Isuzu Motors India, the global diesel engine expert, has announced at a press conference in Chennai the start of local production of its 
vehicles and rolling out of its first India-manufactured BS4-compliant sports utility vehicle MU-7.
The MU-7 inherits Isuzu’s diesel-engine expertise and is endowed with superior fuel efficiency and outstanding engine performance. A 3-metre wheel-base makes it one of the longest SUVs available in India, offering spacious interiors.
Mr. Takashi Kikuchi, Managing Director, Isuzu Motors India Pvt. Ltd., commented on the occasion: “We are extremely happy to begin the local assembly of our products in India. It is the culmination of our extensive research over the last 3 years to understand the Indian market. India is a key region in Isuzu’s global growth strategy for its emerging markets and as an important manufacturing hub in the future. In the next 5 years, our focus will be to accelerate our business and establish Isuzu as an important player in the pick-up trucks and utility vehicles market in India.”
He added: “We are delighted to launch the India-made MU-7 today. This is a watershed event in the long history of Isuzu in India. The MU-7 SUV is known for its ruggedness, durability and fuel efficiency and is a proven and successful SUV in other key markets. I am sure the Indian customers will enjoy its extra spacious and comfortable ride.”
With the launch of the first India-produced vehicle, Isuzu also announced a unique service initiative ‘Isuzu Insight’ for its valued customers. As the name suggests, Isuzu Insight will provide insights of an individual’s driving habits and style, thereby helping improve fuel efficiency and vehicle performance.
To increase its national presence and reach out to more customers, Isuzu is planning to beef up its dealer network to 60 outlets by the end of 2015-16. Isuzu is known the world over for its strong relationship with dealers and operates as a community. It is now planning to follow a similar approach in India.
The roll-out of the MU7 was followed by the inauguration of Isuzu’s Chennai showroom in the upcoming Industrial & IT suburb of Ambattur in northern Chennai.
Isuzu has a contract manufacturing agreement with Hindustan Motors (HML) under which the latter is contract-assembling CKD kits of Isuzu’s sports utility vehicle MU-7 and pick-up truck D-Max at its Thiruvallur plant. Isuzu’s own manufacturing plant is likely to be operational by 2015-16. The company has earmarked a total investment of Rs. 3,000 crores for this plant which is expected to have a capacity of 1,00,000 to 1,20,000 units once fully operational.
Isuzu signed an MoU with the Andhra Pradesh Government earlier this year to set up an LCV manufacturing facility at Sri City, Hyderabad.
India being a key market for Japanese business conglomerates, Isuzu’s entry into the country is of utmost significance. The recent Japanese Emperor’s historic six-day visit to India reaffirmed Japan’s commitment towards strengthening bilateral ties between the two countries. The Emperor also visited Chennai during his tour, confirming the importance of the South in the growing bilateral relations between the two countries.
Isuzu Motors India Pvt. Ltd. was established in August 2012 as a subsidiary of Isuzu Motors Ltd., Japan. The company started its India operations by bringing in a limited volume of completely built units (CBUs) for test marketing and developing a better understanding of the Indian customers. In the next phase, it started assembling CKD units in contract manufacturing with HML.
This is an intermediate stage of the company’s project in India before the start of full-fledged localized manufacturing at its own plant at Sri City, expected by 2016.