Automobile industry in Chennai

See also: Automotive Corridor

In the year 2008, Tamil Nadu had over 16 million 2 and 4-wheeled vehicle registrations. ^[1] The 4-wheeler vehicles in Chennai is the base of 30% of India's automobile industry^[2] and 35% of its automobile component industry.^[3]. Chennai is the fourth largest metropolitan city of the country.

A Heavy Vehicles Factory is also established in Avadi (23 km Northwest of Chennai) in collaboration with Russia to produce military related vehicles. Avadi also boasts of Combat Vehicle Research & Development Establishment (CVRDE), a new engine testing facility.

Major Automotive Manufactures

Company	Description	Product
Ashok Leyland	Ashok Leyland is a commercial vehicle manufacturing company based in Chennai, India. In 1948, Ashok Motors was set up in what was then Madras, for the assembly of Austin Cars. The Company's name changed soon with equity participation by British Leyland and Ashok Leyland commenced manufacture of commercial vehicles in 1955. Ashok Leyland has six manufacturing plants: a plant at Ennore near Chennai, two plants at Hosur (called Hosur I and Hosur II, along with a press shop), and the assembly plants at Alwar and Bhandara.	18 seater to 82 seater double-decker buses, 7.5 tonne to 49 tonne in haulage vehicles, special application vehicles, and diesel engines for industrial, marine and genset applications.
Ashok Leyland - Nissan JV	Nissan and Ashok Leyland formed a Joint Venture to setup a Light Commercial Vehicle (LCV) plant at Pillaipakkam, 40 km from Chennai.	Expected to launch the following in mid-2010 * 1.25-tonne diesel truck * a two-tonne truck
BMW	BMW is a manufacturer of sport sedans. BMW enjoys good brand recognition in India. It has set up a plant in Chennai, Tamil Nadu, to manufacture cars locally exclusively for the local market with no plans for export. It set up the plant to circumvent high import duties. BMW plant capacity is 10,000 per annum	3 Series 5 Series 6 Series* 7 Series* M* X Series* Z Series*
Caparo	Caparo Forge has a plant in Sriperumbudur, Chennai.
Daimler	Daimler is establishing a plant in Oragadam, Chennai to produce trucks to cater to Indian Markets. The plant will have an initial production capacity of 36,000 vehicles a year.
Ford	Ford entered India in collaboration with Mahindra & Mahindra in 1995 with a plant in Tamil Nadu. The first model was the Escort. In 2009, Ford invested $500 million to increase its capacity to 200,000 cars per annum.	Escort (discontinued) Ikon Fiesta Mondeo (discontinued) Fusion (discontinued) Endeavour Figo.
Hindustan Motors	Hindustan Motors has a plant in Tiruvallur, Chennai.	Trekker (discontinued) Landmaster (discontinued) Contessa (discontinued)—5th generation Vauxhall Victor Ambassador—a version of the 1950s Morris Oxford.
Hyundai	Hyundai entered India in 1996 and in 1998 launched Santro, back in 1998 the Santro's original arch rival was the Maruti Zen, the Hyundai brand was virtually unknown in the Indian market. But now Hyundai has good market share primarily because of its entry-level small cars Santro and i10. Along with its plant in Sriperumbudur, it set up a second plant thereby raising its total capacity to 600,000 cars per annum.	Santro - 2nd generation Hyundai Atos i10 - brand new small car, global launch in India in 2007 Getz (discontinued) i20 - brand new small car, global launch in 2008 Accent - 2nd generation Accent Verna - 3rd generation Accent Elantra (discontinued) - 3rd generation Elantra Sonata Tucson* Terracan* (discontinued)
Mitsubishi	Mitsubishi entered India in 1998 as a part of its global expansion programme. It has a manufacturing facility in Chennai with technical collaboration with Hindustan Motors. Mitsubishi's plant in Chennai currently has a capacity of 6,000 cars per annum which will increase to 24,000 cars per annum in a few years.	Lancer - 6th Generation Mitsubishi Lancer Lancer Cedia - 7th generation Mitsubishi Lancer Pajero* - 2nd generation Mitsubishi Pajero Montero* - 3rd generation Mitsubishi Pajero Outlander*.
Nissan	Nissan entered India in 2005. It is currently is setting up a full-scale manufacturing plant in Oragadam situated about 45 km from Chennai. The plant will have a capacity of 200,000 cars per annum. It plans to introduce 9 new models in India in the coming months including its small car Micra.	Teana* X-Trail*
Renault	Renault entered India in 2007 in a Joint venture with Mahindra. It is currently is setting up a full-scale manufacturing plant in Oragadam situated about 45 km from Chennai. The plant will have a capacity of 200,000 cars per annum. It plans to introduce many new models in India, particularly to attract small car buyers.	Logan
Royal Enfield	Royal Enfield is a motorcycle manufacturer based in UK. It has a plant in Chennai.	* Classic (350 & 500 cc) - close to the original 1955 specification with some basic modifications, 5 speed gear box and left foot gear shift. * Bullet 500 ES - Classic with electric start and 4-speed gearbox * Bullet Continental - US model 350 or 500 with 4 speed gearbox with left foot gear change. * Bullet Sixty-5 - Bullet 500 ES with new 5 speed gearbox and left foot gear change. * Lightning 535cc - 4 speed cast iron engine. Cruiser model on which the Thunderbird is based. * Thunderbird (350 cc)- New 5 speed gearbox, left foot gear change, stylish look with dual colour/shade body, curved handle bars and electric start. It is also compliant with UK/EU emission standards. * Bullet Electra-X (500 cc) - Much modified/re-designed lean burn, alloy barreled engine with the new gearbox and many chassis modifications. The Electra-X looks like a modified and improved Bullet. * Bullet Machismo 350/500 * Mini-Bullet 200 * Fury * Explorer * Silver plus * Mofa a 22 cc shock-absorber-less mobike.
TAFE Tractors	TAFE Tractors has plant in Sembium, Chennai	-

