Staff Writer
Gurgaon: American auto major General Motors’ aftermarket brand ACDelco has re-entered the Indian market through a licensing partnership with Assurance Intl Ltd, marking the brand’s comeback nearly a decade after the automaker exited the country.
Under the agreement announced on Monday, Assurance Intl will serve as the official licensee for ACDelco in India and will oversee the manufacturing, marketing and distribution of select automotive aftermarket products. The initial product range will focus on automotive batteries and lubricants for passenger and commercial vehicles, with plans to gradually expand into other segments such as filters.
To support the relaunch, Assurance Intl plans to invest around Rs 300 crore in a new battery manufacturing facility in Haryana over the next three years. The plant, which will have a production capacity of around 25,000 units per day, is expected to begin operations by April 2026. In the meantime, the company will utilize its existing manufacturing infrastructure to meet immediate market demand.
Nilesh Garg, Chief Business and Growth Officer at Assurance Intl, said the company will initially concentrate on lubricants and batteries during the first couple of years before expanding the product portfolio. He added that the company expects the business to grow gradually, with revenues projected to reach between Rs 75 crore and Rs 100 crore within three to four years.
Assurance Intl already operates two manufacturing facilities in Hisar, including a battery manufacturing plant and a blending unit for engine oils and automotive fluids. Local production, the company said, will help maintain competitive pricing while adhering to the quality standards associated with the ACDelco brand.
The relaunch also leverages Assurance Intl’s extensive distribution network across the country, which includes around 260 distributors and approximately 20,000 to 25,000 retailers and workshops. This network is expected to help the brand regain a foothold in India’s large and growing automotive aftermarket.
Rakesh Sharma, Managing Director of Assurance Intl, described the partnership as a natural synergy between ACDelco’s global legacy in automotive aftermarket solutions and Assurance Intl’s manufacturing expertise and distribution capabilities in India.
Mahesh Ravindran, Country Lead for Commercial Operations in India at Chevrolet Sales India Pvt Ltd, said the relaunch aligns with the company’s global aftermarket strategy and will help strengthen the brand’s presence in the country through a capable local partner.
ACDelco’s operations in India were earlier discontinued in 2020 following the exit of General Motors from the Indian market in 2017. However, a tripartite agreement signed last year between General Motors, Chevrolet Sales India and Assurance Intl paved the way for the brand’s return.
Industry observers note that despite the exit of General Motors, a significant number of its vehicles continue to run on Indian roads, creating steady demand for reliable aftermarket parts and services. The renewed presence of ACDelco is expected to cater not only to those vehicles but also to the broader aftermarket needs of other automobile brands operating in the country.