South Korean electric vehicle maker Edition Motors today evinced interest in investing almost Rs 5,000 crore to set up its production facility in Uttar Pradesh.
The company has proposed to invest Rs 500-700 crore in the first phase, Rs 1,000-1,500 crore in the second phase and Rs 2,000-3,000 crore in the third phase of its electric vehicle plant in the state.
A delegation led by Edison Motors managing director Y K Lee called upon UP chief minister Adityanath at his official residence in Lucknow and expressed a desire to set up an electric vehicle plant in the state.
Briefing about the company’s profile, Lee apprised the CM about the investment Edison Motors envisaged in the state spread over three phases, which would collectively create fresh employment opportunities for 5,000 people.
Adityanath assured the delegation of providing all support to the South Korean business delegation. He also told them the state government was in the process of revisiting and amending the existing electric vehicle policy to make it more attractive and competitive for investors.
The CM said UP provided the largest consumer base and was the most investor and business friendly state, while it had an extensive network of expressways and highways, thus offering good connectivity.
According to Lee, the company would source 90 per cent of the machine parts for their electric vehicle plant from local vendors and manufacturers in UP, which would directly help the state micro, small and medium enterprises (MSME).
Meanwhile, the company is scouting for suitable land near Lucknow and the Yamuna Expressway to zero in on the plant site.
According to the state government, Lee thanked the CM and expressed satisfaction at the assurance held out by the latter regarding the investment proposal made by the company.
Meanwhile, the state is also harping on the ancient links between UP and South Korea for promoting trade ties between the two regions.
Amid the global covid-19 headwinds facing the commercial and industrial sectors, the Adityanath government had recently cleared a new investment policy. According to UP industrial development minister Satish Mahana, the new policy will not only boost the existing and new industrial projects, it has the propensity to position UP much favourably before the prospective global investors mulling to shift their manufacturing bases out of China following the outbreak of pandemic and the ongoing US-China trade war.
Last week, the state cabinet had cleared the new UP investment policy, which promises to reimburse state goods and services tax (SGST) by 200-300 per cent of the capital investment, subject to differential ceiling depending upon the geography, made by the industries in the Purvanchal (Eastern UP), Bundelkhand regions and Madhyanchal (Central UP) regions. To woo investments, the government had recently eased norms for the allotment of industrial land.
