MG Motor India, on Wednesday, announced its India 3.0 plan, in which the company said it will invest over ₹5,000 crore for the expansion of manufacturing plants in Halol, Gujarat, and hire around 20,000 employees (directly and indirectly).

The British brand, owned by Chinese firm SAIC, is also looking for investors from India as part of its 5-year business roadmap to Indianise the business operations for sustainable growth.

Key initiatives

The key initiatives that would constitute this are localisation and bringing in the latest technology and indigenising it as well; increasing Indian shareholding over the next two-to-four years by more than 50 per cent; and enhancing local sourcing and manufacturing across its operations by 2028 through an extensive series of programmes, including exploring cell manufacturing and clean hydrogen-cell technology through owned or third-party facilities, the company said.

Also read: MG Motor unveils electric concept Drive.Ahead

As part of its growth plan, MG Motor India also plans to establish a second manufacturing facility in Gujarat, significantly increasing the combined production output from the current 1.20 lakh to 3 lakh vehicles (including both plants’ capacity).

It also intends to launch four to five new cars, mostly electric vehicle (EV) models, and achieve 65–75 per cent of its sales from the EV portfolio by 2028. To support the widespread adoption of EVs, MG Motor India will strengthen local manufacturing of EV components and establish a battery assembly unit in Gujarat.

Roadmap

“As we pave the way for our next phase of sustainable growth, we have outlined a clear roadmap and vision for 2028. Our growth strategy is centred around strengthening localisation, aligning more closely with the government’s ‘Make in India’ initiative, while innovatively augmenting our promise to consistently and diligently meet the evolving needs of the market,” Rajeev Chaba, CEO Emeritus of MG Motor India, told media.

He also said the announcement for the first step towards investment and shareholding details will be shared within this year. Chaba said the company also plans to list MG Motor India on the Indian bourses once the shareholding patterns are finalised.

Also read: MG Motor India reports over two-fold rise in retail sales at 4,551 units in April

“We are talking to multiple partners; all are Indians. So Indian financial institutions, Indian private companies, some high-net-worth individuals, and we are also encouraging and including our dealer partners (for investments)—this is again going to be a one-of-a-kind programme,” Chaba said.

About partnerships with JSW or BYD, he said, “I know there are some speculations in the market, but we are not in a position to say anything about the name right now. But the products, technology, and everything will continue the way they are right now because without that, this plan doesn’t stand.”

MG Motor India sold around 48,000 vehicles last year, and it aims to sell 80,000-1,00,000 lakh units this year. The company also became net income positive this year in March as part of the MG India 2.0 plan and achieved 100 per cent capacity utilisation with its existing five products (Hector, Gloster, Astor, ZS EV, and Comet EV), where EVs are contributing 30-35 per cent of its total sales.

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