The ACMA Mobility Foundation (AMF), an initiative of the Automotive Component Manufacturers Association of India (ACMA), has signed a Memorandum of Understanding (MOU) with the Fraunhofer-Gesellschaft, Germany, to advance cutting-edge Research and Development (R&D) collaboration for India’s auto component industry.

The MoU was signed in the backdrop of the 18th Asia-Pacific Conference of German Business (APK 2024) in New Delhi. The strategic partnership aims to provide a robust platform for industry-driven research and innovation, to the Indian auto component industry as it transforms to support the mobility industry in addressing challenges of carbon neutrality, circularity, safety and environment. Through this collaboration, AMF and Fraunhofer will leverage their expertise to drive advancements in technology, sustainability, and product innovation, thereby contributing to the growth and competitiveness of the Indian automotive ecosystem. The MoU will be effective for an initial period of three years, with potential extensions based on mutual agreement.

The partnership will focus on the following –

R&D Collaboration: Fraunhofer Institutes will work with AMF on applied research, focusing on new product development, process innovations, and competitive R&D for the Indian auto components sector.

Technical Expertise: Fraunhofer's technical experts will engage with Indian automotive companies to improve process technologies and introduce sustainable production methods.

Sustainability and Road Safety: Joint projects aimed at sustainable production and road safety will be explored, with a focus on circular economy principles and pre-competitive technologies that can be implemented across the automotive sector.

Vikrampati Singhania, Director, AMF & MD, JK Fenner (India) said, “This is a significant milestone for the Indian auto component industry. Collaborating with Fraunhofer, a world leader in applied research, will strengthen our efforts to drive innovation, enhance product quality, and accelerate the transition to sustainable mobility solutions. This partnership underscores our commitment to shaping a future-ready automotive industry in India.”

Vinnie Mehta, Director & Secretary, AMF added “This partnership will enable Indian companies to tap into Fraunhofer’s vast expertise and experience in applied research, helping them meet global standards while fostering innovation at a competitive cost.”

Fraunhofer-Gesellschaft, with its 76 research institutes and a significant global presence, brings over 3.4 billion euros (INR 298 billion) in annual research funding. The Fraunhofer Traffic and Transportation Alliance, with its cluster of 18 institutes, will be at the forefront of this collaboration, providing specialised research and development services to the automotive ecosystem in India.

Dr Johann Feckl, Director and Section Head Precompetitive Research and International Relations, Fraunhofer HQ, highlighting the strengths and capabilities of the Fraunhofer Institutes elaborated, “India and Germany are strong and natural partners in mobility. Fraunhofer possesses excellent strengths in applied research around the entire value chain of mobility from materials to manufacturing and even mobility concepts and India’s strengths are in manufacturing and qualified manpower. We are delighted that on the occasion of the Intergovernmental consultations, we are concluding this very important partnership with ACMA. We look forward to strengthening our long standing partnership.”

Anandi Iyer, Director, Fraunhofer Office India said, “Fraunhofer works closely with the industry to crunch the innovation cycle and bring new processes and products faster to the market. We are already working very strongly with the Indian automotive industry since the last 16 years with ACMA as a valued partner. It will be exciting to bring the German and Indian industry to work on India- specific challenges, create proof of concepts and then scale it at a much faster pace, thus combining German engineering and Indian ingenuity for a win-win alliance,”

This partnership is set to enhance technology and trade relations between India and Germany, while creating a sustainable talent pool of skilled researchers and technical experts well-versed in global best practices.

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Marelli, a global mobility technology supplier, unveiled its new solution for Intelligent Energy Management for hybrid and electric vehicles at CTI Europe 2025 in Berlin, Germany.

The modular system is based on proprietary software that can be integrated with vehicle and zonal control units and thermal components. This holistic approach coordinates seamlessly across the vehicle’s three main energy domains: thermal, propulsion and electronics. This maximises efficiency across all vehicle systems, delivering enhanced battery range, optimised fast charging and improved longevity, all while maintaining cabin comfort and operational reliability.

Marelli's new Intelligent Energy Management system is aimed at advancing both hybrid and electric propulsion solutions, as well as Software-Defined Vehicle (SDV) technologies.

The system was developed by integrating advanced digital twin methodologies and software strategies. This approach significantly reduces development time and costs while enabling collaboration with customers.

