Tata Motors manufacturing facility in Sanand will soon be having a new neighbor as the French car maker PSA Peugeot Citroen will soon commence the production work at its Sanand facility. A senior company official recently said that the firm will start production at Sanad from the first week of November 2011.
Following a meeting with the Gujarat Chief Minister, Narendra Modi, the senior officials of the French car maker Peugeot have finalized their plans of starting the construction work for the new plant in Gujarat. In a statement given by the Chief Minister Office, an official of the company said, "Stone laying ceremony will take place on November 3 at the 600 acre site at Sanand."
In September 2010, the company has announced is reentry in the Indian market after 10 years. Earlier it was expected that the company choose the car manufacturing hub Chennai for setting up its production unit, but the company finally decided to invest in Gujarat, which is gradually emerging as a favorable investment destination among car makers in India. The Indian unit of US based auto giant Ford Motors and country’s largest car maker Maruti Suzuki has already decided to set-up their manufacturing units in Gujarat.
The company will start rolling out its cars from Gujarat production unit by year 2014. Initially, the Peugeot 508 will be launched in the Indian market, which will be followed by the B- plus, C and D segment cars later on.
