Kolkata-based Global Automobiles Ltd is planning to hit the Indian market with the cheapest car in collaboration with China government-owned automobile manufacturer Guangzhou Motors’ Company by next July.
Pitted against the keenly awaited the Rs 100,000 car from Tata Motors, Global Motor’s car will also be a small-car version for a nuclear Indian family. The car would be initially brought in semi-knocked down condition from Guangzhou’s manufacturing facility in China.
Santanu Ghosh, chairman, Global Auto, said, “Our car will be more affordable and will be brought out from our existing component manufacturing facility at Hoogly in West Bengal. We already have 30 acres of land and negotiations for another 70 are in progress.
Our talks on this under-one lakh car is in the final round with our Chinese partner and a Singapore-based company. Some prototypes of the product will be out by July 2007.”
The company is banking on the vast experience of Guangzhou Motors which works with global majors such as Honda, Toyota and Hyundai for producing different vehicles under various manufacturing agreements for Chinese and export markets.
“It’s one of the oldest automobile company in China. It produces battery of vehicles from two-wheeler to trucks and it is small - all terrain vehicle - is ideal for us after some modifications,” said Ghosh.
Global has already announced its ambitions to enter into the two-wheeler market in January next year with Xoom brand of bikes. Available in five variants - 100cc, 125cc, 150cc, 180cc and 250 cc – these will also come in semi-knocked down condition.
Global Auto has invested Rs 280 crore at present and will start manufacturing 20,000 units of motorcycles each month, which could be scaled up to three lakh annually, depending on the demand and market response.
“We would consolidate in the eastern region first, before going in for 10 dealerships across the country, in a year time besides exporting to neighboring Asian countries,” Ghosh added.
Global Auto would roll out 125cc and 145cc motorbikes in January followed by a 100cc variant and gearless scooters. It would initially employ 500 people, which could scale up to 1000 soon once the two wheeler plant goes full scale.
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