Sona Comstar enters Chinese EV market, forms joint venture with Jinnaite Machinery

Mobility technology solutions provider Sona BLW Precision Forgings (Sona Comstar) has inked a binding term sheet with Jinnaite Machinery (JNT) for a joint venture in China to manufacture and supply driveline systems to global automotive original equipment manufacturers, a company statement said on July 20.

The Gurugram-based firm said it will invest $12 million, while its Chinese counterpart will put $8 million into the joint venture in the first phase, the stock filing said.

The company said the new joint venture will start its operations in the second half of the current financial year. The new announcement markets Sona Comstar’s expansion into the Chinese market, which is the largest automotive market in the world, especially for electric vehicles, the statement said.

“Sona Comstar is strategically expanding its presence in the faster-growing Asian markets. The driveline manufacturing operations in China align with the company's strategy to expand its presence in Asian markets, particularly in India, China, Japan, and South Korea, while also working to increase its market share further in North America and Europe,” the company statement said.