Ashok Leyland to triple production capacity in RAK

UK-based Hinduja Group strengthens UAE ties with fresh $10 investment in Ras Al Khaimah investment

Sheikh Saud bin Saqr Al-Qasimi, Emir of Ras Al Khaimah.
Sheikh Saud bin Saqr Al-Qasimi, Emir of Ras Al Khaimah.

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Ashok Leyland plans to triple the production capacity of its bus factory in Ras Al Khaimah.

With an investment of $10m, the manufacturing capacity of the plant will be more than tripled to 6,000 vehicles a year, including an increase in its bus production from 12 buses a day to 20 buses a day.

The announcement was made at a ground-breaking ceremony attended by Sheikh Saud bin Saqr Al-Qasimi, the ruler of Ras Al Khaimah for a new design and service training centre at the RAK plant.

Vinod Dasari, MD of Ashok Leyland, explained that the investment will expand production of current models and introduce new models into the regional market, which will include midi buses and trucks.

“This plant is key and with Ashok Leyland's ambitious plans for Africa, we foresee further expansion,” he said.

The event was also attended by Sheikh Nahyan bin Mubarak Al-Nahyan, minister for culture and social development, Gopichand Hinduja, Dheeraj Hinduja and other senior Ashok Leyland executives.

Dasari added: “A pioneering hub for auto manufacturing, our plant has deepened economic and trade links between India and the UAE, and helped Ras Al Khaimah’s continued economic growth. Both direct and indirect employment is set to rise significantly with this increased capacity.”

The 2010 manufacturing facility in RAK is the only certified local bus factory in the UAE and wider GCC, and is as a joint venture between Ashok Leyland and the Ras Al Khaimah Investment Authority.

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PMV Middle East - September 2020

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