capabilities and service readiness.
BharatBenz trucks are designed and manufactured for Indian duty cycles covering long-haul transportation, regional distribution, construction, mining, tractor-trailer and specialised transport applications. Its buses cater to school, staff and intercity mobility requirements, with a focus on safety, reliability, uptime, driver comfort and operating efficiency.
Oragadam facility at the core
DICV’s 400-acre integrated manufacturing and R&D facility at Oragadam near Chennai employs more than 4,000 people and is supported by over 400 local suppliers.
Around 92% of BharatBenz product value is localised through its Indian supplier ecosystem, highlighting the depth of localisation achieved by the company.
BharatBenz has a nationwide network of more than 420 dealer and service touchpoints across freight corridors, industrial clusters and regional markets. Its recently launched Parts Logistics Centre in Pune is also expected to improve parts availability and dealer support, helping enhance customer uptime.
India gains a bigger role in global operations
Beyond BharatBenz’s domestic operations, DICV has emerged as an important manufacturing, sourcing and engineering base for Daimler Truck’s global network.
The company has exported more than 75,000 trucks and buses and over 330 million parts to more than 70 markets. It also supplies transmissions manufactured in Chennai to Daimler Truck plants in Germany.
This gives DICV a dual role — developing and manufacturing commercial vehicles for the Indian market through BharatBenz while contributing products, components and engineering capabilities to Daimler Truck’s global operations.
CEO says investment reflects confidence in India
Daimler India Commercial Vehicles, Managing Director & CEO, Torsten Schmidt, said the investment reflects the company’s confidence in the next phase of India’s commercial vehicle growth.
“BharatBenz was built for India, and this investment reflects our confidence in the next phase of the country’s commercial vehicle growth. As infrastructure, logistics, mining, construction and passenger mobility continue to expand, Indian customers need trucks and buses that deliver higher uptime, safety, reliability and operating efficiency,” he said.
Schmidt added that DICV would continue to strengthen products, localisation, service readiness and parts availability for India while reinforcing the country’s position as an important manufacturing and supply base within Daimler Truck’s global network.
The proposed ₹4,000-crore investment is expected to deepen DICV’s capabilities in India while strengthening BharatBenz’s position in the country’s growing commercial vehicle market. It also underscores Tamil Nadu’s growing importance as a manufacturing and technology hub for the global automotive industry.