Swedish manufacturer chooses Tamil Nadu over Vietnam

Autoliv Inc., a fortune 500 firm headquartered in Sweden, is establishing its manufacturing plant in Tamil Nadu at an funding of ₹100 crore.

It has purchased land for the plant at Cheyyar to make air-bags. The mission is anticipated to create jobs for over 400 individuals.

Autoliv Inc. develops, manufactures and markets air-bags, seat belts and steering wheels. Statistically, greater than three air-bags or seat belts from Autoliv have been delivered to each car produced globally in the course of the previous 10 years. Sources instructed The Hindu that the corporate was initially planning to arrange this plant in Vietnam, however determined to go for Cheyyar after a number of rounds of discussions with officers of the State authorities.

A authorities supply stated, “They found the ecosystem in Tamil Nadu conducive to manufacturing and saw the State as a viable alternative to countries such as Vietnam, Thailand and the Philippines.”

“It makes economic sense for the company to set up a plant here as Chennai is the Detroit of India and major car-makers have a presence here,” stated a supply within the car trade.

Last 12 months, the State authorities signed a number of memoranda of understanding for investments value over $2 billion within the automotive trade alone.

In 2020, Daimler India Commercial Vehicles stated it might increase its portfolio with an funding of ₹2,277 crore and generate jobs for 400 individuals. Netherlands-based Dinex proposed a mission to fabricate auto parts at Mahindra World City, entailing ₹100 crore in funding.

Under one of many MoUs inked final 12 months, BYD India Private Limited dedicated itself to establishing a mission for manufacture of electrical automobiles within the SIPCOT Industrial Park at Sriperumpudur.

In December final, the State authorities inked a cope with Ola Electric Mobility for establishing an electrical two-wheeler manufacturing unit at Hosur at an funding of ₹2,354 crore.