Leveraging the thriving vehicle market in India, French automotive component manufacturer Plastic Omnium aims to double its revenue from the Indian market to 400 million euros within the next five years. The company intends to position India as a technical center for research and development while exploring new opportunities in the alternative fuel segment.
Plastic Omnium holds a prominent position in the automotive module sector, specializing in bumpers, tailgates, exterior systems, and plastic fuel tank systems. Additionally, it acquired Varroc Engineering’s four-wheeler lighting business a few years ago. Presently, the company operates four manufacturing plants in India located in Pune, Chennai, Sanand, and Gurgaon, with plans to establish another facility in Pune focusing on exterior systems.
Laurent Favre, Plastic Omnium’s CEO, highlighted that while the company’s operations in India are currently relatively small, with a turnover of around 200 million euros, India represents a significant growth opportunity. Favre envisions India as a robust market, given the projected production of 7-8 million cars annually.
Plastic Omnium anticipates growth in India across both exterior systems and plastic fuel tank businesses, with the transition from metal to plastic fuel tanks presenting substantial opportunities. The company’s recent launch of the plastic tailgate caters to the demand for lighter cars among automakers, emphasizing the importance of weight reduction for fuel efficiency.
Furthermore, Plastic Omnium is exploring partnerships with Indian automakers to expand offerings in alternative fuel vehicles. The company provides battery packaging solutions and battery management systems for electric vehicles globally and offers plastic fuel tanks for CNG and hydrogen vehicles, prioritizing fuel storage, weight reduction, and improved packaging.
Plastic Omnium’s strategy in India focuses on serving the domestic market, which is expected to witness significant growth. Presently, the company does not plan to export from India.