Remy International Inc., a leading manufacturer, remanufacturer and distributor of starters and alternators based in Pendleton, Ind., and Lucas-TVS Ltd., the market leader in India for automotive, commercial vehicle and two wheeler starter motors, alternators and other small motors, has announced that they have entered into a business co-operation agreement.
The agreements between the companies include cross-technology licenses, product sales, engineering support and supplier sourcing support. The agreements will allow Remy to license certain products from Lucas-TVS for Remy to manufacture and sell around the world. Lucas-TVS will license certain Remy products to make and sell in India. In addition, both parties may buy and resell each other’s products.
John Weber, president and CEO of Remy International, said this agreement will benefit both firms. Lucas-TVS will be able to leverage Remy product lineup and global customer relationships to reach more foreign customers who are investing in India, while Remy will take advantage of Lucas-TVS product lineup and engineering capabilities to add new products. He said the companies also will work to support each other’s product sourcing efforts to optimize supplier relationships globally and reduce costs.
“Remy’s recognized technical and operational excellence provides the foundation to pursue opportunities for geographic expansion, product extensions and new business alliances,” Weber says. “This agreement with Lucas-TVS allows us to participate in India, the fastest growing automotive market in the world. It creates an opportunity for Remy to work with Lucas-TVS to develop new products and allows both companies to extend their traditional markets.”
Based in Chennai, India, Lucas-TVS is India’s largest manufacturer of automotive electrical products, designing and manufacturing over 9 million starters, alternators and small motors. Besides serving all major global and domestic manufacturers in India, Lucas-TVS exports products to North America and Europe. The company operates seven manufacturing plants in India and has over 2,500 employees.