Sanjeev Gupta believes he can bring Car Manufacturing to Australia
Joy Sawhney | On 24, May 2018
For anyone looking to buy a new car, the prospect of them being both cheaper and cleaner comes as excellent news. If UK-based Indian businessman Sunjeev Gupta has anything to do with it, this is precisely what will happen for South Australian car buyers.
The GFG Alliance CEO, who is credited with bringing an auto-industry boom to Britain, has purchased South Australia’s Whyalla steelworks to start a new run of electric cars to both the state and the country.
According to reports, Gupta has said that he will do a small scale run of 30,000 new cars annually. The clean energy vehicles will retail for between $20,000 to $30,000.
Back in January, it was said that Gupta was planning to invest in General Motor’s Holden’s closed Elizabeth factory. He has also punched a 50.1% stake in the South Australian-based battery company Zen Energy.
Of his ambitious plan, Mr Gupta said, “It’s a very different way of thinking about cars, it’s a much cheaper way of making cars, and you can make them in a much smaller volume.”
At the beginning of the year, South Australian Treasurer Tom Koutsantonis wrote a letter praising Mr Gupta’s plan, saying, “We are incredibly excited and supportive of the GFG Alliance’s bid and subsequent plans to ensure the continuation of our very proud history of automotive excellence and innovation in South Australia.”
Mr Gupta saved the Whyalla steelworks from receivership with a reported $1 billion investment.
The billionaire has an apparent plan with his investments. He has said, “We will definitely in the next two or three years have a car in production in Australia.”
It is his opinion that both batteries and solar have the potential to improve the budgets and lifestyles of both businesses and households as their energy efficiency almost means a cut in the cost of bills. Mr Gupta believes that the benefits will be felt for a long time coming.
He said, “These two solutions together will change the energy mix for sure for our generation and the next.”