Sundaram-Clayton sees growth opportunities in shifting to zero-emission vehicles, as it is a preferred source for aluminium castings to major OEMs in India, the US, and the EU.
OEMs are focusing on reducing carbon footprint throughout their supply chains, which may lead to a push for localization and sourcing policy changes. Sundaram-Clayton has a US manufacturing facility to mitigate potential sourcing policy threats.
The company is implementing green initiatives and aims to meet 80% of energy needs at its Thervoy Kandigai plant through renewable sources, demonstrating commitment to sustainability.
While export markets pose challenges due to geopolitical scenarios and tariffs, the outlook for the company in India for FY 2025-26 is positive. The company is monitoring costs closely and taking measures to maintain and improve profit margins.