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India's Growing Role in CASE Construction Equipment's Global Operations

CalenderPublished at January 23, 2025 by InfraJunction
India's Growing Role in CASE Construction Equipment's Global Operations

CASE Construction Equipment's Global Operations

CASE Construction Equipment, part of CNH, a company listed on the New York Stock Exchange, is aiming to make India a key export hub for its construction equipment machines and parts. This was shared by the company’s leadership at the Bharat Construction Equipment Expo 2025.
Emre Karazli, Vice President of CNH’s Construction Segment for APAC, emphasized that India’s role is expanding beyond just serving the domestic market. “India is becoming more important as a supply base due to its manufacturing and sourcing capabilities,” said Karazli.
India-produced machinery, including backhoe loaders, skid-steer loaders, excavators, and compactors, is now exported to over 100 countries. This highlights India's growing role in CNH’s global supply chain.

India’s Strategic Role in CNH’s Global Supply Chain

CASE Construction Equipment follows a multi-faceted strategy to strengthen its position. Some components are fully made in India and exported to other CNH facilities worldwide. Other elements are sourced from Indian suppliers and then assembled or sub-assembled before being sent abroad.
This strategy helps reduce costs and maintains global quality standards. The Pithampur plant, CASE’s second-largest production facility after its North American counterpart, plays a key role in this process.

India’s Market Impact and Cost-Effective Manufacturing

India holds a significant share in CNH’s business. In the Asia-Pacific region, India accounts for around 10% of CNH’s sales. The domestic market contributes around 3,500 units out of CNH’s total of 40,000 units globally.
Satendra Tiwari, Executive Director of Operations, highlighted that fabrication costs in India are now almost equal to those in China. This is due to the global “China Plus One” strategy, where Western companies are diversifying supply chains away from reliance on China.

Localized Manufacturing Initiatives

Despite India’s growing importance, some advanced components like hydraulic pumps and proprietary technologies are still sourced from countries like South Korea and Japan. However, these imports are being gradually replaced by local manufacturing. Suppliers are setting up manufacturing in India to support this growth.
This shift in local manufacturing is making India more competitive in its supply chain, especially for the domestic market.

Investments in India’s Infrastructure and Future Expansion Plans

CASE Construction Equipment is heavily investing in India’s infrastructure. In the past five to six years, the company has invested more than ₹1,000 crore into its operations, especially in the Pithampur plant, which is vital to their growth.
Looking ahead, the company plans further expansion, particularly at its Pithampur, Greater Noida, and Pune plants. This expansion will increase capacity for exports, diversify the product range, and boost local supply chain efforts to reduce imports. Shalabh Chaturvedi, Managing Director for India and SAARC, confirmed that the company would continue its investment strategy to support these goals.
 

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