Auto Industry ramps up new EV models in coming yrs on govt push - Business Guardian
Connect with us

Auto

Auto Industry ramps up new EV models in coming yrs on govt push

Published

on

The Indian auto industry is gearing up to roll out an array of electric vehicle models over the next few years amid a renewed push by the government to encourage environment-friendly mobility solutions with the unveiling of a new policy. Mass market players like Maruti Suzuki, Hyundai, Mahindra & Mahindra and Tata Motors are lining up new models to cater to the demand across segments.

Mahindra & Mahindra CEO Automotive Sector Nalinikanth Gollagunta told PTI that starting January 2025, the company will be rolling out five new battery electric vehicles in the coming years. “These electric SUVs will be built on Mahindra’s innovative INGLO platform and aim to cater to a variety of consumers through their diverse range. The launch of these SUVs is part of Mahindra’s broader strategy to lead in the electric vehicle sector, and we expect 20-30 per cent of our portfolio to be electric by 2027,” he noted.

Maruti Suzuki India Executive Officer (Corporate Affairs) Rahul Bharti said the auto major is making serious investments in EVs. “We will start production of a high-spec EV designed-fresh as an EV with 550 km range in FY24-25 and will have about six EV models in the next 7-8 years,” he noted. Bharti, however, noted that in order to cut carbon and oil imports, the country will require many more technologies like hybrid electric, CNG, Bio-CNG, Ethanol flex fuel etc. “We are committed to work on all such technologies also,” he added.

Hyundai Motor India COO Tarun Garg said the automaker was among the first OEMs (original equipment manufacturers) to introduce a fully long-range electric SUV KONA in India in 2019. Last year, the company launched the IONIQ 5, its premium electric SUV. Garg noted that as per multiple industry estimates, EVs are projected to contribute around 20 per cent of India’s automotive market by 2030. “With the Indian government’s steadfast focus on electric vehicles and the supportive policy framework, we are confident that EVs will soon become mainstream, driving a sustainable automotive future for India,” he added.

The company plans to invest around Rs 26,000 crore over 10 years in Tamil Nadu. This investment will also include setting up a battery assembly plant in the state. A Tata Motors spokesperson said that the company aims to have 10 EVs by 2026. The company plans to introduce four more EV models this year, including Curvv EV and Harrier EV.

Luxury carmakers are also gearing up to enhance their EV lineup in the country. “We are invested in the market, having an aggressive product strategy with more than 12 new products planned for debut in 2024, of which three will be new BEVs,” a Mercedes-Benz India spokesperson said. This well-defined roadmap will help the automaker deepen its BEV footprint, offering customers the best of luxury and technology, he added.

The Daily Guardian is now on Telegram. Click here to join our channel (@thedailyguardian) and stay updated with the latest headlines.

For the latest news Download The Daily Guardian App.

Auto

MG Motor India targets rural growth with tier iii, iv expansion

Published

on

MG Motor India is expanding its footprint to tier III and IV cities across the country, aiming to establish 100 new touchpoints by the end of the ongoing fiscal year. This strategic move is part of the company’s plan to drive the next phase of growth, according to a senior company official. With JSW Group joining as an investor and becoming a joint venture partner with China’s SAIC, MG Motor India announced plans to invest Rs 5,000 crore. The company has set an ambitious target of selling one million units of passenger electric vehicles in India by 2030, projecting a total market of 10 million units annually.

Continue Reading

Auto

Ola Electric slashes entry-level e-scooter prices by up to Rs 10,000

Published

on

Ola Electric has announced a significant reduction in the price of its entry-level electric scooter, the S1 X, as part of its strategy to bolster its market presence and enhance competitiveness. The price cuts vary between Rs 5,000 to Rs 10,000 across different variants of the scooter.

The revised prices for the Ola S1 X are as follows:

  • S1 X with a 4kWh battery will now be priced at Rs 99,999.
  • S1 X with a 3kWh battery is now priced at Rs 84,999.
  • The variant with a 2kWh battery will cost Rs 69,999.

