Samvardhana Motherson Expands Aerospace Play, Enters Semiconductor Equipment Supply Chain

Samvardhana Motherson International Ltd (SAMIL) saw its aerospace business grow fivefold over the past year, and is now a Tier-1 supplier to Airbus The company is also ramping up investments across new high-tech verticals, including semiconductor equipment manufacturing.

“The aerospace business, which we started in this five-year journey, has already grown 5x in a year, and today we are proud to say that we are a Tier-1 supplier to Airbus,” Vaman Sehgal, deputy CEO of SAMIL, said during the company’s Q4 FY25 earnings call.

The expansion comes as part of Motherson’s broader strategy to diversify beyond automotive and leverage synergies in adjacent precision manufacturing sectors.

The company’s advanced metal fabrication, machining composites and surface treatment capabilities are deployed across the aerospace value chain. It has expanded its footprint in the aerospace component business with presence across all major commercial aircraft platforms (A320/21, A330, A350, B737, B767, B777, B787). It noted that the company also has a presence in the entire family of LEAP Engines.

During the financial year 2025, the aerospace business saw its revenue grow to Rs 1,749 crore from Rs 339 crore. SAMIL’s order book to be realized over the next five years is around US$1.2 billion ( approximately Rs 10,870 crore at the current exchange rate).

Semiconductor Greenfield in the Works

Building on its aerospace capabilities, the company is establishing a new greenfield facility to supply components for semiconductor fabrication equipment, which is a crucial step in the global chip manufacturing value chain.

“Building on the capabilities of the aerospace division, we are setting up a new greenfield to supply components for equipment used to manufacture silicon wafers,” Vaman said.

While the facility is initially linked to Motherson’s aerospace and industrial verticals, the company expects it to serve broader demand across semiconductor, electronics, and advanced manufacturing segments over time.

Synergies Across Verticals

The move into semiconductor support systems builds on Motherson’s growing presence in non-automotive sectors, including consumer electronics, PCBs, and defense manufacturing. With green fields under construction in Bengaluru and Europe, the aerospace vertical is expected to serve as a springboard for further cross-sector integration.

“We are pivoting these industries to be serving some of the other customers, such as semiconductor and things like that, which would also help to deal with the cyclicality of some of these things when they happen,” said Vaman.

SAMIL closed FY25 with revenues of Rs. 1.13 lakh crore, a $88 billion lifetime order book, and a capital expenditure outlay of Rs. 6,000 crore for FY26, half of which is allocated to non-automotive growth.

Of the Rs 6,000 crore capex earmarked for FY26, SAMIL plans to allocate 50% towards growth initiatives and the remaining 50% for regular capex. Notably, 70% of the growth-oriented capex will be directed towards the non-automotive business.