Mahle Advances Strategic Overhaul With Streamlined Operations And Focus on Electrification, Thermal Management

Mahle Streamlines Group Structure

Mahle is taking a significant step in its transformation by refining its corporate structure to enhance agility and efficiency under its 2030+ strategy. The changes involve merging business units to strengthen the core areas of electrification and thermal management, both structurally and operationally. As part of this restructuring, Mahle will acquire the remaining 25 percent minority stake in its thermal management subsidiary, Mahle Behr GmbH and Co. KG, cementing its commitment to this strategic area. The group management board reduced from seven members to four, effective 1 January 2025.

Starting in 2025, Mahle consolidated its five business units into three. Four existing units merged to form two new entities, aligning related production technologies to accelerate internal collaboration and establish a more cohesive operational framework.

“Mahle is doing its homework for the transformation,” said Chief Executive Officer Arnd Franz. He added, “Through these far-reaching changes, we will make our business ready for the future. We are accelerating the implementation of our group strategy which will position us as an innovative and sustainably profitable shaper of future mobility.”

Chairman of the Mahle Supervisory Board Dr. Heinz K. Junker said, “Through the reorganisation and the resulting streamlining of the Management Board, we will significantly improve the integration of our group and be able to make more effective use of synergies.”

The company’s Chief Exectuive Officer emphasised that this reorganisation would not only improve internal cooperation but also provide new opportunities for locations historically tied to combustion engine technologies, enabling them to apply their expertise to emerging, future-oriented sectors. This restructuring is also expected to create a high-performance production network while delivering cost savings.

The new powertrain and charging business unit will integrate the former engine systems and components and electronics and mechatronics units. This move will leverage Mahle’s extensive experience in engine systems to advance its electrification strategy, focusing on efficient electric motors and intelligent charging solutions. A key success in this area is the development of the electric compressor, one of the company’s most prominent products.

Similarly, the thermal and fluid systems business unit will combine the former filtration and engine peripherals and thermal management units. By integrating filtration expertise into its thermal management capabilities, Mahle aims to deliver competitive, future-oriented technologies to the market. The company’s dedication to thermal management is further demonstrated by its full acquisition of Mahle Behr GmbH & Co. KG, completing a process that began with its initial stake in 2010.

The aftermarket division with its established product range and growing focus on electrification and digitalisation will continue as a standalone unit under the new name lifecycle and mobility.

Franz will remain management board chairman and CEO while also assuming the role of statutory Labour Director, as human resources will no longer be a separate function on the board. Dr Beate Bungartz, the current labour director, stepped down on November 29, 2024. Markus Kapaun will continue as Cheif Financial Officer. Jumana Al-Sibai, currently responsible for the thermal management unit, will lead the new thermal and fluid systems business unit. Martin Weidlich, previously in charge of filtration and engine peripherals departed the company on November 29, 2024.

Georg Dietz, presently heading the engine systems and components unit, will lead the new powertrain and charging business unit. Additionally, Martin Wellhoeffer, currently overseeing the electronics and mechatronics unit, will transition to the thermal and fluid systems unit as Chief Operating Officer.

With its restructured organisation, Mahle aims to strengthen its position in electrification and thermal management while ensuring a more agile and cost-effective approach to future challenges. 

“Following several major acquisitions in the thermal management field, this step will successfully complete the integration of this business in the Mahle Group,” said Franz.

Commenting on the development, Junker said: “On behalf of the Mahle supervisory bodies, I would like to thank the management board members Dr. Beate Bungartz and Martin Weidlich, who are now leaving the group, for their excellent and dedicated work. In his five years with Mahle, Weidlich has performed great services both for the filtration and engine peripherals business unit and in his group responsibility for operational excellence, production and purchasing. Over the past two years, Bungartz has successfully continued the development of our human resources organisation and has initiated the transformation dialogue with employee representatives in Germany. Bungartz and Weidlich have my best wishes for their personal lives and careers in the future. Equally, the supervisory bodies and I would like to thank Wellhoeffer for his considerable commitment as a management board member. Under his leadership for almost two years, the electronics and mechatronics business unit has significantly expanded the competences of Mahle in the fields of efficient electric drive systems and intelligent charging. We are convinced that Wellhoeffer will forge ahead with the operational excellence and transformation as COO of what is to be our largest business unit in the future."

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    Liselott Kilaas Joins Varroc’s Board Of Directors

    Liselott Kilaas

    Pune-headquartered tier 1 supplier Varroc has appointed Liselott Kilaas as an Independent Director to its Board of Directors.

    At present, Kilaas serves on the boards of multinational companies and has a proven track record of steering businesses through dynamic and complex environments. She holds a MBA from IMD Business School and Master’s Degree in Mathematics and Statistics.

    This move the company shared is part of strengthening its leadership with global expertise and diverse perspectives.

    Tarang Jain, Chairman & Managing Director, Varroc, said, “We are delighted to welcome Liselott Kilaas to our Board of Directors. Her vast experience and strategic insights will be invaluable in driving Varroc’s growth and enhancing our global competitiveness.”

