Freudenberg sealant invests ₹210-cr in Chennai unit
Germany-based global technology group Freudenberg manufacturing sealing products, is investing ₹210 crore in its green field production unit on the outskirts of Chennai for automotive and other sectors. The new facility is part of the group’s long term growth strategy in the Indian market and it plans to tap the emerging opportunities in the automotive sector, said, Regional Representative India, George Graf, adding that the company has secured all the necessary clearances from the State government agencies. The unit, which is being built on a 13-acre site at Vallam Vadagal, Chennai, is expected to be ready by the first quarter of 2019 and will supply sealing solutions to all major auto units in this region. For the company, automotive is a major business segment in the country which accounts for over 60 per cent of its total revenue in the country. In 2017, Freudenberg India’s revenue grew by 25 per cent at ₹2,768 crore. It has been growing at 20 per cent over the past five years and expects to record higher growth rate in the next few years, supported by strong growth outlook in its existing businesses and also by entering into new business segments. He added that the Group is aiming to balance its portfolio further towards generating one-third of sales each in Asia, North America and Europe. The Indian market is expected to play a significant role in terms of sales and strategic growth in the region.
