Indian auto component supply chain gains as auto companies look outside China

June 2, 2024

(This article was originally published on August 3, 2020 Chennai: India’s automotive component supply chain is starting to gain early revenues as global OEMs look for alternatives in China, component makers said, citing Japanese, South Korean and European companies. This cautious ‘China’ 1 ‘policy. ‘ A policy that has been in place for years

In the context of the epidemic and the US-China conflict, this process has now become “less cautious and more hasty”. Indian auto component companies are receiving orders and tests from global automakers “as long as the parts are domestic”. Co-chairman Jayant Dharwal said India is willing to provide more upfront payments to help set up local factories in Europe and accept slightly higher costs than in China. Managing Director of Sandhar Technologies, the company started building a factory in Romania after the blockade. The plant is expected to be operational within two months.

Minda Group and other Motherson Group companies have also received new interest and orders from OEMs seeking to expand their sourcing base as well as from Tier 1 suppliers.

“Last year, our exports were Rs 40% crore and while there was a two-month blockade, we need to do the same in 2021 blockade, fiscal year. We have invested about six home Rs 100 crore in new ventures in the BorgWarner business line (turbocharger company). Minda He said that with the launch of new products, the auto parts maker will see an improvement in its first global orders.

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