Car manufacturers are focusing on India to expand their activities in Indian market. BMW, German luxury car manufacturer decided to expand it’s activities in India by increasing production capacity in Chennai and strengthening dealership network with India.

5,400 vehicles will be produced by this site for every year, instead of 3,000 units which are being created currently. It will produce the X1 model for the local market along with 3 series and 5 series which are being built currently, it will be done from November in this year. BMW will expand the sales of the vehicles by targeting a total number of stores of 22 by 2011 to support the production growth. It is hoping to access the new customer segment. Financing through BMW Financial Services will be offered by dealerships to their customers for the first time.

BMW entered Indian market in 2006 and from then it has a steady growth in sales. It seems the company hopes to get positive results by it’s new plan.