General Motors will sign an agreement to build an engine and transmission plant for passenger vehicles in India.
The plant will be set up at Talegaon, near Pune city; in the western state of Maharashtra. The plant will be built at the same location where GM has established its second car factory in India. That factory is scheduled to start operations next week.
The car maker has invested more than 14 billion rupees to construct the Talegaon car plant which will have an initial capacity of 140,000 vehicles a year and expand to an annual capacity to 225,000 vehicles.
General Motors India began its operations in India in 1996 and currently sells the brand Chevrolet in the country. The current manufacturing plant located in Gujarat has a capacity of 85,000 units a year and produces Spark, Aveo, Optra Magnum and Tavera. The SUV Captiva is imported by the company.