The Automotive And Construction Equipment Industry
1. THE AUTOMOTIVE AND CONSTRUCTION EQUIPMENT INDUSTRY INDIA Fact Pack Swedish Trade Council in India June – July 2006
2.
3.
4.
5.
6. INDIA PRODUCED 1.7 MILLION OF CARS AND COMMERCIAL VEHICLES DURING 2004-05 - Indian auto industry is growing at more than 15% annually Thousands of units Production cars and commercial vehicles industry in India Cars & commercial vehicle segment contributing about 20% of the total auto production volume Source: ACMA, SIAM, industry interviews Production of parts in the automotive industry in India
7.
8.
9. PURCHASE DECISIONS ARE GENERALLY MADE IN THEIR INDIAN HQ BY THEIR RESPECTIVE PROCUREMENT DEPT’S Passenger Cars Source: SIAM, ACMA, company interviews Mumbai, Purchase Deptt. MPV, UV 11 830 M&M (Mahindra) Pune, Purchase Deptt., Deputy GM Purchase PC 348 Daimler Chrysler (Mercedes) Mumbai, Purchase Deptt. PC 1 728 Fiat Pune, Purchase Deptt. UV 7 500 Force Motors Aurangabad, Purchase Deptt, Deputy GM PC 315 Skoda Chennai, Purchase Deptt. MUV, PC 6 354 HM/ Mitsubishi Chennai, Purchase Deptt. PC, UV 1 973 Ford PC, UV PC PC, UV PC, UV CV, PC PC Business Halol (Gujrat), Purchase Deptt. 1 315 GM Gautam Budh Nagar (U.P), Purchase Deptt. 1 900 Honda Bangalore, Purchase Deptt. , GM 2 220 Toyota Chennai, Procurement Deptt. , GM Materials 2 964 Hyundai - Pune, GM Materials, Materials Deptt. - Mumbai, Centralised Import Deptt. 22 000 Tata HQ New Delhi, Marketing Deptt. 3 453 Maruti/ Suzuki Purchase decisions Employees Manufacturer
10.
11.
12.
13.
14. PURCHASE DECISIONS ARE GENERALLY MADE IN INDIAN HQ BY THEIR RESPECTIVE PROCUREMENT DEPT’S Commercial vehicles Source: SIAM, ACMA, company interviews Hosur (Tamil Nadu), Purchase Deptt. MCV & HCV 160 Tatra Bangalore, Purchase Deptt. MCV & HCV 550 Volvo Chennai, Purchase Deptt. LCV 6 354 HM LCV, MCV & HCV LCV LCV, MCV & HCV LCV LCV, MCV & HCV LCV, MCV & HCV Business Ropar (Punjab), Purchase Deptt. , Chief Manager 799 Swaraj Mazda Pune, Purchase Deptt. 7 500 Force Motors New Delhi, Procurement Deptt. 1 173 Eicher Mumbai, Purchase Deptt. 11 830 M&M (Mahindra) Ennore (Chennai), Strategic Sourcing Deptt., ED 12 178 Ashok Leyland Pune, Materials Deptt., GM Materials, 22 000 Tata Purchase decisions Employees Manufacturer
15.
16.
17.
18.
19.
20.
21. Source: ACMA , STC-ND analysis ALMOST ALL PURCHASE DECISIONS ARE MADE IN INDIAN HEADQUARTERS - purchase quality guidelines are set at international partner headquarters Major T1 Suppliers Individual Plants – Delhi Region Shock Absorbers, Piston, AC units, 6000 Anand Group-Gabriel, Behr Mumbai HQ Engine Systems 2 000 Greaves Cotton Pune HQ Seating Systems, Braking Systems, Harness, Suspension System 4 900 TACO – Johnson Controls, Yazaki Chennai Starters, Alternators 500 Visteon India Transmission Parts, Crank Shafts, Axle Beams Fuel injection systems, Shock Absorbers Electronic Ignition System, Alternators, Engine ECUs Engi ne Actuators, Fuel Systems Wiring Harness , Roof Tops, Interiors, Mirrors Electronic Distribution System Business Pune HQ 4 000 Bharat Forge- SIFCO-US, Tokyo D rop Gorge-Japan Bangalore HQ 10 000 MICO-Bosch Delhi Region – Individual Plants 3 500 Denso India Bangalore – HQ 500 Siemens VDO Respective Plant HQs (Noida – Delhi-Region) 13 000 Motherson Group Gurgaon (Delhi Region) 1 800 Delphi India Purchase decisions Employees Manufacturer
22.
23.
