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Volkswagen Pact with Minda for Auto Parts

By Motortrend India Staff   |   04 June,2008

The Delhi based auto parts maker Minda Industries has been selected by the German car major Volkswagen AG for parts supply. Volkswagen has awarded a contract of Rs 60 crore ($15million) for supply of headlights and rear combination lamps for its cars to be introduced in 2009 and for car to be introduced for Russian market.


The Minda Industries is a part of the Rs 1000 crore NK Minda Group, an ace manufacturer of auto parts and electrical components. The company has also agreed to manufacture a rear combination of lights for Volkswagen’s Russian car market.


The Managing Director of NK Minda group said, “We are working loosely with Volkswagen’s German headquarters at Wolfsburg to learn their style and prototype these products in India. We will be meeting the stringent standards of quality and cost parameters for Volkswagen cars in India. In fact we are developing all new technology for the German company’s cars in India.”


The German luxury car manufacturer is also in the process of finalising vendors for its upcoming Pune plant, which is currently under construction. Minda already has a production plant at Pune.


The company plans to sources most parts from local vendors in order to maintain the production cost thereby make the cars more price competitive. The company is also asking the vendors to setup their facilities on their own land so that transportation costs and time is saved.


Volkswagen has opened an international purchase office in Mumbai and is scouting for vendors in India. Volkswagen India president and managing director Mr. Joerg Mueller said, “We want vendors of automotive components for worldwide markets.”


The company is looking for vendors to Supply OEM parts such as tyres, panels, automotive electronics, seats, windscreen and other automotive components such as engine and gearbox parts. Minda Industries has also expressed interest to supply these parts.



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