Sunil Koparkar, Managing Director, IAC India, outlines the company’s strategy to reduce customer concentration, expand exports and leverage group synergies following its integration with the Lumax Group.

As India’s automotive interior market evolves towards premiumisation, localisation and faster product cycles, IAC India, part of the Lumax Group, is repositioning itself beyond a single-customer dependency model – without diluting its core partnerships.

IAC India continues to derive a significant share of its revenue from Mahindra’s passenger vehicle business. While the concentration remains high, Koparkar is clear that diversification will be driven through growth rather than dilution.

“Mahindra will always be our primary customer. We have a very strong strategic partnership. But we are also working on expanding with other OEMs and in the commercial vehicle space. Our goal remains a 20 percent CAGR,” he says.

For FY2025, IAC India USD 140 million in revenue, and is targeting a 20 percent growth in FY2026. The company counts Mahindra as its primary customer with almost 78 percent of its business coming from them, while Maruti Suzuki India (12%), Volvo Eicher Commercial Vehicles (5%), Skoda-Volkswagen (3%) and Stellantis (1%) contribute towards the remaining business.

What’s more, responding to the company’s expansion plans, Koparkar revealed, that IAC Group, in addition to introducing new products, is also in talks with new-age players who have just entered Indian market (and also planning too) for supplying products.

Currently, passenger vehicles account for roughly 90 percent of the business, with commercial vehicles forming the balance. Value-wise, Koparkar expects CV contribution to rise, even if percentage splits remain broadly similar due to the rapid growth of PV volumes.

Responding to a query on the potential growth from the CV segment, Koparkar said, “There is clear potential in CV interiors. As the CV market moves towards more comfortable cabins — with features like airbags, HVAC and infotainment — the opportunity for interior suppliers increases. Through Volvo Eicher, we have already helped drive that trend in India.”

When asked about the company’s expansion plans, Koparkar also stated that IAC Group is open to expanding to new regions as it aims to operate closer to its customers. One of the potential new projects for the company could very well be Chennai, as the company is in early talks with a new CV customer as well as VinFast.

Engineering as a Standalone Growth Lever

A key pillar of IAC India’s strategy is its expanding engineering capability. The company has been scaling up its R&D and product development team and increasingly positioning engineering services as a distinct revenue stream.

The company at present, employs over 300 engineers in India, which it aims to scale it upto 400-plus by next year and 500-plus in the coming few years.

Historically, the Indian Engineering Centre supported the global IAC Group. “We were primarily the IAC Group engineering development centre. We will continue to provide those services. But now, besides global support, we are also offering engineering services to local OEMs,” Koparkar explains.

These services span studio collaboration, basic product design, CAE analysis and prototype development. In some cases, this can potentially evolve into full-scale supply programmes.

Importantly, innovation is now being formalised locally. “This year alone, we are in the process of filing about 30 patents,” he says. Earlier, intellectual property was subsumed under the global entity; now, filings are being initiated in India.

R&D investment remains aligned with group benchmarks at around 1.5–2 percent of revenue.

Exports: Measured Ambition

In terms of export potential, it currently contributes less than 5 percent towards the revenue, primarily through smaller kinematic parts. Direct exposure to the US market is negligible.

“Tariff-related uncertainty does not affect us because we do not export to the US,” Koparkar says. “Logistically, it does not make sense to ship our large interior parts there.”

Europe remains the primary export target. “The opportunity lies in leveraging our design capabilities and local development strengths. If logistics can be managed efficiently, there is room to grow.”

He also sees the Lumax Group’s aftermarket division as a future vehicle for export expansion.

Localisation and Supply Chain Resilience

On the localisation front, IAC India has made significant progress. “Last year was the first time we were able to localise over 99 percent of our tooling and development in India,” Koparkar states. Machinery on shop floors is largely localised, with only certain raw materials still imported.

The semiconductor crisis, he adds, had minimal direct impact. “We do not source electronics for our products — that is handled by the customer. However, from a development perspective, we are evaluating secondary substitutes for imported components, so we are prepared in case of disruptions.”

Premiumisation, Sustainability and AI

Premiumisation is currently the dominant interior trend. “Customers are moving away from basic plastics to more premium-feel interiors. Electronification is a big driver,” Koparkar says.

