Thursday 21 March 2013

Isuzu Motors India confirm Rs 1,500 crore investment on new plant

Commercial vehicle and truck manufacturers from Japan, Isuzu Motors have confirmed investment plans for a new manufacturing unit in Andhra Pradesh. This Greenfield manufacturing plant will roll out pickup trucks, light commercial vehicles and SUVs. It will involve an investment of INR 1,500 crores spread over a period of 5 to 7 years.
Isuzu Motors India confirms Rs 1,500 crore investment on new plant

The upcoming plant will have installed capacity of 1.2 lakh units annually, out of which 1/4th will be exclusively for exports. Isuzu Motors have signed agreements with Andhra Pradesh government and the plant will be set up at Sri City in Chittoor’s SEZ.

The company has its headquarters in Tokyo with manufacturing plants in both Thailand and China from where Isuzu Motors conducts its export operations to over 100 countries worldwide. Location in Andhra Pradesh is hoped to attract suppliers and component manufacturers in much the same way as when Toyota opened its Karnataka plant which helped to draw over 150 auto component manufacturers. Sri City is in close proximity to Chennai where auto related industries abound. It is also close to ports which aid in export and import operations.


Initially, Isuzu Motors will produce pickup truck D-MAX and the MU-7 SUV from the new Andhra Pradesh plant, both have been launched in India. In the meantime, till 2015, the company is hoping to commence marketing operations from facilities of another auto company, bringing in their products in CKD form from Thailand.

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