Nissan Plans Indian Factory for 2009

Nissan Motor Co plans to roll out 200,000 vehicles annually by 2009 in India.

10 parts manufacturers are also planning to set up shop in India.

Construction on the factory will begin tomorrow (2007) today if you are reading this overseas….

The cars will be 1-litre-class subcompacts with 30% for the Indian market and the rest for Europe and other markets.

Two or three coastal Indian cities are competing for the 100 billion yen ($840 million) project.

The decision will be made by the end of January, 07.

Parts maker Calsonic Kansei Corp. will invest 5 billion yen in India to construct a factory in India.

Drivetrain supplier, Yorozu Corp, will build in 2007 as well.

Nissan exports just 200 cars in India each year.

The new presence in India, Nissan hopes, will help the company make serious inroads into the 1.14 million units sold in 2005, up 70% from '01.

Building cars in the country certainly won't hurt. Still…affordable quality is what will win out in the end.

What do you think?