For instance, Sundram Fasteners expects the EV project for North American customers which it announced earlier, would start commercial production in the second half of FY25. The company has earmarked about Rs 300 crore capex for EV business.

 

R Dilip Kumar, CFO, Sundram Fasteners, recently told an earnings call that the company had signed EV business contracts worth about $408 million to be executed over a six-year period starting from 2025 to 2031. In addition, subject to market recovery in America, there will be additional business from major customer in the US. The company expects the EV business to fetch Rs 500 crore revenue by FY26.

 

Sundram Fasteners EV components include different types of shafts which involves complex engineering and the products will be supplied from the company’s two locations at Mahindra World City near Chennai and Sri City, in Andhra Pradesh. Currently, the company has around 3% of the total revenue coming from EV and with the orders won, it would likely to go upwards up to 10% over the next three years.

 

Smilarly, to expand further, Chennai-based MM Forgings recently announced its foray into EV space by acquiring the city-based Abhinava Rizel that can produce powertrain components for two and three-wheelers and light commercial vehicles (LCVs).

 

Vidyashankar Krishnan, vice chairman & MD, MM Forgings told analysts that towards the second half of FY25 the company will start focusing on the EV market as well as some products are being launched for European and US markets and both of these will help bolster the company’s growth.

 

The company’s subsidiary Abhinava Rizel is developing product for the powertrain especially for the passenger vehicle and LCV. “The timeline would be Q1 onwards of FY25 and opportunity is really huge. Over 7 to10-year period we see Rizel has Rs 2,000 crore of turnover,” he said.

 

MM Forgings has got approval from a couple of OEMs and are in discussions with them. The company has submitted samples and was at various stages of development with others. On the capex for EV business, he said for the next 12 months, it will be to the tune of Rs 75 crore to Rs 100 crore.

 

India Nippon Electricals Ltd (INEL), a leading manufacturer of electronic ignition systems for two- and three-wheelers, is making a transformative shift towards the electric vehicle (EV) product line. “With an agile, flexible business model such as ours, we constantly need to recalibrate our strategies in line with evolving realities,” MD Arvind Balaji said in the latest annual report.

 

The company has developed EV controller and has ambitious plans to extend its portfolio to cover various ranges for both two and three-wheelers. It is also actively exploring strategic partnerships with third-party companies specialising in EV products.

 

Collaborating with experts in the field, the company aims to bolster our presence in the rapidly expanding EV market and offer a diverse array of cutting-edge solutions. Its current focus is on expanding the converter’s applications to cater to a broader range of uses, fulfilling the evolving needs of the market. “To meet the surging demand for EVs, we have utilised our existing generator technology to develop a diverse range of EV Motors. Moreover, we are also concentrating our expansion efforts within the e-two-wheeler domain, which currently stands as major growth area for the future,” he said.

 

UCAL, which offers comprehensive fuel management systems for automotive sector is developing products tailored for the EV and alternate energy sector. “This strategic move positions us for future growth. The government’s hydrogen fuel policy, supported by a substantial five-year allocation, opens new vistas in the alternate energy domain. UCAL is strategically poised to participate in this high-potential segment,” said Jayakar Krishnamurthy, chairman & MD, UCAL, in a message to its shareholders.

 

UCAL is ranked among the leading automotive component manufacturers both in India and in the overseas markets. The company’s manufacturing plants and R&D centres, across India and the US, are engaged in the design, development and production of a wide array of automotive components for various applications. UCAL is a vendor to more than 35 plus global OEMs and auto majors worldwide, partnering with them on their dedicated projects, developing cutting-edge powertrain solutions and providing a comprehensive range of automotive components.