    Liselott Kilaas, said, “I am honoured and excited to join Varroc’s Board as an Independent Director. I look forward to contributing my expertise to support the company’s growth and strategic vision.”

     

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      BorgWarner PowerDrive Systems Appoints Chandrasekar Krishnamurthy As Global Director of Product Management

      Chandrasekar Krishnamurthy

      American powertrain major BorgWarner has announced that it has elevated Chandrasekar Krishnamurthy as the Global Director of Product Management for BorgWarner PowerDrive Systems, effective 1 March 2025.

      The company shared that the elevation is part of its future growth strategy, which aims to realign focus on its product family to drive competitiveness in cost, technical maturity, time to market, and compliance.

      In his new role Krishnamurthy will be responsible for leading the product management team by accelerating product industrialisation readiness. Developing competitive product platform solutions in collaboration with other functions.

      He will also focus on aligning product roadmaps with sales strategy, along with delivering competitive and compliant solutions on time. In addition, he will also contribute to engineering efficiency initiatives and continuously improve engineering development framework and product safety/security compliance.

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        Tata AutoComp To Acquire IAC Sweden To Strengthen European Footprint

        Tata AutoComp - IAC Sweden

        Tier 1 automotive supplier Tata AutoComp Systems (Tata AutoComp) has announced that it is set to acquire International Automotive Components Group Sweden AB (IAC Sweden), a leading supplier of automotive interior systems and components.

        The Swedish company currently operates three facilities in Lassby, Fargelanda and Skara is a key supplier to Volvo Cars, Volvo Trucks and Scania. It specialises in plastic moulding, high-precision painting and assembly of interior components with an estimated turnover of USD 800 million.

        Tata AutoComp aims to strengthen its presence in Sweden and enhance the company’s relationships with key European OEMs in both the passenger vehicle and commercial vehicle segments.

        The acquisition presents strong synergy opportunities, allowing Tata AutoComp to leverage advanced manufacturing capabilities, cutting-edge technology and well-established customer relationships in the premium automotive space.

        The transaction is subject to European regulatory approvals.

        Arvind Goel, Vice Chairman, Tata AutoComp Systems, said, “We are delighted to welcome IAC Sweden into the Tata AutoComp family. This acquisition aligns with our long-term vision of expanding in global markets and strengthening our relationships with European OEMs. IAC Sweden has a strong legacy of delivering high-quality interior solutions, and we look forward to working together to drive innovation and excellence in the automotive industry. This move reinforces our commitment to driving sustainable, high-quality, and customer-centric automotive solutions across geographies.”

        Manoj Kolhatkar, MD & CEO, Tata AutoComp Systems,  said, “This acquisition is a pivotal step in Tata AutoComp’s journey to enhance our global presence and technology portfolio.”

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          Tamil Nadu Emerges As India’s New Automotive And EV Powerhouse At Landmark Chennai Summit

          ACMA India

          The Automotive Component Manufacturers Association of India (ACMA), in collaboration with Guidance Tamil Nadu, the investment promotion and single-window clearance arm of the Government of Tamil Nadu, hosted a landmark event in Chennai on 20 March 2025, titled Unveiling India’s New Automotive Hub: Where Wheels of Progress Turn.

          The summit convened senior government officials, global and Indian automotive leaders, and key stakeholders to explore Tamil Nadu’s rise as India’s next major automotive and electric vehicle (EV) manufacturing hub.

          Dr TRB Rajaa, Tamil Nadu’s Minister for Industries, Investment Promotion & Commerce, was the Chief Guest at the event. “Tamil Nadu is not just attracting investments; we are shaping the future of mobility – cleaner, smarter, and more inclusive. With a skilled workforce, progressive policies, and a strong focus on sustainability and women’s empowerment, Tamil Nadu is poised for its next big leap,” he said.

          Shradha Suri Marwah, President of ACMA and CMD of Subros, noted, “The state has long been a pioneer in industrial transformation. It’s no surprise that Tamil Nadu is now a magnet for domestic and global automotive players, hosting over 400 auto component manufacturers. Events like these foster collaboration between industry and government to drive growth and innovation.”

          Darez Ahamed, Managing Director, Guidance Tamil Nadu, called Thoothukudi as ‘India’s New Automotive Hub,’ highlighting the state’s strategic emphasis on EV manufacturing, industry-academia partnerships, and investor-friendly infrastructure.

          A key highlight was an exclusive fireside chat with senior leaders from VinFast Auto, moderated by Vinnie Mehta, Director General of ACMA. Sang Yu Won, Purchasing Head, and Prakalathan Tirupathi, Project Head of VinFast India, outlined their vision for EV innovation and emphasised Tamil Nadu’s pivotal role in their India strategy, along with expectations from the local supply ecosystem.

          Other prominent speakers included Vikrampati Singhania, Vice President of ACMA and MD of JK Fenner; Sriram Viji, Chairman of ACMA Southern Region and MD of Brakes India and Susanta Kumar Purohit, Chairman of V.O. Chidambaranar Port Authority.

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