Sustainability, however, remains nascent in India. “There is no specific push for sustainable materials yet. What OEMs are looking for is lightweighting to meet upcoming CAFE norms. If a sustainable material delivers significant weight reduction, then it becomes serious.”

He points to jute, coir and bamboo fibres as potential alternatives but stresses that ecosystem-level collaboration is essential. “Unless a circular economy develops around us, sustainable materials will struggle to scale.”

On automation, operations across IAC’s six plants are roughly a 50:50 mix of automated and manual processes, depending on volume justification. Cobots and semi-automation are used where full automation does not offer viable returns.

AI, meanwhile, is expected to influence design more than manufacturing. “We see AI helping us accumulate design learnings and reduce design cycle times. Its impact will be more visible in engineering services than on the shop floor.”

Faster Development Cycles

Product life cycles are shrinking rapidly. “It used to take five years to develop a car,” Koparkar reflects. “With the XUV700, we worked with the customer to shrink that to 42 months. EVs are being developed even faster.”

As development timelines compress and interiors become more technology-intensive, IAC India is betting on engineering depth, localisation strength and group synergies to sustain its 20 percent growth ambition – while steadily broadening its customer and geographic footprint

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Recreatives Industries, the manufacturer behind the legendary MAX 6×6 Amphibious All-Terrain Vehicles, is broadening its sales network by welcoming two new authorised dealers. The company has added Cart Guys Inc., based in Gastonia, North Carolina, alongside Globalsoft Equipment in Rochester, New York, which operates as Global MAX ATV. With Cart Guys Inc. coming on board as the second new dealer added in 2026, the United States dealer network now encompasses nine locations.

This expansion marks a strategic step in rebuilding what was once a robust North American dealer network that historically included over 200 active sites. Management views this legacy as proof of the platform’s long-term scalability as efforts continue to reestablish and grow the company’s retail presence. The focus remains on cultivating a high-quality, geographically diverse network capable of supporting rising demand across recreational, hunting and commercial sectors.

Commercial adoption of MAX ATVs is already evident, with vehicles being utilised by aqua management firms and the U.S. Army Corps of Engineers, alongside a loyal customer base in hunting and recreation. Upcoming models, including the MAX 4 and Buffalo, are expected to further extend the brand’s footprint into utility, industrial and commercial markets. Production of the MAX 2 is currently active and additional models are scheduled to launch in the summer of 2026, with the dealer network being aligned to support both current sales and these new introductions.

Recent operational developments include a truckload delivery of vehicle bodies to sustain ongoing MAX 2 production following the completion of the initial manufacturing run. Concurrently, the company is converting the existing MAX 4 and Buffalo moulds into its 3D CAD system, preparing for the initial production of next-generation vehicle bodies. This overall momentum reflects Recreatives Industries’ broader strategy to strengthen market presence, enhance customer access and build a scalable distribution network positioned for future growth.

Andrew Lapp, CEO, Recreatives Industries said, “Expanding our dealer network is a core priority as we continue building momentum behind the MAX brand. Adding Cart Guys in North Carolina, along with Globalsoft Equipment in New York, strengthens our regional coverage and positions us to better serve customers across key markets.”

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Vedanta Aluminium has deployed its first cohort of 30 women crane pilots at the Bharat Aluminium Company  (BALCO) unit in Korba, Chhattisgarh. The group includes 20 Pot Tending Machine (PTM) pilots and 10 beam-raising operators, marking a shift toward women-led operations as the facility enters the ‘million tonne club’.

The pilots operate in a smelting environment, executing tasks for stable metal production. These responsibilities include: anode changing & covering, tapping of molten aluminium and beam raising activities across all potlines.

The deployment followed a training programme involving classroom instruction, simulator sessions and on-the-job exposure. Currently, beam-raising activities at the plant are led by women designated as Beam Raising In-Charge in each room.

The initiative is part of a broader strategy to automate core manufacturing roles and make them gender-agnostic. Vedanta Aluminium has previously implemented:

• Jharsuguda: India’s first fully women-operated potline.
• Lanjigarh: An all-women team managing the digital command centre at the alumina refinery.
• Logistics: An all-women locomotive crew for in-plant rail operations.

