Tata AutoComp Systems, a prominent Indian automotive components manufacturer, has announced its acquisition of International Automotive Components Group Sweden AB (IAC Sweden). The Swedish company, with a turnover of approximately $800 million, is renowned for its high-quality interior systems and components for the automotive industry.
This acquisition strengthens Tata AutoComp’s footprint in Sweden and bolsters its relationships with major European OEMs (Original Equipment Manufacturers) across both the passenger vehicle and commercial vehicle sectors. It further expands the company’s global reach. By acquiring IAC Sweden, Tata AutoComp solidifies its position as one of India’s leading automotive component manufacturers and strengthens its presence within the European automotive market. The deal offers significant synergy opportunities, allowing Tata AutoComp to tap into advanced manufacturing capabilities, state-of-the-art technology, and established relationships in the premium automotive segment.
Commenting on the acquisition, Arvind Goel, Vice Chairman of Tata AutoComp Systems, said, “We are excited to welcome IAC Sweden to the Tata AutoComp family. This acquisition aligns with our long-term strategy of expanding into global markets and deepening ties with European OEMs. IAC Sweden’s proven track record in delivering high-quality interior solutions positions us well for continued innovation and growth. This move reinforces our commitment to providing sustainable, high-quality, and customer-focused automotive solutions across markets.”
Manoj Kolhatkar, MD and CEO of Tata AutoComp Systems, added, “This acquisition marks a significant milestone in our journey to enhance our global footprint and technology capabilities.”
Founded in 1995, Tata AutoComp Systems is a key manufacturing arm of the Tata Group. The company’s strategic efforts align with government initiatives such as FAME-III and the Production Linked Incentive (PLI) schemes, which aim to enhance domestic manufacturing in the automotive sector.
India’s automotive component industry is experiencing rapid growth, driven by increasing vehicle production and the government’s push for greater localization. Significant investments are being made in research and development, especially in electric vehicle technology, as India works toward reducing its reliance on imported components. Tata AutoComp’s focus on workforce development through upskilling initiatives reflects the broader industry trend of equipping employees with the skills needed to meet the demands of emerging automotive technologies, particularly in electric vehicles.
