Suzuki has said it plans to open a new diesel engine factory and a second car assembly plant in India.

The project, valued at about 10 billion yen (£50m), is aimed at boosting Suzuki's share of India's fast-growing car market.

Suzuki said the new engine factory would begin production in 2006, with annual capacity of 100,000 units.

The assembly plant will be run jointly with local partner Maruti Udyog.

Capable of producing a quarter of a million cars a year, it is set to begin production in 2007.

(Source: bbc.co.uk)