Anshul Khandelwal, Chief Marketing Officer of Ola Electric, emphasized the company’s commitment to making electric vehicles (EVs) more accessible to Indian consumers. He highlighted the importance of offering competitive pricing to encourage wider adoption of EVs in the country.

Fresh deliveries of the Ola S1 X scooter are set to commence next week, further reinforcing the company’s efforts to meet growing demand in the market.

In the rapidly evolving landscape of India’s EV market, Ola Electric faces stiff competition from established players such as Ather Energy, Bajaj Chetak, TVS Motors, and Vida. Ather Energy, for instance, offers its Ather 450S scooter at Rs 1,26,000, with the Ather 450X variants priced between Rs 1,41,000 to Rs 1,55,000, depending on battery capacity. Additionally, Ather recently expanded its product lineup with the introduction of the ‘Rizta’ family electric scooter, priced between Rs 1,09,999 and Rs 1,44,999 (ex-showroom Bengaluru).

Continue Reading

Auto

India’s Auto exports fall 5.5% in FY24 amid monetary crisis

Published

on

Automobile exports from India declined 5.5 per cent in FY24 due to the monetary crisis in various overseas markets.

In the fiscal year 2024, automobile exports from India saw a 5.5% decline, attributed to monetary crises in several international markets, as per recent data released by industry association SIAM. Total exports amounted to 4,500,492 units, down from 4,761,299 units in FY23. SIAM President Vinod Aggarwal remarked on the challenges, noting ongoing volatility in global markets.

“Some of the countries, where we are very strong with commercial vehicle and two-wheeler exports, have been facing foreign exchange-related issues,” he noted. The last fiscal saw a sizeable drop in commercial vehicle, two-wheeler, and three-wheeler shipments, although passenger vehicles grew marginally.

However, in the January-March quarter this year, we have seen good recovery, especially for two-wheelers, indicating better potential for the rest of the year, he said. “We are very hopeful that going forward, the situation will improve,” Aggarwal added. In the passenger vehicle segment, exports increased 1.4 per cent to 6,72,105 units in FY24 from 6,62,703 units in FY23.

Maruti Suzuki led the segment with the shipment of 2,80,712 units against 2,55,439 units in 2022-23. Hyundai Motor India exported 1,63,155 units last fiscal. It had shipped 1,53,019 units in FY23. Kia Motors exported 52,105 units, while Volkswagen India shipped out 44,180 units last fiscal. Nissan Motor India and Honda Cars chipped in with shipments of 42,989 and 37,589 units, respectively, in the 2023-24 fiscal.

Continue Reading

Business

PVs keep auto sector firing in FY24 post 12.5% growth, sales of 42 lakh units

Published

on

On the backdrop of a robust economic growth of 7.6 per cent the Indian automobile industry posted a satisfactory growth of 12.5 per cent during financial year 2023- 24, with passenger vehicle segment leading the growth with overall sales touching almost 5 million units even as the industry remains optimistic amidst positive macroeconomic outlook.

The PV dispatches growth includes a growth of 8.4 per cent in the India market taking the sales to 4.2 million and 0.7 million exports, the Society of Indian Automobile Manufacturers (SIAM) said on Friday, releasing the auto industry sales performance of the last month, the fourth quarter ended March and financial year 2023-24.

Passenger Vehicle registered growth of 12 per cent in Q4. Nomura Ratings in its outlook for the sector in FY25F, expects rebalancing of growth where high-growth segments like PV/MHCV will see a slowdown while mass segments like 2Ws will see some recovery. “The PV industry inventory levels remain elevated, and we expect growth to moderate to 4 per cent yoy in FY25 from 8 per cent yoy in FY24. In 2Ws, rural recovery should support demand and drive 10 per cent growth in FY25,” say Nomura auto analysts Kapil Singh and Siddhartha Bera.