Major Tyre Manufacturers

Major tyre manufacturing companies alone have committed investments around $5 billion in Tamil Nadu of which 90% is in this corridor. A number of tyre manufacturing companies have set up factories in this corridor and are as follows.

Company	Plant Locations	Investments (crores of INR)
Apollo Tyres	Oragadam	2100
Bridgestone	oragadam
Dunlop	Ambattur
JK Tyres	Sriperumbudur	1000
Michelin	Thervaikandikai	11000 (4000 in Phase I till 2016)
MRF	Arakkonam, Tiruvottiyur (2 plants)	1400

List of other notable Automobile and Auto components manufactures

The following auto and auto component companies have their manufacturing plants in and around Chennai.

• Bharat Forge
• The TVS Group (TVS)
• TI Cycles of India
• Visteon
• Caterpillar
• India Pistons
• Wheels India
• Federal-Mogul
• Sundaram Clayton
• Brakes India
• Rane Madras
• Takata
• SEW Eurodrive India
• Machino
• JKM Daerim
• Ennore Foundries
• Naza
• BorgWarner Thermal Systems
• ZDPL—YAPP Automotive
• Bavina Industries — launched India's first-ever four-door electric car
• Avalon Technologies
• Iochpe Maxion — Brazilian auto and railway equipment firm
• Wabco-TVS
• Delphi-TVS^[4]
• NK Minda
• Sundaram Hydraulics
• GKN Driveline
• Modine Thermal Systems
• Dea-rim Automotive Enterprises
• Hidromas

The other competitors for the automobile industry and for its title include Thailand & Shanghai , China.

List of Agencies working for the development of Automobile Industry in Chennai Region

• CII (Confederation of Indian Industry) - TNTDPC (Tamilnadu Technology Development and Promotion Centre)
• ACMA (Auto Component Manufacturers Association)
• Integrated Technologies^[5]

References

1. ^ "Automobile Industry India". Imagin Mor Pty Ltd. http://imaginmor.com/automobileindustryindia.html. 
2. ^ Sivalingam, T; Bhaskaran, E (2004). "IT applications in Automotive Industry". GCMM 2004 first international conference on manufacturing and management (Alpha Science International, Limited): p. 20. ISBN 9788173196775. http://books.google.com/?id=v4Tm1of3UEcC&pg=PA20&lpg=PA20&dq=chennai+auto+components+industry. Retrieved 2008-04-12. 
3. ^ "Automotive Components". Department of Scientific and Industrial Research, Govt. of India. http://dsir.nic.in/reports/ExpTechTNKL/Abs%20new/Automotive_Components.htm. Retrieved 2008-04-12. 
4. ^ http://delphitvs.com/index.aspx
5. ^ http://www.metrologyintegrated.in/contactus.htm

External links

• press article by Tim Harcourt Chief Economist Australian TradeCommission
• BMW decision to locate near Chennai boosts State's standing
• hindu info
• from rediff.com
• press reference for chennai a major competitor
• bharatonline.com
• India economic blog
• fortune.cnn.com
• Tamilnadu government press release
• Australia focus on Chennai - businessconnect.com.au
• press release on taiwan as a competitor
• ford press release
• press release on china a competitor
• press release on china a competitor