ZF Wabco plans new plant near Chennai

News source : The Times Of India (25th May’21), Image source : Evertiq

• Auto component major Wabco India -- now part of ZF Group Commercial Vehicle Control Systems Division after the in May 2020 -- is planning to set up a greenfield factory in Tamil Nadu's Oragadam auto hub.

• According to a top company executive, the company's board has already given approval for a "sizeable expansion in the vicinity of Chennai" to cater to both local as well as export demand. The new plant is part of the company's larger strategy to make India an engineering and digital technology hub globally.

• P Kaniappan, MD, Wabco India, said: "We are looking for a piece of land for our next expansion project and we want a land parcel in Oragadam. We are working with the government of Tamil Nadu for this. Our board has already approved the proposal." However, he declined to give the financial details of the project.

• The new plant is part of Wabco's ambitious strategy to make India a tech and engineering hub. "We are developing Chennai as an engineering centre for commercial vehicles for India as well as globally," said Kaniappan.

• German auto parts major ZF currently holds 75% of Wabco India which is Chennai headquartered and also has an entirely export-oriented plant in Mahindra World City.