Tata Motors Passenger Vehicles Ltd.

Tata Motors, country’s largest vehicle maker is planning to import more auto components from Korea that are both good in quality and more cost-effective than those imported from the US, Europe and Japan. The entity expects its Korean imports to be valued at $85 million during FY13, against $70 million during FY12. These parts are around 10-15% cheaper than Japanese components of the same quality.

To offset the rising labor cost in Korea, the Indian auto major is also actively encouraging Korean auto parts makers to set up base in India, either independently or through joint venture with local partners.