Benteler, an automotive technology company, is expanding its manufacturing footprint in India. Tony Shi, member of the Management Board of Benteler Automotive, and Shyam Dinakaran, Vice President of Purchasing APAC, met Pratik Mathur, Consul General of India in Shanghai, to brief him on the company’s expansion plans.
In July 2024, the company inaugurated a pressing facility in Pune . The facility was established to increase production capacity and efficiency to meet demand in the Indian automotive market. This followed the company’s earlier investment in a 150,000 square feet manufacturing plant at Horizon Industrial Park-Chakan II, Pune, which was inaugurated in November 2022 and began operations in December 2022. The plant manufactures and assembles rear axles with a capacity of around 900,000 products per year and employs approximately 300 personnel, compared with 55 before the expansion.
The Chakan plant incorporates sustainability features such as rooftop solar panels with a capacity of 750 kWp, energy- and water-efficient systems, and the use of fly-ash bricks in construction. The company estimates the solar installation could mitigate about 23,062 tonnes of carbon dioxide emissions over the plant’s lifetime.
These expansions in India are part of its broader manufacturing strategy. The establishment of new facilities in Pune and Chakan reflects the company’s plan to increase domestic production capacity and create additional employment, with the investments aimed at meeting growth in the Indian automotive market.
The choice of the Pune/Chakan region is significant, as it is one of the country’s main automotive hubs with a concentration of major Original Equipment Manufacturers (OEMs) and Tier I/II suppliers. This location enables Benteler to integrate closely with the supply chain and respond more efficiently to customer demand.
The company partnered with Horizon Industrial Parks to set up its Chakan facility, which was delivered through a built-to-suit model. The customised plant included provisions for overhead cranes and office space for up to 300 employees. By using a plug-and-play solution, Benteler was able to complete the facility in about 10 months, reducing time-to-market and focusing resources on equipment relocation and production ramp-up.
In addition to current operations, the Chakan site was designed with provisions for future capacity expansion. The company obtained approvals for ‘Red’ category industrial operations, typically required for more complex or environmentally sensitive processes, and built infrastructure to support the use of overhead cranes for handling heavy automotive components.
The Indian investments also align with Benteler’s refined corporate strategy announced in 2019, when it divested its distribution business to focus on its automotive division, which generates around 80 percent of total turnover. The expansion in India is consistent with the company’s targeted global investments in key growth markets and advanced technologies, such as a new battery components plant in Wyoming, a facility in Morocco, and collaborations in autonomous vehicle development.
Benteler Group operates in India through two wholly owned subsidiaries: Benteler Automotive India Private Limited, Pune, and Benteler Engineering Chennai Private Limited, Chennai.