Chinese automaker SAIC may invest $350m in India through its subsidiary MG Motors

China’s largest automaker SAIC Motor Corporation, which is set to enter the Indian market next quarter with the Morris Garages brand, is considering an additional investment of $350 million in setting up a 2nd manufacturing unit. MG Motor has acquired General Motor’s plant in Halol at an investment of Rs.2200 cr to develop C-segment sports utility vehicle(SUV) for its debut in India and plans to launch 4 vehicles over next 2 years. The Halol plant has a capacity to produce 80,000 vehicles of larger make and for subsequent launches it needs additional manufacturing unit. The company would launch SUV Hector, which will take on the likes of Jeep Compass and Hyundai Tuscon. This will be followed by EV model eZS towards the end of 2019 and by 2020 further 2 more new models would be launched. The company has appointed about 50 dealer principals and plans to start operations with 100 sales and service touch points across India.

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