Automotive IndustryLatest NewsNews Snippets

MG Motor India to Set up New Plant with Rs. 4,000 Cr Investment

MG Motor India, a subsidiary of Chinese automotive manufacturer SAIC Motor, is in talks with several Indian state governments to set up a second manufacturing plant in India. The company plans to finalise the location of its new plant by end of June 2022.

MG Motor’s automotive assembly plant is estimated to entail an investment of Rs. 4,000 crore, and have an annual production capacity of 1.75 lakh vehicles. MG Motor India plans to fund this project through ECB (External Commercial Borrowing) and FDI (Foreign Direct Investment) routes.

Earlier in 2021, the company had announced an expansion of its existing plant at Halol in Gujarat with an investment of Rs. 2,500 crore. That expansion is currently underway. MG Motor India expects an annual production capacity of 3 lakh vehicles from its Indian facilities after setting-up the new manufacturing plant and completing the Halol plant expansion.