NEW DELHI, July 20th, 2025: Sona BLW Precision Forgings Ltd. (Sona Comstar), an Indian auto component manufacturer, announced on Sunday that it has signed a binding term sheet with Jinnaite Machinery (JNT) to form a $20 million joint venture (JV) in China.
The JV aims to manufacture and supply driveline systems and components to automotive OEMs in China and around the world.
Sona Comstar will invest $12 million, while JNT will contribute $8 million in assets and business during the first phase of the agreement. The joint venture is expected to begin operations in the second half of the current fiscal year, according to a statement.
The partnership is a significant step in Sona Comstar’s strategic expansion into China’s thriving electric vehicle (EV) market, the world’s largest, and is expected to serve as a cornerstone of the company’s overall Asian growth strategy.
“This joint venture is an important step in our strategy to expand into the rapidly growing Asian markets,” said Vivek Vikram Singh, Managing Director and Group CEO of Sona Comstar. “With a strong order book already in place, we expect operations to begin later this year.”
The joint venture will combine Sona Comstar’s expertise in driveline design, precision forging, and machining with JNT’s capabilities in advanced casting and moulding, backed by 63 patents, 36 proprietary technologies, and strong supply relationships in China, North America, Europe, and Japan.
The JV also intends to capitalise on JNT’s established customer base, supplier network, and regulatory know-how in China, which Sona Comstar believes will position the venture for strong medium-term growth.
JNT, a key contributor to China’s national manufacturing standards, operates a world-class foundry and serves major OEMs in the automotive, railway, and off-highway sectors.
According to the International Energy Agency (IEA), the country sold 11 million electric vehicles (EVs) in 2024, accounting for nearly two-thirds of global EV volumes, and exported over 6 million.
Sona Comstar, which is already the largest supplier of differential assemblies for BEVs in North America and a major supplier in Europe, sees its China expansion as a critical component of its Asian growth strategy, complementing its presence in India, Japan and South Korea.
Sona Comstar’s board has approved the JV agreement, which remains subject to customary closing conditions.
