Magneti Marelli, Suzuki Motor Corporation and Maruti Suzuki India Limited have signed an agreement for the creation of a joint venture in India, aimed at the production of electronic control units for diesel engines.
Maruti Suzuki India Limited, former known as Maruti Udyog Limited, is the joint venture set up in 1982 between the Indian government and the Suzuki Motor Corporation that has originated the main industrial entity in India in the automotive field.
According to the agreements, Magneti Marelli will participate for 51% in the share capital of the new company, Suzuki for 30% and Maruti for 19%. The initial investment is expected to total approximately 15 million/€.
The industrial activities will be located in Manesar – in the industrial district of Gurgaon, approximately 40 km southwest of New Delhi. The start of production is scheduled for the end of 2008 and, as part of the objectives, the production capacity of this plant should reach a total of about 500,000 control units per year when working at full stretch.
The electronic control units produced in Mannesar will be initially used for the Suzuki-Maruti diesel cars and, later on, will also cater to other car manufacturers.
“The joint venture with Suzuki and Maruti – stated Eugenio Razelli, CEO of Magneti Marelli - brings cutting-edge technology to our automotive partners and allows Magneti Marelli to significantly increase its presence in a fast-growing market“.