SAIC Motor, China’s largest automaker, is gearing up for a significant expansion in India, with plans to invest up to $2 billion by the end of the decade. The ambitious investment aims to bolster SAIC’s presence in the Indian automotive market and position it as a major player in the electric vehicle (EV) segment.
Yu De, Head of International Operations and Assistant to the President of SAIC Motor, revealed the company’s ambitious roadmap during the recently concluded Beijing auto show. He emphasized SAIC’s collaboration with JSW Group and outlined plans to establish a second manufacturing plant in India.
De stated, “We have a very ambitious plan. We have good cooperation with JSW Group. We are looking at setting up a second plant in India.” The investment, ranging from $1-2 billion over the next five years, underscores SAIC’s commitment to offering a diverse portfolio of high-tech and affordable vehicles tailored for the Indian market.
SAIC’s joint venture with JSW Group, known as JSW MG Motor India, aims to capitalize on India’s burgeoning automotive sector. De highlighted the JV’s focus on domestic demand initially, with long-term aspirations for global expansion. He mentioned plans to export vehicles to key right-hand drive markets like Australia and South Africa.
The partnership between SAIC and JSW Group extends beyond vehicle manufacturing. SAIC is open to collaborating with JSW Group to localize battery packs and cells for electric vehicles, supporting JSW Group’s endeavors at its Odisha base.
JSW MG Motor India, in which SAIC holds a 49% stake, intends to introduce advanced technologies and new-age mobility solutions while enhancing local sourcing. The venture aims to sell 1 million vehicles annually by 2030 and plans to launch new products, including NEVs, every three to six months starting this year.
To accommodate the expansion plans, JSW MG Motor India is investing in a new plant in Gujarat to increase annual production capacity to 300,000 vehicles. Additionally, the venture will establish an R&D center to develop connected, new-age, and local mobility solutions.
With a strong focus on carbon neutrality, sustainability, and green mobility, SAIC aims to establish a leadership position in the NEV category by 2030. The company’s comprehensive investment strategy reflects its commitment to driving innovation and delivering cutting-edge solutions in India’s dynamic automotive landscape.