New Delhi, Nov. 27 (PTI): Luxury car maker DaimlerChrysler India said it will increase exports of auto components to $ 50 million this year to its parent company in Germany and the US.
The firm has already shortlisted 25 domestic suppliers as part of a ‘global sourcing strategy’ to achieve its annual target of 10 per cent growth in auto component exports, said Suhas Kadlaskar, head of corporate affairs and finance at DaimlerChrysler India.
He cited low cost and high quality as the primary reasons for sourcing of components from India.
The company, a wholly-owned subsidiary of German-US auto giant DaimlerChrysler, had exported components worth $ 44 million in 2001.
This year, the company, however, expects its net profits to remain more or less the same as last year at Rs 40 crore due to a decline in sales.
“Last year, we made profits of Rs 40 crore. This year, it will be 10 per cent minus or plus compared with last year,” Kadlaskar said.
The components being exported include wiring harnesses, castings, forgings and rubber materials.
DaimlerChrysler also has a software research centre in Bangalore which, Kadlaskar said, exports software products to the parent company.
Next month, DaimlerChrysler would start selling the country’s costliest car, Mercedes Sl500 at an ex-showroom price of Rs 85 lakh, Kadlaskar said.
DaimlerChrysler India currently produces the C-class, E-class and S-class cars at its plant in Pune. It also sells the sports utility vehicle M-class after importing it as completely built unit.