Tenneco In Talks With Multiple OEMs For DaVinci Dampers: Arvind Chandra

Tenneco is positioning its patented DaVinci DCx dampers as a multi‑OEM suspension platform, with Mahindra as the first customer but not the only one. "Mahindra happens to be the first customer, but it is not exclusive. The DaVinci DCx is patented by Tenneco," said Arvind Chandra, CEO of Tenneco Clean Air India Limited, in an interaction with Autocar Professional.

First deployed on a new-generation flagship SUV platform, the purely mechanical frequency-adjusted damping system represents what Chandra describes as a structural opportunity in India’s mass passenger vehicle market. The programme is estimated to carry annual revenue potential of around ₹220 crore, validating it as a commercially viable solution in the mid-premium SUV segment.

Mechanical Ingenuity for the Mass Market

Unlike semi-active or fully active electronic suspension systems, DaVinci DCx uses specially engineered discs, or shim stacks, that regulate hydraulic flow depending on road impact frequency. The result is adaptive damping delivered through mechanical architecture rather than electronics.

“What DCx does is it gets you 90 percent of the way,” Chandra said, contrasting it with electronically controlled systems that can cost up to ₹2 lakh per wheel in ultra-premium applications.The system eliminates the need for sensors, motors and additional ECUs. “You don’t need complex software or electronics integration,” he emphasised.

The incremental cost over a conventional shock absorber is only a few thousand rupees at the OEM level. “It’s the cost of a dinner for two at a five-star hotel,” Chandra remarked. That pricing makes it viable for vehicles in the ₹0 to ₹30 lakh bracket, which accounts for the bulk of India’s annual passenger vehicle volumes.

Chandra estimates the technology could address 60 to 70 percent of the Indian PV market, making it one of the few mechanical innovations with genuine volume disruption potential.

Multi-OEM Interest and Export Potential

While Mahindra is the launch customer, discussions are ongoing with Indian, Korean and Japanese OEMs. Global Tenneco teams are also evaluating the platform for China and European markets. “Now that it’s successful in India, even China is looking at it, Europe is looking at it,” Chandra noted.

Exports already form a higher-margin mix for the company compared with domestic business. With recent tariff and duty reductions in the US and EU, management expects export growth to accelerate further. If adopted globally, DaVinci DCx could evolve into a scalable mechanical platform beyond India.

DaVinci DCx is already operating at healthy margins, but Chandra indicated that the larger opportunity lies in localisation-led efficiency gains rather than pricing expansion. Tenneco is setting up automation for piston manufacturing and progressively localising several components that currently have global sourcing inputs.

As localisation increases, logistics costs, import dependencies and material overheads are expected to reduce. This will further strengthen margins through improved cost structures and operating leverage.

Importantly, the margin improvement is not driven by higher pricing to OEMs or end customers, but by engineering differentiation combined with supply-chain optimisation. 

On the capacity front, Chandra elaborated on the ₹71 crore greenfield Clean Air plant at Kharkhoda, Haryana, with start of production targeted for Q3 FY27. “It’s not setting up a plant and saying now we have to fill this plant with capacity. It’s already going to be full,” Chandra said, highlighting that the investment is backed by confirmed business wins.

It is being set up to support awarded programmes across Light Vehicle, Off-Highway and Tractor segments in emission and aftertreatment systems.

Historically, Tenneco’s gross block CapEx-to-sales ratio has ranged between 1:3.5 and 1:4. On that basis, the ₹71 crore investment could support peak annual revenue of roughly ₹210 crore to ₹300 crore at steady utilisation.

Management has also indicated that the current lifetime order book already covers 100 percent of projected FY28 revenue, supporting expectations of strong double-digit CAGR over the next three years.

A Mechanical Counterpoint in the SDV Era

In an automotive narrative increasingly dominated by software-defined vehicles and electronics-led differentiation, DaVinci DCx represents a mechanical counterpoint grounded in segmentation discipline.

Semi-active and fully active electronic systems remain relevant for higher price bands. For India’s mass-market vehicles, however, Chandra is betting that intelligently engineered mechanical innovation can deliver tangible consumer benefit at scale.

If adopted beyond the launch platform, DaVinci DCx could shift from being a flagship SUV feature to a broader industry standard, combining volume expansion, export growth and localisation-driven margin strength into a structurally scalable business.