M&M, Renault, Nissan to set up car unit in TN

Chennai, Feb 26 (UNI) Auto majors Mahindra and Mahindra, Renault and Nissan will jointly establish a utility vehicle and car manufacturing facility at an initial investment of Rs 4,000 crore at Oragadam SIPCOT Industrial Park near here.

This will be India's biggest vehicle manufacturing centre at a single location.

An MoU to this effect was signed between the Tamil Nadu Government and the three car manufacturing companies in the presence of state Chief Minister M Karunanidhi at the Secretariat here.

The three auto giants would form a consortium and establish an integrated automobile project.

The facilities would include engine and transmission plants, press shop, body shop, paint shop and assembly line, an official statement said here.

The project would initially have a capacity to manufacture four lakh vehicles per annum. This would be significantly stepped up over a period of time.

The project would also involve manufacture of 50,000 tractors per annum and at full capacity, generate direct and indirect employment, including those by its ancillaries and service providers, for about 41,000 people.

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