Japan-based
Nidec Machine Tool Corporation, a group company of Nidec Corporation, has built a new factory for
Nidec India Precision Tools Ltd (NMTI), the company’s cutting tool manufacturer and seller in Ranipet, the southern city of Chennai. The new factory, with its production capacity 1.5-times the company’s previous manufacturing capability, started producing hob cutters, pinion cutters, and other cutting tools on 1 July. Following the launch, the factory will now be able to quickly supply customers in India with Nidec products and meet their needs in response to the growing demand for automotive, construction and farming machinery.
Constructed on NMTI’s 55,000m
2 site in Ranipet, the new factory has a floor space of 2,000m
2, and is home to hobbing, shaping, shaving and broaching machines, for cutting external and internal gear teeth. In addition, with a shorter lead time and an expanded product line up, the new factory will rapidly meet a wide range of customer needs, while also improving re-coating and other after-sales services.
Relatively close to NMTI are Chennai and Bengaluru, where the country’s automotive industry is concentrated. With many two- and four-wheel vehicle manufacturers and suppliers related to machine tool manufacturers in those cities, NMTI aims to quickly supply its products to meet the industries’ diverse needs. Furthermore, with a machine tool showroom to be added by autumn this year for customers to see actual products, the new factory will serve as a sales base of machine tools as well.
Amid the ongoing population growth, India expects to see its vehicles’ unit sales increase at a steady pace of 10-15% annually. Additionally, based on the global movement towards a decarbonised society, the country’s demand for transmissions, which require multiple gears, is expected to increase as, among other trends, the vehicle electrification intensifies and compressed natural gas (CNG) vehicles further gain market share.
Since its foundation in 1963, NMTI has been locally designing, manufacturing, and selling cutting tools for gear machining for the past 60 years. With its efficient and durable cutting tools gaining popularity from many customers, the company expanded its businesses as the market grew larger. This latest investment for production increase is NMTI’s first large-scale investment after joining the Nidec Group in 2021, and the company now aims to quickly secure a supply base to respond to the market’s rapid expansion.