"We have made a decision to introduce a 40 tonner. The prototype is ready and product testing is in progress,'' Ashok Leyland executive director (marketing) Amol J Sandil told The Financial Express. "IVECO's technology will certainly be used in the engine. However we are yet to decide if the new model will be positioned in IVECO's Cargo range," he added. However, a time frame has not yet been set for the launch of the vehicle, he said.

Ashok Leyland's move is a direct response to Volvo's plans to drive in the 49 ton FH-12 into the domestic market. Telco too is expected to make its LPS 4021 available more widely soon. Commercial production of the Volvo model isexpected to begin during mid-June this year. The FH-12 will roll out from the Hoskote plant near Bangalore, coming up at an investment of about Rs 400 crore. The plant is also capable of manufacturing chassis for buses, another possible threat to Telco and Ashok Leyland.

Though the pricing for the FH-12 is yet to be announced, the model is expected to be positioned in the upper-end with a price tag of above Rs 35 lakh. Though Telco's and Leyland's offerings may not be strictly comparable to Volvo's, they are likely to priced well under Rs 20 lakh. Ashok Leyland's 35.16 is priced at about Rs 15 lakh on the roads. The entry of these 40 tonners marks the creation of a new super-heavy segment in the commercial-vehicle industry. Though the volumes in the segment are relatively low, less than 3000 according to some estimates, both Telco and Ashok Leyland are keen in having a presence here. These heavy trucks are used in movement of goods from port to projects, steel plants and large containers.