7 months ago
ZF Group Expands Chennai Plant
ZF Group, a company that makes car parts, opened a new factory line in Chennai, India.
This line makes electric parking brakes for cars.
The factory can make 800,000 brakes per year and currently uses parts made in India for 40% of the product.
The company plans to increase this to 80-90% in the next two years.
They also said they will invest a lot of money in India and are excited about the growth in the car market there.
They want to make special safety systems for Indian cars that are not too expensive.
ZF Group inaugurated a new EPB line at its Chennai plant with an annual capacity of 800,000 units.
The company plans to increase local sourcing of EPB components from 40% to 80-90% over the next two years.
ZF Group is investing $200-$250 million in India, with the new line being part of this investment.
The company is optimistic about the growth of the passenger vehicle segment in India due to regulatory mechanisms aligning with developed auto markets.
ZF Group is exploring the introduction of Advanced Driver Assistance Systems tailored for the Indian market.
- Who
- ZF Group, a German automotive supplier and technology company
- What
- Inaugurated a new electric parking brake (EPB) line at its Chennai plant
- Where
- Oragadum, near Chennai, India
- When
- January 20, 2026
- Why
- To cater to the growing passenger vehicle segment and increase local sourcing
Key facts
- Company
- ZF Group
- Location
- Oragadum, near Chennai
- Product
- Electric Parking Brake (EPB) line
- Annual Capacity
- 800,000 units
- Current Local Sourcing
- 40%
- Target Local Sourcing
- 80-90% in 2 years
- Investment Range
- $200-$250 million
- Growth Segment
- Passenger vehicle segment
Quotes
Peter Holdmann
Board of Management member at ZF and head of Division Chassis Solutions
“As vehicle architecture evolves, braking systems are transitioning from mere mechanical assemblies to software-enabled safety technologies. ZF Group’s Electric Park Brake replaces conventional mechanical parking brakes with an electronically controlled system optimised for electric and software-defined vehicles.”
theprint.in
“Customers in markets like India and China will not accept solutions being designed remotely and engineering now has to be done in-region, close to customers”
thehindubusinessline.com
Akash Passey
President of ZF Region India
“Original Equipment Manufacturers are heavily investing into new solutions around safety, efficiency and so on, making us a logical contact point to build them for our customers”
thehindubusinessline.com
