SKF India earmarks up to ₹1,460 crore for automotive and industrial expansion by 2030.

Auto components giant SKF India is poised for a new chapter with a planned investment of up to ₹1,460 crore by 2030, following the formal demerger of its automotive and industrial businesses. The two newly formed entities will invest in capacity expansion and establish new facilities to pursue distinct growth strategies.

The demerger became effective on October 1, 2025, after being sanctioned by the National Company Law Tribunal (NCLT) in Mumbai. SKF India Ltd will now operate as the automotive-focused entity, while the industrial segment has been spun off into a new, independently listed company, SKF India (Industrial) Ltd. The new entity is expected to be listed by November 2025, pending regulatory approvals.

Investment breakdown and strategic vision

The substantial investment is divided between the two businesses:

• SKF India (Industrial) Ltd: Plans to invest between ₹800–950 crore by 2030 to expand its channel network and build a new manufacturing facility in Pune by 2028. This arm will focus on sectors like manufacturing, railways, renewables, cement, and mining, which are crucial for India's industrialisation and energy transition.


• SKF India Ltd (Automotive): Will invest between ₹410–510 crore by 2030 to boost capacity at its existing plants in Haridwar, Pune, and Bengaluru. The automotive business will focus on India's mobility shift, including the rise of electric vehicles, last-mile delivery, and advanced safety technologies.

Shareholder benefits and market focus

Under the demerger scheme, shareholders will receive one equity share of SKF India (Industrial) Ltd for each share they hold in SKF India Ltd. This move aims to provide investors with a more focused exposure to India's two major growth engines: industrialisation and mobility.

According to Mukund Vasudevan, MD of SKF India, the new structure will enable more effective capital allocation and accelerate innovation within each segment. The demerger, which was first approved by the board in late 2024, is seen as a strategic move to unlock value and enhance focus.