Anbumani, the leader of the PMK (Pattali Makkal Katchi), issued a statement yesterday expressing concerns over Tamil Nadu’s failure to attract the investment from BYD, a Chinese electric car manufacturer. According to Anbumani, the company has chosen Telangana for setting up its new electric vehicle (EV) manufacturing plant instead of Tamil Nadu, despite the state previously having attracted investments from BYD in 2019 for an EV parts manufacturing plant.Anbumani’s statement sheds light on a recent development where BYD, a leading Chinese electric vehicle manufacturer known for competing with Tesla, announced plans to establish a factory in Hyderabad, Telangana, with an investment of ā¹85,000 crore. The state was in competition with Tamil Nadu, Gujarat, Maharashtra, and Telangana for securing this investment. However, despite Tamil Nadu’s efforts, Telangana won the bid for this significant industrial investment.
The PMK leader expressed disappointment that Tamil Nadu, often touted as “Asia’s Detroit,” could not secure this key investment from one of the world’s largest electric vehicle manufacturers. He emphasized that this development underscores the declining ability of Tamil Nadu to attract industrial investments. BYD had initially set up a plant in Tamil Nadu in 2019 for assembling EV components at an investment of ā¹2,800 crore, but the state’s inability to bring the company’s vehicle manufacturing plant is seen as a missed opportunity.
Anbumani further highlighted that Tamil Nadu, which was previously ranked third in the list of states most suitable for industrial investments, has now been entirely removed from the rankings for the current year. The stateās failure to secure such a prestigious investment has raised concerns about the stateās declining attractiveness for industrial growth and foreign direct investments.
He urged the state government to analyze why industrial investments are moving to other states and to focus on enhancing Tamil Nadu’s capacity to attract investments. According to Anbumani, the Tamil Nadu government must work on improving the state’s competitive edge in industrial development to prevent such missed opportunities in the future.
This setback marks a significant development for Tamil Nadu, traditionally a hub for automotive and manufacturing industries, as it faces increasing competition from other states, especially in the growing electric vehicle market. The loss of this investment emphasizes the need for a reevaluation of Tamil Naduās strategies in attracting and retaining industrial investments, particularly in emerging sectors like electric vehicles.