Car parts maker Valeo to invest over 200 million euros to drive India sales (updated)
18/02/2026 08:14
Adds analyst comments in paragraphs 4-5 and 8, India workforce detail in paragraph 9 Valeo aims to triple India sales to 700 million euros by 2028 Focus on new-technology products and increased localisation in India Partnership with Mahindra for electric powertrains worth nearly $1 billion By Mathias de Rozario Feb 18 (Reuters) - French car parts maker Valeo VLOF.PA on Wednesday unveiled plans to increase its sales in India, driven by new initiatives announced alongside President Emmanuel Macron's trip to India this week, which is expected to yield new deals for French companies. Valeo said it would be investing more than 200 million euros ($237 million) in the coming years to expand its presence in India and that these new investments were aimed at tripling its sales in the country to around 700 million euros by 2028. The group is focused on building strong competencies in new-technology products in India while progressively increasing localisation across manufacturing and operations, it said. It aims to address the country's needs in both the passenger vehicle and small mobility markets. "During their CMD, they mentioned plans to strengthen their position in several business lines. Given that, in terms of volume, India is one of the most dynamic markets in the world alongside China," analyst Julien Thomas from TP ICAP Midcap said. India is also a market in which China's presence is limited due to geopolitical reasons, Thomas added. A month ago, India and the European Union struck a long‑delayed deal, aiming to slash tariffs on most goods to boost two‑way trade and reduce reliance on the U.S. amid growing global trade tensions. Valeo said on Wednesday it had been selected to supply electric powertrains for a range of vehicles under the "Born Electric" passenger vehicle platform of Indian company Mahindra & Mahindra MAHM.NS and that this strategic partnership had a total order value of close to $1 billion. Thomas said Valeo boosting its market position through partnerships seemed like a reasonable approach, considering India is "still a fairly closed market in terms of carmakers". The group, operating in the country since 1997, employs more than 7,500 people in India, of which more than half are engineers contributing to global research, development and manufacturing activities. ($1 = 0.8449 euros) Valeo expands its presence across the world https://www.reuters.com/graphics/VALEO-RESULTS/gkplqrykkvb/chart.png Valeo expands its presence across the world https://www.reuters.com/graphics/VALEO-RESULTS/gkplqrykkvb/chart.png (Reporting by Gilles Guillaume and Mathias de Rozario; Editing by Sudip Kar-Gupta and Milla Nissi-Prussak) ((sudip.kargupta@thomsonreuters.com;))