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 German automotive supplier, Brose Fahrzeugteile GmbH & Co., is building a manufacturing facility in Pune. Ex-pected to go on stream by mid-2010, the facility will add to the 48 locations in 22 countries that Brose has a presence in. The fifth largest family owned company in the automotive supply industry with a work force amounting to 13,500 employees, Brose produces mechatronic systems and electric motors for car bodies and vehicle interiors. According to Oliver Schramm, Vice President New Markets, Brose Group, one in every three vehicles produced worldwide has at least one product from Brose. “Established in 1908, Brose is the world's leading manufacturer of window regulators, door systems, ABS motors and HVAC blowers,” says Oliver. With sales of Euro 2.5 billion in 2008, Brose entered India in 2006 with the setting up of a development centre, a purchasing arm and an IT services division at Pune. Post this, the decision to set up a manufacturing facility was born out of two compelling reasons according to Oliver. One was the necessity to be located centrally such that the three auto hubs – Pune, Chennai and Delhi – could be serviced efficiently. The second reason was the assurance of competitive costs and a commitment to the Indian market.
 With door systems business accounting to the largest share of Brose revenue, the first product line at Pune would be to manufacture window regulators. Avers Oliver, “The first samples from the plant are expected by mid-2010.” Entering into details, he explains that India has a very good local supply base, and there's good competition. Supporting Oliver's outlook, Stefan Halusa, Vice President, Corporate Strategy at Brose, explains that Brose entered China in 1996. “Our experience there includes the advantage of customer support from a automaker like Volkswagen. Volkswagen is one of our largest customer for door systems.” Reiterating that the local supplier base is highly competitive, Stefan remarks that the need to be close to the customer was probably the most compelling reason why the company chose to set up a manufacturing facility in India. “We want to assure them of our commitments. The first line would therefore be window regulators, followed by closure systems and seating systems.”
Revealing that Brose has orders for two vehicle programmes, Stefan adds that they are already late for a number of small car programs that are set for launch in 2011. With the manufacturing facility expected to serve the Indian market as well as support exports, according to Ashwani Aggarwal, President of Brose India, the Indian operations are looking at gathering a 25 per cent market share in the next five years. Interestingly, the commissioning of the manufacturing facility at Pune in mid-2010 will further boost other activities of Brose, which currently involves active design and development work. Concludes Aggarwal, “We do a lot of CAD work at our Hinjewadi (Pune) facility.”
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