The deal is for the design, development and manufacture of aluminium alloy wheels.
Under this agreement, Topy Industries will provide technical know-how and engineering support to Wheels India for its cast aluminium wheel business. The company expects this support to help strengthen its design and manufacturing capabilities in this segment.
Wheels India entered the aluminium alloy wheel business in FY21 with a manufacturing facility at Thervoy Kandigai near Chennai. The company initially focused on exports to the USA and European aftermarkets. It is now increasing its focus on the domestic market.
The company has begun supplying aluminium wheels to Indian vehicle manufacturers, including Tata Motors and Stellantis. It has also received new orders from Hyundai and Volkswagen. Supplies for these new orders are expected to begin next year.
Srivats Ram, Managing Director of Wheels India, said that Topy Industries was a wheel manufacturer with more than 10 decades of experience. The agreement will bring technical support to Wheels India’s aluminium wheel operations and help the company secure new business in this segment, he added.
Through this agreement, Wheels India was looking to enter the Japanese vehicle makers segment in India for aluminium wheels, he said.
Wheels India is expanding capacity at its aluminium wheel plant at Thervoy Kandigai. The company is increasing its annual capacity to seven lakh wheels from the current five lakh wheels. This expansion is expected to be completed by the end of the next quarter.
The company is also planning a further expansion to 10 lakh wheels per annum. This phase is expected to be completed by the end of FY27.
Wheels India already has a joint venture with Topy Industries for steel wheels through WIL Car Wheels Limited, in which Wheels India holds a 74 per cent stake. This joint venture supplies steel wheels to Japanese vehicle makers in India.
