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Ashok Leyland, Deere JV to manufacture equipment

Ashok Leyland, the flagship of the Hinduja Group in India, and US-based Deere & Company have formed a joint venture to initially manufacture and market backhoes and four-wheel-drive loaders that will be sold in India and exported to other markets. The joint venture plans to provide a full line of construction equipment in future years.

Ashok Leyland is the second largest manufacturer of commercial vehicles in India. Initial production is planned for early 2010.

R Seshasayee, managing director, Ashok Leyland, said: “We see huge synergies between this business and our existing one of commercial vehicles, in terms of aggregates, parts and distribution network. John Deere is a technology leader with an impressive portfolio of proven and popular products.”

Samuel R Allen, president, worldwide construction and forestry division, John Deere, said: “India is an important market and Ashok Leyland is a knowledgeable partner with strengths in brand recognition, distribution, quality manufacturing, and loyal employees and dealers.”

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