In 2003, an engineer who had cut his teeth at Tata Motors decided to bet on one of the least glamorous but most indispensable parts of a vehicle–the axle. Two decades later, Takshi Auto Components Pvt Ltd has turned that bet into a thriving business supplying axle housings and assemblies to some of India’s best-known automakers. Now, the company is preparing for its next leap.
Founder and Managing Director Amol Patel says Takshi Auto, which currently clocks around ₹550 crore in annual turnover, is targeting ₹1,000 crore by 2030. Patel expects this growth to be fuelled by rising domestic demand, a new defence-axle joint venture with a European partner, an EV-focused last-mile mobility strategy, and strategic acquisitions to expand into new product lines.
Takshi Auto is now gearing up to enter the defence-axle manufacturing segment–a new but strategic frontier for the company. “We are going into larger axles for the defence segment. For this, we are finalising a technology joint venture with an Italian design house already active in this space. Discussions are progressing well, and we expect to conclude them by the end of 2025,” Patel said.
He added that India’s defence vehicle manufacturing ecosystem has opened to private participation, creating opportunities for technology-driven partnerships. “Earlier, most of the work used to be done by defence vehicle factories. Now, with privatisation, companies will prefer strong, technology-backed partners,” he said.
India’s defence vehicle axle manufacturing base today includes specialised players such as Automotive Axles Ltd. (a Meritor–Kalyani Group joint venture), Bharat Forge Ltd., and Talbros Engineering Ltd. These firms supply heavy-duty axles, shafts, and driveline components for high-torque, all-terrain vehicles used by the armed forces.
Encouraged by the government’s Make in India and Atmanirbhar Bharat initiatives, domestic component makers are increasingly localising systems once imported–a shift Takshi aims to capitalise on by offering indigenous, design-driven axle systems for defence mobility platforms.
Core Strengths
While defence will be a new vertical, Patel insists the company’s core focus remains on SUVs and sub-six-ton vehicles, where Takshi already supplies to leading OEMs such as Mahindra & Mahindra, Ashok Leyland, Volvo Eicher, Dana, ZF Group, Automotive Axles, American Axle & Manufacturing, Meritor, and TAFE Motors and Tractors.
Mahindra & Mahindra remains Takshi’s anchor customer, contributing roughly 65% of its business. The company is a single-source supplier for about 80% of the components it provides to Mahindra–a relationship built on long-term trust and consistent quality.
Still, Patel acknowledges the importance of diversification. “To avoid concentration risk, we’re expanding our customer base without losing focus,” he said. The company is in talks with MG Motor India for front and rear axles and recently added Tata Motors back to its client list.
Takshi is also sharpening its focus on axles for last-mile electric mobility, a segment expected to grow rapidly with India’s electrification drive. “Last-mile mobility is going to be our core focus. We will collaborate with experts in those areas,” Patel said.
The company already partners with global motor suppliers such as Nidec and SEG Automotive. “Most Mahindra vehicles are equipped with our axle and SEG motor. Eicher Volvo uses our housing, which is compatible with the Nidec motor,” he explained.
To strengthen its EV technology base, Takshi is exploring partnerships in motors, controllers, and system integration–a strategy designed to position it as a comprehensive solutions provider for OEMs developing electric pickups, light commercial vehicles, and city logistics platforms.
Expansion Plans
While organic growth and product extensions will continue, Takshi is now actively pursuing inorganic expansion through acquisitions. “We will be going ahead with some acquisitions of new product lines. We intend to acquire a ₹300-400 crore company,” Patel said.
The company is working with two consultants to identify the right target. “The acquisition should bring in a new product, new customers, and add to our topline. If it doesn’t meet these goals, we won’t pursue it,” he added.
The acquisition is expected to be funded through internal accruals and debt, with a total potential outlay of around ₹600 crore. Takshi remains largely debt-free, giving it flexibility to raise funds when required. “We have multiple options–long-term loans from our banking partners or private equity if needed–but we prefer not to dilute equity,” Patel said.
Takshi Auto’s manufacturing footprint has grown steadily with demand. The company’s first axle-housing line, commissioned in 2011, produced just 6,000 units. Today, the main plant manufactures 34,000 units per month, while the newly commissioned Shirwal facility adds another 30,000 units per month, taking total installed capacity to 64,000 units.
Patel believes this scale places Takshi among Asia’s largest axle-housing manufacturers in its weight class. The company now operates six facilities–four in Pune, one in Shirwal, and one in Haridwar–equipped with precision welding, machining, forming, surface treatment, and testing infrastructure.
“We have invested around ₹100 crore to enhance axle-housing manufacturing capacity at our Shirwal facility. Almost 60% of that capacity is already booked,” said Patel.
The expanded capacity gives Takshi both visibility and urgency. Visibility from a healthy order book, and urgency to leverage this momentum to broaden its customer base while staying true to its core engineering strengths.
Currently, the component maker manufactures e-axles and powertrains, axle housings, independent front suspension systems, axle-tube assemblies, differential cases, rigid and off-highway axles, and a range of sheet-metal and tubular components.
India’s axle and drivetrain component market is dominated by large domestic and multinational players such as American Axle & Manufacturing, Dana, ZF Group, Automotive Axles, and Meritor. These firms mainly serve commercial-vehicle OEMs and export markets, leaving space for specialised mid-segment manufacturers like Takshi Auto to carve out a niche in SUVs, pickups, and sub-6-ton vehicles.
Exports
Exports currently account for a small portion of Takshi’s revenues, but Patel sees significant scope post-COVID as supply chains diversify. “Axles are heavy components and were not traditionally exported, but we are now receiving inquiries for axle housings and EV axles from Indonesia, Egypt, and Sri Lanka,” he said.
The company has also developed an electric powertrain for golf carts, to be supplied to European customers, with additional inquiries from the United States. “We are also working with European automaker Stellantis on similar opportunities,” Patel said. Patel outlined two clear business trajectories for Takshi Auto’s next phase. “By 2030, we will be ₹1,000 crore-plus without acquisition and ₹1,500 crore-plus with acquisition.”
The company’s near-term priorities are completing the defence-technology joint venture, expanding EV-axle production for last-mile mobility, and closing its first major acquisition. Together, these moves are designed to de-risk the business, expand its customer mix, and align Takshi with India’s broader push for localisation and advanced manufacturing.
Patel, a first-generation entrepreneur, sums up the company’s philosophy simply: “I don’t look at competitors. Every day I try to compete with myself–to do better than yesterday and offer better value to the customer. If we keep doing that, our customers will keep us in business.