CHENNAI, India, Nov. 18, 2025 /PRNewswire/ — Swedish plastic injection moulding company and contract manufacturer ROSTI Group is expanding its footprint in Asia with the formal opening of its state-of-the-art production site in Chennai on 5 November 2025. The strategic expansion supports ROSTI’s global and regional customers across sectors such as industrial market, medical and premium consumer appliances. The new facility is ROSTI’s third site in Asia, and located in ESR Oragadam industrial Park, which is around 50 km on the outskirts of Chennai, Capital of the Southern Indian State of Tamil Nadu.
ROSTI’s choice of India as location of its third facility in Asia further reflects the country’s growing importance as crucial export hub for various global geographies. The strategic investment forms part of the goal toward moving closer to a growing number of key customers based in India. With the opening of the new facility in Chennai, ROSTI will be able to enhance its high-precision plastic injection moulding and contract manufacturing capability in the region.
“We are following customers here and we see great potential going forward in India with plans of future expansion. We have been discussing about setting up production facility in India for quite some time. More than a year ago, we decided to take the plunge to grow further in the region,” explained Jonas Persson, CEO, ROSTI Group during the inauguration ceremony.
Bringing high-quality solutions closer to customers
ROSTI has chosen Chennai as the ideal location of the new plant as majority of its customers are concentrated in and around the area. The ROSTI facility in Chennai aims to serve the India market and is the second largest ROSTI site in Asia – next to the ROSTI facility in China which spans about 25,000 square meters, while the Malaysian plant covers 5,000 square meters.
Jonas Persson further emphasized that ROSTI has been operating its large-scale production base in China; while another facility in Malaysia serves the dynamic Southeast Asian market. “We believe that ROSTI should strengthen its presence in the region, and India is a very interesting market,” Persson explains.
The new plant is geared to provide plastic injection moulding services and contract manufacturing solutions for such sectors as industrial market, medical and premium consumer appliances.
ROSTI’s unique ‘box-build solution’ provides comprehensive contract manufacturing and assembly services leading to final assembly managing post-moulding activities spreading over testing, packaging and order fulfilment of finished product. The box-build capabilities involve full product assembly, handling everything from simple two-component assembly to complex integration of components and sub-systems into finished product enclosure or box. “The factory spans 8,000 square meters, with our core competence being injection moulding. But more than just injection moulding, we will be adding more value to the supply chain. We will be doing integrated assembly, where we will be taking in PCBs, harnesses, sheet metal, and making these for our customers locally,” explained Patrick Williams, Senior Vice President — Asia, ROSTI Group.
Williams further emphasized on quality: “ROSTI is a technology-led contract manufacturing company and plastics is our core competence, and our focus is on adding value and managing the supply chain. We are engaged in creating the design, R&D and product development for our customers. It is very important for the quality aspect to match and adhere to global standards. The focus is on quality of the assembly as there are a lot of components going into this first initial project, as much as about 300 components, so we have to make sure that the supply chain is in place and that each product meets stringent quality parameters before being released to our customers.”
Tapping into India’s Growth Opportunity with High-Value Solutions
India presents notable growth opportunities, and ROSTI has chosen to enter this market with a strategy consistent with its global approach. Persson commented, “While India, like many international markets, is mindful of price, we are confident in our ability to compete through our high-end injection moulding capabilities and focus on precision, quality, and customer security. We have demonstrated this in markets such as China, where ROSTI maintains a strong presence. Our competitive edge lies in delivering superior value, not in competing on price.”
The company has plans to further expand capacity in the future. “Of course, we believe very much in India. We are only filling half of the site in the first phase leaving room for future expansion,” according to Persson.
Strengthening localized production with future plant expansion
ROSTI India targets to complete the expansion of its Chennai site in two phases. The first phase involves the installation of about 15 injection moulding machines for actual production to commence by early 2026. By the end of 2026, another 7 to 10 more injection moulding lines will be installed. “By the end of 2026 and early 2027, we are going to have between 20 and 25 injection moulding machines operational,” according to Williams.
As part of demand-driven expansion, ROSTI India will install another 20-25 injection moulding presses to reach in-between 45-50 injection moulding machines ranging from 35-500 tons. ROSTI has already built the assembly space to complement the injection moulding section, in order to take care of the requirements for another 15 -18 months of business needs.
Part of the strategy of ROSTI is to focus on localized production to serve major customers who are based in India as it expands its footprint in the country. “We want to promote localized production to cater to our international customers in India. One international customer is based near the Chennai plant, and we are well-positioned to serve them locally. While we cater to the Indian market, our customer base is mixed, as we are capable of serving both domestic market and export markets, such as Europe and the United States,” confirmed Williams.
ROSTI anticipates huge potential in the Chennai venture as some of its international customers are also looking to diversify their manufacturing footprint. “A lot of global companies are diversifying their supply chains and we see more companies coming to India, which also opens new opportunities for ROSTI,” stated Williams.
Focus on sustainable-based concept development and operations
ROSTI India will manufacture various plastic products adding value to the customer by integrating assembly, managing the whole supply chain and localizing in Chennai. The plant will produce devices for application in various industrial sectors. ROSTI focuses on sustainability-based concept development and operations that improve energy efficiency, zero waste to landfill, reduction in emission, clean energy, green material and recyclable design options.
ROSTI plans to replicate the China business model to India and aims for the Chennai operation to achieve competency level in the next couple of years. “We’re going to have to accelerate the capabilities in the full contract manufacturing services.” highlighted Williams. The company has lined-up lot of developments in terms of technical knowledge transfer, teams from both China and India are working closely on that.
Higher contribution from Asian business seen
ROSTI generates overall revenue of about €500 million annually and the Asia business contributes about 35% to overall revenue. With India plant production starting soon, the contribution from Asia is projected to increase. “In the first phase, we are expecting a jump of another 5-10% and an additional revenue of €25-30 million in the next couple of years,” stated Persson.
In terms of manpower, ROSTI has recruited about a dozen people in the Chennai plant but by the middle of 2026, this would likely to go up between 200-250 people. “So obviously we’ll be serving the local community, trying to get the technical talent on board as well. There’s an acceleration of people and development along with the growth of our injection moulding and assembly in one year,” stated Purushothaman T K, Managing Director, ROSTI Integrated Manufacturing Solution (India) Private Limited.
In the domestic market, ROSTI will compete with companies that are engaged in shoot-and-ship model, which requires merely injection moulding of components. While ROSTI’s USP would be value addition in terms of technical input. “Our team gets involved with the customer in the early product development leading to the product release, thus the value addition starts early, which is regarded as a big advantage compared to the local molders,” stated Purushothaman T K.
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SOURCE Ringier Trade Media
