Bosch India to invest Rs. 2,200 crores in 2012-2013
- To focus on fuel economy and safety technologies
- As per preliminary figures, Bosch India sales are expected to reach Rs 11,000 crores in 2011 – Bullish about opportunities in India in the medium and long run
- Bosch Group global sales touch 50 billion euros in 2011
- Global Bosch Automotive Technology sector sales cross 30 billion euros in 2011
- Global investment of 3.3 billion euros in R&D for automotive technology in 2011
New Delhi, January 04, 2012: Reinforcing its commitment to the Indian market, the Bosch Group in India - a leading manufacturer of automotive components - today announced an investment of Rs 2,200 crores for India. Announcing this at a press conference in New Delhi, Dr Bernd Bohr – Chairman of the Automotive Group and Member, Board of Management Robert Bosch GmbH, stated that the sum would be spent over a period of two years and used for capacity augmentation, diversification and new technology development.
Expansion
A substantial portion of this amount will go into further expanding the company’s local activities. For instance, Bosch is currently building a new electrical drives plant in Chennai, which will begin operations in 2012. Expansion plans are underway at the Bosch Nashik, Jaipur and Ahmedabad facilities as well. At Nashik, increased demand has resulted in Classical Nozzle Holder production volumes going up from 17,000 units a day to 26,500 units day. DSLA Nozzle production volumes have similarly risen from 18,000 units a day to 30,500 units a day. To cope with this increased demand the company has expanded production area by an additional 33,000 sqm. At Jaipur new hangars are being commissioned for ramp up in production. Bosch is also constructing a new plant in Ahmedabad. With a floor area of 37,000 sqm the plant is expected to be functional by the first quarter of 2012. This facility will produce hydraulic valves, power units and control blocks as well as cylinders.
Technology Focus
On the technology front, Bosch experts in India are set to assume worldwide responsibility in the area of software engineering support for electronic control units (ECU). Their development work will focus on ECU for vehicles with conventional drivetrain technologies as well as hybrid and electric vehicles. More than 800 engineers in Bangalore and Coimbatore have already been recruited primarily for this task. In the past year, Bosch in India has also been successful in working on fuel economy technologies that are relevant for India and other emerging markets. Technologies such as the Value-Motronic engine management platform, which was developed for emerging markets in cooperation with Indian engineers, have also had a positive influence on the Bosch Group's global development processes. According to Dr. Bernd Bohr,”Indeed, our joint efforts with Indian engineers have provided us with valuable insights into how Bosch technologies can be made more cost-effective across the board. Making Bosch automotive products accessible and affordable everywhere is one of our central aims and we see our India team contributing significantly on this front.”
Significant amount of work is being implemented in the field of safety systems. By 2015, 90% of all new vehicles worldwide will be fitted with Antilock Braking System (ABS). In India, ABS is currently featured in about 13% of locally sold vehicles. With capability to support OEMs’ needs for Antilock Braking Systems, Bosch in India produces some 300,000 Antilock Braking Systems per year at its facility in Chakan, Pune. These are
used for Passenger Cars, SUVs and UVs. In addition to this, Bosch also offers an affordable ABS for two-wheelers in India.
Commenting on the investment plans for Bosch in India, Dr. Bohr said, “Despite uncertainties due to global political and economic developments the Indian economy has continued to develop strongly and is expected to see steady growth. In the automotive sector in particular, Bosch expects the number of cars per 1,000 inhabitants in India to rise to 35 by 2025, up from 12 at present. This year alone, automotive production in India is set to grow about 11 percent. In contrast, the number of vehicles produced globally is expected to increase by 3 to 5 percent in 2012. In the backdrop of such developments, Bosch would like to contribute and be part of the India growth story. This investment along with plans for expansion and development of new technologies are testimony to our commitment to the Indian market.”
Increase in India sales and associate strength
In 2010 Bosch Group sales in India stood at Rs 9270 crores. As per preliminary figures, sales of Bosch Group in India is expected to touch Rs 11,000 crores in 2011 resulting in year-on-year growth of about 20 percent. In terms of head count, Bosch in India added 4000 more associates in 2011 taking its present associate strength to 25,000. It is expected that Bosch in India will have 32,000 associates by the end of 2013.
Bosch Worldwide
Globally the Bosch Group sales touched 50 Billion euros in 2011, up from 47.3 billion euros in 2010. In Automotive Technology, Bosch expects a business volume of 30 billion euros, compared with 28.1 billion euros in 2010. In 2011, Bosch invested around 3.3 billion euros for research and development globally in automotive technology alone. Bosch Group’s growth in 2011 is also reflected in its global workforce. By the end of the year, the Bosch Group’s headcount had grown by 15,000, taking associate numbers to 300,000. In the Automotive Group, headcount grew by some 10,000, to 177,000.
