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Cummins brass on India recce

New Delhi, Feb. 11: Top bosses of the US-based diesel engine manufacturer Cummins Inc are in India to assess the growth prospects of the company in the country.

The focus is on Cummins India Ltd which is a 51 per cent subsidiary of the US parent. Cummins India manufactures engines for commercial vehicles at its Pune facility.

The team, comprising around eight board members, including Theodore M Solso, the chairman and CEO of Cummins Inc, is here to assess the Indian auto market and see how much the country can contribute to Cummins’ overall growth.

The decision to visit the country is in line with the board’s decision to focus on India and China. “Last year the team visited China and now it is India’s turn. They have been here for a week now,” said Arun Ramachandran, vice president, automotive business, Cummins India. “The US team visited our plants in Pune and Jamshedpur,” he added.

Tata Motors and Ashok Leyland are the major clients of the diesel engines made by Cummins India. Tata Motors, however, indigenously manufactures diesel engines in Pune and also imports the Hino engines from Japan.

Cummins India is the only listed company of the 11 separate entities in India in which Cummins Inc holds equity stake .

CIL plans to increase the output of 38-50 litre high horsepower engines to 16 a day from 12. The company plans to invest $17 million on expansion to meet the demands of the construction, mining, marine and power generation sectors. The investment will take place by late this year or early next year.

Emphasising the potential of commercial diesel engine vehicles in India, Dilip Chenoy, director general, Society of Indian Automobile Manufacturers (Siam) said, “As much as 100 per cent of the light, medium and heavy commercial vehicle sales come from diesel engines, with the only exception being CNG buses. Hence, the market is very huge and there is a lot of potential.”

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