GWM Investment Freezed By MH Govt Amid India-China Tension
GWM investment in India on hold for now as Maharashtra government freezes Chinese investment.
GWM investment on hold among two other Chinese companies as the government of Maharashtra freezes investment from China. The decision to stall these projects for now comes amid the rising tension from the India-China border clashes.
The agreements were made in the Magnetic Maharashtra 2.0 program to revive the economy after the COVID-19 crisis. The proposed in vestment from three Chinese companies is worth Rs. 5000 crores. These projects for now are put on hold and were signed prior to the killing of Indian soldiers on the Indo-China border.
The Ministry of External Affairs has advised the states not to sign any further agreements with Chinese companies. The agreements included Great Wall Motors’ Rs. 3770 crores deal, PMI Electro Mobility and Chinese company Foton’s Rs. 1000 crore deal and Hengli Engineering’s Rs. 250 crore deal.
Great Wall Motor has an overall commitment of $1 billion (Rs. 7600 crores) investment for India in a phased manner. This includes setting up of highly automated plant in Talegaon, R&D centre, building of supply chain and providing jobs to 3000 people.
The Chinese carmaker showcased a wide range of vehicles at the Auto Expo 2020. This included a huge lineup of SUVs and even concept SUV along with electric vehicles.
They scheduled to introduce their first product in 2021. However, with the investments getting freezed, the timeline might get extended further.
Source – TimesOfIndia.com