Sona Comstar enters China EV market with $12 million JV with Jinnaite Machinery

Gurugram-based auto component maker Sona BLW Precision Forgings Ltd. (Sona Comstar) is entering China’s booming EV market through a joint venture with Jinnaite Machinery Co., Ltd (JNT), the company announced today.

As part of the agreement, Sona Comstar will invest $12 million, while JNT will contribute $8 million worth of assets and existing business in the first phase. The new entity will focus on manufacturing driveline systems and components for automotive OEMs in China and globally. The JV is expected to kick off operations in the second half of the current financial year.

“I am excited to partner with JNT to establish a driveline manufacturing plant in China,” said Vivek Vikram Singh, MD & Group CEO of Sona Comstar in a statement. “This joint venture marks a significant step in our strategy to expand into the rapidly growing Asian markets. As the largest electric vehicle market in the world and a leader in EV technologies, China offers tremendous opportunities for innovation and growth.”

The move comes as China cements its position as the world’s largest electric vehicle market, with 11 million EVs sold in 2024, accounting for two-thirds of global EV sales, according to the IEA. Chinese OEMs also commanded 76% of the global EV market and exported over 6 million vehicles in 2024, up from 1 million in 2020.

Sona Comstar is already the largest supplier of differential assemblies for battery electric vehicles (BEVs) in North America and one of the top suppliers in Europe. This China push adds a key leg to its Asian growth plans, complementing its presence in India, Japan, and South Korea.

“By leveraging the strengths of both partners, this venture is well-positioned for strong growth and it has the potential to become a key supplier of driveline solutions for electric vehicles in the region,” Singh said. “With a robust order book already in place, we expect operations to commence later this year.”

Jinnaite Machinery brings to the table a world-class foundry operation, with 63 patents and 36 proprietary technologies. The company is a recognised contributor to Chinese national manufacturing standards and supplies to major OEMs in China, North America, Europe, and Japan.

The JV will combine Sona Comstar’s strengths in driveline system design and precision forging with JNT’s capabilities in casting, molding, and its strong customer relationships in the Chinese market.

The agreement has been approved by Sona Comstar’s board and is subject to completion of customary conditions precedent.