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BMW to increase localization to 50 per cent


  • Luxury car major BMW India will increase the localization of  its vehicles to 50 per cent, which is in line with the Make-in-India programme.
  • BMW has localised production of engines and gearboxes at its Chennai plant with a capacity to produce 14,000 vehicles per year
  • About 95 per cent of cars sold in India are produced in Chennai.
  • BMW currently assembles eight models from its Chennai plant, including the flagship 7, 5 and 3 series sedans.
  • The capacity utilisation, which is at about 60-70 per cent, could go up in future in line with the demand.

Official’s comments

  • “India is one of the few bright spots in the global economy and the demand for luxury cars is quite good. There are not many markets where growth is still good. The market is growing here. We expect growth here for the next 10 years,” he said.

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