How Ashok Leyland’s Rs. 5,000 Crore Bet with CALB Group is on the EV Global Outlook?
In September 2025, Ashok Leyland’s Chairman Dheeraj Hinduja declared a record-breaking investment of Rs. 5000 crores by the flagship company over the next 7-10 years to localise battery production in India, together with the CALB Group of China. This action will not only transform the electric-vehicle (EV) supply carbon of India but will also improve the competitive edge of the company in the high-expanding global market.
Global Impact
Having established a manufacturing base in India, Ashok Leyland is all set to export EV commercial trucks and battery packs to the emerging markets where the price is sensitive as in South Sudan, Africa and the Middle East. Domestic production by regulating the costs of batteries and providing competitive prices and results. It is a major distinction strategy in a market where low costs are important and will enable the company to provide competitive price and performance. Additionally, localisation increases the affordability of its products in the emerging economies through minimising total cost of ownership and logistics overheads.
Enhanced Competitiveness in Key Market
In regions such as South Sudan, Africa and the Middle East where the prices of fuel and dependability are critical, the battery strategy of Ashok Leyland provides it with several advantages:
>Reduced cost of input and improved margins with local battery manufacturing.
>Quick innovation through the Centre of Excellence, the firm can now customise battery technologies to the regional demands.
>Greater control of the supply-chain, less risk of importation delays or currency shocks.
When will Ashok Leyland start the localisation of battery production?
It is planned that the first battery-pack assembly will be done around 2027, and further production of the full cells will occur afterwards.
What does the localisation of batteries by Ashok Leyland lead to?
Dheeraj Hinduja explains that the localisation of batteries will enable Ashok Leyland to cut down costs, enhance the lead time and customise the products in regions such as South Sudan, Africa and the Middle East where the cost and performance are important, thus making the exports competitive.
Dheeraj Hinduja’s Ashok Leyland Q3 Profits, Updates and Possible South Sudan Expansion
Ashok Leyland, a company whose vehicles have been dominating the Indian roads for decades, reported that the company has managed to clock in a standalone profit of Rs 796 crores in the third quarter of the financial year 2026, making it its most profitable quarter of all time, but it’s not shocking considering how the company manages to clock in good numbers every quarter, thanks to their robust list of vehicles that are not only adored in India, but have a huge demand in abroad as well. This result also means that the company witnessed a 21% increase in its revenue and a 4.5% rise on a year-on-year basis.
This is not shocking if you see the pace at which Ashok Leyland is progressing, with Dheeraj recently present at the company’s newly set up plant in Lucknow. Ashok Leyland is known for some of its robust vehicles that are usually suitable for tough terrains. Some of its famous products include Dost, Bada Dost, Boss, etc. Dheeraj Hinduja is a smart businessman who knows that tomorrow, if he wants to make the company’s vehicles more accessible to international markets, he can even consider countries like South Sudan, Nigeria, and Ethiopia to expand his manufacturing operations. Such countries are sitting on skilled labour and just the way the Lucknow plant is creating jobs, expansion of such scale will definitely boost Africa’s economy and help its people improve their livelihood.
