Auto major Honda Cars India (HCIL) expects its components an export to jump by over 62 percent to around Rs 1,675 crore in the current fiscal as it adds a new global operation of parent Honda where it supplies the parts.
HCIL an automobile parts company which supply the different engine parts, forgings, and the transmissions along with others to Honda, produced at its Tapukara plant in Rajasthan.
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“We expect the turnover from component exports to touch Rs 1,674.7 crore during this fiscal. We have seen a constant growth in the business vertical over a past few years,” The HCIL Senior Vice-President and Director Raman Kumar Sharma told PTI.
Honda Cars India Ltd (HCIL), a wholly-owned subsidiary of a Japanese auto major, had posted that the revenue of Rs 1,031.2 crore from an exporting component last fiscal. Presently, the company exports components to Honda’s operations in 15 countries — Japan, Thailand, Indonesia, Malaysia, the Taiwan, Philippines, Vietnam, the UK, Mexico, Brazil, Canada, Argentina, China, Turkey, and the USA.
Honda’s exports of auto components from India have been gradually increasing.
In 2012-13, its component of exports had a turnover of Rs 332 crore. It rose to the Rs 420.6 crore in 2013-14 and to the Rs 739.3 crore in 2014-15. The company also increased its global footprint during a period, starting from seven countries in 2012-13 to 11 countries in 2014-15 and to the 14 countries in 2015-16. The Honda India has also been playing a vital role in supplying diesel engine parts to its Japanese parent’s operations, Sharma said.
The Tapukara plant was commissioned in February 2014. It integrates various functions like forging, casting, stamping, welding, powertrain components production, painting and engine and the frame assembly.