ZF Wind Power invests €50 m to ramp up Coimbatore unit

ZF Wind Power Coimbatore, the wind gearbox manufacturing division of global auto parts supplier ZF, is investing €50 million to expand the production capacity at its Coimbatore facility to 12 GW from 9 GW. This will increase the ZF group’s global production capacity to 25 GW.

ZF has invested €230 million in Coimbatore operations to date. The current expansion, which will create 225 new jobs, is driven by rising demand in both domestic and international markets, fuelled by ambitious renewable energy targets, the company said. The factory currently employs more than 1,360 people (including 90-plus in R&D).

“Demand is surging, especially in India, which is eager to expand its wind energy capacity. Although our current plant primarily serves export markets, particularly the US, the growth in the US market is also driving our expansion. This investment will allow us to increase our capacity from 9 to 12 gigawatts, with plans to supply this capacity annually starting next year,” said Felix Henseler, CEO of ZF Wind Power.

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The company is also preparing for both onshore and offshore projects in India. “We’re ready to leverage our offshore experience from Europe and North America for Indian projects, depending on the turbines selected for these offshore fields,” added Peter Laier, board member at ZF Group.

The Coimbatore complex, which is ZF’s largest gearbox plant outside China, has reached a milestone of producing 50 GW worth of gearboxes. It has manufactured more gearboxes than the total installed wind turbine capacity in India, exporting a huge chunk of it.

• Read: ZF Group to Invest €2 billion in India operations over next six years

“We might reach a cumulative supply of 100 GW by 2029,” Laier added. The Indian government’s continued investment in wind energy strengthens ZF’s commitment to expanding its capacity further to support the country’s renewable energy goals, he said. The company plans to produce an additional 50 GW in the next five years, which marks a significant acceleration compared to the 16 years it took to reach the first 50-GW milestone. Globally ZF has produced 200 GW of wind gearboxes, with the Coimbatore facility accounting for 25 per cent.

The capacity expansion to 12 GW is expected by the end of next year. Additionally, a 13.2 MW test bench will become operational by Q1 2025, with the full capacity increase finalised by Q4 2025.

Deepak Pohekar, Executive Director of ZF Wind Power Coimbatore, said about 50 per cent of the wind turbines in India run on ZF gearboxes. The product range extends from 1.5 to 6 MW, and the facility is gearing up to produce the next generation of gearboxes.

This year alone, the company has so far installed 2.5 GW, and by March it expects to reach 4-5 GW. As installations increase, ZF is confident of meeting the demand in the wind energy space. The Coimbatore complex also serves as a global service centre for gearboxes up to 3 MW, with capacity to service about 700 gearboxes annually.

Henseler noted that the company is working closely with suppliers of castings, foundries, steel, and bearings. “India has strong capabilities in steel and bearings, but we’re encouraging foundries to enhance their technology to meet our quality standards. However, challenges such as higher energy costs and a shortage of scrap metal in India increase production costs compared to countries like China. We are in discussion with the government to seek support in reducing these costs to make us more competitive globally,” he added.

(The correspondent was in Coimbatore at the invitation of the company)