Kluber Lubrication announced it will expand its factory in Mysore, India, to increase the amount of specialty lubricants that it makes locally and to help address supply chain challenges in the region.
The project has a price tag of Rs 142 crore (Rs 1.4 billion or U.S. $17 million), according to a Thursday news release. Officials said it underscores the company’s commitment to act in concert with the national government’s “Make in India” initiative.
Kluber’s Mysore plant, spanning 17,000 square meters, produces various types of automotive and industrial lubricants. The expansion, set to be completed by 2027, will add a new production facility. The company did not disclose how much additional production capacity the expansion will add.
The company stated that this move will enable it to achieve certifications for products that it makes in India, such as IATF 16949:2016 for automotive lubes and ISO 21469:2006 for food-grade lubricants.
IATF 16949:2016 is an international standard for automotive quality management systems, while ISO 21469:2006 specifies hygiene requirements for the formulation, manufacture, use and handling of lubricants that may come into incidental contact with products and packaging used in food and beverage processing.
At a recent groundbreaking ceremony, Klueber Chief Operating Officer and regional management board member Hitendra Bhargava said the expansion “aligns with the self-reliance mission launched by the government of India, bringing us closer to our customers in India and the entire [Asia-Pacific] region.”
Chief Technology Officer Kanakaraju Thangavel added, “This investment significantly benefits our customers in Southeast Asia, especially amid recent supply chain challenges due to geopolitical disruptions.”
Officials said the new unit will get half its energy from on-site solar energy panels.
Munich, Germany-based Kluber Lubrication part of Freudenberg Chemical Specialties SE & Co. KG, is a specialty lubricants supplier for several industries, including automotive, chemical, marine and metalworking.