Press Trust of India / New Delhi Dec 24, 2009, 16:51 IST
Tata Group auto component firm York Transport Equipment (Asia) today said it plans to set up a new factory in the country to produce axles as it looks to increase sales volume by 10 times in the next five years.
York Transport Equipment, which specialises in trailer undergears, would start work on the new facility next year. The unit would be set up in western India.
"Our new facility will be in one of the western states and we will start work on it next year. It will have an installed capacity of one lakh units of axles once fully operational," York Group Director and CEO P V Balasubramaniam told PTI.
He said the company's decision to set up new plant in India is based on the expected growth of the trailer industry by three-fold in the next 4-5 years from the current 20,000 units per annum.
"The demand for components like axles and suspension brakes will also increase accordingly. We want to tap this potential," Balasubramaniam said.
He said the company is aiming to increase sale of axles in India by around 10 times within the next five years to one lakh units.
"This fiscal, we are poised to sell 10,000 units of axles and we will take it to 25,000 units next year. In five years time, we want to have an annual sale of one lakh units and our new plant is part of that strategy," Balasubramaniam added.
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