Japanese automaker Isuzu entered the Indian market earlier this year and opened two dealerships in Hyderabad and Coimbatore where CBUs of its cars were being sold. Now, the company has finally started the local assembly of its MU-7 SUV in India and rolled out the first locally assembled model.
Earlier this year, the Japanese automaker signed a pact with the home-grown automaker Hindustan Motors to share their Thiruvallur, Chennai based plant to assemble its cars. For now, Isuzu only assembles MU-7 SUV at the factor, but the assembly of D-Max Pick-up truck will start soon.
The company that has only BS III compliant engines till now, has also made a BS IV competent version of its 3.0-litre turbo diesel engine, which can now be sold in major metropolitan cities of India. Till the company's proposed manufacturing facility at Sri City in Andhra Pradesh comes into operation by 2015-16, both the D-Max Pick-up and Isuzu MU-7 will be imported as CKD kits from Thailand and then assembled at the HM's factory. Isuzu has planned to invest Rs 3,000 crore for this facility which will have a production capacity of 1.2 lakh vehicles per year. This facility will mainly produced LCVs including D-Max at this facility, decision on producing MU-7 SUV is still under consideration.
Now when the company has already begun assembling its cars in the Indian market, the company's prime focus is now on to enhance its dealership base. While Isuzu's third dealership in India will be inaugurated on December 11 in Chennai, the company is planning to take its dealership number to eight before the end of this financial year. And by 2015-16, the company is aiming to open 60 dealers across the nation.