Multi-utility vehicle maker Mahindra & Mahindra (M&M) has revived its plans to set up an automotive testing facility and manufacturing plant in Tamil Nadu.
The company will invest over Rs 2,000 crore on the facility. Details will be finalised once the Tamil Nadu Government formally approves the project.
M&M hopes to finalise an agreement with the State Government this month, according to Pawan Goenka, Executive Director and President, Automotive and Farm Equipment sectors.
The project will come up on 450 acres in Cheyyar, about 105 km from Chennai. The facility will be developed in stages, with the automotive testing and proving track for all Mahindra products coming up first.
The investment in the automobile manufacturing plant will be made once the market picks up, Goenka told Business Line .
The testing ground in Tiruvannamalai district will be the largest of its kind, second only to the National Automotive Testing and R&D Infrastructure Project’s facility, also in Chennai.
For M&M, this will be an extension of its Mahindra Research Valley project, about 50 km from Chennai, on NH-45.