BMW to assemble X1 in India

Alchem · 12-23-2010, 03:29 PM

http://online.wsj.com/article/SB1000...googlenews_wsj

NEW DELHI – BMW AG's India unit Thursday unveiled its new compact X1 SUV as it announced plans to raise capacity in its south India factory in a bid to meet a surge in demand for its luxury sedans and sport-utility vehicles in the country.

BMW India
This is BMW India's second expansion in the country – Asia's third-largest automobile market – in the last three months.

The auto maker is also lifting capacity so it can assemble its new X1, which the company expects will become its best-selling model in India within a few months, BMW India President Andreas Schaaf said at a news conference.

The latest expansion will take annual capacity at the plant, located in Chennai in the southern state of Tamil Nadu, to 8,000 cars and SUVs from 5,400 previously. In September, BMW raised the plant's capacity by 80% to 5,400 units a year.

The expansion comes on the back of record growth in car and SUV sales in India. Overall car sales in India jumped 32% in April-November, with the luxury car segment leading the growth rate because of its small base.

Demand for luxury cars and SUVs is booming in India thanks to a series of new model introductions, rising incomes of the upper-middle class and easy availability of loans.

"Any assumptions of the Indian luxury car market we make goes wrong," Mr. Schaaf said. "The total market has nearly doubled to 15,000 units from 8,500 last year and is expected to continue growing further."

He said BMW India's vehicle sales are likely to grow 60% in 2010, ahead of an initial internal forecast.

From January to the end of November, the company sold 5,345 luxury cars and SUVs, while rival Mercedes Benz India Pvt., a unit of Daimler AG, sold 5,109 vehicles.

BMW Thursday officially introduced its X1, priced between 2.2 million rupees ($48,000) and 2.99 million rupees. It will sell a variant of the X1 with a 2.0 liter gasoline engine and two other variants with a similar diesel engine.

:The price and the value proposition of this car is very attractive and we expect X1 to be the biggest selling BMW model in India," Mr. Schaaf said.

The company has received bookings for 1,000 X1 SUVs. These pre-booked vehicles will be delivered between January and March.

BMW currently assembles its 3- and 5-series luxury sedans and SUV X1 in India. It also imports the 6- and 7-series, SUVs X3 and X5, crossover vehicle X6 and sports cars Z4 and M-series.

mario486 · 12-24-2010, 03:57 AM

Quote:

Originally Posted by LuckyFace

I am scared of the Quality of these BMW's

Cannot be worse than the X3

Gatekeeper · 12-24-2010, 06:50 AM

"Demand is booming ... rising incomes of the upper-middle class and easy availability of loans."

You give more money to the people, people spend it, factories can't keep up, factories hire more workers, who in turn spend more money...
Yet, all our Western governments response seems to be limited to austerity measures, but usually not on themselves..

Yeah I know.... sorry...

ScaredOnce · 12-27-2010, 07:44 PM

Quote:

Originally Posted by LuckyFace

I am scared of the Quality of these BMW's

I would be too... I do a lot of work in India. :/

12-23-2010, 03:29 PM	#1
Alchem Lieutenant 47 Rep 420 Posts Drives: 335xi Join Date: Mar 2007 Location: Chicago iTrader: (0)	BMW to assemble X1 in India http://online.wsj.com/article/SB1000...googlenews_wsj NEW DELHI – BMW AG's India unit Thursday unveiled its new compact X1 SUV as it announced plans to raise capacity in its south India factory in a bid to meet a surge in demand for its luxury sedans and sport-utility vehicles in the country. BMW India This is BMW India's second expansion in the country – Asia's third-largest automobile market – in the last three months. The auto maker is also lifting capacity so it can assemble its new X1, which the company expects will become its best-selling model in India within a few months, BMW India President Andreas Schaaf said at a news conference. The latest expansion will take annual capacity at the plant, located in Chennai in the southern state of Tamil Nadu, to 8,000 cars and SUVs from 5,400 previously. In September, BMW raised the plant's capacity by 80% to 5,400 units a year. The expansion comes on the back of record growth in car and SUV sales in India. Overall car sales in India jumped 32% in April-November, with the luxury car segment leading the growth rate because of its small base. Demand for luxury cars and SUVs is booming in India thanks to a series of new model introductions, rising incomes of the upper-middle class and easy availability of loans. "Any assumptions of the Indian luxury car market we make goes wrong," Mr. Schaaf said. "The total market has nearly doubled to 15,000 units from 8,500 last year and is expected to continue growing further." He said BMW India's vehicle sales are likely to grow 60% in 2010, ahead of an initial internal forecast. From January to the end of November, the company sold 5,345 luxury cars and SUVs, while rival Mercedes Benz India Pvt., a unit of Daimler AG, sold 5,109 vehicles. BMW Thursday officially introduced its X1, priced between 2.2 million rupees ($48,000) and 2.99 million rupees. It will sell a variant of the X1 with a 2.0 liter gasoline engine and two other variants with a similar diesel engine. :The price and the value proposition of this car is very attractive and we expect X1 to be the biggest selling BMW model in India," Mr. Schaaf said. The company has received bookings for 1,000 X1 SUVs. These pre-booked vehicles will be delivered between January and March. BMW currently assembles its 3- and 5-series luxury sedans and SUV X1 in India. It also imports the 6- and 7-series, SUVs X3 and X5, crossover vehicle X6 and sports cars Z4 and M-series.
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12-24-2010, 06:50 AM	#3
Gatekeeper Captain 13 Rep 630 Posts Drives: BMW 320d Security Join Date: Nov 2010 Location: France iTrader: (0)	*"Demand is booming ... rising incomes of the upper-middle class and easy availability of loans."* You give more money to the people, people spend it, factories can't keep up, factories hire more workers, who in turn spend more money... Yet, all our Western governments response seems to be limited to austerity measures, but usually not on themselves.. Yeah I know.... sorry... __________________ "Let our manners distinguish us from our enemies, as much as the cause we are engaged in"
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