KION Group establishes new industrial truck facility in India
The new plant, which covers around 94,000 square meters, is due to be launched in early 2020.
KION GROUP AG continues to focus on growth and is expanding its Indian production site in Pune in the state of Maharashtra with the construction of a new industrial truck production facility. Capital expenditure on this pioneering project will amount to approximately EUR15 million. KION, a global leader in logistics, is creating more than 100 additional jobs in Pune. The new plant, which covers around 94,000 square meters, is due to be launched in early 2020. It will incorporate a cutting-edge production facility, a research and development center, a training center for service personnel and space for future growth of Dematic in India. Dematic is the most recent member of the KION Group and a global leader in intelligent supply chain, software and automation solutions. The company aims to leverage the strong market position and customer base of the KION brands, especially in warehousing and logistics.
Over the last five years, the Indian industrial truck market has grown five-fold and currently counts around 16,500 trucks per year. And there is still room for further expansion: a comparison of global new truck orders indicates considerable long-term growth potential in the market. Recent figures show that only 13 new trucks were ordered in India per one million individuals, while in China it was 313 and in Western Europe 866. The KION Group is aiming to leverage growth in the Indian intralogistics sector, particularly through its OM and OM Voltas brands. “We want to harness the potential of this fast-growing market even more effectively with our new plant while further strengthening our leading position by increasing capacity in Pune,” said CP Quek, Chief Asia Pacific Officer and member of the Executive Board of KION GROUP AG, during the plant’s official groundbreaking ceremony.
“The new leading-edge plant and R&D center will allow us to better serve our customers in the rapidly expanding Indian market,” noted Eike Böhm, Chief Technology Officer and member of the Executive Board of KION GROUP AG.
“We want to be even more efficient in production and after sales. Our current workforce and the anticipated 100 new employees will benefit from the latest work environment while the new R&D center and the market launch of Dematic will open up further opportunities,” said Sunil Gupta, President of KION India.
