U.S. firm to buy more autoparts from India

By SiliconIndia   |   Friday, 30 March 2007, 05:00 Hrs
Printer Print Email Email
ArvinMeritor, a U.S. automotive major has noted that the next two-three years will see the company more than double its purchases of raw materials and auto parts from India, with the transaction amount reaching $500 million(about Rs 2,200 crore).

“We buy goods worth $3.7 billion globally, 20 percent of which is sourced from low-cost manufacturing countries including China and India,” ArvinMeritor President Asia Pacific Rakesh Sachdev told a press gathering.

He added that while the company purchased goods worth $100 million(about Rs 450 crore) from the domestic market last year and will likely scale it up to $250 million this year, in the future, India would play a major role in sourcing auto components for the company’s global operations.

“Around one-third of our business would come from the Asia region in which India would play a major role,” he said.

Over the next three years, ArvinMeritor plans to increase the headcount at its Bangalore R&D center to 400 employees from the present 200. At present, the company operates four manufacturing facilities in India in joint venture with other players.

It mainly supplies components for heavy vehicles, which account for nearly 50 percent of its revenues from the country.

SpiceJet plans aggressive
Budget passenger carrier SpiceJet plans to aggressively expand its international networks to fl..
Fossil Group sells smartwatch
Global watch and accessories maker Fossil Group has announced to sell its smartphone technolog..
GST rate cut to spur Bengaluru
The realty market in India's tech hub is set to grow as lower Goods and Services Tax (GST) rate..
Ola raises Rs 400 cr for electric
Leading ride-hailing cab aggregator Ola on Friday said it raised Rs 400 crore from its early in..