Leading Indian automotive supplier Sundaram Fasteners is setting up a facility to make high tensile fasteners in South China. The new unit, to be operational at the end of this month is being set up at the Haiyan Economic Development Zone, located about 100 km from Shanghai.

According to company officials, the Chinese market is the fastest growing in the world and Sundaram Fasteners wants to have a local presence there. Sundaram Fasteners is a supplier to General Motors amongst others.

The new unit is a 100%-owned subsidiary of Sundaram Fasteners, being set up with an initial investment of $US5 million which may go up to $US12.5 million depending on market response and demand.

This unit is part of the company’s plans to grow internationally. Sundaram Fasteners had taken over the precision forgings division of Dana Spicer Europe last year. The company also has a facility in Malaysia, TVS Autolec Ltd.

Deepesh Rathore / Tilak Swarup