Thermal Domain: The system manages and optimises thermal flows, ensuring precise control of heating and cooling processes within the vehicle. Algorithms intelligently manage complex thermal systems, regulating temperatures to optimise overall performance and extend battery life. These strategies reduce energy losses and promote reuse of excess thermal energy.

Electric/Hybrid Propulsion: The system continuously monitors and adjusts power delivery to optimise energy distribution. This maximises battery efficiency and vehicle performance. By recovering energy and balancing its distribution, the system extends driving range and enhances resilience.

Electronics Domain: The solution enhances the intelligence and integration of vehicle systems by facilitating seamless communication between all components and systems. Data exchanges occur over communication protocols – from CAN to Ethernet – enabling direct management of sensors and actuators.

The development of a digital twin application allows for virtual modelling of every vehicle subsystem, including electronics, electromechanics, thermodynamics, and hydraulics. By creating virtualised car models, automakers can iterate faster and test more efficiently.

Giovanni Mastrangelo, Head of R&D for Marelli's Propulsion business, said, "Intelligent energy management is the central challenge facing today’s electric and hybrid vehicle development. At Marelli, we address this by delivering solutions that not only optimise energy flow across thermal, electric and propulsion domains, but also minimise losses and recover excess thermal energy. Through our digital twin and decoupled software approach, we empower our customers to reduce development timelines, gain flexibility and accelerate adoption of cutting-edge technologies, driving the future of sustainable and efficient mobility."

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Tier 1 automotive supplier Tata AutoComp Systems has completed the acquisition of the assets of International Automotive Components Group Sweden (IAC Sweden), a European automotive component manufacturer specialising in interior and exterior systems. IAC Sweden has an annual turnover of approximately USD 800 million.

Under the Tata AutoComp Systems Group, the entity will operate as Artifex Systems.

This acquisition will strengthen Tata AutoComp’s presence in Europe and enhance its partnerships with key European OEMs across passenger and commercial vehicle segments. The integration combines design, engineering and system-level capabilities with manufacturing, precision painting and assembly expertise in the automotive space.

Arvind Goel, Vice-Chairman, Tata AutoComp Systems, said, “We are delighted to welcome IAC Sweden, now Artifex Systems AB, into the Tata AutoComp family. This transaction aligns with our long-term vision of strengthening our global presence and deepening our relationships with European OEMs. They have a rich legacy of delivering high-quality interior & exterior solutions, and together, we aim to build on that foundation. We have a well-defined plan to strengthen the Artifex brand by bringing together Artifex Systems AB, Artifex Slovakia, and Artifex Interior Systems under one cohesive and unified identity.”

Manoj Kolhatkar, MD & CEO, Tata AutoComp Systems, stated, “IAC Sweden, now Artifex Systems AB brings with it advanced manufacturing capabilities and a highly skilled workforce with deep expertise in automotive interior & exterior systems. Their strong commitment to quality complements Tata AutoComp’s focus on delivering value to global customers. We look forward to leveraging these strengths to enhance our competitiveness and expand our global footprint.”

Anders Ericson, Vice-President – Operations, Artifex Systems, said, "We are excited to begin this new chapter as part of the Tata AutoComp family, opening new opportunities for growth and collaboration. This marks a new phase of progress, bringing possibilities to strengthen our capabilities, expand our reach, and contribute to Tata AutoComp’s global vision."

Ambassador of India to Sweden, Anurag Bhushan, added, "I am pleased to see IAC Sweden, now Artifex Systems AB, becoming part of Tata AutoComp. I am confident that under Tata AutoComp, Artifex Systems will evolve and grow, driving economic growth in the region. This acquisition is also a reflection of the potentialities for collaboration between India and Sweden."

Jan Thesleff, Ambassador of Sweden to India, said, “The revitalisation of IAC Sweden (now Artifex Systems AB) by Tata AutoComp will ensure continuity for Swedish customers, safeguard employment, and strengthen manufacturing capability. We recognise the long-standing and strategic engagement of Tata AutoComp, a reputed company within the esteemed Tata Group, within Sweden’s industrial landscape. We welcome this development and value Tata AutoComp’s continued partnership in supporting the stability and growth of Sweden’s automotive ecosystem.”

