MNC carmakers’ India plans on slow track

The slowdown is beginning to hit foreign investments in the automobile sector with top MNC vehicle makers in “review” mode. According to the auto industry sources, big-ticket investors like Honda and Volkswagen are reportedly “reviewing” their earlier stated investment plans and production schedules.

Honda Siel, which is putting up a Rs 1,000-crore plant in Rajasthan for the Jazz small car, is now planning to roll it out of its existing Surajpur facility, pushing back the vehicle rollout date from the new plant by 6-12 months due to slowdown in the Indian market. It will also prune its proposed investments and cut back on hiring for the second phase of the new plant, say sources. More
Courtesy: economictimes.indiatimes.com

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