"We are going to foray into city buses, which will be launched by the second half of 2011," managing director of Mercedes-Benz India Wilfried Aulbur today said.
Launching the multi-axle luxury passenger coaches here today, Aulbur said that the company would manufacture 500 city buses per annum as well as 500 to 600 coaches from the Chakan facility.
The company was conducting trials of city buses in Bangalore, he said.
He said that so far, Mercedes had sold 64 two-axle and multi-axle coaches till August 2010.
Aulbur said that both the city bus and passenger coach segments would witness a growth of 20 per cent each year.
In the luxury coach segment, the company has a market share of 22 per cent.