Ramkrishna Forgings enters forged wheel manufacturing with a Rs 2,000 crore Chennai plant. Production starts in FY27, targeting 1 lakh wheels by FY28.
Key Highlights:
✅ Ramkrishna Forgings to invest Rs 2,000 crore in a new forged wheel manufacturing plant in Chennai.
✅ The facility will have an annual production capacity of 2.28 lakh forged wheels.
✅ Production to begin in FY27 with 40,000 wheels, scaling up to 1 lakh wheels by FY28.
✅ The move marks a major diversification for the automotive components manufacturer.
Ramkrishna Forgings’ Strategic Expansion into Forged Wheels
Ramkrishna Forgings Ltd., a leading manufacturer of automotive components, is set to enter the forged wheel manufacturing sector with a new production facility in Chennai. The company plans to invest Rs 2,000 crore in this venture, which is expected to become a major revenue driver in the coming years.
Investment and Production Plans
According to Naresh Jalan, Managing Director of Ramkrishna Forgings, the new plant will have an annual production capacity of 2.28 lakh forged wheels. The investment will be funded through a mix of debt and equity.
The production will be rolled out in phases:
- FY27: Initial production of 40,000 wheels
- FY28: Scaling up to 1 lakh wheels annually
Jalan stated that this new vertical could generate multi-crore revenues, positioning it as a key growth engine for the company.
Why Forged Wheels?
Forged wheels are known for their strength, durability, and lightweight properties, making them highly desirable in the automotive and aerospace industries. By entering this segment, Ramkrishna Forgings aims to:
✔ Diversify its product portfolio beyond traditional forgings.
✔ Tap into the growing demand for high-performance wheels in India and globally.
✔ Strengthen its position as an integrated automotive solutions provider.
Chennai: The Ideal Manufacturing Hub
Chennai, often referred to as the “Detroit of India”, is a strategic choice due to:
- Proximity to major automotive OEMs (like Hyundai, Renault-Nissan, and BMW).
- Well-established supply chain and logistics network.
- Skilled workforce in the automotive manufacturing sector.
Future Growth Prospects
With the global forged wheel market expanding, Ramkrishna Forgings’ entry into this space could open doors for:
- Exports to international markets.
- Partnerships with premium and electric vehicle manufacturers.
- Increased market share in the automotive components sector.
Conclusion
Ramkrishna Forgings’ foray into forged wheel manufacturing marks a significant step in its growth strategy. With a Rs 2,000 crore investment and phased production plans, the company is poised to capture a lucrative segment of the automotive industry. The Chennai plant will not only enhance its product offerings but also strengthen its position as a key player in India’s auto component sector.
Stay tuned for more updates on this developing story!
