German automotive and industrial supplier company Schaeffler AG will invest 500 million euros (about Rs 4800 crore) in India in the next five years. The reason for this is the countrys rapidly growing domestic market. Talking to the media Schaeffler AGs Global CEO Klaus Rosenfeld said that this investment will focus on expanding production capacity increasing localization and strengthening the companys presence in electric mobility railways and renewable energy components. Along with this the company inaugurated a new manufacturing plant in Shulagiri Tamil Nadu which focuses on powertrain chassis components and advanced technology. The company also operates several manufacturing plants along with research and development (R&D) centers in the country. Investment of Rs 1700 crore in last 3 years In the last three years the company has invested Rs 1700 crore to enhance local capabilities. Currently Schaefflers Indian business has a revenue of over 1 billion euros. Rosenfeld further said that India offers a particularly favorable environment for growth compared to other global markets. The company operates in 4 main areas This is a favorable environment for us where we feel we can do a lot more he said. Globally Schaeffler operates in four main regions including the US Europe Greater China and Asia Pacific. The Asia Pacific region is managed by the company from Singapore which has been chosen for its connectivity and ability to effectively connect different markets. However he stressed that the real place to grow in the region is India. Concerns about purchasing an EV! Rosenfeld did not express any concern over the slow rate of adoption of electric vehicles. He believes that whether electrification is slow or fast customers will continue to buy vehicles. According to Schaefflers estimate by 2030 ICE vehicles will have a 30 percent market share globally and hybrid and battery vehicles will have a market share of about 35 percent.