Rail maker Wabtec Corp eyes $30 million exports from its India operations

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3 min read Last Updated : May 20 2024 | 10:08 PM IST


Multinational rail parts manufacturer Wabtec Corporation is eyeing a tenfold increase in exports from India in the next three years, a senior executive of the firm said on Monday. The company inaugurated a Rs 150 crore manufacturing facility in the city to bolster its India footprint.

 


“Our current exports from India are $3-4 million and we plan to multiply this number ten times to $30 million in the next three years,” Pascal Schweitzer, global president of the firm’s transit business said. Schweitzer was among the top executives of the company present for the inauguration, along with Senior Vice-President and India Regional Leader Sujatha Narayan, and Managing Director – Transit India Ajay Mani.

 


The new plant will initially manufacture transit rail components and subsystems followed by other Wabtec product lines, the company said.

 


“We intend to grow this site with plans to invest an additional $10 million (Rs 80 crore) over the next few years,” said Narayan. “We currently employ 300 people and as the business grows, we intend to add another 200 employees with a keen focus on diversity hires.”

 


The company was one of the largest foreign direct investment generators in the railways sector after it was awarded the contract to supply 1,000 diesel locomotives for Indian Railways. Narayan said that 600 locomotives have been delivered to the railways through its manufacturing facility in Marhowra, Bihar.

 


The company is expected to deliver all 1,000 locomotives by 2027-28.

 


After the national transporter decided to shift away from diesel for its operations and move aggressively towards electrification, Wabtec, which globally specialises in diesel locomotives, has been trying to capture the rail components space.

 

The factory, set on 10,000 square metres, will start by producing axle-mounted disc brake systems, distributor valves, brake callipers, and actuators, as well as friction material for freight cars, metro coaches, and locomotives for Indian Railways and metros.


This campus is expected to host many products in the coming months and years that serve the rail, mining, and industrial segments. The move is also in line with the company’s aim to increase localisation in its supply chain for India.

 


Earlier, Wabtec had plants in Baddi, Himachal Pradesh and Bahadurgarh, Haryana, which have been consolidated into the Rohtak facility. The company will continue to invest in capital expenditure at the facility based on future business opportunities.

 


Exports happening from its various manufacturing facilities will be geared towards its clients in Europe and the US, Schweitzer said.

 

The company had in January won a large brake system order from the mobility business of Siemens India for the 9,000 HP (horse power) locomotive project for Indian Railways.

The $157 million (Rs 1,300 crore) order will provide improved operating performance, efficiency, and safety with the latest technology for the new line of 1,200 electric locomotives, the company had said.


Wabtec has an installed base of subsystems in over 18,000 LHB (Linke Hofmann Busch) coaches and locomotives and currently employs 3,000 people in India across its campuses.

First Published: May 20 2024 | 9:55 PM IST