Sundaram Clayton is fundamentally an aluminium die-casting company that makes the lightweight metal parts vehicles need to shed weight and meet tougher emissions rules - a business built on a single, specialised manufacturing process. It was carved out of the TVS Group’s older manufacturing arm through a court-approved demerger in 2023, taking the non-ferrous casting operations and listing them as a standalone company. The recurring approach is to act as a one-stop shop for global automakers, taking a component from the design sketch all the way to a finished, machined and sub-assembled part, and then locking in the customer by making that part too critical to source easily elsewhere. # Business segments A single engine with two faces - a domestic manufacturing core that is consolidating into one mega-plant, and a US outpost that puts the same capability right next to its biggest customers. ## 1. Machined aluminium die-castings: the lightweight parts inside commercial and passenger vehicles **The company turns raw aluminium into complex, ready-to-install metal components for engines, chassis and structures, earning revenue from every kilogram shipped to truck and car makers on three continents.** - **One process, many techniques** - it operates Gravity, High Pressure and Low Pressure Die Casting under one roof, then machines the raw castings to the precise tolerances an engine block or chassis frame demands, so the customer receives a finished part, not a rough lump of metal. - **Trucks pay the bills** - Medium and Heavy Commercial Vehicles (MHCV) account for 74% of revenue, with passenger vehicles at 25%, following the deliberate exit from the two-wheeler casting business in March 2025 to concentrate on higher-value, more technology-intensive components. - **The customer cannot easily walk away** - the components it makes are critical to the vehicle, and for many of them there are limited alternate suppliers, which means the company can pass on cost increases like tariffs to its US buyers and still retain the business. - **A mega-plant designed for the next decade** - the new Thervoy Kandigai facility near Chennai is billed as India’s largest die-casting cluster, built with robotic cells, driverless material-handling robots and a private 5G network, and it has the physical space to install presses as large as 9,000 tonnes when the market demands them. - **Aluminium costs are a pass-through** - supply contracts are indexed to domestic and international aluminium prices, so the company is protected from its single biggest raw-material cost swinging wildly, and it hedges the resulting foreign-exchange exposure on export sales. ## 2. US manufacturing: the same castings, made in South Carolina for North American truck makers **A wholly owned subsidiary replicates the Indian playbook on American soil, securing near-100% capacity utilisation for three years by serving customers who want a local supplier.** - **Built to follow the customer** - the Dorchester, South Carolina plant was set up in 2019 because North American OEMs were reorganising their supply chains to cut carbon footprints and source closer to home, and the company already had relationships with those buyers from its Indian exports. - **Sold out before it is built** - the facility has an annual capacity of 10,000 metric tonnes and has already secured confirmed orders for nearly all of it over the next three years, which turns the plant into a predictable, contracted revenue stream. - **Bigger presses, bigger parts** - it commissioned a 4,400-tonne die-casting machine in the US, expanding the range of components it can make and deepening its relevance to the same commercial-vehicle customers that dominate the parent’s order book. # Group structure and partners **The company sits inside the TVS Group, operates through two active overseas subsidiaries that extend its manufacturing and engineering reach, and has recently reshaped its asset base through a plant sale and a large land monetisation.** - **A demerger created the listed entity** - the current Sundaram Clayton was incorporated in 2017 and received the entire non-ferrous die-casting business from TVS Holdings Limited in August 2023, listing on the stock exchanges four months later. - **Three subsidiaries, two active** - Sundaram Holding USA Inc. runs the South Carolina plant; Sundaram-Clayton GmbH in Germany is an engineering design centre that strengthens global product development; SCL Properties Private Limited in India was incorporated in 2024 for data-centre-related services but had not yet started operations. - **Surplus land turned into cash** - in March 2026 it sold 16.33 acres of freehold land in Chennai for roughly Rs.559 crores, following the relocation of production to the new Thervoy Kandigai mega-plant. - **A family agreement keeps competition at bay** - a 2024 understanding among the promoter family members allocates the use of the TVS brand and restricts them from competing in each other’s businesses, with the company’s domain of aluminium and magnesium die-castings reserved for its side of the family.