Source: Continental announcement
GURGAON, India — Reiterating its commitment to automotive safety in India, Continental has announced the formation of a joint venture (JV) with Japanese firm Nisshinbo Holdings. The new JV will localize machining for valve block meant for Continental’s Electronic Brake Systems (EBS) in India. The EBS portfolio includes Electronic Stability Control (ESC) for passenger cars and Anti-lock Brake Systems (ABS) for passenger cars and 2-Wheelers.
Speaking on the occasion, Prashanth Doreswamy, President and CEO, Continental India, said “The new venture is another example of Continental’s commitment to manufacturing for India, in India. By partnering with Nisshinbo, we are now uniquely positioned to provide the Indian automotive sector with the latest in safety technology, completely manufactured and assembled in India. Nisshinbo and Continental have the right synergies, and we are confident that our expertise will achieve a leadership position in the Indian market as well as in exports.”
Krishan Kohli, Head of Segment, Vehicle Dynamics and Hydraulic Brake Systems, Continental Automotive India said, “Localization is our key strategy in India. Our completely localized value chain, from R&D to manufacturing and sales, enables us to offer Indian consumers technologies that are better suited and affordable. This is in line with our focus for Vision Zero – a future with zero fatalities, injuries, and crashes, comes close on the heels of us achieving the milestone of 5 million units of Electronic Brake Systems (EBS) production this year at our Gurgaon plant.”
Under the JV, Nisshinbo will provide machining for producing valve block for ABS and ESC units, which later gets assembled into a complete unit at the Gurgaon plant (Continental) with the integration of ECUs that are manufactured in Continental’s plant in Bangalore.
With this, Continental is further increasing the localized content in EBS production from India. This will enable it to better serve the Indian automotive market, where the demand for EBS is vast and growing, thanks to growing consumer awareness and the efforts of industry and government.
Continental and Nisshinbo’s relationship dates back to about 40 years through various business collaborations. The first association was formed in 1982 through a technical license agreement, signed between Alfred Teves (now part of Continental AG) and Nisshinbo. In 2000, another notable joint venture was established between Continental and Nisshinbo in Japan, which saw a 20th-anniversary completion in 2020.
Continental has been a pioneer in EBS technology with a manufacturing range of ABS and ESC including products such as MK100 ESC for the passenger car market, the one channel MK100 MAB and MiniMAB, and three-channel MK 3-2 MAB for the 2-wheeler market. The JV will support in supplying the valve block for these products.