Gandhinagar: Memorandum of Understanding(MoU) for setting up over Rs 2,000 crore car manufacturing plant at Halol in Central Gujarat was signed between China based passenger car and commercial vehicle manufacturer Shanghai Automative Industries Corporation(SAIC) and the Government of Gujarat.

The company has committed more than Rs 2,000 crore investment in five years. The company intends to start production of vehicles by year 2019. The company enjoys 46th position in Fortune 500 list with 106 billion dollar revenue and 5.9 million vehicles production in year 2015.

SAIC plans to provide employment to around 1,000 persons and produce 50,000 to 70,000 car units in initial phase.

The company has already its plants at USA, UK, Germany, Thailand, Hong Kong and Haryana(India).

Five ancillary units are also going to invest in Gujarat with the entry of SAIC. They are Yan Feng, Huichoung, Waling Industry, Ling Yun and Sevic.

The MoU was signed by principal secretary of Industry, Government of Gujarat Mr. MK Das and Director of SAIC Mothers India in presence of Chief Minister Vijay Rupani, Chief Secretary JN Singh, Industry Commissioner Mamta Verma and others.

As per the MoU, the State government will cooperate the company for registration, approvals and other facilities and procedures.