Representatives of a Chinese automobile major met chief minister Buddhadeb Bhattacharjee seeking 600 acres to set up a small car factory in Bengal. While the government hopes the company would slip into the Nano site Singur vacated by Tata Motors, it will also showcase other locations at Kalyani, Kharagpur and Haldia.
China’s First Automobile Works (FAW), in collaboration with Ural India, an Indo-Russian joint venture, wants to set up a Rs 1,500-crore automobile manufacturing unit in Bengal. And, the first vehicle to roll out of the plant in 2010 will most likely be a small car priced at a cool Rs 1.6 lakh.
A tie-up between Ural India, in which the state government has 11%, and FAW will be formalized through an MoU in the first phase. J K Saraf, chairman of Ural India and Ren Diansheng, vice-director of FAWand other five member team called on Bhattacharjee. The company is expected to start manufacturing small cars and then go on to buses. “We plan to price the small car at Rs 1.6 lakh to keep it competitive,” Saraf said. However, Ural is yet to decide on the name of the car.