LMC inaugurates Hyundai Assembly Plant in Parasi

KATHMANDU: Laxmi Motor Corporation (LMC), a subsidiary of Laxmi Group and parent company of Laxmi Intercontinental, the authorised distributor of Hyundai vehicles in Nepal, inaugurated the Hyundai Assembly Plant in Parasi district, on Friday.

The inauguration ceremony was attended by Prime Minister Pushpa Kamal Dahal, Chief Minister of Lumbini Pradesh, Jokh Bahadur Mahara; Ambassador of the Republic of Korea (RoK) to Nepal, Park Tae-Young; Managing Director and Chief Executive Officer from Hyundai Motor India, Unsoo Kim; and other local authorities.

The LMC Hyundai Motor Assembly Plant, with a built-up area of 14,000 sq m out of a total of 65,000 sq m, represents a major investment in Nepal's automotive landscape.

With an annual capacity of 5,000 units per shift, the facility aims to transform Hyundai vehicle production nationwide, complying with all the standards of Hyundai Motor Company (HMC). LMC established the factory under the technical supervision of HMC, ensuring every vehicle produced meets its standard protocols in terms of performance, safety, and reliability.

Prime Minister Pushpa Kamal Dahal speaks at the inauguration of Hyundai Motor Assembly Plant of Laxmi Motor Corporation — the official dealer of Hyundai vehicles for Nepal, and a subsidiary of the Laxmi Group — in Ramgram, Parasi, on Friday, May 10, 2024. Photo: RSS

Prime Minister Pushpa Kamal Dahal speaks at the inauguration of Hyundai Motor Assembly Plant of Laxmi Motor Corporation — the official dealer of Hyundai vehicles for Nepal, and a subsidiary of the Laxmi Group — in Ramgram, Parasi, on Friday, May 10, 2024. Photo: RSS

Speaking at the inauguration of the assembly plant in Ramgram, Prime Minister Dahal emphasised the government's commitment to boosting the country's economic transformation by maintaining high morale among investors, including industrialists and the business community. He stated that the country will progress on the path of prosperity through economic development. He added that the economy will be strengthened by building confidence in the private sector, asserting that the government is committed to facilitating investment.

"The robustness of the country's economy cannot be achieved without the investment of the private sector and collaboration between the State and the private sector. Productivity cannot be increased and employment opportunities cannot be created without this," PM Dahal said. He added that the government is always supportive of creating an environment conducive to investment, promoting the private sector, and ensuring security and facilitation in investment areas.

Expressing his belief that the operation of this assembly plant will attract more domestic and foreign investors towards the industry-friendly environment in Nepal, he said that imports will be substituted and hundreds of skilled and semi-skilled labourers will gain employment through industrialisation.

The Prime Minister opined that consumers can purchase vehicles at a fair price and there will be a positive contribution to the consumption of domestic resources and electricity, local development partnerships, and the GDP when motor assembly is carried out within the country itself.

"Our fiscal and monetary policies should be promotional, rather than restrictive. These policies and laws should contribute to the promotion of production and employment," he said. The PM further stated that the domestic and external indicators of the economy are positive due to the consistent efforts of the government.

"The Nepal Investment Summit has recently concluded. The government has amended important Acts, bringing an ordinance prior to the summit. This will play a key role in addressing the problems seen in the investment sector and also in encouraging and promoting internal and external investment," he added.

The Prime Minister expressed his belief that the enthusiasm seen at the investment summit, the common viewpoint and commitment witnessed in the political parties of Nepal, and the attraction of the investors indicate that Nepal will soon become an attractive destination for investment.

On the occasion, Managing Director and Chief Executive Officer of Hyundai Motor India, Unsoo Kim, expressed his enthusiasm for the new Hyundai Motor Assembly Plant, highlighting the impact of technology and skill transfer on customer satisfaction.

The inauguration ceremony was followed by a plant tour, marking a milestone in Nepal's automotive industry with the roll-out of the first 'Made in Nepal Hyundai Venue'. With this, LMC has commenced production of the Hyundai Venue, focusing on its compact SUV segment. The plant will be assembling various other models of Hyundai vehicles.

Through its commitment to manufacturing more affordable and accessible Hyundai vehicles, LMC aims to cater to the diverse needs and aspirations of a broader customer base, thereby enriching lives and promoting mobility across the nation.

Currently, Laxmi Intercontinental has a market presence with 16 Hyundai car showrooms, 19 service centres, and over 45 charging points across Nepal. To ensure customer satisfaction, Laxmi Intercontinental, in collaboration with its sister concern, LMC, is planning to expand its network further in tier 2 and tier 3 markets soon.