Latest Car News in India

Wednesday, March 06, 2013

By Manoj Kumawat

Isuzu to build SUVs in India, could ink deal with HM and GM

While worldwide car makers are having a tough time due to economic slump, there is Isuzu Motors Ltd. pondering over manufacturing SUV’s and pick-up trucks on contract basis in India. According to the latest reports, this $19.8 bn Japanese automobile manufacturer is indulged in discussing the possibility of manufacturing SUV’s and pick-up trucks with General Motors and Hindustan Motors. It is certainly a prudent strategy because company wants to gain a deep insight about the Indian market before establishing its own Greenfield facility in India.

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It appears that Isuzu Motors will be able to figure out about the possibilities within couple of months and the company is expected to commence assembling of models within 12 months, if an agreement takes place as it has already launched Isuzu MU-7 SUV and the DMAX pick up truck in Coimbatore and Hyderabad. Shigeru Wakabayashi (deputy MD, Isuzu Motors India) reportedly revealed that company will take at least few years time in order to enable the manufacturing units to become fully operational. Before the unit begins production, company wants to understand the Indian market so that it can formulate suitable strategies according to Indian customers taste and preference. Sources have verified the news and have stated that if no bone of contention appears and both companies come to a mutual consent then there is no doubt that the bond between both the companies will turn productive.

Isuzu India has teamed up with a Mitsubishi team, in order to develop a suitable strategy for Indian market. Few people revealed on the condition of anonymity that Mitsubishi holds a stake in Isuzu and due to the same reason it is co-operating Isuzu in establishing a base in India. Chances are high that Isuzu trucks are assembled at Hindustan Motor's plant that is located in Chennai because Mitsubishi deals directly with HM.

Isuzu MU-7 Picture Isuzu MU-7 Picture Isuzu MU-7 Picture Isuzu MU-7 Picture Isuzu MU-7 Picture

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