The Gujarat Government on Wednesday signed a Memorandum of Understanding (MoU) with Shanghai Automotive Industries Corporation (SAIC) in the presence of Chief Minister Vijay Rupani to set up an automobile facility at Halol in the State.
The passenger car and commercial vehicles project is being considered as materialisation of Gujarat as an auto hub following initiatives taken during Vibrant Gujarat Summit. The Chinese company decided to invest Rs 2, 000-crore over the next five years.
The company will employ about 1,000 persons even as the State Government will provide registration, permission and other supports. It will start production in 2019, initially 50,000-70,000 units, to increase production depending upon the market condition and demand. Besides SAIC India, five ancillary industries will also invest in India including that of Yang feng, Huichoung, Waling Indutry, ling Yun and Sevic. The 106-billion dollar Fortune 500 company, SAIC has production units in the USA, UK, Germany, Thailand, Hong Kong and in Haryana in India. The MoU was signed between SAIC (India) Director and Gujarat’s Principal Industries Secretary MK Das.