The first made-in-India light commercial vehicle by Japanese auto giant Isuzu Motors India Pvt Ltd is expected to be rolled out in 2016 from its Chittoor facility.
While initially 70 per cent production will be localised, the company is targeting 100 per cent localisation over the next three years.
The ground-breaking ceremony for the `3,000-crore greenfield manufacturing facility at Sri City SEZ was held on Monday and production is likely to commence with 50,000 units per year and later scaled up to 120,000 units. The proposed facility will generate over 3,000 jobs.
“This is the first car production unit in Andhra Pradesh and hopefully the company will employ as many locals as possible,” said chief minister N Kiran Kumar Reddy.
Isuzu is planning to produce sports utility and pick-up utility vehicles at the new facility. Currently, Isuzu markets its big SUV MU-7 and pick-up truck D-Max assembled at the contract manufacturing unit of Hindustan Motors in Chennai.
“Our investment shows our commitment to India. We look forward to gradually increase our presence in the country. By introducing the globally popular Isuzu pick-up trucks and SUVs, we are quite confident that our fuel efficient and durable products will match the needs of the customers in India,” said Susumu Hosoi, president and representative director, Isuzu Motors.