Sven Ostberg, Consul General of Sweden in Mumbai, also added: “We are happy that IAC Sweden (now Artifex Systems AB) is now part of the Tata AutoComp Group. This development will help ensure the smooth functioning of the three plants, provide continued support for Swedish customers, and maintain continuity of employment, while further strengthening the resilience of Sweden’s automotive component ecosystem.”

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French tier 1 supplier Valeo has outlined its new financial trajectory, ‘Elevate 2028,’ focusing on financial strength and growth, with a specific emphasis on expanding market share in key geographies, including India.

The company sees India as a market undergoing a deep transformation, perfectly positioning Valeo to benefit from increasing demand for advanced features and the electrification of vehicles.

Valeo expects significant growth in its Indian market operations over the plan's duration. The company forecasts its sales in India will nearly triple from EUR 220 million in 2024 to approximately EUR 700 million in 2028.

Globally, the Elevate 2028 plan aims to steadily improve profit, generate higher cash, and return to sales growth. The plan is powered by three ‘engines’: steadily increasing profit from 2022, generating higher cash from 2025 and returning to sales growth from 2027.

Christophe Perillat, CEO, Valeo, said, “Since 2022, our Move Up plan has ensured that we are well positioned in terms of technology to succeed in the market and has laid the foundations for significant financial improvements, resulting in a steady improvement in Group profit and cash. As we embark on the next stage with our Elevate 2028 plan, we intend to capitalise on these achievements and to further improve our financial fundamentals. To do this, our plan will be powered by three engines. The first engine is a steady increase in profit. It started in 2022 and will carry on delivering. The second engine, generating higher levels of cash, has just been fired. 2025 represents a turning point in the evolution of our business model and confirms our ability to generate more cash. The third engine will be the return to growth. It will kick in in 2027, as our strong order book translates into sales."

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New Delhi-based EV powertrain startup Tsuyo Manufacturing has signed a Letter of Intent (LoI) with the Government of Karnataka to establish a new manufacturing plant and a large testing track for commercial vehicles in the state. The LoI was formalised at the Bengaluru Tech Summit 2025.

The new facility will focus on the design and production of heavy-duty EV powertrain systems for commercial and industrial applications. Key components to be developed and manufactured include: Electric Motors (across various topologies including IPMSM, ACIM, SRM, SynRM, and Axial Flux). E-Drives, E-Axles and Automatic Transmissions (AT), Integrated 2-in-1 and 3-in-1 Powertrain Solutions and Complete Powertrain Assemblies for heavy commercial EVs.

The facility will also include a dedicated Testing Track for the field testing and validation of buses, trucks, mining vehicles, and other heavy-duty EVs.

The plant's manufacturing capacity will range from 0.5 kW to 250 kW, with extended capability up to 600 kW through partnerships with CETL and LvKON.

The initiative is intended to strengthen India’s domestic manufacturing capabilities for high-performance EV powertrain systems, reducing reliance on imports. By producing motors, e-axles and integrated solutions, the facility will support the growth of India's commercial EV markets, including bus, truck and mining vehicles. The project is expected to create direct and indirect employment and boost industrial development in the state.

Vijay Kumar, Founder and CEO, Tsuyo Manufacturing, said, “This LoI marks a pivotal moment for Tsuyo and for the future of India’s EV ecosystem. Karnataka has always been at the forefront of innovation and advanced manufacturing, and we are proud to partner with the state to establish a facility that will redefine powertrain excellence for heavy commercial electric vehicles. With this investment, we aim to deliver world-class, reliable, and locally manufactured powertrain solutions that will power India’s transition to sustainable mobility.”

Priyank Kharge, Minister for Rural Development & Panchayat Raj, IT & Biotechnology, Government of Karnataka, said, “We are delighted that Tsuyo Manufacturing has decided to expand its Operations in Dharwad, Karnataka. Their decision reinforces our commitment to building a strong, local economy through LEAP (Local Economy Accelerator Program). This project will help building a sustainable ecosystem in the state and will attract more EV companies to come to our state - which is known for its Industry friendly policies and a dynamic EV ecosystem. This investment will not only create high-quality jobs in North Karnataka but also accelerate innovation and green mobility solutions for Karnataka and beyond.”

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