Isuzu ramping up component sourcing from India for global ops

NEW DELHI:  Japanese automobile manufacturer Isuzu is gradually ramping up component sourcing from India for its global operations as it develops local vendors here.

The company has already roped in around 100 suppliers which are primarily meeting local requirements for rolling out pick-up truck from its plant in Andhra Pradesh.

 “We are already doing it,” Isuzu Motors India (IMI) Deputy Managing Director Hitoshi Kono said when asked about the company’s plans to source components from India for global operations.

 While it is too early to quantify how much components are exported from India, he said Isuzu is looking to source components across the board from the country for its global operations.

Isuzu’s vendor development in India has been done with a long-term strategy of meeting global component requirements.

“When we look at parts suppliers, we don’t look at their ability to supply only for India. We look at their ability to supply for us in the long run even for our global requirements,” IMI Senior General Manager Communications Shankar Srinivas said.

On the company’s role in vendor development in India, he said: “To some extent we advise and guide their engineering to level-up with our requirements.”

Giving an idea of potential for component sourcing from India, Srinivas said Isuzu has operations in 100 countries, out of which it has leadership in 35.

It is a question of how much of those volumes can be tapped from the Indian market as there are suppliers elsewhere in the world as well, he added.

A vendor from India would have to first meet quality requirements, he added.

“We are not in a hurry to push for volumes but we are ready to ensure that quality is up there,” he added.

Isuzu is already planning to export vehicles from India to around 15-20 countries as part of its plans to make the country a hub of its global manufacturing operations.

The company, which has invested Rs 3,000 crore in Andhra Pradesh to set up a manufacturing facility, has already started exporting vehicles to Nepal.


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