The industry wrapped up FY24 with domestic sales of PVs at 42,18,746 units, sales of CVs at 9,67,878 units, three-wheelers at 6,91,749 units and two-wheeler at 1,79,74,365 units. The total production of passenger vehicles, CV, three wheelers, two wheelers and quadricycle in FY24 was 2,84,34,742 units. In FY24, two-wheeler segment continued the recovery path with a handsome growth of over 13 per cent in domestic sales to almost 18 million units, even though still lower than the earlier peak of 21 million units in FY19.

Domestic commercial vehicle industry had a marginal growth to 9.7 million units. “All in all, it has been a satisfactory performance for the Indian automobile industry,” said Vinod Aggarwal, President, SIAM who marks FY2024 as the year which also demonstrated the sustainability commitments of the auto industry as it commenced producing vehicles which are material compliant to 20 per cent ethanol and witnessed growth of 90 per cent in electric PVs and 30 per cent in electric 2W. “Coupled with good monsoon outlook, we are expecting continued growth for the industry this year as well,” says Aggarwal.

In the month of March 2024, domestic sales of PVs were 3,68,086 units, sales of three-wheeler sales were 56,723 units and sales of two-wheeler were 14,87,579 units. In March 2024, the total production of passenger vehicles, three wheelers, two wheelers and quadricycle was 23,25,959 units. In the January-March (Q4) quarter of FY2024, the performance in terms of domestic sales continued to be robust across categories.

The domestic sales of PVs were 11,35,501 units in the quarter under review, sales of CVs were 2,68,294 units, three-wheeler sales were 1,64,844 units and two-wheeler sales were 45,03,523 units. The total production of PVs, CVs, three wheelers, two wheelers and quadricycle in Q4 was 73,94,417 units.

Rajesh Menon, Director General, SIAM informed that 2 wheelers posted sales of 4.5 mn units with a significant growth of 25 per cent compared to Q4 of FY 2022-23 and PVs registered growth of 12 per cent and posted sales of more than 1.1 mn units. Three wheelers posted sales of 1.65 lakh units with a growth of 7 per cent, CVs registered degrowth of (-) 4 per cent by posting sales of more than 2.68 lakh units.

Continue Reading

Business News

Tesla eyes India market as Elon Musk makes bold AI prediction

Published

on

In a recent X Spaces session with Nicolai Tangen, CEO of Norges Bank Investment Management, Tesla CEO Elon Musk emphasized the importance of electric vehicles (EVs) in India, stating that it’s a natural progression for every country to embrace them. Musk highlighted India’s status as the most populous country globally and stressed that electric cars should be accessible to Indian consumers like they are in other parts of the world.

Musk’s comments coincide with Tesla’s intensified efforts to expand its presence in the Indian market. Sources reveal that the state governments of Maharashtra and Gujarat have extended enticing land offers to Tesla for the establishment of a cutting-edge EV manufacturing plant. The proposed investment for this venture ranges between USD 2 billion to USD 3 billion, demonstrating Tesla’s commitment to both domestic and international markets.

This move aligns with India’s new EV policy, which aims to attract investments from global EV manufacturers and promote the adoption of advanced EV technology among Indian consumers. The policy emphasizes the importance of domestic value addition (DVA) and sets specific localization targets for manufacturers establishing operations in India.

To incentivize investment, the government has introduced measures such as customs duty exemptions and import quotas for EVs based on the level of investment made by manufacturers. These initiatives aim to position India as a preferred destination for EV manufacturing and contribute to the country’s Make in India initiative.

In anticipation of these developments, Tesla plans to dispatch a team of experts to explore suitable locations across India for the proposed manufacturing facility. Musk’s previous statement about visiting India in 2024 further underscores the company’s eagerness to enter the Indian market and collaborate with local stakeholders.

Tesla’s expansion into India represents a significant step forward in the global EV landscape and underscores the company’s commitment to sustainable transportation solutions. With India poised to become a key market for electric vehicles, Tesla’s entry is expected to drive innovation and accelerate the adoption of EVs in the country.

