VE Commercial Vehicles Ltd., a 50-50 joint venture between India's Eicher Motors Ltd. and Geely Automobile Holdings Ltd.-owned AB Volvo, will invest 4 billion Indian rupees in the construction of a new plant in the city of Bhopal in India in a bid to boost the company's market share in the heavy-duty truck segment, The Economic Times (India) reported Oct. 9, citing Volvo CEO Martin Lundstedt.

The joint venture plans to build a new facility that is able to hold 40,000 trucks, according to the report.

VE Commercial has so far spent 35 billion rupees in its operations, the report said, adding that the automaker generated a turnover of 102 billion rupees at the end of the last financial year. In its fiscal year 2018, the joint venture reportedly sold 55,872 units, a 13% increase year over year.

The report added that India is among five major home markets for Volvo. In 2017, the Indian manufacturing base accounted for more than one-third of the company's total global volumes.

VE Commercial holds a market share of 6.52% in India's heavy commercial vehicle market, with Tata Motors Ltd. and Ashok Leyland Ltd. currently accounting for more than 60%, the report said.

As of Oct. 8, US$1 was equivalent to 74.08 Indian rupees.