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After 10 years of joint operations, Larsen and Toubro (L&T) and Germany’s Demag Plastics Group have parted ways. The joint venture, which was set up in 1999 for making plastics machinery, has ended after Demag’s new parent, Sumitomo, decided to go it alone in the Indian market by floating a wholly-owned subsidiary. L&T has bought out its partner’s 50 per cent stake in L&T-Demag Plastics Machinery.

 

Sumitomo Heavy Industries inherited the 50 per cent stake in the operation when it bought Demag in March 2008. However, for more that 10 years, Sumitomo has had a technical collaboration with another Indian injection machinery maker, Windsor Machines in Mumbai.

 

L&T had started manufacturing injection moulding machines in 1990 in association with Demag Plastics Group. But the two formed the 50:50 joint venture company only after nine years. Soon after, the venture had emerged as the leading injection moulding solutions provider in India.

 

L&T Demag launched a petition last year to the India government in which it accused Chinese rivals of dumping presses at below cost in the Indian market. The government responded earlier this year by imposing anti-dumping duties of up to 223 per cent on 10 Chinese companies. Among these, three are associated with China’s largest injection machine maker, Ningbo Haitian Plastic Machinery Group.

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4050.00 -44.95 (-1.10%)
20-Apr-2026 16:59 View Price Chart
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