Sona BLW Precision Forgings (Sona Comstar), a leading global provider of mobility technology solutions, has signed a binding term sheet with Jinnaite Machinery Co, (JNT) to form a joint venture (JV) in China. The JV will manufacture and supply driveline systems and components to automotive OEMs in China and global markets.Under the agreement, Sona Comstar will invest $12 million, while JNT will contribute $8 million worth of assets and business in the first phase. The JV is slated to begin operations in the second half of the current financial year.This marks a significant step in Sona Comstar’s expansion strategy in Asia, especially in the world’s largest EV market. The company, already the leading supplier of differential assemblies for battery electric vehicles (BEVs) in North America and a major player in Europe, aims to further strengthen its position across Asia, including India, China, Japan, and South Korea.China’s EV market recorded 11 million annual sales in 2024, accounting for two-thirds of global EV sales. Chinese OEMs now command 76 per cent of global EV sales, with exports increasing sixfold—from 1 million in 2020 to over 6 million in 2024. This expansion is driven by rapid advancements in battery and software technology, supportive government policies, and large-scale investments in charging infrastructure and green energy.JNT brings to the table a state-of-the-art foundry with patented technology for complex castings and moulds. It holds 63 patents and 36 proprietary technologies and has helped develop five Chinese national standards. With a strong clientele across automotive, off-highway, and railway sectors—including major OEMs from China, North America, Europe, and Japan—JNT’s local expertise will complement Sona Comstar’s technical capabilities in driveline design, precision forging, and machining.The JV will serve both EV and non-EV automotive customers and is expected to scale operations swiftly, supported by JNT’s established customer base, supplier network, and regulatory knowledge.The company's board has approved the signing of the binding term sheet. The transaction is subject to customary conditions precedent.Vivek Vikram Singh, MD & Group CEO of Sona Comstar, said, “I am excited to partner with JNT to establish a driveline manufacturing plant in China. This joint venture marks a significant step in our strategy to expand into the rapidly growing Asian markets. As the largest electric vehicle market in the world and a leader in EV technologies, China offers tremendous opportunities for innovation and growth. By leveraging the strengths of both partners, this venture is well-positioned for strong growth, and it has the potential to become a key supplier of driveline solutions for electric vehicles in the region. With a robust order book already in place, we expect operations to commence later this year.”