China's largest automaker, SAIC Motor Corp plans to enter the Indian automobile market and begin operations in 2019, through a fully-owned car manufacturing facility in the country. The company issued a statement last week and shared its plans to create sizeable employment opportunities under the 'Make in India' and 'Skill India' initiatives.
SAIC is currently finalising its manufacturing facility and firming up its product strategy for the Indian market, details of which will be announced at a later stage, it said. If all goes well, it will be the first Chinese auto firm to enter India from the world's biggest auto market by volume. The company is yet to disclose the investment planned for the India operations, a market expected to be the third-largest globally by 2020. An SAIC spokesperson said, the investment would depend on whether the company sets up a greenfield facility or starts operations from General Motor India's Halol facility. It is currently exploring all options to set up a manufacturing plant in India.
SAIC Motor aims to deliver environment friendly mobility solutions under the iconic 'MG' (Morris Garages) brand. The company said that the introduction of the iconic British Sports Car Brand 'MG' in India is an important part of SAIC Motor's global strategy. Originated as an iconic British Racing Sports Brand in 1924, MG has evolved into a modern-day innovative brand through the last 93 years. “As a new-age auto company focused on innovation and technology, the company offers various solutions and technological capabilities required in the development of 'New Energy Vehicles', to cater to the changing needs of global customers and the overall ecosystem,” it said.
SAIC is the second Asian automaker to announce its plans for a market where SUVs are gaining ground over passenger cars. On 28 April, Kia Motors Corp., a unit of South Korea’s Hyundai Motor Co., said it would invest $1.1 billion on building a manufacturing facility in Andhra Pradesh. It signed a memorandum of understanding with the Andhra Pradesh government for setting up the plant. In a statement, the company said that it would bring a compact sedan and a compact sports utility vehicle (SUV) to the market in 2019.
