China's Wanda Group to build factories in India

New Delhi: Chinese billionaire Wang Jianlin led Dalian Wanda Group said on Friday that it will develop a $10-billion industrial park in India, which is expected to be one of the biggest development projects in the country.

This is the first project by China’s biggest commercial property developer in India. The Wanda Group said that it has signed a preliminary agreement with the Haryana government to build an industrial zone, foreign news agencies reported on Friday. It would be the lead investor in the project’s initial infrastructure.

The Wanda Group  said that the first phase of ‘Wanda Industrial New City,’ whose construction may begin this year, will span across 13 square km and house companies in industries ranging from software to cars and healthcare.

It will be largely responsible for investing in the initial infrastructure and the company will attract Chinese and other international companies to participate in the development and setting up operations, according to the statement.

Chinese companies have stepped up their investments in India after Prime Minister Narendra Modi eased restrictions on Chinese investments in the country.

The government has been making efforts to attract Chinese companies to invest in India and convince the Communist nation to open up its service and pharmaceutical sectors  to Indian companies as New Delhi runs a large trade deficit with Beijing.

Last year, China’s construction equipment maker Sany Group promised to invest up to $5 billion (Rs 33,000 crore) on renewable energy, construction equipment and housing sector in India. Chint Group pledged to invest $2 billion in solar power and equipment.

Mobile maker Xiomi had announced its plans  to manufacture mobile handsets for India locally.