As India emerges as one of the most important markets within its global portfolio following the HYVA acquisition, JOST-HYVA India is setting its sights on scaling revenue to Rs 2,000 crore by the end of this decade. The German group now counts India among its top five markets worldwide and is positioning the country as both a growth engine and a sourcing hub for its global operations.

Before the integration of HYVA, JOST’s India operations were relatively modest in the context of its €1.7 billion global business. With HYVA’s nearly Rs 950 crore India turnover added to the fold, the country has moved firmly into the company’s top-tier markets.

“With the HYVA acquisition, India would be in the top five for sure,” said JOST India Managing Director Pradeep Gorur Sheshagiri, underlining how the acquisition has altered the group’s geographic balance. He now sees India not only as a high-growth domestic market across commercial vehicles, agriculture, and construction equipment, but also as a strategic base for exports and global sourcing.

“If I put together the JOST and HYVA brands, along with our expanded dealer network, service footprint, and OEM relationships, what is Rs 1,250 crore in 2024—my aspiration is to see this grow up to Rs 2,000 crore by the end of this decade. That is on the realistic side,” he said.

JOST’s India operations manufacture key components used in tractor-trailer combinations and heavy commercial vehicles. These include fifth-wheel couplings, trailer axles, leaf spring suspensions, air suspensions, landing gear, and kingpins.

HYVA manufactures telescopic hydraulic cylinders, tipping cylinders, recycling bodies, hook loaders, skip loaders, and tipper bodies in India. The combination has expanded the group’s reach within OEM wallets.

“HYVA’s portfolio complements ours. So when we go to an OEM, they can source both: a hydraulic cylinder for their tipper and a fifth-wheel coupling from JOST,” Sheshagiri said.

“That’s the strength of this acquisition; it expands our offering and our relevance to OEMs.”

Beyond commercial vehicles, the company serves agriculture and construction equipment. It supplies to agri-machinery OEMs, including Mahindra, CNH, AGCO, Sonalika, and TAFE. With earlier acquisitions integrated into its broader portfolio, it also supplies cabin and chassis parts to construction equipment manufacturers.

HYVA’s India operations generate nearly Rs 950 crore in revenue and produce over 40,000 hydraulic cylinders annually. The company operates 32 service centres and more than 20 dealers.

It is a preferred brand for Tata Motors, BharatBenz, Mahindra, Volvo, and Scania. The scale of this business has materially changed JOST’s overall footprint in India.

Combined revenue now stands at approximately Rs 1,240 crore and is expected to reach around Rs 1,250 crore by the end of the financial year 2026, subject to market conditions.

A key growth lever is the organised trailer segment, estimated at Rs 800–1,000 crore. The company’s current market share in several trailer product segments remains low, leaving room for expansion.

It aims to reach a 2.5–3% market share within 12 months of launching its expanded trailer offerings and around 10% over time.

“If we achieve just 3% of that, it gives us an upside of Rs 20–25 crore within 12 months from July, when we launch,” he said. Over a full 12-month cycle, that could translate into about Rs 25 crore, followed by at least 15% annual growth over the next five years on that base.

JOST operates two manufacturing facilities in India--in Jamshedpur and Chennai.

The Jamshedpur plant focuses on the prime mover segment, where the company holds about 65% market share. It currently generates around Rs 220 crore in annual sales.

The company plans to scale this to Rs 500 crore over the next four to five years through inorganic expansion and steady annual growth of Rs 25–30 crore.

The Chennai facility produces products for the agriculture and contractor segments, including front loaders and back attachments. It recorded Rs 110 crore in revenue last year and is expected to reach around Rs 160 crore this year.

Standalone JOST India revenue from these two plants is around Rs 300 crore.

Exports & Sourcing

Exports are central to the India strategy. On the JOST side, everything produced in Chennai is exported to the North American market. On the HYVA side, exports account for about 10% of revenue.

Europe and the US are the strongest export markets for India. The Chennai plant currently operates at about 35% of installed capacity for North American supply, providing room to ramp up volumes.

Beyond finished goods, the company is positioning India as a sourcing hub for global operations.

“We are also looking at sourcing out of India for our own global requirements. We are developing the supply chain here, qualifying them to global standards so that parts made in India can be used in our operations in Europe and elsewhere,” Sheshagiri said.

He estimates that if Europe sources about 10% of its spend from Asia, between India and China, that could translate into about €80 million of sourcing.

“Roughly, if Europe sources about 10% of its spend from Asia, between India and China, that could mean about €80 million of sourcing. That’s the kind of scale we are targeting from India.”

Earlier, sourcing from China accounted for at least 50% of that volume, leaving India as a largely untapped opportunity within the group’s global supply chain.

“JOST is building a €35 million sourcing base out of India as part of its de-risking plan for its global requirements, starting in 2026. Hyva India has already set up a solid supplier base in India with a spend of €78 million in 2025 to address its global needs,” he said.

The company believes India’s structural advantages strengthen its case as both a production and sourcing base.

“By my estimate, India’s labour costs are roughly 40% lower than those of the nearest major Asian economies,” Sheshagiri said, noting that this was a personal estimate.

Highlighting the country’s demographic profile, Sheshagiri said: “The median working age in India is just 28.8 years. That is incredible. A young, energetic workforce, combined with these factors, gives us the perfect recipe not only to produce world-class products but also to benefit from the global push to source from India.”

On electrification and alternative fuels, the company maintains that its products are not dependent on a specific powertrain. “All of our products are fuel-agnostic,” he said.

For JOST’s chassis and coupling systems, the focus in electric vehicles is on weight reduction. HYVA’s development efforts centre on lighter products, reliability, and greater integration of mechatronics.

HYVA offers digital tipping solutions that measure tipping angles and provide alerts in the driver’s cabin in case of unsafe conditions. JOST also has integrated coupling systems that allow drivers to disengage and deploy landing gear at the press of a button.

“Essentially, we’re developing solutions that address both EV and traditional fuel applications,” he said.

The company typically invests between 2.5–3.5% of annual sales in capital expenditure.

“That said, whenever there is a solid business case backed by a strong sales opportunity, we don’t hesitate to invest further,” Pradeep said, adding that it has access to capital markets and funding options if needed.

On tariff volatility involving the US, Europe, and China, he said the company’s multi-country manufacturing footprint reduces risk.

“With our operations in multiple locations, we can easily manage and balance,” he said.

“If the US imposes tariffs on India, then China benefits, and vice versa. Either way, we have the capacity to supply.”

Near-term growth in commercial vehicles remains uncertain, with forecasts ranging from a 5% decline to a 5% increase due to pre-buying ahead of regulations. Infrastructure execution and market sentiment remain variables.

Even so, Sheshagiri expressed confidence in India’s trajectory. “I believe I am in the best country, at the best time,” he said.