It set up the Chennai factory in 2006, and the unit produces various models, including smartphones targeted at consumers in emerging markets.

BBC: Nokia's India factory raided by tax officials

Plus, using the six-cylinder gas engine is part of a larger strategy to apply the hybrid powertrain to various models, including the 5 Series and 7 Series.

FORBES: BMW ActiveHybrid 3 Review: A Lot Of Fun On Slightly Less Fuel

The automaker suffered a blow to its reputation from a series of massive recalls in 2009 and 2010, including faulty braking, sticky gas pedals and defective floor mats, partly a reflection of how various models used the same parts to save costs.

NPR: Toyota, Honda, Nissan Announce Air Bag Recall