Global Technological Focus: cleaner, safer and more economical
Bosch is continuously working to make driving cleaner, safer and more economical. With broad range of technical measures, globally Bosch will reduce the fuel consumption of both diesel and gasoline engines by 30%. The turbo-charging of downsized engines is an important example. Such technologies comply with evertightening fuel economy and emission standards. Globally Bosch plans to sell some 7 million gasoline direct injection systems in 2013 – 3 times as many as in 2010. The sales of its common-rail diesel-injection systems are set to rise from 9 million units in 2010 to over 12 million units in 2013.
Paving the road to e-mobility
Globally Bosch invests some 400 million euros annually in e-mobility and offers a full portfolio of products ranging from motors and power electronics to auxiliary systems. Its successful entry into the e-Bike drives market saw it deliver 70,000 units this year. With its joint venture for lithium-ion batteries, Bosch is working to increase the range and reduce the cost of this key component. By 2013, Bosch will be working on 21 projects for 13 automakers. While a major shift towards purely electric driving isn’t expected until the middle of the next decade, Bosch anticipates that transitional solutions will gain acceptance much before. It thus expects good opportunities for the plug-in hybrid, whose battery can be charged simply from a wall socket. The all-electric range is sufficient for day-to-day urban trips. Bosch thus sees strong potential for small evehicles, especially in megacities.
Driver assistance and vehicle networking
In the coming years, complex driver assistance systems based on radar and video sensors will make the vision of accident-free, autonomous driving a reality. Bosch has dedicated over 600 developers to developing technologies in this field. While demand for driver assistance systems and internet-based mobility solutions is currently concentrated in established markets, Bosch companies in India are making an important
contribution to developments in these areas too. With over 8,500 associates, Robert Bosch Engineering Services and Business Solutions provides a full range of software for automotive electronics applications, and has customers in all of the world’s major economic regions.
In his closing words, Dr. Bohr said that Bosch activities in India clearly demonstrate the importance of drawing on regional strengths. “Our strong global presence has enabled us to cope with an increasingly volatile business environment. And our deep local roots have helped us establish lasting partnerships with our Indian customers”.
Contact:
Sanjay Chakravarty, phone: +91 (80) 22 99 6168,
sanjay.chakravarty@in.bosch.com
Ankita Dubey, phone: +91 (80) 22 99 9780
ankita.dubey@in.bosch.com
About Bosch Automotive Technology
Automotive Technology is the largest Bosch Group business sector. In 2010, its sales came to 28.1 billion euros, or 59 percent of total group sales. This makes the Bosch Group one of the leading automotive suppliers. The roughly 167,000 Automotive Technology associates worldwide work in seven areas of business: injection technology for internal combustion engines, powertrain peripherals, alternative drive concepts, active and passive safety systems, assistance and comfort functions, incar information and communication, as well as services and technology for the automotive aftermarket. Bosch has been responsible for important automotive innovations, such as electronic engine management, the ESP® anti-skid system, and common-rail diesel technology. In fiscal 2011, the Bosch Automotive Technology business sector expects its sales to reach some 30 billion euros by the end of the year, with a workforce of 177,000.
The Bosch Group is a leading global supplier of technology and services. In the areas of automotive and industrial technology, consumer goods, and building technology, some 285,000 associates generated sales of 47.3 billion euros in fiscal 2010. For 2011, the company forecasts sales of more than 50 billion euros and a headcount of a good 300,000 by the end of the year. The Bosch Group comprises Robert Bosch GmbH and its more than 350 subsidiaries and regional companies in over 60 countries. If its sales and service partners are included, then Bosch is represented in roughly 150 countries. This worldwide development, manufacturing, and sales
network is the foundation for further growth. Bosch spent 3.8 billion euros for research and development in 2010, and applied for over 3,800 patents worldwide. With all its products and services, Bosch enhances the quality of life by providing solutions which are both innovative and beneficial.
Additional information can be accessed at www.bosch.com , www.bosch-press.com , and www.125.bosch.com.
About Bosch in India
In India, Bosch is a leading supplier of technology and services in the areas of automotive and industrial technology, consumer goods and building technology. Additionally, Bosch also has in India, the largest development centre, outside Germany, for end to end engineering and technology solutions. The Bosch Group operates in India through six companies, viz, Bosch Limited, Bosch Chassis Systems India Limited, Bosch Rexroth India Limited, Robert Bosch Engineering and Business Solutions Limited, Bosch Automotive Electronics India Pvt Ltd, Bosch Electrical Drives India Pvt Ltd.. In India, Bosch set up its manufacturing operation in 1953, which
has grown over the years grown to include 13 manufacturing sites and 4 development centres. Bosch Group in India employs over 25,000 associates. As per preliminary figures it generatedconsolidated revenue of over Rs. 11,000 crores in 2011.
Additional information can be accessed at
www.boschindia.com, www.bosch.com