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Allison Transmission to set up manufacturing facility in India - Motorindia http://www.motorindiaonline.in/component/allison-transmission-to-se...

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Allison Transmission to set up


manufacturing facility in India
by motorindia February 3, 2009 at 11:40 am |

New unit to be operational by 2010


Allison Transmission, Inc., the worlds leading supplier of commercial duty fully
automatic transmissions and hybrid propulsion systems, has taken the next big
step in the Indian market by deciding to set up a manufacturing facility for
transmission components. The company broke ground recently on the new facility
in Oragadam on the outskirts of Chennai, designed to meet the growing global
demand for automatic transmissions. The new plant will be operational by 2010.

Allison believes that India, one of the worlds largest economies and a global
supplier of commercial vehicles, is an important market for its automatic
transmission products. Its investment in India comes at a time when global
demand for its fully automatic transmissions keeps growing.

We believe it is important to strengthen our local presence in India to support our


growing in-country operations, said Allison Transmission, Inc. Chairman and
Chief Executive Officer Lawrence E. Dewey. I am extremely proud of the
milestone this groundbreaking represents, and thankful to the Tamil Nadu
Government for its enthusiastic support.

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Allison Transmission to set up manufacturing facility in India - Motorindia http://www.motorindiaonline.in/component/allison-transmission-to-se...

Allison Transmission, Inc. is a global provider of commercial duty automatic


transmissions and hybrid propulsion systems. Allison products are specified by
over 250 of the worlds leading vehicle manufacturers and are used in many
market sectors, including bus, refuse, fire, construction, distribution, military and
specialty applications.

Founded in 1915, the Allison business, headquartered in Indianapolis, Indiana,


U.S.A., employs 3,300 people. It has regional headquarters with dedicated support
staff in China, the Netherlands, Brazil, India and Japan. With a global presence in
80 countries, Allison has over 1,500 distributor and dealer locations.

Mr. Dave Parish, Vice President Operations of Allison Transmission Inc., says,
94 years ago, Jim Allison constructed the first Allison machine shop in
Indianapolis. Through the next 94 years we expanded with manufacturing and
customisation centers in North America, Hungary, Netherlands, Brazil, China and
Japan. And today we have taken an important step to contruct a multipupose
facility in India. Initially, we will manufacture transmission components and later
we will expand our operations to meet ever-changing market conditions, India is a
very important market for us.

Allisons association with India dates back more than 40 years when it began
serving the countrys mining and oil field industries. The early transmission came
into India through imported off-highway vehicles. In order to provide after-market
support, service parts availability and access to customer service, Allison
established a distribution network in India. As BEML and HML (Hindustan

3 of 10 10/8/2013 4:00 PM
Allison Transmission to set up manufacturing facility in India - Motorindia http://www.motorindiaonline.in/component/allison-transmission-to-se...

Motors) started localising off highway vehicles, Allison entered into a technical
licence agreement with Hindustan Motors-Power Products Division (HM-PPD),
now called Avtec, to localise and manufacture off-highway series of transmissions
in India under the brand Hindustan Transmissions. Avtec continues to
manufacture the off-highway transmission products in India.

Mr. Ram Amarnath, Managing Director, Allison Transmission India Private Ltd.,
says, Over the last 40 years we have seen our business grow in the Indian
market. Todays Chennai ground breaking allows us to prepare for the next 40
years. Our intent is to achieve the same level of success, if not exceed, in the
medium and heavy-duty bus and truck applications with Allison Transmissions
on-highway product portfolio.

In 2007, Allison established permanent offices in India, operating under the name
of Allison Transmission India Pvt. Ltd., to realize growth opportunities in the
on-highway market. In recent years, Allison Transmissions growth in India has
been propelled by fitting automatics into low-floor CNG and diesel buses in Delhi,
Mumbai, Bangalore, Chennai, Hyderabad, Nagpur and other Indian cities.

There are now nearly 1,000 on-highway trucks and buses operating in India,
which are fitted with Allison Transmissions. Major OEM customers include Tata
Motors, Ashok Leyland, JCBL and Lexia Motors. In fact, Allison recently
concluded a contract to supply Tata Motors with fully automatic transmissions for
low-floor, state-of-the-art, CNG-propelled buses to serve the Delhi Transport
Corporation (DTC).

Allison chose Chennai, particularly Oragadam on the outskirts of the city, for
setting up its new facility. We conducted an extensive and lengthy search before
we settled on an area in which to build our India facility, said Ram Amarnath,
Managing Director of Allison Transmission India Pvt. Ltd. And we found the
right mix of location and a talented, world class employment pool in Chennai.

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Allison Transmission to set up manufacturing facility in India - Motorindia http://www.motorindiaonline.in/component/allison-transmission-to-se...

In fact, Oragadam is becoming a booming automotive hub which has attracted


more than Rs. 60,000 crores of investment from more than 100 Indian and global
majors which have chosen to set up their manufacturing facility, says Mr. N.
Govindan, Chairman & Managing Director of Sipcot.

Once construction of the more than 203,000 sq. ft. manufacturing plant is
completed by early 2010, it will also serve as the Allison Transmission India Pvt.
Ltd. regional headquarters with executive, marketing, and sales offices. In
addition, the facilities are designed for warehousing and customization. The
company has in place key local management staff in areas of operation,
purchasing, human resources and sales personnel, and plans to expand the team
further, and when the new facility is completed, more than 300 employees will be
added to the Allison Transmissions Indian operations.

As with operations everywhere, whether in North America, Latin America,


Europe, or Asia, delivering on the Allison Brand Promise of an automatic
experience with an unrivalled combination of quality, reliability, vocational value
and customer service is of paramount importance.

We have already realized tremendous growth opportunities for our products in

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Allison Transmission to set up manufacturing facility in India - Motorindia http://www.motorindiaonline.in/component/allison-transmission-to-se...

the Indian market, said Michael G. Headly, Vice President of International


Marketing, Sales & Service of Allison Transmission, Inc.

We see an industry that is developing, expanding and improving products


internationally. Indian OEMs are important global players whose products are
avidly sought after, and it is important for Allison to be aligned with these
manufacturers as they expand their business operations. The setting up of the
Indian facility is commitment from Allison to the Indian market, he adds.

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