The Hindu Business Line : JBM scouts for auto component makers in Europe

JBM hopes to use the acquisition to extend the relationship it has with European car manufacturers in India to Europe too when the market revives there.

Mr Nishant Arya, Executive Director, JBM Group, however, believes that while focussing on its core competence helped it grow fast, it could have diversified.

“We are now looking at new markets. We have relationships with European customers in India. We can always extend those relationships to the European market,” he says. He sees the European market recovering in a year or two. “Already countries like France and Germany have started showing signs of growth again,” he points out.

Having bought out the ThyssenKrupp’s stake from the joint venture in the Ford suppliers’ park near Chennai, it hopes to grow business there. “Lot of new customers are coming up in that region like Renault-Nissan, Mercedes (for trucks) and we are in discussion with them,” says Arya. Hyundai has its plant near Chennai.

JBM is also in talks with international partners to foray into metal components for the aviation sector. “Aviation is a sunrise sector and it is where the automotive sector was 20 years back. But it will grow much faster than auto did, since today its a global market and everyone wants to reduce their cost and are looking at India,” says Mr Arya.

An alliance partner who can bring in technological expertise for the higher precision components required in aviation is being sought.

The Boeings and the Airbuses are increasingly looking at India for R&D and components. Indian and China, points out Mr Arya, are now also big customers. Before the end of the financial year it also hopes to close its alliance for buses which it will manufacture.

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