As the electric vehicle market continues to evolve, Tesla’s entry into India holds the potential to reshape the automotive industry and contribute to India’s transition towards a greener and more sustainable future.

Tesla’s entry into the Indian market not only signifies a pivotal moment for the country’s automotive industry but also presents an opportunity for Tesla to capitalize on India’s growing demand for electric vehicles. With the Indian government’s focus on promoting clean energy initiatives and reducing carbon emissions, Tesla’s electric vehicles align perfectly with India’s sustainable development goals.

Moreover, Tesla’s presence in India is expected to stimulate job creation and economic growth, particularly in the manufacturing sector. The establishment of a state-of-the-art manufacturing plant will not only provide employment opportunities for local residents but also foster the development of ancillary industries and supply chains.

In addition to manufacturing, Tesla’s entry into India is poised to catalyze advancements in EV infrastructure and technology. As Tesla vehicles become more accessible to Indian consumers, there will be a corresponding need for charging infrastructure and support services. This presents opportunities for collaboration with local businesses and government agencies to build a robust EV ecosystem.

Furthermore, Tesla’s entry into India could spur competition and innovation in the domestic automotive market, encouraging other manufacturers to invest in electric vehicle technology. This competition could lead to advancements in battery technology, vehicle performance, and affordability, ultimately benefiting consumers.

Overall, Tesla’s decision to establish a manufacturing presence in India reflects the country’s growing importance in the global automotive industry and underscores India’s potential as a key market for electric vehicles. As Tesla’s footprint expands across the country, its impact on India’s economy, environment, and technological landscape is expected to be profound.

Continue Reading

Auto

EU, India to jointly promote start-ups in battery recycling technologies for EVs

Published

on

As part of a broader effort to promote sustainable agenda, foster innovation and forge stronger economic relations between the European Union and India, the EU and India on Tuesday launched an expression of interest (EoI) for start-ups working in the area of battery recycling technologies for electric vehicles (EVs). The collaboration aims to enhance the cooperation between European and Indian small and medium-sized enterprises (SMEs) and startups in the clean and green technologies sector.

The intended exchange of knowledge and expertise will be instrumental in advancing the circularity of rare materials and transitioning towards carbon-neutrality in both India and the EU. This initiative takes place under the India-EU Trade & Technology Council (TTC) announced by Prime Minister Narendra Modi and Ursula von der Leyen, President of the European Commission, at their meeting in New Delhi on April 2022.

The initiative provides a platform for Indian and EU startups in the field of EV battery recycling technologies to pitch their innovative solutions and engage with Indian/European venture capitalists and solution adopters. Twelve startups, six each from India and the EU will be selected and get a pitching opportunity during the matchmaking event, scheduled during June 2024. Six finalists (three from the EU and three from India) will be selected following their pitching presentations and awarded the possibility to visit India and the EU, respectively.

The objective is to identify, support and promote startups dedicated to advancing the field of battery recycling technologies for EV and facilitate cooperation, potential trade avenues and, customer relations and exploring investment avenues for the shortlisted startups. This will, under India-EU TTC Working Group 2, offer Indian startups/SMEs an exclusive platform to demonstrate their expertise in battery recycling technologies. It provides a chance for Indian innovators to establish strategic alliances with their counterparts in the EU, accelerating the development of advanced battery recycling techniques focused on waste minimization and resource sustainability.

It will also harmonise efforts with EU innovators to jointly develop battery recycling solutions that drive industry expansion. The TTC was first announced by European Commission President, Ursula von der Leyen, and Modi in April 2022 and established on 6 February 2023, allowing both sides to tackle challenges at the nexus of trade, trusted technology, security and deepen cooperation in these fields. Establishing India-EU TTC is a key step towards a strengthened strategic partnership for the benefit of all people in India and the EU.

The TTC is a key forum to deepen the strategic partnership on trade and technology between the two partners. The TTC will help increase EU-India bilateral trade, which is at historical highs, with €120 billion worth of goods traded in 2022. In 2022, €17 billion of digital products and services were traded.

Continue Reading

Trending