This agreement with the state
of Andhra Pradesh sets the stage for building one of the largest single
location alloy wheel manufacturing projects, with intent to expand this to 5
million wheels in multiple phases. Shekhar
Movva, President Synergies Castings Limited, commented, “As customer
requirements become exceedingly more stringent, and consequent need to invest
in substantial capex for sophisticated production, testing and development
facilities, it is important to scale up and tech-up to remain competitive. While we have evaluated several manufacturing
location options in the country, we believe that Vizag, and the terms of
engagement with the state of Andhra Pradesh offers the best opportunity to be
the most competitive manufacturer of Alloy wheels in the country. Further, with the GST regime on, there is no
penalty to moving goods across geographies and thus large-scale manufacturing
makes sense.” This initiative is in sync with the Government’s push to make
Andhra Pradesh an automobile hub of the future.
Together with its ancillaries, this venture will provide more than 2000+
skilled jobs in the region.
This marks another step
forward in the strategic growth of Synergies.
Together with the ongoing expansion at the existing location, the new
greenfield plant being built in Oman, and this proposed new greenfield, the
Company is on-course to becoming a 6-million-wheel capacity company by
2022-23. “We are committed to being the
technology and market leader in India; and are investing significantly in new
casting, forming, finishing and automation technologies to retain this
leadership,” said Movva.
Synergies the pioneer and
leader in manufacturing alloy wheels in India, located in the VSEZ
Visakhapatnam, has been supplying to leading OEMs in India and overseas for
more than 17+ years now. Its wheels have
adorned several iconic vehicles such as the Hummer, the Escalade, the Jeep,
amongst others. Synergies is a globally
approved alloy wheels supplier to several automobile majors like General
Motors-USA, Ford-USA, Chrysler-USA, General Motors-India, Ford-India, Tata Motors,
Toyota, Hyundai, Fiat, Volkswagen, Honda and Mahindra & Mahindra amongst
others, and is amongst India’s leading exporters.
Source: Synergies Castings Ltd