After assembling engines for Mercedes-Benz, it has emerged that the Pune-based Force Motors will set up an engine manufacturing facility at Chengelpet, Tamil Nadu.
Force Motors has informed the Bombay Stock Exchange. This follows a meeting of its board of directors held on April 29 which approved plans for this facility subject to receiving all necessary approvals.
Force Motors has been a utility vehicle maker which has been immensely popular in the rural India. The company recently entered the passenger vehicle segment with the launch of the Force One SUV. The new Gurkha is yet to hit the Indian roads.
The new plant will also have a testing facility and is being set up for a new OEM customer. According to the report, although there is no official comment from Force Motors on who this customer might be, it has confirmed information that the new facility will assemble engines for the German marquee BMW. BMW India has its assembling facility in Chennai. A BMW spokesperson, when contacted, said that the company does not comment on speculation.
The report mentions that the new Force Motors plant is expected to commence operations early next year. The company will be investing INR 100 crore in the new project.
Force Motors already assembles engines for another German car maker, Mercedes-Benz at its facility in Pune.
Stay tuned to Motoroids for more dope on the new Force Motors Chennai facility.
Source : ACI