Category — Sourcing

Global Automakers Seek Partnerships and Mergers in India

Germany’s Volkswagen and India’s Tata Motors signed a memorandum of understanding to develop components, and possibly new vehicles. Volkswagen’s Skoda Auto AS will join the project on behalf of the German automobile group. Volkswagen CEO Matthias Mueller said the partnership would help it “achieve sustainable and profitable growth in very different parts of the world.”

Toyota is in talks to form a business partnership with Japan’s Suzuki, in areas such as green vehicles, safety and information technologies, and mutual supply of products and components. Toyota President Akio Toyoda and Suzuki chairman Osamu Suzuki met with Prime Minister Modi. According to a statement from the prime minister’s office, the executives discussed manufacturing opportunities in India, and the possibility of exporting cars from the country, reports CNN Money.

a hand shake

 Toyota has taken full ownership of small car specialist Daihatsu Motor Co., and the latter’s products are expected to be introduced in India in 2019.

March 14, 2017   No Comments

Magellan Aerospace to Construct Manufacturing Facility in India

The Mississauga, Ontario-based Magellan Aerospace announced plans to construct a manufacturing and assembly plant in India. The 140,000 sq ft building will be constructed on seven acres in the Aerospace Special Economic Zone near the Bangalore International Airport. The company provides complex assemblies for aircraft and engine manufacturers, and defense and space agencies.

Phillip Underwood, president and chief executive officer said, “Magellan’s expanding footprint  in  India,  and increasing  spectrum  of  capabilities, reflects  the  company’s commitment to provide competitive solutions for major commercial customers.”

Magellan Aerospace Logo

The CDN $28 million manufacturing and assembly plant will be constructed in three phases, and Magellan plans to break ground for it in June reports Canadian Business. The unit  will  support  the  production of larger work  packages  for  major structural  assemblies,  fabrications,  and  machined components  for  the  global market, the company announced.

 

February 22, 2017   No Comments

Boeing Enhances Defense Engagement with India

Boeing announced the establishment of Boeing Defense India, a local operating entity that will support the company’s future growth objectives in the country in the areas of services and support, sales and marketing, sourcing, manufacturing, and engineering.

Pratyush Kumar, current president, Boeing India, will lead this new initiative which will expand its engagement with India’s Ministry of Defense to deliver advanced capability and readiness to India’s military customers and develop a competitive supplier base that is integrated into Boeing’s global supply chain, reports the Economic Times.

Boeing Airplane
“India is among the fastest growing economies in the world, and Boeing has made accelerated investments to grow the manufacturing, skill development and engineering scale in the country,” said Kumar. “Going forward, our strategy will be to continue leveraging India’s strengths to maximize growth and productivity for Boeing and help create a robust and self-sufficient aerospace ecosystem in the country.”

February 8, 2017   No Comments

Ionic MSM Inc Expands to India

Illinois-based Ionic MSM Inc., a health and wellness firm, has setup a fully integrated production unit at Jaipur in the northwestern state of Rajasthan, to manufacture products based on an organic form of sulfur called methyl sulfonylmethane (MSM) for India and other Asian markets.

The new entity, Ionic MSM Ltd., is promoted by industrialist Dr. Santosh Kumar Bagla (not related to me!) who said that in India, the company had launched more than 40 products used in cosmetics, health care, pain management, and veterinary products, reports Business Standard.

Ionic Logo

The parent company estimates that the India and Asia markets will provide business worth $80 million  in the next 5 years.

February 8, 2017   No Comments

India is an Export Hub for Makers of Small Cars

India is fast developing as a hub not only for small car manufacturing, but for their export as well, reports AutocarProfessional. Factors that contribute to this phenomenon are: the abundance of a skilled labor force, the low cost of manufacturing, and the upskilling of the supply chain that can now meet international quality standards. As India enters into more Free Trade Agreements globally, additional new markets will offer new opportunities for the passenger vehicle industry.

Ford's Ka+

 

From April – November 2016, total shipments of passenger vehicles were 499,037 units, which mark a year-on-year rise of 16.22 percent. The big gainer is Ford India with 102,481 units (+37%) exported, thanks to the new Figo which is sold as the Ka+ in the  United Kingdom and Europe. Volkswagen India reports 23 percent year-on-year gains having exported 56,553 units. GM India has similarly seen a surge in exports of its left-hand-drive Chevrolet Beat to Mexico, Chile, Peru, and central American and Caribbean Countries, Uruguay and Argentina. The company exported 43,015 units, a 240 percent year-on-year growth, adds AutocarProfessional.

December 27, 2016   No Comments