Bulten Group will set up a new fasteners manufacturing facility in Oragadam, Tamil Nadu, following the signing of a memorandum of understanding (MoU) between its Indian subsidiary PSM Fasteners India and the Tamil Nadu government on 4 February 2026. The project is expected to strengthen domestic manufacturing capacity in precision fasteners and support export-oriented production.
The proposed facility will involve an investment of INR 5.25 billion and is expected to generate employment for around 2,000 people. The unit will manufacture a full range of micro-fasteners for supply to the domestic market as well as exports, primarily to Europe and the United States.
Bulten has entered into a binding agreement with its joint venture partner to assume full ownership of its operations in India. Bulten plans to relocate its current operations to Chennai. The new location will be situated in an industrial park where several major global contract manufacturers are establishing operations, creating proximity to key customers and suppliers.
“The project is intended to be carried out in stages, and the first stage represents an expected investment in the range of SEK 30–50 million. Further development beyond this stage will be evaluated over time and in line with customer demand and market conditions,” the company stated.
“This development is well aligned with how many of our customers are currently evaluating their industrial footprints, including so-called China-plus-one considerations. India is increasingly seen as an important complement in global supply chains, particularly for electronics and industrial applications. At the same time, ongoing developments in the global trade and policy environment reinforce the strategic relevance of strengthening our presence in the region. Taken together, this supports our ambition to be closer to our customers and to participate in value chains that are becoming more globally diversified.”says Axel Berntsson, President and CEO.
In an official statement, Tamil Nadu Industries Minister T R B Rajaa said the project would help reduce India’s dependence on imported fasteners used in electronics and precision manufacturing. He stated that the facility would cater to major electronics manufacturers and contribute to building local capabilities in a critical segment of the manufacturing value chain.
The investment is planned at Oragadam, an established industrial corridor near Chennai that hosts several automotive, electronics, and engineering manufacturing facilities. The location offers access to logistics infrastructure, ports, and an existing supplier ecosystem, which supports large-scale manufacturing and exports.
According to the minister, the project aligns with the state’s focus on attracting investments in high-precision and technology-intensive manufacturing. He added that the manufacturing output would be oriented towards both domestic consumption and international markets, supporting export growth from the state.
Bulten Group has more than 150 years of experience in fastener manufacturing globally and supplies fastening solutions to multiple industrial sectors, including automotive, electronics, and engineering applications. The proposed Oragadam facility is expected to expand the group’s manufacturing footprint in India and integrate the Indian operations into its global supply chain.
PSM Fasteners India is the Indian arm of Bulten Group and operates in the precision fasteners segment, supplying components used in electronics and other high-precision applications. The new facility is expected to enhance production capacity and support demand from global customers.
Tamil Nadu has continued to attract investments in electronics, automotive, and precision manufacturing through industrial corridors and sector-focused policies. The state has positioned Oragadam as a key manufacturing hub due to its concentration of original equipment manufacturers and component suppliers.
Bulten Group is a Sweden-based fastener manufacturer with operations across Europe, Asia, and the Americas, supplying engineered fastening solutions to industrial customers worldwide.