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​Nissan’s Light Commercial Vehicle Business Bought By Ashok Leyland

Published On Nov 29, 2016By Mukul Yudhveer Singh

Ashok Leyland, in a major turn of events, has bought Nissan's light commercial vehicle business in India. The relation between the two CV manufacturers had turned bitter in August this year.

Nissan and Ashok Leyland were operating under several joint ventures for the last eight years before parting ways in August 2016. The automakers were working in the CV space in the country, primarily in technology and engines.

The spat between the two CV manufacturers has not remained hidden from the world. However, Ashok Leyland is still collaborating with Nissan for some of its models.

Vinod K. Dasari, Chief Executive Officer and Managing Director, Ashok Leyland, said, “This is an important milestone in the history of Ashok Leyland. We are very positive on the future of the LCV business which is growing. While we have acquired 100% ownership of the JVs, we will continue to be associated with Nissan for the technology of the existing Dost, Partner, and Mitr models. These are very important products for us and hold tremendous potential both within and outside India. Our association with Nissan continues in a new relationship.”

Philippe Guerin-Boutaud, Nissan Corporate Vice President in charge of the Global LCV Business Unit, said, “Nissan is committed to India and has invested substantially in manufacturing, research and development and sales networks in the country. We are on track to becoming a major player in the Indian market. Under the licensing arrangement with Ashok Leyland, Indian commercial vehicle customers can continue to benefit from Nissan’s engineering, with servicing and parts availability also ensured.”

This is a major development after the split between Ashok Leyland and Nissan. The new agreement terms between the two will allow Ashok Leyland to sell Nissan Dost, Mitr and Partner under the company's portfolio. Ashok Leyland will also get the rights to technology, engines and vehicle platforms that the duo had developed during the joint venture.

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