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DEUTZ inks cooperation with TAFE, India’s leading agricultural group
Selasa, 02 Juli 2024 | 11:09
COLOGNE, GERMANY - EQS Newswire - 2 July 2024 - DEUTZ is adding
another cornerstone to its Dual+ strategy, which includes both the
further development of alternative drive systems and the expansion of
the internal combustion engine business. The cooperation with the Indian
agricultural group TAFE Motors and Tractors Limited announced today
allows DEUTZ to expand its business in India, tapping into one of the
fastest growing markets worldwide. TAFE Motors is the subsidiary of
TAFE, the third largest tractor manufacturer in the world. In 2023, the
Indian economy grew by around 6 to 7 percent and it is expected that
India's gross domestic product (GDP) will quadruple by 2050. The
agricultural and construction sector will play a major role in achieving
this strong growth.
As the beginning of a long-term cooperation, TAFE Motors will
manufacture up to 30,000 DEUTZ-engines in 2.2 Liter (50-75 hp) and 2.9
Liter (75-100 hp) under license. The aim is to augment and complement
the wide range of engines made by the Group across emission standards.
TAFE Motors will produce engines to suit growing demands of the Indian
market as well as for DEUTZ's requirements. The engines will be produced
in TAFE Motors' modern manufacturing facility at Alwar, Rajasthan in
India.
DEUTZ will use the Indian manufacturing base to market its engines in
neighboring markets (esp. APAC), benefitting from advantages in
production and logistics.
"The strategic cooperation with TAFE Motors secures DEUTZ access to
growing markets with strong potential and long-term prospects," explains
DEUTZ CEO, Dr. Sebastian C. Schulte. "It also enables us to continue
producing at competitive costs in the future and makes us less dependent
on the existing supplier landscape, which is becoming increasingly
challenging due to the technological shift and geopolitics".
The cooperation gives DEUTZ the opportunity to expand its supplier
base to ensure a more efficient and more resilient production. It will
also reduce its dependence on supply chains in geopolitically tense
regions - without sacrificing the corresponding cost benefits. This
particularly benefits DEUTZ's German production sites.
Speaking on behalf of TAFE Motors, Sandeep Sinha, CEO of TAFE Motors
said, "This strategic cooperation between TAFE Motors and DEUTZ will be
mutually beneficial, as it will offer access to shared resources and
technologies to produce engines that complement TAFE Motors' and the
Group's existing range to meet the demand for both domestic and
international markets. This cooperation will also offer DEUTZ access to
high-quality engines at best cost for new applications in Indian and
relevant overseas markets".
Both parties are exploring opportunities to expand the cooperation to green drives.
BERITA LAINNYA
BERIKAN KOMENTAR