We reported yesterday the rumour that DaimlerChrysler was considering going it alone in the Indian market by establishing a new truck plant at Pune, and this report lends some credence to the gossip.

It seems that the negotiations with Eicher have come to nothing - but quite what DC will do with its close to four per cent stake in the Indian OEM remains to be seen. This isn't the first time that Euro-Indian negotiations have stumbled as a result of arguments over management control - back in February we reported the demise of Volvo's ambition with regards to Ashok Leyland.

Of course, a standalone DC operation in India would cost more than a JV operation, but, ultimately, could allow the German OEM to develop business in a manner of its own choosing - we assume that components coming back to Europe is all part of the scheme.

At present, only the Actros range is sold in India, but we see some potential for the MD Atego and LD Sprinter ranges. Moreover, tropicalised versions of the same would be marketable throughout the rest of Asia as well. Of course, Mercedes-Benz already produces the Accelo in Brazil, and this would seem like a no-brainer for the Indian market.