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INDIA: Hero and Magna unit sign joint venture

By just-auto.com editorial team | 24 September 2010

Hero Motors Limited has set up a joint venture with a unit of Magna International, Magna Steyr India.

As part of the agreement, Hero Motors and Magna Steyr India will co-operate in the development of new product lines, including drivetrain assemblies for the global recreation market as well as the India automotive industry.

"The alliance uniquely positions Hero Motors to provide end-to-end solutions for powertrain products worldwide," said Pankaj Munjal, managing director of Hero Motors.

"As a player in the automotive industry for drivetrain systems, Hero felt the need for an alliance which would enhance our service capability to the customer by including design competence, advanced engineering and project management to our already existing manufacturing excellence."

Erwin Haas, vice president of engineering at Magna Powertrain, said: "This is an important step for Magna Steyr India, to bring all the state-of-the-art engineering capabilities of Magna into the rapidly growing India market.

"Our defined target is a win-win situation for both Hero Motors and Magna Steyr India. We see it as a challenge and at the same time an opportunity to combine our strengths and progress together into a successful business future."