Earlier this week, there were reports suggesting that Kia might relocate its production facility out of Andhra Pradesh. The carmaker has now released an official statement denying all reports and termed them as untrue.

Kia's official statement:

The recent reports about relocation of our manufacturing facility outside of Andhra Pradesh are not true. We are receiving full support from the State Government of Andhra Pradesh under the dynamic leadership of Shri Jagan Mohan Reddy. Kia has a long term commitment to India market and has made an investment of USD 1.1 bn in the manufacturing plant at Anantpur. We will continue to offer world class, made-in-Anantpur vehicles and innovative mobility experience to our valuable customers in India. Request consumers to refrain from reports which do not cover these facts.

According to a media report, Kia is in talks with the Tamil Nadu government to move its US$ 1.1 billion manufacturing plant out of Andhra Pradesh.

Kia's first manufacturing facility in India is situated at Anantapur in Andhra Pradesh. It became operational a few months ago. However, reports suggest that a change in government policy is forcing the carmaker to move out of the state.

It is believed that the carmaker is exploring the possibility of relocating its plant to neighbouring Tamil Nadu. However, Kia has denied these claims.

Kia's Anantapur plant has an annual capacity of 3,00,000 units. The unit is said to have created 12,000 direct and indirect jobs in the region.

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According to a media report, China-based Great Wall Motors is close to acquiring General Motors' (GM) manufacturing plant in Talegaon, near Pune. The deal could be finalized for US$ 250-300 million.

Neither GM nor Great Wall have confirmed these reports. At present, the Talegaon plant manufactures 50,000-70,000 cars for export markets.

Great Wall Motors had approved an investment of US$ 1.6 million in February 2019 to set up an Indian entity under the name Haval Motor India. The carmaker had reportedly signed a memorandum of understanding (MoU) with General Motors for acquiring the Talegaon plant.

Last week, Great Wall Motors confirmed its entry into the Indian market. It will showcase its products at the 2020 Auto Expo. The company is one of China's largest SUV manufacturers. In India, it is likely to focus on SUVs with petrol, hybrid and electric powertrains.

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Thanks to BHPian mpksuhas for sharing this with other enthusiasts.

It is reported that Toyota is planning to handover one of the two plants at Bidadi to Maruti by mid 2020. The Etios is built at this facility but its production will stop once the handover is complete.

In 2018, we had reported that Maruti would be investing over $1 billion in Toyota's manufacturing plant in Bidadi near Bangalore. The investment is expected to be used to refurbish the facility and configure the production lines to manufacture Maruti's models and make use of the idle capacity of 1.5 lakh units per annum.

The move is part of the Suzuki-Toyota partnership which includes a basic agreement to supply hybrid and other cars to each other, manufacturing of EVs based on Toyota tech and developing sustainable technologies and safety systems.

According to a media report, China-based Great Wall Motors has registered an Indian subsidiary called Haval Motor India.

Haval Motor India will be based in Gurgaon. It has been reported that the company could be looking to invest close to Rs. 7,000 crore in India.

Haval is said to be looking for a suitable site for its manufacturing plant in India and is considering sites in the states of Maharashtra, Gujarat, Karnataka, Andhra Pradesh and Tamil Nadu.

The report states that the company might prefer Maharashtra and is considering setting up its plant on the land acquired by Chinese truck maker Foton at Chakan near Pune. Great Wall has also signed a memorandum of understanding (MoU) with General Motors for the Talegaon plant.

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According to a media report, Honda could restructure its manufacturing operations in India by shutting down one of its units.

The report states that Honda could move production from Greater Noida to the Rajasthan plant as sales volumes have almost halved in the last 4 years.

The Greater Noida plant has an annual capacity of 1.2 lakh units. At present, it is said to be operating at almost 2,500 units / month or less than 20-30% of the total capacity. The cumulative production capacity is also expected to drop to 40%. It is believed that the Greater Noida unit could host an R&D hub and a small CKD assembly unit. The carmaker could also sell the land acquired for a third assembly plant in Gujarat.

Honda was expecting a strong growth when it planned investments in Gujarat and Rajasthan. However, in the past 5 years, the market has grown by just 4-5%. To make matters worse, sales have tanked in the first half of the current fiscal. Sales dropped 35% to 60,000 units in April-September, 2019.

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According to a media report, China-based Great Wall Motors is likely to set up a new manufacturing plant in the state of Gujarat. The carmaker has proposed to invest an estimated Rs. 7,000 crore in it.

The report says that the state government has earmarked land for the company in the Chinese park near Sanand. Great Wall plans to produce both electric vehicles and conventional fossil fuel powered vehicles at the new factory.

Great Wall Motors is likely to operate in India under the name Haval India with its headquarters in Gurgaon. It is also planning to showcase its products at the 2020 Auto Expo.

Source: Economic Times

According to a media report, Ford is planning to sell one of its factories in India. The company currently operates plants in Chennai, Tamil Nadu and Sanand, Gujarat.

It is believed that the carmaker is in talks with at least one global automotive company for the sale of its Sanand plant. The negotiations are reportedly being handled by Ford's Asia-Pacific headquarters in Shanghai. However, a Ford spokesperson has rejected these rumours.

Ford's Sanand plant was set up in 2015. The company is said to have invested around US$1 billion in the facility. It has an annual capacity of 2,40,000 cars and 2,70,000 engines.

The Figo and Aspire are built at the Sanand plant. The facility also caters to the export market. Cars built here are exported to more than 30 countries.

Source: Livemint

According to a media report, Benelli has scrapped its plans to set up a manufacturing facility in India. The decision was reportedly taken after the government proposed a complete ban on 2-wheelers with combustion engines up to 150cc by 2025.

In March 2019, it was reported that Benelli was planning to set up a manufacturing unit in the next 2 years. The proposed facility would have had an annual production capacity of 2 lakh units. 

Reports suggest that instead of investing in a new factory, Benelli has doubled the capacity of its assembly plant near Hyderabad to 20,000 units.

Benelli is reportedly planning to launch two 250cc bikes in India. It also plans to launch a 400cc bike that could be priced under Rs. 2 lakh. This model is expected to compete with Royal Enfield and Jawa.

Source: Economic Times

According to a media report, Italy-based Benelli is planning to set up a manufacturing unit in India in the next two years. 

Benelli is said to be in talks with six state governments including Tamil Nadu, Andhra Pradesh, Telangana, Gujarat, Maharashtra and Uttar Pradesh (Noida) for land parcels and availability and has already appointed two consultants to chalk out a plan.

The new manufacturing facility will not only build bikes for India but will also manufacture 200cc bikes for South East Asia and Africa and 250+ cc bikes for Australia and Europe. Higher capacity models however will be imported via the CKD route.

After ending its partnership with the DSK Group, Benelli appointed Adhishwar Auto Ride India as its distribution partner in India. The company handles CKD operations and assembles Benelli bikes at its Hyderabad facility. The plant currently has a capacity to build 10,000 units. Reports suggest that Adhishwar Auto could further strengthen its partnership with Benelli once the proposed plant is finalized.

Benelli plans to have 10-12 models in its India line up. The company is also planning to increase the number of dealership from 40 to 100 by 2020.

Source: Business Standard