![]() Financial Daily from THE HINDU group of publications Sunday, Oct 23, 2005 |
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Investment World
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Cars BMW to set up plant near Chennai
BMW of Germany is to set up a plant on the outskirts of Chennai at a cost of 20 million euros (about Rs 106 crore). The facility will roll out BMW's 3 and 5 Series, which would be positioned against Merc's C and E classes respectively. BMW's vision of India becoming a wealthy nation and providing it volumes appears to have been the driver behind its plans. BMW will import completely knocked down (CKD) units of these cars and assemble them at this facility. BMW is yet to receive approval forthis production. BMW plans to offer both diesel and petrol cars. It is yet to determine the capacity for this plant, which may not be less than 10,000 units. Higher tariffs and restrictions on CBUs (completely built units) appear to have deterred BMW from importing CBUs. In Asia, the 3 Series is available as a sedan, a coupé, a convertible and an estate version. The 6-cylinder petrol variant, which generates 258 bhp, gives a mileage of about 12 kmpl. The 4-cylinder diesel variant attains a speed of 100 kmph within 8.4 seconds and delivers a mileage of 16.7 kmpl. The 6 Series is available as a coupé and a convertible. The 8-cylinder petrol coupé of the 6 Series generates a humongous 333 bhp. A lower powered 6-cylinder variant is also available in Asia.
BL Research Bureau
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