Tata Motors has never hidden the fact that it would like to be a global commercial vehicle player. After acquiring Daewoo Commercial Vehicles in Korea, Tata Motors has now signed an agreement with Avtomobili i Motory Urala, a vehicle manufacturer in the Sverdlovsk region, to assemble 5,000 trucks annually in Russia.

The Indian truck manufacturer will assemble the trucks at the Russian company's Ural plant. Initially 400 Tata 407 (seven tonne GVW) and Tata 613 (13-tonne GVW) trucks will be assembled this year, which will soon increase to 5,000 units annually. The first trucks should be ready by May.

Tata and Avtomobili Urala plan within 18 months to replace all Indian parts, apart from the engine and gearbox, with Russian-made parts.

The deal will offer Tata Motors an inroad into the developing Russian commercial vehicle market. Tata has just acquired Daewoo Commercial Vehicles and is now on the hunt for other acquisitions and entry into new, developing markets.

Deepesh Rathore / Tilak Swarup