In an exclusive interview with Rajesh Rajgor, Udit Sheth, Vice Chairman of Setco Auto Systems, shared insights into the company’s leadership in the clutch industry, its technological advancements, and future growth plans.
Setco Auto has firmly established itself as a dominant player in the commercial vehicle market, particularly in the clutch segment. “Our objective has always been clear — to command a lion’s share of the clutch market in India,” says Sheth. With commercial vehicles continuing to rely on clutches, even as new technologies emerge, Setco remains at the forefront. “Clutches remain crucial, whether for traditional engines, hydrogen powertrains, or automatic transmissions,” he adds. This long-term relevance ensures stability for the company despite shifting industry trends.
A key strength of Setco is its vertically integrated manufacturing setup, which includes press shops, machine shops, and casting units. This in-house approach ensures stringent quality control and a seamless supply chain, reducing dependencies on external vendors. “Every component reflects our commitment to excellence,” Udit emphasizes. By keeping production in-house, Setco maintains high precision, durability, and reliability in its products.
Beyond India, Setco has also been expanding its global presence. “Our subsidiaries worldwide are performing well, and exports are a strong growth driver for us,” he notes. With demand for reliable clutch solutions increasing internationally, Setco continues to strengthen its position in overseas markets, catering to diverse commercial vehicle needs across different geographies.
One of Setco’s most innovative developments is the Setcomatic, a revolutionary system that allows gear shifts without engaging the clutch pedal. This breakthrough reduces driver fatigue and extends clutch life, enhancing efficiency and comfort. “Changing gears without pressing the clutch pedal is a game-changer, especially for truck drivers,” Udit explains. The technology is applicable across multiple vehicle segments, including commercial trucks and SUVs, making it a versatile addition to the company’s product portfolio.
At the Yashobhoomi venue, Setco showcased its full range of products, including clutches for trucks, tractors, and other applications. A key highlight was the launch of the Setco App, designed to digitize mechanic rewards programs and support a paperless ecosystem. “Evolving into a digital-first approach has been a crucial step for us,” he remarks, emphasizing how technology is streamlining operations and strengthening customer engagement.
Setco’s market leadership is further reinforced by its strong distributor network, with over 100 distributors across India. The company also partners with major OEMs such as Tata Motors, Ashok Leyland, and Mahindra, ensuring a broad customer base. A well-balanced mix of OEM and aftermarket business ensures stability, protecting Setco from fluctuations in new vehicle sales. “Even when the commercial vehicle market slows down, clutches still need replacement, keeping our growth steady,” Udit points out.
With a projected CAGR of 20-30%, Setco continues to outperform market expectations. The company’s EBITDA performance remains strong, backed by continuous investments in R&D, innovation, and digital transformation. “Our engineering sets us apart. Just like Sachin Tendulkar’s batting spoke for itself, our products speak for us,” he concludes.
Looking ahead, Setco is committed to technological advancements, digital transformation, and global market expansion, ensuring its continued success in the evolving automotive landscape. With a firm grip on both domestic and international markets, the company is well-positioned to drive sustained growth while reinforcing its reputation as a leader in clutch technology.
