ALL to roll out luxury bus in alliance with Sundaram, Irizar

New Delhi, May 22 : THE Hinduja Group flagship Ashok Leyland plans to launch a super luxury bus, manufactured in alliance with Chennai-based Sundaram Industries and Spain’s Irizar.

Ashok Leyland has also launched a modern city bus prototype and would soon provide prototypes to Delhi transport corporation (DTC) for trial runs.

“The first prototype of the hi-tech bus will be rolled out soon. It will be priced above Rs 20 lakh. The buses will be launched around October/November next year,” Ashok Leyland (executive director, marketing) Amol J Sandil said. He said the new luxury bus would have a ‘space-frame design’ and sport a modern suspension. It would also have two chassis - one on the front and the other on the back, which would provide luggage space beneath the bus.

On the market for these top-end buses, Mr Sandil said “we should sell about 500 buses at over Rs 20 crore, both in India and overseas markets in the the first year of operations”.

“There is a growing demand for such buses for long distance, tourist and airport travel,” he added. Ashok Leyland, Sundaram and Irizar have formed an equal joint venture company - Irizar TVS in February 2001, to make bus bodies in India. The company would be the preferred supplier to Leyland.

Irizar is Europe’s second largest producer of bus bodies and builds bodies for Mercedes, Scania, Volvo and Iveco.
Mr Sandil said the modern low floor air conditioned city bus would be priced at over Rs 25 lakhs and is currently undergoing extensive trials.

“This large modular bus will have a rear engine and have air suspension technology,” he said.

He said Ashok Leyland expects to end the current financial year (2001-02) with a “litte better” sales performance than last year.
“Our strategy is working all right. Now, the situation is steady in some of the segments. The fiscal should be little better than last year,” Mr Sandil said.

He said sales in the fiscal ended March 31, 2001, were affected due to implementation of uniform sales tax, Euro-I norms and diesel price hike.