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Pioneer In-Car Audio System Manufacturer Planning to Set-Up Manufacturing Unit In India

Pioneer AVH-Z5090BT.(Image: Ayushmaan Chawla/ Japanese car audio and entertainment system maker Pioneer Wednesday said it is exploring the possibility to set up a manufacturing facility in India to tap the fast growing automobile market here. The company is looking to supply its audio systems directly to vehicle manufacturers as factory fitments, a top company official said. Besides, the company, which presently has around 40 percent market share in the after sales car audio segment, is looking to have 50 percent market share in the next one year. OEM business and requirements from customer side have stress on starting local production, Pioneer India Managing Director Toshiyuki Yoshikawa told PTI, adding that "to meet that expectations, we might go for it". He however added: "We have not decided yet... we are studying the market." According to Pioneer, India is their one of the fastest growing markets globally in terms of growth ratio. Pioneer National Sales Manager Manvir Ahuja said the proposed plant may also help the company to reduce the cost of its units, to remain competitive in the after sales market. "The study is going on not only for OEM point of view but probably later on this can (unit) can be utilized for car audio to scale down our cost," he said. However, he declined to share the quantum of investment, which Pioneer may put into setting manufacturing unit here, saying that "it is still under consideration". "There are so many factors which have to be taken into consideration like locations, availability of labour force etc," added Ahuja.

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