BASF expecting automotive growth in India

Published: 17 Mar 2009 18:23:42 PST

It is potential for India to become a global car parts supplier, according to Hermann Althoff, BASF SE's Southeast Asia group.

Althoff, group vice president for engineering plastics in Asia Pacific, is also confident of steady growth in the Indian market, even though the global financial meltdown has affected every aspect of business.

BASF's engineering plastics business has enjoyed double-digit growth in India for the past two years, Althoff said. The company supplies resin to Mumbai-based Tata Motors, which has increased significant use of plastics in its new Nano vehicle, touted as the world's most inexpensive car. Tata is using BASF's Ultramid glass-fiber-reinforced nylon in air-intake manifolds.

Using Ultramid, instead of aluminum, leads to about 40 percent weight savings, which in turn leads to better fuel efficiency, BASF said. Meanwhile, BASF has set up a computer-aided-engineering lab in Mumbai, in addition to its compounding plant being built there.