Small BusinessBosch starts making anti-lock braking system in India
German auto components maker Bosch today said it has started manufacturing anti-lock braking system (ABS) and has tied up with carmaker Volkswagen to supply the component for its just launched "Polo".
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Bosch also said that it will be increasing the capacity at the Chakan (Maharashtra) manufacturing plant to eight lakh units annually by 2013 from 3 lakh units of initial installed capacity.
"We have started production at Rs 100 crore Chakan plant. This is India’s first ABS plant by any company. Our first customer from the new plant will be German car maker Volkswagen which will use ABS for its Polo car," Bosch Chassis Systems Regional President Andreas Berg told reporters here at the 10th Auto Expo.
He, however, did not disclose further details regarding the contract size with Volkswagen.
"We are also in talks with other Indian original equipment makers (OEMs) for supplying them from our new plant," Berg said. Bosch sells ABS to OEMs, including Maruti Suzuki, Tata Motors and Fiat. Till now all the systems were imported from the company’s facilities in Germany and China.
"The first phase with Rs 60 crore investment has been completed with an initial annual capacity of 3 lakh ABS. We will invest another Rs 40 crore to increase capacity to 8 lakh units by 2013," he added.
Citing a study, Berg said that only 25 per cent of four-wheelers manufactured in India are fitted with ABS against global average of 75 per cent.
"The number of road accidents and fatalities in India are also highest in the world. We see immense potential for ABS in this market with growing awareness of safety," Berg said.
Bosch Chassis Systems is a wholly owned subsidiary of Robert Bosch Germany.