Kumho HT Starts Mass Production at India Plant "Product Supply Within the Year, Expecting Quantum Leap in Performance"

Kumho HT announced on the 24th that it has started mass production of automotive LED module products at its factory in Chennai, India. Kumho HT plans to generate substantial sales in the Indian market through both mass production and supply of products within this year.

The Chennai region is a key industrial area densely populated with major customers of Kumho HT, including domestic global automakers and their first-tier suppliers. Kumho HT's Chennai factory can produce a total of 400,000 LED modules annually and spans approximately 20,000㎡ (square meters) in site area.

Previously, Kumho HT has been working on establishing a local corporation and building production facilities since last year, in line with the front-end customers’ strategy to expand in the Indian market. Recently, India has emerged as the world's third-largest automotive market after the United States and China, supported by its massive population and national backing.

Since taking office in 2014, Indian Prime Minister Narendra Modi has introduced initiatives such as "Make in India" and the "Production Linked Incentive (PLI)" scheme to develop India into a global manufacturing hub.

The PLI system, known as the Indian version of the Inflation Reduction Act (IRA), is a program where the Indian government supports selected companies by providing subsidies of 4-6% of the increased sales of products manufactured within India to activate domestic manufacturing investments. As a result, many global companies are actively entering the Indian market.

A Kumho HT official stated, "The biggest reason we were able to quickly start mass production after obtaining the completion permit was thanks to our long-standing partnerships, excellent product quality, and technological capabilities," adding, "We expect to generate initial sales within this year and anticipate significant sales growth starting next year."

He continued, "With this entry into the Indian market, we have secured a total of four global supply bases including Korea, China, and Vietnam," and added, "We will achieve a quantum leap in performance in our core automotive electronics business starting next year."