Marking a major milestone in its Indian journey, Great Wall Motor (GWM) announced the signing of a Memorandum of Understanding(MoU) with the Maharashtra government in presence of the Chief Minister of Maharashtra, Uddhav Thackeray and Sun Weidong, Chinese Ambassador to India.
This comes amidst the violent face off between the Indian Army and PLA at Eastern Ladakh region along the Line of Actual Control(LAC). The MoU officially announced the investment in the state-of-the-art automotive manufacturing facility in Talegaon, Maharashtra.
What Does The MoU say?
The company will invest $1 billion(about Rs 7600 crores) in the Talegaon plant in a phased manner and the facility will be equipped with the latest technology. The production plant along with the R&D centre in Bengaluru will generate employment for over 3000 people in a phased manner. The investment will go into upgrading the current plant in Talegaon which is currently fully functional and has all the infrastructure in place.
The signing in ceremony was done via a virtual meeting between James Yang – President, & Parker Shi – Managing Director, of Indian subsidiary of GWM, along with Sun Weidong – Chinese Ambassador and Honorable Minister of Industries, Govt. of Maharashtra, Subhash Desai, officially announcing investment in Talegaon for a fully modernised and state-of-the-art manufacturing facility.
“This would be a highly automated plant in Talegaon (near Pune) with advanced robotics technology integrated in many of the production processes,” Parker Shi, managing director of Indian subsidiary of GWM, was quoted as saying in a statement. “Overall we are committed to USD 1 billion of investment in India in a phased manner, which is directed towards manufacturing world class intelligent and premium products, R&D centre, building supply chain and providing jobs to over 3,000 people in a phased manner,” he added.
Strategically located in Talegaon Industrial Park, Maharashtra, it covers an area of around 300 acres and is close to the expressway. It is about 45 kilometers from Pune city and about 100 kilometers from Mumbai Port. Recently in January this year, GWM had signed an agreement to acquire this plant from General Motors(GM). The factory has facilities like a logistics distribution center, training center, project management building, administrative office building and public facilities center.
With Chinese Auto companies continuing to earn the wrath on social media, experts feel that the market won’t be impacted much because they have deep pockets to face the disruptions. Furthermore, MG Motor, a British brand marketed by SAIC, a Chinese firm, has got an overwhelming response in India with monthly sales exceeding 3,000 units before the coronavirus outbreak.