Sundram Fasteners says it will invest around Rs 400 cr in next 2 years





Auto components major (SFL) plans to invest Rs 400 crore in fasteners and defence in the next two years.


The company told its annual general meeting it will make an additional investment of Rs 300 crore in fasteners, where is it has a market share of 35-40 per cent. The company, in financial year 2021-22, doubled its exports of assembly wheel nuts for commercial vehicles in the United States. The company said that it has expanded its range in the wind segment fasteners and has also started exporting fasteners for the wind segment. In the defence sector, it is looking to invest over Rs 100 crore in the next two years.


“After two years of sluggishness, India’s automobile sector posted double-digit growth, supported by improving economic growth and personal incomes. During the financial year 2022-23, all segments in the automotive sector are expected to post a double-digit growth. Rupee depreciation is expected to provide further impetus to the growth in exports of the Company,” said Suresh Krishna, chairman of SFL.


Financial subsidies under the government’s production linked incentive scheme augurs will be good for the automotive sector. “The scheme proposes incentives to attract investments towards creation of large manufacturing capacities in the automotive manufacturing value chain.”


He said that the company is betting big on electric vehicles. “The Company has been awarded contracts worth Rs 150 crore for EV products. The Company’s Sricity Unit has commenced the supply of products for Hybrid / EV applications. Further, the Company also expects to sign contracts worth over Rs 200 crore for new EV products,” Krishna said.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor





Source link

Leave a Reply

Your email address will not be published. Required fields are marked *