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Wheels India to grow exports on back of rising demand

“The foundation has been built to grow the exports market along with customers in the coming years,” Wheels India chairman S Ram told shareholders at the 63rd AGM on Wednesday.

Wheels India, the auto-component manufacturer from the stable of TVS group, is planning to focus on exports in a big way. The efforts to establish markets overseas saw the company cross the milestone of `1,000 crore in exports last year.

“The foundation has been built to grow the exports market along with customers in the coming years,” Wheels India chairman S Ram told shareholders at the 63rd AGM on Wednesday.

The company was able to increase its production of forged aluminium wheels for sale in Europe and America. “In the last year, we saw the first full year of production of cast aluminium wheels from the new plant at Thervoy Kandigai.

The wheels are sold to the largest aftermarket distributor of cast aluminium wheels in the world. The demand is expected to grow this year,” Ram said.

Wheels India is also a significant supplier of wheels to the construction equipment industry worldwide. He said that there was a strong revival in this segment last year as demand in most economies saw a recovery post-pandemic and that the demand is expected to remain strong this year.

He expects the company will continue to grow exports in construction wheels, tractor wheels and aluminium wheels.
Talking about the commercial vehicle (CV) sector, Ram said that with increased industrial activities, the company saw some growth in the segment.

The demand for small, light, intermediate and heavy CVs is increasing after two successive years of steep decline.
While the passenger vehicle (PV) segment was restricted by the availability of semiconductors despite an uptick in demand, the automotive industry should see an improvement this year with the moderation of commodity inflation and improving availability of parts, Ram said.

There had been some improvement in demand for lift axles used in heavy-duty trucks in the latter part of last year and expected further improvement this year.

During FY22, the board approved the merger of Sundaram Hydraulics with Wheels India. Ram said this was likely to help the growth of hydraulic products manufactured by Sundaram Hydraulics for the construction industry, where Wheels India has a strong strategic relationship with many customers.

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