0300 GMT July 23, 2019
According to two people with direct knowledge of the situation, Nissan’s planned action relates to a 2008 agreement with the government of southern Tamil Nadu state, which led to its opening of a large car plant near Chennai two years later, ft.com wrote.
Nissan believes that the agreement entitled it to about $770 million in incentive payouts from the state government, but after two years of failed entreaties to both state and national administrations — including a personal appeal to Prime Minister Narendra Modi — the company is now planning to pursue international arbitration. Its decision was first reported by Reuters.
Other companies pursuing international arbitration against India include UK-based Vodafone and Cairn Energy.