BMW to set up assembly plant in Chennai

BMW, a leading German-based automobile manufacturer, today signed an MoU with the government of Tamil Nadu to set up its car assembly plant in Chennai, said a state government press release.

Accordingly, BMW's car manufacturing plant will be set up in Mahindra World City at Maraimalai Nagar. It will involve an investment of Rs 180 crore and would be completed in five years, according to the release.

The release quoted Tamil Nadu's chief minister J Jayalalithaa saying that the initiative would be the harbinger for a flood of new investment proposals from Germany to the state.

Jayalalithaa has applead to the BMW group to bring a cluster of German auto components manufacturers to Chennai and make the Chennai facility a hub for southeast Asia, the release added.