BALCO also integrates transgender professionals into functions such as forklift operations and security, supported by policies including financial assistance and paid leave for gender reaffirmation.

Rajiv Kumar, CEO, Vedanta Aluminium, said, “Automation and advanced technologies are reshaping how modern aluminium operations function across all our units. This transformation is creating space for a new generation of highly skilled professionals to lead critical, technology-enabled roles. At Vedanta Aluminium, we are proud to see women stepping confidently into these specialised positions across our operations. This milestone at BALCO reflects our commitment to building a future-ready workforce while fostering greater participation of women in core manufacturing.”

Naaz Fatima, a PTM pilot, commented, “Working as a PTM pilot is both challenging and deeply rewarding. What I value most is that the company trusts us with these critical operations and invests in our growth. It feels empowering to know that our work directly contributes to BALCO’s progress and that we are shaping a new future for women in industrial roles.”

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KKR, Allfleet India and PMI Electro Mobility Solutions have announced definitive agreements for a strategic partnership. KKR-managed funds will commit up to USD 310 million to scale Allfleet’s electric bus platform and enhance PMI Electro’s manufacturing capabilities.

As part of the transaction, KKR will acquire a majority stake in Allfleet and a minority stake in PMI Electro. This represents the eighth investment globally under KKR’s Global Climate Transition strategy and its first in India.

Established in 2022, Allfleet serves as the e-bus platform for PMI Electro, focusing on the ownership and operation of public transport fleets. The company is currently deploying over 5,000 electric buses under long-term service agreements with various state transport authorities across India.

The partnership will see an integrated model covering manufacturing led by PMI Electro, ownership and operations by managed by Allfleet and lifecycle support by technical maintenance and infrastructure management.

KKR’s investment is drawn from its Global Climate Transition strategy, which has committed over USD 44 billion to sustainability initiatives since 2010. The firm’s global portfolio in this sector includes transport electrification specialist Zenobe in the UK and solar developer Avantus in the US.

The capital will be used to expand Allfleet’s presence in Indian cities and support the national transition toward decarbonised urban mobility.

Neil Arora, Partner and Head, of KKR’s Climate Transition strategy for Asia-Pacific, said, “Transport electrification is a critical pillar of the energy transition, and India – with its scale, urbanisation trends and decarbonisation ambitions – represents one of the most significant opportunities for the sector globally. The differentiated combination of Allfleet’s proven, scalable platform and PMI’s manufacturing and service expertise stands out as a full-service solution in this market. We look forward to supporting Allfleet’s next phase of growth by working together with PMI and leveraging KKR’s global operational expertise and experience investing across climate transition.”

Aanchal Jain, CEO, PMI Electro and Director, Allfleet, said, “This investment by KKR marks a defining milestone in our journey and is a powerful endorsement of the integrated electric mobility platform we have built at Allfleet. PMI Electro’s vision is to create a scalable, reliable, and future-ready ecosystem that can transform public transport in India. As our cities grow and mobility needs evolve, clean, efficient, and accessible public transport will play a central role in shaping a more sustainable future.”

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Navi General Insurance has launched its motor insurance product, expanding its portfolio into the automotive sector. The offering provides a digital, app-led process for car and two-wheeler insurance with instant policy issuance and a zero-commission structure.

The company’s business model removes intermediary commissions traditionally associated with agent and dealer-led distribution. This direct-to-customer approach is intended to pass cost efficiencies to the policyholder.

Motor insurance currently accounts for approximately 30-35 percent of total premiums in the Indian general insurance market. The sector is supported by mandatory third-party cover requirements and increasing vehicle ownership.

The company’s service includes digital integration, comprehensive coverage options, electric vehicle-specific plans, add-on covers and underwriting & claims.

Vaibhav Goyal, Managing Director & CEO, Navi General Insurance, stated, “Motor insurance is one of the most widely held financial products in India, yet the buying and claims experience remains complicated. We see a tremendous opportunity to change that. As a digital-first, direct-to-customer insurer, we are cutting out commissions entirely, thus passing those savings directly to customers through competitive pricing. Simplifying finance for every Indian is at the heart of what we do at Navi, and with motor insurance, we're extending that promise to a product that touches millions of vehicle owners every year.”

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