BMW to expand India investment to Rs 1,250 cr
By Express News Service | Published: 19th June 2017 12:41 AM |
NEW DELHI: German automobile major BMW is ramping investment in its India operations, including both its two-wheeler and financial services verticals. Reports quoted BMW India president Vikram Pawah saying on Sunday that the planned investments will bring the firm’s total investments in local operations to Rs 1,250 crore.
While the company will invest around Rs 130 crore in 2017, the previous years has seen the company invest a sum of Rs 1,120 crore. After factoring in 2017’s investments, BMW will have invested a total of Rs 520 crore in automobile operations and Rs 730 crore in BMW Financial Services. The company, which has a plant in Chennai, currently produces BMW’s 1 Series, 3 Series, 3 Series Gran Turismo, 5 Series, 7 Series along with SUVs X1, X3 and X5.
The plant has an installed capacity of 14,000 units on a single shift basis. The company wil also expand its dealership network across the country. According to Pawah, the firm wants to increase its sales outlets from 41 to 50 by 2018. In emerging towns and 30 cities, the firm is engaged in using mobile studios to expand its market. In 2017, BMW’s Mobile Studios will cover 50 towns.
More importantly, 2017 will see the launch of the new 5 Series. The 5 Series is a lucrative model for the firm in India, comprising 30 per cent of its total sales. The newest model will be launched within two weeks, said Pawah. The next years will see the launch of another model, positioned between the 5 and 7 Series, called the 6 GT. The model, which is expected to define a new segment, will also be manufactured locally.