GE Plants Deep Local Roots in India

In a remote eastern corner of the northern state of Bihar in India, 600 miles south-east of Delhi, GE’s factory in Marhaura will house its locomotive project – GE’s centerpiece of its $200 million investment. Government of India’s $2.5 billion order for 1,000 locomotives over 11 years is one of the largest deals ever for GE’s transportation unit, and its biggest order ever in India. The factory is a joint venture with state-owned Indian Railways that invested $15 million. The plant will employ about 400 workers and is slated to begin assembling locomotives late next year.

To provide housing for workers that GE will recruit from other parts of the country, the company is building 100 residential units near the factory site. The company will also work with local officials to try to streamline bureaucracy to widen and straighten roads to ensure it can get materials to the site.  “There is a strong trend toward economic nationalism all over the world,” CEO, Jeff Immelt, said in February in a letter to shareholders. He added that the company could not depend on new trade deals to ease global commerce, but must scatter production all over the world.


John Flannery, who once ran GE’s India business, and who will take on the role of CEO in August when Immelt retires, says, “What works in Milwaukee doesn’t necessarily work in Mumbai.”

The Wall Street Journal says: A localization strategy requires a deft political touch. GE maintains that overseas investments aren’t coming at the expense of U.S. workers. The engines for all 1,000 locomotives to be assembled in Marhaura, will be built at GE’s Grove City, Pa., plant.

GE’s factory complex in the industrial city of Pune, in the state of Maharashtra, has trained a cadre of skilled workers in an automated facility, and this facility is expected to produce about 30% of the components in the locomotives to be assembled in Marhaura.


July 4, 2017   No Comments

GM Commences Export of Sedans from India

General Motors shipped a consignment of 1,200 Chevrolet Beat sedans to markets in Latin America from its plant located in Talegaon, near the city of Pune, in India. Production of these autos started a year ago. Earlier this year, GM had exported Chevrolet Beat hatchbacks to the same markets.

GM India vice-president, manufacturing, Asif Khatri said that the Talegaon facility is a key export manufacturing hub for the company reports the Times of India.

“GM India’s exports have more than tripled in the past year. GM was India’s third-largest passenger vehicle exporter in May, recording our highest monthly total of vehicle exports at 8,297 units,” Khatri added.

Chevrolet logo

June 27, 2017   No Comments

Warburg Pincus to Invest in India’s Tata Technologies

New York-based private equity firm Warburg Pincus will invest $360 million in Tata Technologies for a 43 percent stake, of which 30 percent will be acquired from Tata Motors, the parent company, and 13 percent from Tata Capital.

Tata Technologies Logo

Tata Technologies provides outsourced design, research and development services to the automotive, aerospace, and industrial machinery industries, and has about 8,500 employees in 23 countries. Warren Harris CEO of Tata Technologies said, “As the engineering services outsourcing market has matured from cost arbitrage and staff augmentation to increasingly high-end, strategic work, Tata Technologies has been there leading the charge.”

Vishal Mahadevia, managing director and co-head of Warburg Pincus India, said that the PE firm will leverage its global network and prior experience in the engineering services sector to help Tata Technologies grow both organically and through acquisitions, reports Bloomberg.


June 19, 2017   No Comments

H.B.Fuller Sets up R&D Facility in India

St. Paul, Minnesota-based adhesives manufacturing company H.B.Fuller, expanded operations in India by adding a research center in its manufacturing facility at Shirwal, near Pune, and a business office in Pune. The company serves industries such as electronics, disposable hygiene, medical, transportation, clean energy, packaging, construction, and woodworking.

Jim Owens, president and chief executive officer at H.B.Fuller said, “We are pleased to be expanding our footprint in India. We are optimistic about the new opportunities our new business office and R&D center will provide us, and our customers.”

HB Fuller's R and D Lab in Pune

Spanning 5,000 square feet, the new R&D center has dedicated areas to conduct experiments, run demonstrations and train customers on its hot melt, water-based, anaerobic and cyanoacrylate technologies. Its proximity to the production floor increases collaboration between the company’s R&D and operations teams, reports the Business Standard.

June 8, 2017   No Comments

Dell EMC to Invest $1 Billion in India

IT infrastructure provider Dell EMC, based in Massachusetts, plans to invest $1 billion to set up its product development center in Pune, a city 75 miles east of Mumbai, as well as expand its manufacturing base in India.

Dell EMC Product

The company already has a factory near Chennai, in south India, from where it shipped its 10 millionth product last month, Dell EMC Director for Mega Projects, Ravinder Pal Singh said. He added that the sales turnover of the company will be over $3 billion over the next couple of years, reports India Infoline News Service.


June 5, 2017   No Comments