The plant will manufacture high-quality sealing and vibration control solutions for the automotive and other sectors.
01 Jun 2018 | 12292 Views | By Kiran Bajad
Germany’s leading diversified technology group Freudenberg is investing Rs 210 crore in a greenfield plant in Chennai to cater to its various automotive clients in the region. This is the first investment of the group in Chennai which is home to several OEMs and Tier I suppliers.
Under construction, the new plant ...
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Germany’s leading diversified technology group Freudenberg is investing Rs 210 crore in a greenfield plant in Chennai to cater to its various automotive clients in the region. This is the first investment of the group in Chennai which is home to several OEMs and Tier I suppliers.
Under construction, the new plant will come up on a 13-acre site near Chennai and is likely to start production by the first quarter of 2019. It will manufacture high-quality sealing and vibration control solutions for the automotive and other sectors.
Speaking on the new investment in India, Georg Graf, regional representative India, Freudenberg Group said, “We are on track, our new facility in Chennai is an important step, not only to the group but also to underline our long-term commitment to the local market and to support the ‘Make in India’ initiative.”
For the over 9.3 billion euro (Rs 72,978 crore) Freudenberg Group, the automotive sector is a major business segment in India with over 60 percent revenues. In 2017, Freudenberg India registered a revenue of Rs 2,768 crore, growing 25 percent YoY. The group has been recording a healthy growth of over 20 percent over the last five years and is bullish on its growth in India, which is backed by strong demand for its products.
“The new investment will contribute to the sustainable growth of the entire group, both operational and strategical. 2017 was a successful year for Freudenberg Group worldwide. The Indian market played a key role in our existing and future operations, and our diversified and innovative portfolio caters to the demands of India’s industry”, said Graf.
The Freudenberg Group has been in India for over 90 years with seven business groups, 14 production facilities with six R&D centres and employing nearly 2,688 employees at around 50 locations.
The Group, in India, develops and produces seals, vibrations control technology components, filters, nonwovens, release agents and specialty lubricants. Besides automotive sector, the group caters to mechanical, plant engineering, textile, clothing, construction, mining, energy, chemical, oil and gas etc.
Also read: Freudenberg Group has a vibrant presence at Components Show