Car assembly plant in SL

[Twin Turbo]

Car assembly plant opens in Kuliyapitiya.

http://www.investsrilanka.com/news/story/4094/BOI-SIGNS-AGREEMENT-FOR-VOLKSWAGEN-ASSEMBLY-PLANT-SRI-LANKA-ENTERS-THE-ERA-OF-MODERN-AUTOMOBILE-INDUSTRY

[LashNeo]

I don't like to drag in politics to this automotive forum. but did you see the pictures of the foindation stone laying ceremony ?
Honestly.. for the moment this seems to be just an agreement between Senok and the Government to build some sort of a vehicle assembly plant. Although Senok is the authorized agent for Volkswagen here in Sri Lanka i don't see any involvement of Volkswagen in this agreement at the moment. Did not see any representative from them in the ceremony either. We may have to wait and see what types of vehicles they would assemble and whether this would actually become a reality at all  

[Quiet]

It is illogical for Volkswagen to make capital investments at this juncture, especially with billions of dollars kept as provision for potential damages as well as penalty payments. So i guess this is an investment by Senok in the lines of Micro assembling vehicles. 

Since India already have Volkswagen plants i dont see much of an export market. However if its cheaper than importing i guess there would be some success but will need to seriously think of building the brand in Sri Lanka. After all these are 1-2L diesel vehicles and i think the brand average less than 10 new vehicle registrations per month in last two years.

[LashNeo]

  On 1/4/2017 at 8:18 AM, Quiet said:

It is illogical for Volkswagen to make capital investments at this juncture, especially with billions of dollars kept as provision for potential damages as well as penalty payments. So i guess this is an investment by Senok in the lines of Micro assembling vehicles. 

 

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Yes. I think what we can expect at the moment is replica's of Wolkswagen models under the 'Western' Logo.

[Crosswind]

There was a discussion on FB about this with Harsha de Silva. Apparently the MoU was initially signed between VW, Senok and GoSL (thru BOI) as a three-way agreement. Subsequently, the scandal happened at VW and VW decided to backbench the idea of starting an operation in SL.

Senok decided to go ahead with the project anyway and is also looking at assembling other European brands in the same plant. I guess it will be virtually the same as what Micro does, but with brands with a little more repute than Geely, chingchong, chongching etc.

Inbred retards in this country need to see everything through a political angle. That's the biggest problem of this country and the reason why we can't develop. If party X does something, party X fans vehemently support it and party Y fans vehemently oppose it. Few years later when party Y does the same thing, party Y fans vehemently support it and party X fans find a million reasons to oppose it. If you remember the past, Micro started with much much bigger fanfare than this one. 

Even if someone starts a new Kottu Roti kade, you should be happy because at least one person will get a job.