Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

World

BMW ramps up production in India

BERLIN, Sept 21 – German luxury car maker BMW said Tuesday it was expanding its activities in India, including boosting production capacity at its factory in the southeastern city of Chennai.

The site will soon produce 5,400 vehicles per year, up from 3,000 currently, and from November begin producing the X1 model, in addition to the 3 series and 5 series currently built at the plant.

BMW hopes to "penetrate a new customer segment," production chief Frank-Peter Arndt said, as India\’s burgeoning middle class flexes its new purchasing power. The company also plans to expand its network of dealers.

German car manufacturers, which have long focused on China, are beginning to turn their attention to India.

BMW established a presence in India in 2006 and has seen steady growth in sales since then. In the first eight months of this year, the company sold 3,300 vehicles, nearly matching its full-year sales for 2009.

By 2012, BMW will have invested 30 million euros (39 million dollars) in India.

Volkswagen joined forces last year with Japan\’s Suzuki, which is India\’s biggest passenger car company thanks to its joint venture with homegrown Maruti.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...