Mahindra's new Cheyyar plant in Tamil Nadu to produce new models

Mahindra and Mahindra have finally confirmed that their new manufacturing facility in Cheyyar, Tamil Nadu, will be operational from 2015-16. The upcoming compact SUV codenamed S101 is expected to be manufactured from this plant.

The company had finalised Cheyyar in Tamil Nadu to be the location for its newest manufacturing facility about five years ago. Dr Pawan Goenka, Mahindra's executive director and president, spoke to Financial Express and said that they will announce the commencement of operations of the plant after the ongoing General Elections. The company might finalise the deal and make an announcement probably by June.

Existing governments are prohibited from making any investment announcements as the model code of conduct is in operation throughout the period of the elections. The new plant is a part of the Rs 10,000 crore investment Mahindra had announced they would make for new product development and capacity expansion over the next three years.

Almost all of the upcoming products from the manufacturer are expected to be produced at this facility. These include the compact SUV S101, a new mid-size SUV dubbed U301, a global MPV codenamed W202 and a new LCV (P601) which might replace the Maxximo.

All these major projects will be assisted by the carmaker's existing R&D facility at the Mahindra Research Valley outside Chennai. The Research Valley is currently developing the S101 and the Scorpio facelift that have been spotted testing several times in different parts of the country. The revised Scorpio might be launched within a few months in the Indian car market.

Source: Financial Express