Isuzu is Japan’s leading commercial vehicle manufacturer and is one of the latest entrants to the highly competitive Indian automobile market, that too with a 100 percent self owned subsidiary. Recently the company launched two models from their lineup – the MU-7 SUV and the D-Max pick-up truck. The Isuzu MU-7 is priced at Rs. 23.75 lakhs while the D-Max pick-up truck is priced at Rs. 6.87 lakhs for the single cab variant and Rs. 8.09 lakhs for the double cab variant (ex-showroom, Hyderabad).
Now, for this price, it is expensive to the pocket for most Indians. Also the vehicles sits at a higher category competing with the likes of the Toyota Fortuner and Ssangyong Rexton which have already proven themselves with good sales. Isuzu currently imports its vehicle from Thailand and that is why it has to price the vehicle high. So the Japanese automaker has come up with plans of setting up a production facility in Chittur district of Andhra Pradesh. Isuzu plans to invest Rs. 1500 crore in the next five years to reach a goal of 100 percent localized products.
The new plant would be constructed at an area of 100 acre land and would have all the facilities to manufacture the entire vehicle locally. The construction of the plant is going to be started soon and it is expected that the plant would be fully functional by 2016. Till then, the Japanese automaker would be importing their vehicles from Thailand. However, Isuzu have another plan of setting up an assembling plant at Oragadam, Chennai and that plant would start assembly operations from next year itself, which will help the company in reducing prices.