Craftsman Automation Approves Rs 250 Crore Plant in Hosur

Automotive component manufacturer sets up third facility in Krishnagiri district as existing regional aluminium production capacities reach 85% utilization.

29 Jul 2026 | 3201 Views | By Dev Vadchhedia

The Board of Directors of Craftsman Automation Limited has approved the establishment of a new manufacturing facility in Hosur, Tamil Nadu, to expand the output of its Aluminium Products Division.

Located in Krishnagiri District, the site will be designated as Hosur Unit - 3. The project involves a total estimated outlay of Rs 250 crore, split into two phases. Phase I entails an investment of Rs 100 crore, while Phase II is projected at Rs 150 crore. The company plans to fund the setup primarily through term loans, with the remainder sourced from internal accruals.

Why Craftsman Automation Is Expanding in Hosur

The expansion comes as Craftsman Automation's current aluminium product facilities in Southern India operate at approximately 85% capacity utilization. The addition is intended to address rising component demand from original equipment manufacturers (OEMs) across the two-wheeler and passenger vehicle segments in the region.

Subject to regulatory approvals and project execution schedules, the new unit is targeted for commissioning within six to eight months. Positioning the facility in Hosur offers close proximity to Southern automotive manufacturing clusters, designed to improve supply logistics and operational workflows.

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