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When will Great Wall Motors get the green signal?


Great Wall Motors entered India in 2016 with an independent R &D center in Bengaluru. It was during the auto expo 2020, China’s largest SUV maker Great Wall Motors showcased its muscles and seriousness about its India plan, announced an investment of USD 1 billion in India. Showcased it Concept cars and Havel premium SUVs etc.

In that particular auto expo, the only buzzword was Great Wall Motors. Its Indian rivals were also concerned and watching GWM very closely. Industry experts anticipated it as the SUV revolution entering the Indian market.

GWM showed its keen willingness to win the Indian market by hiring the best talent available to lead its India dream.  Mr. Hardeep Brar was hired as Director Marketing and Sales, who left the GWM and joined Kia India later. The company also hired few senior and middle-level executives for some critical functions, like Sunny Bhatt from Nissan Motor India to head dealer development and Prashant Bhatnagar from Honda to head marketing communications and media strategy, Kautuk  from Renault to head digital marketing. GWM also appointed two Chinese, James Yang as President and Parker Shi as Managing Director based at Gurugram office

GWM and General Motors signed the term sheet in Jan 2020 to take over  General Motors India‘s Talegaon factory. The plan was that Great Wall Motors will start the production of cars under Great Wall at this plant.  Term sheet between the two companies which was due to lapse in June this year, was extended till December 2021,now the latest hurdle at the plant is that the workers union filed a court case on July 15, challenging the agreement and sought a stay on the sale of the factory to Great Wall Motor or any other company

GWM’s India dream shattered when the Chinese army PLA tried to encroach Indian territory and resulted into a clash with the Indian army in June 2020. India-China relations have hit rock bottom with the skirmishes on the border that have killed few members of the Indian armed forces and several Chinese soldiers

The Indian government decided to ban almost 50 plus chinese apps amid rising anti-Chinese sentiment, stating that they were prejudicial to the sovereignty, integrity and, security of the country.

The government announced a new policy, making prior government clearance must for any direct investment from countries that share a land border with India

Now the current situation is, GWM, is waiting for the government to approve its foreign direct investment.

The proposal has to be vetted by the Ministry of Home Affairs for security clearance

There are 40 plus proposals from Chinese investors that are said to be awaiting security clearance, including GWM.

As per industry experts,  the biggest hurdle for GWM in getting clearance would be Its Chairman Jack Wey’s, since he is very closely associated with the Chinese Communist Party, and the People Liberation Army (Chinese Army)

Jack Wey has a very strong military connection and background. GWM employees in the native Hebei province in China join military crash courses on joining GWM and maintain perfect discipline in manufacturing and other important departments of the company. This military exercise is also a must for the majority of senior executives of the management.

As per the new FDI policy by DPIIT, a detailed review of the names of promoters, owners, and directors is conducted despite a self-declaration by the company

While the India-China border situation still not very healthy, any kind of security clearances involving Chinese investments for Chinese companies may take a longer time than expected.

Worldwide, GWM has 70,000 employees and operates 10 R&D facilities in 7 different countries and has 14 manufacturing facilities spread across the globe. India is likely to be its 15th facility that has an original annual capacity of 1.37 lakh units in Maharashtra