An ageing plant, heat on Chinese FDI, cost saving: why MG should say hello to contract manufacturing
There is little or no scope of modernising the Halol plant. MG can either spend over INR2,000 crore in a greenfield facility or invest INR1,000 crore on leasing another vehicle manufacturer’s plant. The second option makes more commercial sense given the current environment. But will the carmaker be ready to share technology know-how with its manufacturing partner?