Asahi India to set up an automotive safety glass manufacturing unit in Tamil Nadu

Asahi India Glass Ltd (Asahi India), a three-way joint venture among the $10.3 billion Japanese glass major Asahi Glass Company Ltd, Maruti Udyog Ltd (MUL) and BM Labroo and Associates, is expanding its capacity.

It is planning to set up an automotive safety glass manufacturing unit in Tamil Nadu. The company has completed the spade works for the project and will shell out close to Rs 100 crore for setting up the facility.

The unit, slated to come up at Irungattukottai near Chennai, will be the second manufacturing unit of the company for automotive safety glasses in India. The company already has a factory in Rewari district in Haryana for the automotive industry and has another manufacturing facility in Mumbai for float glasses.

Sources in the know told FE that Asahi India has recently wrapped up an 18-month long protracted negotiations with state government officials, for setting up the greenfield plant. “They have approached State Industries Promotion Corporation of Tamilnadu Ltd (SIPCOT) for buying 30 acres of land in the industrial park near Chennai.

They have filed an application and the land has already been allotted by the state agency,” sources said.

The company is looking at investing close to about Rs 100 crore for setting up the facility. However, the exact quantum of investment and the capacity of the unit are yet to be finalised, they added.

Company officials, when contacted, confirmed the development but refused to give further details.

Asahi India manufactures full range of automotive safety glass products. The company also produces laminated architecture glass for use in the construction sector. The product range includes laminated windshields, tempered glass for side and back lites, zone tempered glass for windshields, silver printed defogger glass, black ceramic printed flush fitting glass and PVC - encapsulated glass.

Asahi India’s Haryana plant has a capacity to meet the requirements of 1.2 million cars. The company is the supplier to Maruti Udyog, Telco, Mahindra and Mahindra, Honda Siel, Ashok Leyland, Eicher Motors, Hyundai, Ford, Hindustan Motors for Mitsubishi Lancer and Swaraj Mazda.

It may be recalled that French glass maker Saint Gobain has also recently announced plans to expand its manufacturing facility located near Chennai to produce automotive glass for catering to the regional demand which is quite strong considering the presence of many automobile majors here and not to mention the export possibilities.

During the quarter ended September 2003, Asahi India had posted a net profit of Rs 18.41 crore on a total revenue of Rs 123.80 crore. As on September 30, 2003, the Indian promoters holding in the company was about 33.12 per cent, of which Maruti Udyog holds 11.11 per cent and Asahi Japan holds 22.21 per cent.

600450 Asahi India to set up an automotive safety glass manufacturing unit in Tamil Nadu
Date: 13 November 2003

See more news about:

Others also read

Southwall Technologies Inc. (Nasdaq:SWTX), a global developer, manufacturer and marketer of thin-film coatings for the electronic display, automotive glass and architectural markets, today announced that on Dec. 18, 2003, it secured an agreement for a new bank loan guarantee and equity financing package of up to $7.5 million from Needham & Company, Inc., its affiliates and Dolphin Asset Management.
Local quality glass producer Emirates Glass Limited has won contracts to supply 68,000 square metres of its high quality EmiCool glass to five major projects in Dubai.
Co-Ventures in Glass Containers (CVIGC, Ltd.) of Tampa, Florida, USA and Micro-Tek Canada, Inc. Of Toronto, Canada are excited to announce the beginning of a long term joint venture to combine their extensive experiences and resources to offer the Glass Container Industry globally a best value alternative for all their outsourcing needs in manufacturing, operations and technical assistance agreements, specifically targeted to the smaller manufacturers who have found the larger service companies to be cost and profit prohibitive.The principals of the two companies have found a global need for smaller glass companies who require excellent technical resources to properly compete within the industry without the high costs of employing their own staffs or outsourcing their requirements to the larger service companies whose own operating costs and overhead are substantial.
China's largest automobile glass maker Fuyao Glass Industry Group Co, Ltd, won its case against the dumping ruling of the US Department of Commerce (DOC).
When did the wine industry start using glass bottles, and how did they settle on their current size of 750ml? For the answer to these questions, you have to go back in time - back thousands of years to when wine was first cultivated and enjoyed.
Praxair, Inc. (NYSE: PX) today announced that its subsidiary Praxair Canada Inc.'s specialty gases plant in Paris, Ontario, Canada, is one of Praxair's first specialty gases plants in North America to complete the upgrade to ISO 9001:2000, the latest ISO 9000 standard for quality.

Add new comment