Sona BLW Precision Forgings (Sona Comstar), a leading global supplier of automotive driveline solutions, has signed a binding term sheet with China-based Jinnaite Machinery (JNT) to establish a joint venture for manufacturing driveline systems and components for electric and conventional vehicles.
Announced in a stock exchange filing on Sunday, the joint venture aims to supply components to automotive manufacturers in China and international markets. Sona Comstar will invest $12 million, while JNT will contribute $8 million in assets and business during the first phase. Operations are expected to begin in the second half of the current financial year.
The move marks a strategic expansion of Sona Comstar’s footprint in Asia, particularly in China’s rapidly growing electric vehicle (EV) sector. “Sona Comstar is strategically expanding its presence in the faster-growing Asian markets,” the company stated, adding that the new manufacturing facility aligns with its growth ambitions in India, China, Japan, South Korea, and beyond.
Highlighting China’s dominance in the global EV industry, Sona Comstar noted that integration into the Chinese supply chain is essential for companies with global EV aspirations. The partnership will also help the firm increase its market share in North America and Europe.
Jinnaite Machinery (JNT) brings significant technological and industrial expertise to the partnership. It operates a world-class foundry that uses proprietary technologies and holds 63 patents and 36 proprietary processes. JNT has also contributed to the formulation of five Chinese national standards and serves clients across the automotive, off-highway, and railway sectors, including leading OEMs in China, North America, Europe, and Japan.
The new joint venture will cater to both EV and non-EV segments, backed by a strong order book. “China offers tremendous opportunities for innovation and growth,” said Vivek Vikram Singh, Managing Director, and Group CEO of Sona Comstar. “By leveraging the strengths of both partners, this venture is well-positioned for strong growth and has the potential to become a key supplier of driveline solutions for electric vehicles in the region.”
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