Zigwheels Home

Hindustan Motors open to talks with other auto-makers for Chennai plant

by ET Bureau Photography: Kunal Khadse Posted on 17 Jan 20134,292 Views Comments

Hindustan Motors is now discussing with other auto-makers to share the Chennai plant facility which the company had set up to manufacture Mitsubishi's Sedia Lancer, Pajero and Outlander

 

 

Mitsubishi Outlander

 

 

C K Birla auto maker Hindustan Motors (HM) is open to talks with other auto-makers for utilising the surplus capacity at its Chennai plant which was demerged recently. "We are open to talks with other automakers as we have substantial capacity at the Chennai plant. After the demerger, HM will particularly focus on the SUV segment," Uttam Bose, managing director & CEO, HM, told media persons last night.

 

The company set up the Chennai plant to manufacture Mitsubishi's sedan Lancer in technical collaboration with the Japanese car maker. Presently, the Chennai plant sells nearly 2,000 units of SUVs, namely Pajero and Outlander, compared to its installed capacity of 24,000 units per annum. Early January 2013, HM demerged the Chennai plant and transferred to its subsidiary HM Finance Corporation.

 

Elaborating further, Bose said that the Chennai plant was making profits adding that the Uttarpara plant in West Bengal which manufactures the traditional Ambassador car would break even by March this year. He said that this would be made possible by increasing margins and reducing costs. HM plans to sell around 5,000 units of cars and SUV during the current fiscal.

 

Post Your Comment

Do you like this story?

Competition panel imposes Rs 2,545 crore fine on carmakers

by Punam Chavan

The Competition Commission of India (CCI) has...

Hindustan Motors shuts down its car factory

by Sarmad Kadiri

The oldest surviving car manufacturer of India...

Hindustan Motors seeks sharholder nod for T'vallur plant sale

by ETAuto.com

The Tiruvallur plant is up for sale or lease in...


 
SPECIAL COVERAGE

Hyundai Elite i20: Special Coverage

The premium hatchback segment is changing fast, and how? Not too long ago the VW Polo and Fiat...

Tata Zest: Special Coverage

The Zest is a new compact sedan from Tata Motors that will take on the Honda Amaze, Hyundai Xcent...

 
Help us know you better!
Take this survey

Read Next Story