GESTAMP Corporation inaugurated their new facility, Gestamp Automotive India, in Chakan, Pune. The plant, their first wholly owned facility in India will manufacture metal components and structural systems for the automotive market in India. With a presence in over 18 countries with 57 production and 13 R&D centers, the new facility is a testament to GESTAMP Corporation’s strategy to expand its worldwide presence in the major automotive manufacturing centers. The new facility was inaugurated at the hands of Mr. Francisco José Riberas Mera, CEO GESTAMP Automocion.
With an investment of 82.5 Million Euros, the project which is spread across 110000 sq. meters and a built up area of 44000 sq. meters is Gestamp’s eighth plant in India and its sixth in Maharashtra. The plant has been designed as a fully integrated facility to encompass the entire automobile production process from product conception to body components, to paint, to general assembly and the aggregates all coming up simultaneously. The new plant will be aligned with Gestamp’s global manufacturing processes and quality standards and will work on innovative concepts, products and systems to meet the demands for future vehicles with better comfort, reduced exhaust gas emissions and enhanced safety systems, a capability in which Gestamp has built up a global leadership position.
To start with, the new plant will function as a captive vendor plant for Volkswagen India and will manufacture the full range of Body in White and metal components for Polo and the Fabia vehicles, locally assembled at Volkswagen. Plans are also underway to serve the needs of Gestamp's other global customers, including Mercedes-Benz, Fiat, Suzuki, General Motors, Ford, by providing local supply to their India and Asia Pac facilities. The new plant would be completely independent of the other seven manufacturing facilities in India.
Speaking on the occasion, Mr. Francisco José Riberas Mera, CEO GESTAMP Automocion, said “Our new plant represents a key milestone in Gestamp's long-term vision of investing in growth markets and aligning our manufacturing footprint with the needs of our global customer base. It is important to be close to the companies we supply to fulfill just-in-time requirements. And we intend to build upon our track record for innovation by developing leading-edge manufacturing processes required in the coming decade."
“With the awareness of safety and emission norms increasing in India, we anticipate a growing consumer demand for sophisticated vehicle technologies. As a result, automotive OEMs in India are now regarding structural system solutions as critical differentiators in their vehicles in an increasingly competitive environment. Our new facility in Chakan is well positioned to cater to this demand†he added.
The new plant currently employs 180 people; out of them 25% are locals. Another 100 jobs will be created along with the continued investments planned, from now through 2014. Given that the visibility of future revenue is high, Gestamp Automotive India expects to notch a turnover of 75 Million Euros by 2014.
With this development, Gestamp now operates 7 joint ventures in association with A.S.A.L and Sungwoo with presence in Chennai, Halol, Pantnagar & Pune and 1 wholly-owned enterprise – Gestamp Automotive India in India.
