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KIA Motors denies media reports of shifting of plant

KIA Motors denies media reports of shifting of plant

By : Kaushik Subramanian

  |  7 Feb 2020 5:25 AM GMT


After media reports emerged that the talks between KIA Motors and
the Tamil Nadu government are on to shift their plant, KIA Mortors on Thursday
called the reports untrue and baseless.


KIA Motors which opened its first plant in India in December 2019
in the state of Andhra Pradesh, was facing problems with the new state law
regarding local hiring and other policy changes brought out by the new
government.


Senior officials of Andhra government too denied the reports of
shifting of plant. Special Chief Secretary Rajath Bhargava called the reports
untrue and went on to condemn them.


Mr. Rajath Bhargava in a
statement said: “The Reuters news is not
true. KIA Motors and the Government of A.P. are working together. We strongly
condemn the news.”


The Backward Classes Welfare Minister Malagundla Sankara Narayana
also clarified that there are no such proposals from KIA Motors.


Member of Parliament for Hindupur constituency Gorantla Madhav also
called it a bluff and observed that it
is a ploy by opposition leaders to discredit Jagan Mohan Reddy and his
government.


In a tweet, Rajya Sabha MP V. Vijayasai Reddy stated that the
YSRCP government in AP was fully supportive of KIA Motors and shares a great
relationship with the company. He asked people to ignore the rumours spread by
some media outlets.


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