ZF Group to Inject Over Rs 18,700 Crore into Indian Market

German conglomerate ZF Group will invest 2 billion euros-about Rs 18,750 crore-over the next six years to expand its business in India across businesses such as auto components, wind gearboxes, construction and agricultural machinery. With big investments, the company plans to take its sales in India to 3 billion euros-about Rs 28,000 crore-by 2030 from Rs 10,000 crore in the last fiscal.

The ZF Group expects its sourcing of parts from India for global and local demand to reach 2 billion euros annually by 2030.

The group is also working on new safety rules and demand for new technology.

India's transport requirement is growing. We would also like to see more vehicles on the road in times to come. Our investment has been made taking a long-term view and considering the growth potential in the region," said Peter Laier, Member of the management Board of ZF Group.

"We will increase our capacity while staying true to sustainability. We would be in a good position then to contribute meaningfully to India's aim of doubling its wind power capacity by 2030."

The company is planning to scale the manufacturing capacity of the Coimbatore-based wind energy gearbox plant from the current 9 GW to 12 GW.

The company is also keeping a close tab on unfolding action in emerging technologies such as ethanol, biofuels, and hydrogen.

However, the mainstay product of the group remains ICE-internal combustion engines and electromobility, listed as NYSE:ICE.

Akash Passey, President, ZF Group, India added, "Our target is to grow from Rs 10,000 crore to a Rs 25,000 crore company because the Indian economy is doing well. At the global level, there may be challenges, but the policies, whether by the Union or state governments here, are good. We feel that there is potential for development here."

The ZF Group employs 16,000 people in the country, operates 18 manufacturing units, and maintains 10 engineering centres.