MG Completes Acquisition of GM’s Halol Plant

It was already known that MG Motor India, the completely owned subsidiary of SAIC Motor Corp, will be beginning its operations in the country in 2019. In line with its plan, the company recently completed the acquisition of GM’s Halol plant.

MG Completes Acquisition of GM's Halol Plant - MG XS

The first product that will roll out from the MG’s Halol plant will be launched in the Indian market in 2019. This will be followed by the launch of the next product in the following year.

The company has not announced the segment it wants to target with its first launch. However, according to the internet, MG might launch an SUV first. MG’s international portfolio consists of the GS, XS SUV, MG3 hatch and MG6 sedan.

We acquired the Halol plant last week. An agreement has been inked with the Gujarat government and the land transfer and handover have also been completed.
–Rajeev Chaba, MG Motor India President and Managing Director

The company has already made an investment of Rs 2,000 crore (just over $300 million), part of which has been used for the development and acquisition the Halol plant. The Halol plant will be given a complete makeover to suit the modern technological needs of MG Motor India’s country-specific products. It is believed that, like most Indian car manufacturers, MG Motor India might use this plant for global exports as well.

MG Motor takes over GM’s Halol plant to make in India

With an initial capacity of 80,000 units per annum in the first phase, MG Motor India will roll out its first product from the plant in 2019, the company said.

The facility at Halol spread over an area of 170 acres, would be completely revamped by MG Motor by 2019. The company had already hired an initial workforce of 70 employees at the plant, the company said in a statement. “Today is a water-shed moment for the MG brand in India with the inauguration of our first-ever manufacturing facility here,” said Chaba.

Staff

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