16 Korean automobile ancillaries exchange MoUs with AP govt

Updated:1 month, 1 week ago IST

Amaravati (AP), Mar 19 (ANI): Sixteen Korean automobile ancillaries exchanged MoUs with the Government of Andhra Pradesh, bringing in a total investment of $737 million (?4,790 crores) and have committed employment to 6,583 people. Apart from 534 acres at Erramanchi, the companies will establish units at Gudipalli (71 acres) and Ammavarupalli (138 acres). "Only last month, I was at the project site of Kia Motors for the Framework Installation Ceremony, and was very happy to see significant progress of the project," said the Chief Minister at the MoU signing. Kia Motors, along with the auto ancillaries from South Korea is the largest FDI in India in recent times. The ancillaries will supply to Kia Motors to cater to the plant's initial capacity of 3 lakh vehicles per annum. "I hope that by next March, all of you would have set base, so that you will be in sync with the production plan of bringing out the first car then. I am also keen to see more Korean investments come into our state following you, and set up a South Korea Township", he said. "I am confident that this establishment will help build a big automotive ecosystem, and strengthen the ties between AP and South Korea." The Chief Minister also spoke about the Backward Areas Ultra Mega Integrated Automobile Projects Policy, and the presence of more than 100 auto component manufacturers including Isuzu Motors, Hero Motors, Ashok Leyland, Apollo Tyres, Bharat Forge and others. "Make AP your second home, as the chosen area for the auto-cluster, Anantapur, is strategically located close to Bengaluru and is a part of two of the state's main industrial corridors," he said.

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