Germany's luxury carmaker BMW on Wednesday said it has no plans to set up additional manufacturing operations in Punjab, a development which comes as an embarrassment to the AAP government in the state.
The company's statement came a day after the Punjab government claimed that BMW had agreed to set up its auto part manufacturing unit in the state.
A Punjab government release here had said that a decision to this effect was taken during the visit of Chief Minister Bhagwant Mann at BMW headquarters in Germany on Tuesday.
Mann is currently on a visit to Germany to attract industrial investments in Punjab.
Meanwhile, Aam Aadmi Party (Punjab), chief spokesperson, Malvinder Singh Kang said, "During his tour to Germany, the CM had spoken to officials of BMW head office. When the CM offered them to set up a unit in Punjab, then they agreed to it."
There is a procedure for any agreement and it takes time, said Kang here.
The development gave an opportunity to the opposition parties to attack the CM and sought his clarification over the matter.
According to a company statement issued on Wednesday, BMW Group is firmly committed to its Indian operations with its manufacturing plant in Chennai, a parts warehouse in Pune, a training centre in Gurgaon NCR and a well-developed dealer network across major metropolitans of the country.
BMW Group India has no plans for setting up additional manufacturing operations in Punjab, said the company statement.
The company stated that with BMW, MINI and Motorrad, the BMW Group has its sight set firmly on the premium sector of the Indian automobile market.
Along with cars and motorcycles, BMW Group's activities in India comprise of financial services for its premium clientele.
BMW India and BMW India Financial Services are 100 percent subsidiaries of the BMW Group and are headquartered in Gurgaon (National Capital Region), said the company statement.
In the state government's Tuesday statement, it was mentioned that the CM showcased the government's exemplary work to promote industry in the state after which BMW agreed to set up its auto component unit in the state.
The statement quoting Mann had also said that this will be the second unit of the company in India as one such unit was already operational in Chennai.
Following the denial by BMW, the opposition parties slammed the CM for making fake claims .
The Bhagwant Mann government is habitual of making fake claims and this development was also one of such examples. Mann has gone on a private trip to Germany rather than seeking fresh investments into Punjab, said BJP leader Tarun Chugh.
Congress leader and leader of Opposition in the Punjab Assembly Partap Singh Bajwa asked the CM to clarify his position.
BMW has denied setting up of any plant in Punjab as claimed by Chief Minister @BhagwantMann Can the CM clarify his position on this or was he lying to the whole state, asked Bajwa.
Shiromani Akali Dal leader Daljit Singh Cheema asked the chief minister to bring all facts on record.
The Punjab CM @BhagwantMann must immediately bring all facts on record. It is a question of credibility of the office of Hon'ble CM. What compelled the BMW to issue such statement, said Cheema in a tweet.
Congress leader Sukhpal Singh Khaira also sought Mann's clarification on the matter.
Since @BMW has clarified that it has no plans to set up manufacturing plant in Punjab as it already has a plant in Chennai,a warehouse in Pune & training center in Gurgaon,i urge @BhagwantMann to clarify who's correct as he had claimed investments by BMW only yesterday, said Khaira in a tweet.