ZF Vector DriveIndia – The site will unite the company’s Car Powertrain and Commercial Vehicle Technology business units, as well as ZF Services, at a single location. The plant will also be the headquarters of the engineering and administration of ZF India.

At a cost of Rs 150 crore ($27m), construction of the new facility has already begun on an 85,000 sq.m area in the Chakan industrial park 20km north of Pune. The project is due for completion at the end of 2014 or early in 2015, when 350 personnel will work at the location.

Stefan Sommer, CEO at ZF, commented: “We still see considerable potential in the Indian automotive industry for the coming years. We want to be geared up for that and therefore are investing in new plants.”

In deciding on the location for the new plant, ZF has followed a local-for-local policy, also taking into account design-to-market considerations. The ZF engineers based at the new plant in Pune will develop products specifically to meet the demands of the Indian market.