Daimler unveils plans for truck plant in Chennai, India

0 Comments | AFP, July, 2008

FRANKFURT (AFP) — German auto group Daimler has chosen Chennai, southern India, as the site for a new truck plant, it said Monday.

Construction of the factory in India's fourth-largest city is to begin in the near future, with production of 70,000 vehicles per year foreseen starting in 2010, a statement said.

Daimler operates in India via a joint venture formed recently with the Hero Group, known as Daimler Hero Commercial Vehicles (DHCV).

The venture is to receive "more than 700 million euros," or more than 1.09 billion dollars, in funds by 2013, from both companies and foreign investors, Daimler said.

It is trying to catch up with competitors which have already established a presence in the promising Indian market.

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