JULY 20258GODREJ TOOLING EXPANDS FOOTPRINT IN INDIA'S FAST-GROWING EV MANUFACTURING SECTORSONA COMSTAR EYES MAGNET MANUFACTURING TO BOOST EV SUPPLY CHAINSona BLW Precision Forgings Ltd (Sona Comstar), one of India's largest auto component manufacturers, prepares to manufacture rare-earth magnets domestically to lessen reliance on imports from China. This comes in the wake of China limiting exports of rare-earth To align with this demand, the Mumbai-based conglomerate has expanded its tooling capabilities to produce precision dies and components for EVs, including battery boxes and sheet metal parts. Backed by 2­3 percent annual revenue investments in R&D and advanced machinery, the division is helping to strengthen India's precision tooling ecosystem.India's EV sector logged 1.96 million units sold in FY25, with a 28 percent year-on-year growth in May 2025 alone. This surge has intensified the need for localized, high-precision automotive components. Pankaj Abhyankar, Business Head of the tooling division, said, "We aim to reduce import dependence while improving production timelines and cost efficiency for manufacturers."The company currently caters to Tier-I and Tier-II auto suppliers transitioning to EV component production. A few tools that were previously imported are also being investigated for domestic production with an eye toward future exports. These initiatives are directly related to the automobile industry's import substitution goals and India's "Make in India" policy.Godrej is collaborating with a broad industry trend by retooling India's automotive distribution network for a cleaner future through localized innovation and strategic capabilities creation. magnets, an essential component used in electric vehicle (EV) motors, and other advanced automotive components.With EVs making up a third of Sona Comstar's revenue, the company imported almost 120 tonnes of magnets in FY24, and planned to raise that level to 200 tonnes. The necessity of an export license from China, effective April 2025, ensures lack of supply chain clarity and drove the company to action on local production instead.Despite hosting the world's fifth-largest rare-earth reserves, India does not have the facilities to process them, therefore this will be an exciting milestone for the industry. The company has enjoyed phenomenal financial growth (fivefold over five years) naturally exceeding $400 million dollars and can afford the investment on its magnet production project.The expected launch of a scheme from the Indian government for rare-earth magnet manufacturing by mid-July aligns favorably. At the same time, the government is facilitating short-term imports through end-user certification, while the auto component industry pushes for long-term self-reliance.Sona Comstar's initiative is poised to strengthen India's EV supply chain and reduce dependence on Chinese critical material imports. TOP STORIESThe electric vehicle (EV) market in India is growing fast, and domestic production is rising to meet the increasing demand. The tooling division of Godrej Enterprises Group has become the key facilitator of this transformation with an increasing share of EV-related orders leading to 10.15 percent of its revenues in the three-year past.· Sona Comstar to begin domestic production of rare-earth magnets to reduce reliance on Chinese imports.· The move strengthens India's EV supply chain amid global raw material disruptions.· Government incentives & rising EV demand drive localisation efforts in critical auto components.
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