Aequs, among India’s fastest growing precision manufacturing companies, laid the foundation for an automotive components plant at its 250-acre Aequs SEZ in Belgaum, Karnataka.
The new automotive plant when functional will add machining capacity of over 100,000 hours annually and will support the company’s rapid expansion plans in the US and Europe markets this year. Aequs aims to increase its revenues from the automotive business to $30 million by 2020 and is scouting to establish joint ventures to add to its capabilities in this vertical.
The new plant, which is expected to be operational from March 2015, will further strengthen Aequs’ emergence in the last few years as among the few Indian companies.
Integration of automotive manufacturing facilities at the Aequs SEZ would also enable it to benefit from central and state government incentives such as tax holiday on corporate income for 15 years, VAT, and stamp duty exemption and shared services turnkey support, among others.
Aequs’s automotive customers include Bosch, Jacobs Vehicle Systems and Bosch Rexroth. It is one of the preferred partners for Bosch in India and has provided zero defect delivery to the auto major for over six years now.