ZF Group, a global leader in automotive components, is set to establish a new unit at its Coimbatore site in Tamil Nadu to produce parts for the construction equipment industry. “Alongside our automotive business, we are expanding into the construction equipment market in India. We aim to launch the new facility in Coimbatore by June this year, as this sector is expected to double in size over the next five years,” said Akash Passey, President of ZF Group India, at the Bharat Mobility Expo in New Delhi.
Further details on the investment and expansion plans will be shared in the future. “This won’t just be a parts facility; we are also enhancing our product range,” Passey added.
Additionally, ZF is expanding its wind gearbox production at the Coimbatore campus, increasing capacity from 9 GW to 12 GW with a €50 million investment. This expansion is expected to be completed by the end of 2025.
Reflecting on ZF’s performance globally and in India in 2024, Passey called the year challenging. “The European automotive market is facing a downturn, which has created considerable pressure. Furthermore, competition from lower-priced products from the East, which often meet similar standards, has intensified the challenge,” he said.
However, India remains a bright spot. “For the first time, I am hearing globally that India is the place to invest. While we are on the path to becoming a giant, global recognition is the next milestone,” he noted.
ZF’s revenue in India is estimated to have surpassed ₹10,000 crore in 2024, though final figures are pending. After strong growth in recent years, the company expects more stable growth in 2025. “Flat growth may not be ideal, but maintaining stability amid global challenges would be a significant achievement,” Passey added.
ZF continues to focus on advancing technologies, particularly in electric systems, safety, ADAS, and braking solutions for both commercial and passenger vehicles. “Our technologies are competitive and cost-effective, which is recognized by global players. Indian OEMs, especially those looking to export vehicles, face challenges with aftermarket support, and ZF’s global presence ensures they have reliable service,” Passey explained.
At the Expo, ZF also showcased its Easy Turn Axle Concept, which allows up to 80-degree turns—double the traditional 40 degrees. This innovation significantly improves maneuverability, making it easier for small commercial vehicles like delivery vans to navigate tight spaces, boosting operational efficiency.
