Tata AutoComp and Katcon Global have been working together for the past 13 years.
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Tata AutoComp and Katcon Global have been working together for the past 13 years.
Tata AutoComp, the components division of the Tata Group, has announced that it will enter into a joint venture with Katcon Global, an exhaust and thermal insulation manufacturing firm based in Mexico. The two companies will enter into a joint venture in Mexico and will primarily focus on serving the North American market.
This comes in light of the tariffs applied by the United States of America on the entire world, but since the North American countries have a free-trade agreement, Mexico is exempt from these taxes. This will allow Tata AutoComp to serve its North American clients without paying high tariffs.
The joint venture will serve the passenger and commercial vehicle segment as well as tractors, off-road vehicles and specialised non-automotive segments. Tata AutoComp and Katcon Global have been in business together in India for the past 13 years, specialising in exhausts and emissions after-treatment solutions. In the new joint venture, Tata AutoComp will bring in technology and customers, while Katcon will focus more on localisation and operations in Mexico.
Arvind Goel, Vice Chairman of Tata AutoComp Systems, said, “This joint venture marks a significant milestone for Tata AutoComp, as it is the first time we are entering a partnership where we are contributing the core technology—what we see as a reverse model compared to our previous alliances.”
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