Tighter norms may dent mini-car segment

Source: Business Standard, Nov 04, 2015

Mumbai: Automobile firms are likely to take their focus away from the mini-car segment as fears grow over tighter norms for emissions and crash tests.

The MINI Family. MINI, MINI Clubman, MINI Convertible, MINI Countryman and MINI John Cooper Works.

The MINI Family.
MINI, MINI Clubman, MINI Convertible, MINI Countryman and MINI John Cooper Works.

Currently, India’s vehicular regulations are less stringent than those of developed markets. Regulators are expected to enforce stricter norms over the next few years, which besides addressing pollution, will push up the overall cost of a car.

N Raja, director and senior vice-president (sales and marketing) at Toyota Kirloskar Motors, said: “As a global strategy, we have decided to stay away from the segment below Rs 500,000. Cost of tech will rise significantly in the next five to six years in areas such as new emission norms and crash test. Pressure on pricing will go up.”

Read the rest of this entry »

Festive demand puts car sales in top gear, volumes grow 23%

Festive demand Source: Business Standard, Nov 02, 2015

New Delhi: Carmakers had a festive bonanza in October, with top five automobile manufacturers seeing high double-digit sales growth rates. The industry is estimated to have grown at a healthy rate of 23 per cent, if data for 10 companies are any indication.

The 10 companies (excluding Nissan and Fiat) are projected to have sold 260,838 units in October this year, compared with 211,882 units in the same month last year. While a few companies have officially announced their sales data for the month, the others are expected to do so on Monday.

German carmaker Volkswagen, though, saw a second straight month of sales decline; its volumes fell 30 per cent in October, in spite of some efforts to push sales. The world’s largest automobile company has since September been hit by a scandal related to the alleged fudging of emission data which triggered a massive recall of 11 million vehicles.

Read the rest of this entry »

Mercedes-Benz to expand manufacturing in India

Source: The Economic Times, Oct 23, 2015

NEW DELHI: Mercedes-Benz India is looking at expanding local manufacturing, a plan that though depends on getting support such as tax concessions from Maharashtra, the state where its factory is located, new managing director and chief executive Roland Folger said. The first product the luxury car maker launched in India since Folger took over on October 1, GLE-Class, is also the first model that the company is making locally from day one.

Local production of the other seven models it makes in India started at least six months after the launch. Local production allows the company to make its vehicles more affordable — vehicles imported as fully built attract between 60% and 100% import duty — thereby helping sell more here.

Mercedes-Benz to expand manufacturing in India

Read the rest of this entry »

BMW would look at increasing localisation

Source: Business Standard, Oct 15, 2015

Chennai: Luxury car maker BMW said that it would look at increasing its localisation to full fledged manufacturing depending upon the volume of sales. The company, in a long term, would also look at possibilities of exporting from India, said Philipp von Sahr, president, BMW Group India.

Speaking to reporters after launching the BMW M range of cars – BMW X5M and BMW X6M – Sahr said, “We make now the step from assembly to more or less fully fledged production. The last step would be the paint and body. Making this in India makes sense when there is much more volume there, but it will come – sooner or later. I cannot say when, but we are prepared to do so.”

BMW

Read the rest of this entry »

Audi gears up for fresh investment in India

AudiSource: Times of India, Sept 03, 2015

NEW DELHI: German auto major Audi is set to pump in fresh investment and enhance its manufacturing set-up in India as the company eyes sales of over 50,000 cars by 2020.

A senior official in the Volkswagen group – of which Audi is a constituent – said the fresh investment for India will be announced “very soon” by a board member from the brand’s headquarters. “The plan is to have a bigger set-up in India as the market is seen as key and strategic,” the official said, requesting anonymity.

Read the rest of this entry »

Car sales up 17% on smart pricing, highest in 3 months

Source: Times of India, Aug 11, 2015

NEW DELHI: Car sales grew 17% in July, the highest since April, boosted by a lower base and aggressive pricing by manufacturers.

According to numbers released by industry body Society of Indian Automobile Manufacturers (Siam), sales volumes in July stood at 1.6 lakh units against the near 1.4 lakh units sold in the same month last year. Car sales had reported 18% growth in April last year.

Companies have been launching new models such as Creta SUV by Hyundai and the S-Cross crossover by Maruti Suzuki, to create excitement in the market. Ford will drive in ‘Aspire’ entry sedan later this week and the upgraded Figo compact during the year. Mahindra will be driving in a new compact SUV around October-November, the festive season, while Maruti will introduce a new premium compact. Siam records wholesale deliveries in its report and these vehicles have been despatched to dealerships out of factories.

Read the rest of this entry »

Auto part makers line up for Sanand

Auto part makers line up for SanandSource: Times of India, Jul 10, 2015

Auto component-makers JBM Auto Ltd and Oerlikon Drive Systems Segment, an arm of the Swiss engineering company Oerlikon, recently commissioned their units in Motown Sanand.

With the car-manufacturing plants of Tata Motors and Ford India already operational and Maruti Suzuki’s plant under construction, Sanand is expected to attract investments of up to Rs 20,000 crore over the next three years from various auto part-makers.

Read the rest of this entry »