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DN Solutions Opens First India Plant With ₹600 Crore Investment, Targets Physical AI Manufacturing
DN Solutions Opens First India Plant With ₹600 Crore Investment, Targets Physical AI Manufacturing

DN Solutions Opens First India Plant With ₹600 Crore Investment, Targets Physical AI Manufacturing

The Korean machine tool maker said that it has deployed its full Phase 1 investment in Bengaluru and plans to expand local manufacturing, supplier development and engineering talent.

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Key takeaways

  • DN Solutions has opened its first Indian manufacturing plant in Bengaluru, investing ₹600 crore.
  • The new facility will combine R&D, manufacturing, a technical centre, and after-sales service.
  • India is now a strategic part of DN Solutions' global manufacturing and supply chain network.
  • The company chose Bengaluru due to its strong software ecosystem, linking it to Physical AI manufacturing.
  • DN Solutions aims for significant localisation of components and plans a supplier development programme.
5 min

DN Solutions, a South Korean machine tool manufacturer, inaugurated its first manufacturing plant in India on August 26, with the company saying it has fully deployed its Phase 1 investment of ₹600 crore, or approximately $62 million. 

The Bengaluru facility is the company's first overseas manufacturing investment since it established its Yantai plant in China in 2003, according to DN Solutions.

The 25-acre facility in Bengaluru's ITIR Industrial Area was developed with the Karnataka Industrial Areas Development Board (KIADB). The company said the site will combine research and development, manufacturing, a technical centre and after-sales service as it seeks to make India a strategic part of its global manufacturing and supply chain network.

DN Solutions will initially manufacture its SVM vertical machining centres and LYNX and LEO horizontal turning centres at the facility. Production of five-axis machines is planned for later phases, the company said.

Wonjong Kim, CEO of DN Solutions, said the company's expansion in Bengaluru is linked to the convergence of AI and physical manufacturing.

“As AI expands beyond digital screens into the physical world, machines become indispensable. At the center of that transformation phase are machine tools, serving as a core platform for Physical AI. Bengaluru has a strong software ecosystem, which uniquely positions it to lead manufacturing in the Physical AI era. That is why we chose Bengaluru,” Kim said.

The company said it has already achieved approximately 80% localisation by parts count and aims to source most components in India within five years, excluding spindle assemblies. 

It plans to launch a formal supplier development programme in 2027 and said it is working with Indian micro, small and medium enterprises through technical collaboration and capability-building initiatives.

DN Solutions currently employs 240 people directly in India and plans to increase that figure to 500. The company said it recruited approximately 100 recent graduates over the past year and operates a training centre and a one-year talent development programme.

The Bengaluru plant is also intended to support product development for Indian customers. DN Solutions said its R&D centre will work with research institutes in Korea, Germany and China, as well as technical centres across Asia, Europe and the Americas.

The company said its technical centre will allow customers to conduct test cuts and evaluate machining solutions, while a service office, repair shop, parts warehouse and DN Academy will support after-sales service and workforce training.

Kim said DN Solutions expects to continue investing in India, with further phases under consideration based on market demand and business growth. “We will continue investing in India for the long term,” he said.

DN Solutions said it has operated in India for more than three decades, beginning sales in 1994, followed by a Bengaluru Technical Center in 2008 and an Indian subsidiary in 2016.