K Balasubramanian, Founder of Tsugami Precision India, and Chairman and MD of Proteck at Tsugam’s new factory in Oragadam.
Tsugami has invested ₹300 crore in the facility to produce specialized, high-precision CNC machine tools used in industries requiring high accuracy and efficiency, including mobile phones, automotive, aerospace, medical devices and more. Tsugami supplies machines to contract manufacturers from Apple and Samsung.
Tsugami’s full-fledged factory in Chennai is one of three global factories; the other two are in Japan and China.
Tsugami machines were previously assembled at a nearby factory of Proteck Machinery India, a partner of the Japanese company, since 1998. However, the entire assembly line will now move completely to the new facility, said K Balasubramanian, founder of Tsugami Precision India, and chairman and MD of Proteck. The new factory will generate more than 1,000 jobs in the ecosystem and also be a technology enabler in the Oragadam/Sriperumbudur belt, already one of India’s major electronic manufacturing hubs, he said.
The assembly facility, with an annual capacity of 3,000 machines and the foundry with an installed annual capacity of 6,000 tonnes, spread over 15 hectares, will increase volume production of Tsugami’s high-quality machine tools in India. The three-square-meter facility at SIPCOT Industrial park Oragadam will employ 700 professionals, while another 300 are needed to support the facility – bringing total employment above 1,000, Balasubramanian said.
Growing demand
He added that there is a strong demand coming from mobile phone manufacturers in the region and across India. Likewise, there is an increasing demand from medical device manufacturers and aerospace component manufacturers. The level of indigenization is over 90 percent, with the only exception being CNC control systems purchased abroad, he added.
“The expansion will help Tsugami increase sales in India to around ₹400 crore in this fiscal from ₹279 crore last year. The company expects annual growth of 15 per cent in the coming years,” he said.
Tamil Nadu Industries Minister Arun Roy, in a virtual address at the event, said Japan is one of Tamil Nadu’s most trusted partners in economic development, cooperation and advanced manufacturing. “Japanese companies have consistently demonstrated confidence in TN’s talent, infrastructure and business-friendly environment. Today’s inauguration is an important reaffirmation of that partnership and trust,” he said.
Tsugami currently produces approximately 130 machines per month. This will be gradually increased to around 400 over the next two years. The market for CNC precision machinery in India is around ₹20,000 crore.
Published on December 4, 2025
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