Czech engineering group Skoda Transportation has signed an MoU with TATA AutoComp Systems to provide components for the expanding Indian railway and public transportation markets.
This joint venture allows the Skoda Group to expand into India’s rising market, aligning with the company’s goal of strengthening its position in foreign markets.
Skoda stated that the collaboration intends to build a solid platform for long-term success in the Indian railway sector by promoting economic growth, job creation and technical breakthroughs.
Petr Novotný, president of Components and Bus Mobility at Škoda Group, emphasises how this partnership has allowed the group to tap into the Indian rail market: “India’s great potential, coupled with the skilled workforce and market demand, aligns perfectly with our group’s growth strategy.
“Together, we will explore new opportunities and create innovative solutions to meet the developing needs of the Indian railway industry. In line with this, we particularly have on top of our minds the Make in India initiative, under which we will work together to support the growth of the industry in response to dynamic market demands.”
This partnership fits in with Tata Autocomp’s strategy as it aims to be one of India’s top two auto-component businesses by 2027.
Tata AutoComp chairman Arvind Goel emphasised how this partnership affirms the company’s already strengthened position in India: “Tata AutoComp has always been a pioneer in introducing cutting-edge technology to its customers.
“This association with Škoda Group will further strengthen our presence by bringing the latest electrical equipment and components for the Indian Railway & Metro & Bus market. We take pride in our partnership with Škoda Group, a company steadfastly dedicated to serving global markets with its diverse range of Railway Components.”
According to the India Brand Equity Foundation, the partnership has full support from the Indian government, which has allowed 100% FDI in the railway sector.