24. Source: ACMA, IBEF, STC-ND analysis ALMOST ALL PURCHASE DECISIONS ARE MADE LOCALLY BY T2 SUPPLIERS – quality guidelines are set by T1 & OEMs T2 Suppliers Plant level purchase (Chennai) Axles & Axle Assemblies 750 Axles India HO in Mumbai Bumpers & Fenders 500 Bright Brothers HO in Delhi Region Pistons & Castings 2 800 SunBeam Inds. Plant Level Purchase (Delhi Region) Lock Systems, Body parts & Electrical Switches 3 500 JPM Group Plant Level Purchase (Delhi Region) Lighting Systems 1 150 FIEM Steering, Gear & suspension Systems Sheet Metal Stampings, Exhaust Systems Brake systems Electrical Control Systems & Horns AC systems Lighting Solutions Business HO In Chennai 4 000 Rane Group Individual Plant Purchase Departments (Delhi Region) 3 500 JBM Group HO in Chennai 3 000 Brakes India Individual Plant Purchase Departments (Delhi Region) 3 000 Minda Group Purchase Dept. in Noida (Delhi Region) 850 Subros HO in New Delhi 1 500 Lumax Purchase decisions Employees Manufacturer
25.
26.
27.
28.
29. ALMOST ALL PURCHASE DECISIONS ARE MADE IN INDIA - some manufacturers follow joint decision from HQ & plant Construction Equipment Source: CII, FICCI, KOMPASS, CJI, company interviews Ahmedabad, Export Manager Road & Rail equipments 50 Capious DGM Purchase, Bangalore Lifter, cranes 50 Indital Construction Noida (U.P), Procurement Deptt. Loaders, compactors - Terex Vectra Faridabad (U.P.) Excavator, cranes - R.B.Industries - Drill 40 Beaver Engineering Chairman Hyderabad Drill 50 Borewell Equipment Faridabad (U.P.) Cranes, compactors, rollers 422 Escorts Director Manager, Materials, Faridabad Loaders, cranes, Road eq. 100 ACE Dumpers, dozers, crawlers Excavators, dumpers, loaders, motor graders, scrappers, cranes Excavators, dozers, dumpers, scrappers Excavators, dumpers, loaders Mining equipments Earthmoving equipments Business Bangalore - Caterpillar Bangalore, Procurement Deptt, General Manager (HQ + plant) 600 TELCO Mumbai 22 922 L&T Kolkata 14 000 HM Ranchi (Bihar), Purchase Deptt., General Manager 5 400 HEC Mysore, Purchase Deptt. 14 000 BEML Purchase decisions Employees Manufacturer
30.
31.
32.
33. Source: ACMA,CJI, STC ALL PURCHASE DECISIONS ARE MADE LOCALLY AT HQ’S OR PLANTS - quality guidelines from international collaborators and OEMs Construction Equipment Components Suppliers GM Purchase-Chandigarh HQ Hydraulic Systems & Pneumatic Hoses 900 Gates Corp Mumbai Crawler Under Carriages, Apron feeders, Conveyors 250 Tractor Engineers Ltd. Bangalore HQ Fuel injection systems, Shock Absorbers 10 000 MICO Bosch Plant Head in Faridabad (Delhi) Fuel Tanks 110 Agro Engineering HO in Mumbai Brake systems 550 Hindustan Composites HO in Mumbai Bearings 1500 NRB Bearings Plant Head at Mysore( Bangalore) Axles 1500 Automotive Axles HO In Gurgaon (Delhi region) Castings 2735 Sunbeam Auto HO in Ghaziabad (Delhi region) Piston & Piston Rings 2800 Shriram Pistons Purchase Head (Delhi region) Cockpit Instruments 750 Indication Instruments Gears & Shafts Body parts-canopies Seat Systems Harness Automotive Lighting & Signaling Hydraulic Cylinders & Tipping Solutions Business HO in Jamshedpur (East India) 1000 JMT Auto Plant Head in Gurgaon (Delhi region) 200 Mayur Industries Pur. Dept. in Hosur (Bangalore region) 320 Harita Seatings Plant in Aurangabad (Mumbai region) 350 Dhoot Transmission Plant in Sonepat (Delhi Region) 1150 FIEM Industries Plant in Bangalore 1500 Wipro Infrastructure Purchase decisions Employees Manufacturer
34.
35.
36.
37.
38.
39. STC INDIA HAS HELPED NUMEROUS SWEDISH COMPANIES TO DO BUSINESS WITH THE INDIAN AUTOMOTIVE INDUSTRY Source: STC New Delhi Global leader in on-road load handling solutions with product offering for loading & delivering goods Leading manufacturer of heavy trucks and buses as well as industrial and marine engines IT solution & service company catering to after-sale market of commercial vehicle and off-road vehicle segment. Manufacturer of car covers that protects the varnish Global leader in polymer technology. Manufacturer of metal bonded rubber components. PROFILE COMPANY