When Spanish metal-forming giant Gestamp Automoción officially opened its fifth Indian manufacturing plant in Bhagapura, Gujarat, on September 8, the ribbon-cutting marked far more than a routine capacity addition. The Rs 523.7 crore facility, spanning 31,790 square meters, seems indicative of a calculated structural change for a tier-one supplier, which having learned its lessons the hard way, is seeking to insulate itself from customer concentration risk in one of the world's most hyper-competitive auto markets.
Francisco J. Riberas, Executive Chairman of Gestamp, noted in an interaction with Autocar Professional, "We already started from some years ago to do a very important diversification of our sales to the different customers. Right now, already, we have a very important part of our sales which are linked to the Indian manufacturers, the domestic Indian manufacturers, and also to other foreign brands, not only from Europe, but also from Asia. Today, we have a very diversified customer base,” Riberas explained during a call.
Riberas noted that as the company builds out its presence in existing geographies, the logical next step is to move further up closer to the Northern India automotive hub as customer nominations and new vehicle program awards materialize.
Two Decades of Presence
Gestamp entered India in 2006 and, after initially participating in industrial projects through partnerships, began developing its own manufacturing footprint in the country from 2010 onwards. Since then, the company has expanded to five facilities: three in the state of Maharashtra (in Pune), one in Tamil Nadu (Chennai), and one in Gujarat (Bhagapura). Gestamp’s total manufacturing footprint in India now stands at 188,000 sqm and includes 14 stamping production lines, five of which use hot stamping technology. Two additional hot stamping lines are currently being installed and will further strengthen the company’s manufacturing capabilities in the country.
Furthermore, the company's India operations generate approximately 2,300 jobs through its activities in the development and production of body-in-white (BiW) components and assemblies, chassis parts, as well as mechanisms such as hinges and door checks. Gestamp's revenues in India increased by more than 80% over the last five full financial years, reaching €245 million by the end of 2025, the company stated in a statement.
Why Gestamp Picked Gujarat's Automotive Manufacturing Corridor
The automotive hub in Gujarat, which has been Gestamp's latest entry, is anchored primarily by the Sanand–Hansalpur–Becharaji corridor near Ahmedabad/Mehsana and the Halol belt near Panchmahal, and is one of India's fastest-growing automobile and electric vehicle (EV) manufacturing hubs. Maruti Suzuki India / Suzuki Motor Gujarat (SMG), Tata Motors, Honda Cars India, JSW MG Motor India are some of the major OEMs operating in that geography.
In India, Gestamp competes with the likes of Uno Minda, Varroc, Spark Minda, Flash Group, among several others.
The Past and Evolving Present
Gestamp's operations in India have not been without their own set of headwinds. For instance, Gestamp's Chennai facility ,which was among its earliest ones, witnessed over the past five years a story of recovery, peak, and then a hard landing after Ford decided in September 2021 to stop making cars in India. It was a big jolt to Gestamp as Ford India) historically accounted for more than 70% of the company's sales. As a result the company had to rewire its business strategy, onboarding new customer programs and leads supplying components to Renault Nissan, Nissan Motor India, Hyundai Motor India, PCA Automobiles, and Vinfast.
Likewise, Gestamp's fortunes in western India were earlier heavily dependent on Skoda Auto Volkswagen India, offering large body panels to the OEM. Realizing the risk associated with concentration with a single customer, Gestamp parallely expanded to supply various stamping press parts & Battery Box Management systems to FIAT India, Mahindra & Mahindra, MG Motors and TATA.
This redrawing of its business diversification blueprint should be seen in the context of the fact that Volkswagen had apparently been struggling to capture meaningful market share in India, culminating in its recent decision to forge a joint venture with steel-to-automotive conglomerate JSW Group to salvage its local presence.
The Way Forward
Riberas framed India as Gestamp’s primary strategic growth market, positioning the country as a crucial counterweight to stagnating vehicle production across legacy European and North American markets. The top executive highlighted that structural changes in Indian vehicle design, driven by tightening crash-safety standards, lightweighting requirements, and electric vehicle adoption, are creating an unprecedented demand for advanced metal-forming technologies.
“India is a key strategic priority for Gestamp. After two decades here, we have established ourselves as a trusted technology partner for both domestic and international automakers operating in the country,” Riberas said. “India right now is probably the area in the world which is expected to have the most important growth in the next years to come. Our idea is to become a very relevant player in India”. Riberas continued.