Auto component manufacturer Uno Minda on 5th February announced a projected capital expenditure of Rs. 7.64 billion (US$ 84.6 million) for the establishment of a greenfield four-wheeler alloy wheel manufacturing facility in India.

The plant will manufacture wheels using a combination of gravity die casting (GDC) and low pressure die casting (LPDC) technologies. The facility will be developed in a phased manner over four years and will have an annual capacity of approximately 1.8 million wheels.

The facility is planned to be located near Chhatrapati Sambhaji Nagar in Maharashtra.

According to the company, the new plant will increase its LPDC-based alloy wheel manufacturing capacity. This is expected to support relationships with original equipment manufacturers that use LPDC technology and contribute to an increase in market share in this segment.

Ravi Mehra, Managing Director of the Uno Minda Group, stated that the current operating environment reflects continued demand following GST rationalisation, recent Union Budget measures, and developments in global trade and free trade agreements.

He further added that the company's investment plans are aligned with these factors through investments in technology, localisation and manufacturing capacity. He further noted that focus areas such as safety, premiumisation, and electrification are increasing content per vehicle across domestic and international markets and that the company's expansion plans are intended to support long-term business growth.