Economic Cooperation

Foton plans India vehicle plant in 2011

(Agencies)
Updated: 2010-05-20 11:38

MUMBAI/SHANGHAI - Major Chinese truck maker Beiqi Foton Motor Co, a Daimler AG partner, is considering building a manufacturing plant in India, making 100,000 vehicles annually, three sources familiar with the situation said on Wednesday.

"Beiqi has set up a special team for the India project and is currently selecting a site for a greenfield facility," one source briefed on the matter told Reuters.

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The company aims to start manufacturing in India as early as 2011 and may bring its entire range of products including light and heavy trucks as well as sport utility vehicles to the country, another source said.

"Eventually about 3-4 years after starting production they want to manufacture 100,000 units a year," the source said.

It is unclear whether Daimler, which has a truck manufacturing venture with Foton in China, is involved in the project.

Foton declined to comment. A Daimler spokesman in China acknowledged that the partners would explore international opportunities and that China was a priority.