DaimlerChrysler to increase component sourcing (India)

[OhioChick]

New Delhi, Nov 27. (PTI): German-US carmaker DaimlerChrysler will be increasing sourcing of components from India, to serve requirements in key markets like Japan, Germany and the US as it banks on the high product quality and price competitiveness of Indian parts companies, its top official in India has said.

"DaimlerChrysler is serving all the major markets through a group of Indian component makers and the sourcing will witness a 20 per cent growth in 2006," Company India Chief Wilfried Aulbur told PTI here.

As more and more car majors and big component suppliers increase sourcing from India, which offers cheap labour and rapidly-rising quality levels, exports of auto components are projected to touch a whopping $ 20-25 billion by 2015, from $ 1.8-billion in 2005-06, according to estimates of the Automotive Component Manufacturers' Association (ACMA) of India.

Refusing to disclose financials or the quantum of sourcing, Aulbur said DaimlerChrysler has been outsourcing components from India for the last eight years, which has witnessed a continuous surge. "They have witnessed a CAGR of 20 per cent over the last eight years, which is good growth," he said.

http://www.hindu.com/thehindu/holnus/006200611270313.htm

There's that phrase again....."cheap labor." :mad:

[MikeNearMcChord]

1. I wish there was a leader who would say to these multinationals

if you do it we will slap a tariff on on your components. It is time to take back out conutry from these bastards! I am sick of this "free" trade!

[dmallind]

9. Outsourcing?

Everything the company buys and builds here in the US is outsourcing! It's a German company after all - regardless of what brand name is on their cheap models. You can't be hypocritical and say that US companies should notoutsource components and production but that German companies should continue to do the same here.

Why is it wrong for DC to buy parts from India and right to buy parts from US Tier 1 and Tier 2 companies?

[MannyGoldstein]

2. Yeeeeehaaawwww!!! Go Big Dawg! Go Get 'Em!!!!!!!!!!!!!!!!!!

I'd like to take this opportunity to once again thank Mr. Clinton for blowing open the doors to outsourcing with NAFTA, "free" trade with China, and all of the other grand things he did to further line the pockets of the Predator Class at the expense of the Middle Class.

I guess it sucks not to be rich. Ha-ha!!!

[madrchsod]

5. let`s be fair

it all started in downhill in the 70`s and clinton just went along for the ride.he could have done something but as you said -it does suck not to be rich.

[madrchsod]

3. here is one of the companies they will be using

http://www.tata.com/
Tata Group

they have beat the korean and some chinese manufacturers on pricing of sub assembly parts. the company i worked for changed from a korean manufacture to the tata group for sub assembly parts. there is going to be a trade war with china and india in the next few years over pricing of goods and services to the west.

[mitchleary]

7. Hillary loves TaTa

That is one of the reasons I do not like her.

[Auggie]

4. Pretty soon they're going to outsource every damn job

in this country.

[OhioChick]

6. And...

Let's not forget Ford:

Ford's new diesel engine plant may serve as outsourcing hub
2006-11-25 09:34

Ford India plans to make its forthcoming diesel engine plant a hub for outsourcing Duratorq range of diesel engines in the Asia Pacific region.

According to company officials, the company will manufacture the Duratorq range of diesel engines (1.4-litre, 1.6L, 1.8L, 2.0L, 2.2L, 2.4L 2.5L and 3.5L) in this plant in a phase manner. However, the company spokesperson said there were no plans of such development. The plant that will have a 100,000-unit production capacity will initially cater to the local consumption of the 1.4L Duratorq diesel engine.

Production capacity

The production capacity of the plant is a clear indicator that the company is set to build the plant for export purposes too. Considering the current market share of its existing product range (Fiesta) and forthcoming product launches like the Fusion diesel model, the capacity can easily cater to domestic supply and supplement other export orders in the pipeline. As of now, the company has sold 70 per cent (26,600 units) diesel variants of the total 38,000 Fiestas in the local market.

http://news.moneycontrol.com/india/news/business/fordindiaduratorq/fordsnewdieselengineplantmayserveasoutsourcinghub/10/40/article/252764

[Tesha]

8. One word for you: "Plumbing"

> Pretty soon they're going to outsource every damn job

One word for you: "Plumbing".

Shit remains (andis likely to remain) a very
localized phenomenon.

Tesha