Mitsubishi Electric, the $40-billion Japanese major, will set up a new manufacturing facility in India focussed on hybrid vehicles, motors, etc, according to Chairman Masaki Sakuyama.

The company, which has been operating an electric equipment production unit for automotive use in Chennai for the past two decades, is in the process of locating its greenfield plant in India.

At present, it has manufacturing units in Pune, Bengaluru and Chennai, and a factory automation centre in Gujarat.

Mitsubishi is also looking at tapping the potential of Internet of Things (IoT) in improving efficiencies and coming up with smart solutions across its business verticals.

One area being explored is to tap the engineering and IT capabilities of India to create a new business entity that will combine the elevators, escalators and air-conditioning verticals of Mitsubishi.

The purpose is to enhance energy saving, security and comfort in tall buildings and generate value using a synergistic approach, said Sakuyama. At present, elevators and ACs have different sales channels.

Talking about its India business, Sakuyama told BusinessLine that expansion with adequate funding will continue in the four broad areas of factory automation, electric equipment for rail transportation, elevators and air-conditioning, and automotive. Sakuyama was here at the invitation of Mitsubishi’s collaborator Asa Bhanu Technical Services.

 

Rail business

Mitsubishi, which plans to make ₹6,000-crore business from India by 2020, is also keen on expanding its electric equipment for rail transportation business, given the growing demand from several metro rail projects. It already has a factory in Bengaluru to meet some of the existing needs.

In the long term, Mitsubishi will focus on improved batteries to develop a new system to stabilise fluctuations in the operations of renewable power, Sakuyama said.

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