Valeo To Invest €200 Mn In India Plants, Target €700 Mn Sales By 2028

CW Bureau ·

Valeo, a global automotive technology major and partner to leading automakers worldwide, has announced plans to invest more than €200 million over the coming years to significantly expand its industrial and engineering footprint in India. The investment marks a  major push to triple Valeo’s India sales to around €700 million by 2028 and position the country as a springboard for its next phase of high growth beyond that period.

The company is leveraging the rapid acceleration of electrification, artificial intelligence and advanced safety technologies to serve the evolving needs of Indian and global original equipment manufacturers (OEMs). India, Valeo said, is emerging as a central pillar in its global growth and innovation roadmap.

“India is a key pillar of Valeo’s global growth and innovation strategy,” said Christophe Périllat, Chief Executive Officer of Valeo. He highlighted the pace of transformation in India’s automotive sector, driven by electrification, autonomous driving and sustainable mobility, and said the company will continue to invest in localisation, R&D and advanced manufacturing as India deepens its strategic partnership with France.

Electrification And Localisation At The Core

Valeo’s India strategy centres on building strong competencies in next-generation technologies while steadily increasing localisation across manufacturing and operations. The group is addressing both passenger vehicles and the fast-growing two- and three-wheeler segments.

At its Pune facility, Valeo has commissioned a new plant and dedicated e-axle production lines to support a major electrification programme with Mahindra & Mahindra. Valeo has been selected to supply electric powertrains for vehicles under Mahindra’s ‘Born Electric’ platform, along with on-board charger combo units for electric utility vehicles. The partnership represents a total order value close to $1 billion and reinforces Valeo’s commitment to India’s electric mobility ecosystem.

In the small mobility segment, Valeo has partnered with Atul Greentech and Honda Power Pack Energy India to support electric three-wheelers, combining compact powertrain technology with advanced battery solutions to accelerate EV adoption and reduce urban emissions. The company is also introducing rare-earth-free magnet motors aimed at mass two-wheeler electrification.

Expanding Safety, ADAS And AI Capabilities

Valeo is scaling up its Advanced Driver Assistance Systems (ADAS) footprint in India to meet rising demand for vehicle safety. Its Chennai R&D centre plays a key role in software development, AI-enabled engineering and system validation for global electrification and ADAS programmes. In Gujarat, Valeo’s Sanand plant is expanding to add camera production lines by mid-2026, complementing existing ultrasonic sensor manufacturing.

In two-wheelers, Valeo has partnered with Hero MotoCorp to develop Advanced Rider Assistance Systems, combining radar and camera technologies to improve rider safety in complex traffic conditions.

With six production sites, global R&D centres in Chennai and Bengaluru, and over 7,500 employees in India, more than half of them engineers, Valeo is positioning India as a global hub for next-generation mobility, safety and AI-led innovation.