Schaeffler India charts capacity expansion over 3 years

28 Mar 2023 CW Team

Schaeffler India, a manufacturer of automotive and industrial parts, plans to invest $15,000 million in capacity expansion over the next three years, including the construction of a new factory in Hosur at a cost of $3000 million.

The Indian arm of the €16 billion Germany-headquartered global automotive and industrial parts supplier Schaeffler Group has invested close to $5000 million in capex in 2022, with the primary focus on capacity enhancement. It intends to continue this capex over the next three years to support its growing domestic automotive and industrial businesses as well as its export business.

These capital expenditures are aimed at relocation and export growth, as well as expanding its domestic industrial business. The company is establishing a large manufacturing facility for industrial business in Savli, near Vadodara, Gujarat, and another for automotive business in Hosur, Tamil Nadu.

The first phase of the Hosur project is expected to be completed by the end of this year. It will produce transmission components and systems for both the automotive and agricultural markets. It will also invest in expanding export capabilities.

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