Mahindra & Mahindra has been investing heavily in every sector of the Indian Automobile Market. Whether it’s the cars, SUVs or two-wheelers, Mahindra is not resting even for a second and is continuously climbing the hill. Ssangyong is another brand which the company is all focused upon and will soon start rolling out its products.
But since the manufacturer is now established in private vehicle as well as commercial vehicle sector, it has foreseen that a few years down the line, the manufacturer’s production capacity will no longer remain sufficient to meet the demands and therefore a new plant is the need of the hour.
The company currently has a plant at Chakan and recently has signed an agreement with the Tamil Nadu government for setting up a new plant at Cheyyar. Covering nearly 400 acres, the plant will incur an investment cost of Rs. 1800 Crore. As per information the new plant will feature a single assembly line dedicated to the development of one single product.
Initiating the development, it will first develop a testing facility covering almost 150 acres with Rs. 100-150 Crore of investment. Besides this plan the company has already in mind of spending Rs. 1800 Crore over a time span of seven years, with most of it pouring into the Chakan plant and the remaining into the new Cheyyar plant which is to come up soon. As of now no information is available about which products will be manufactured or assembled at Cheyyar but it is quite sure that the Mahindra W201 will come out of Chakkan plant.
The news is as much good for Mahindra as for the Tamil Nadu government as it recently failed to attract Ford and Peugeot Citroen duo. While Ford did not find Tamil Nadu as profitable and appealing as it should, Peugeot Citroen chose Gujarat as the perfect place for their very first establishment.
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