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Royal Enfield HunterHood Brings Street Culture Festival To Kochi

Autocar Professional Bureau — Mon, 10 Aug 2026 12:03:46

Royal Enfield’s HunterHood street culture platform held its sixth edition in Kochi on August 8, bringing together music, art, skateboarding, urban sports and creative communities.

The event, inspired by the Hunter 350, featured participants from across Kerala’s street culture ecosystem, including musicians, artists, skaters, designers and urban sports enthusiasts. The Kochi edition followed events in Chennai, Delhi, Mumbai, Shillong and Lucknow.

The main stage featured performances by Tribe Mama MaryKali, Ranj x Clifr, GABRI, MC Couper, Baby Jean and Dabzee, while the community stage included rapper Ameekha Liyana Ansar, DJ Dsco Patrol (Nihell), street culture collective We Are The Boom and Chenda Melam performances.

The event also featured skateboarding showcases by the Fly Squad Skateboarding Community and Kovalam Skate Club, alongside workshops and experiences covering skimboarding, football, cricket, basketball and graffiti. Live graffiti, visual art and interactive installations were presented by artists and collectives including HH Art Spaces, Alan Pappy, Trespassers, SquidWorks, Karthik Venugopal, Samriddhi Arora and Om Chopra.

The event also featured custom motorcycles from XLNC Customs, JD Customs, Garuda Machina, Kunwar Customs and Eimor Customs.

Ahead of the main festival, Royal Enfield hosted a HunterHood Community Pre-Jam on August 7 in collaboration with Loop Skatepark, bringing together local skaters and street communities.

The Kochi event also included an immersive light tunnel featuring moving lights, Malayalam conversations and cinema dialogues, designed around the city’s streets, sounds and cinematic culture.

Tata Sierra Remains Tata Motors’ Third Best-selling SUV in CY2026 Despite Production Hurdles

Ajit Dalvi — Mon, 10 Aug 2026 11:50:18

The Tata Sierra, launched in end-November 2025 and the newest of Tata Motors’ six-pack of SUVs which includes the Nexon, Punch, Curvv, Harrier and Safari, continues to be the company’s third highest-selling SUV. This is despite Sierra production being disrupted at the Sanand, Gujarat plant twice this year – in Q2 CY2026 (April-June 2026) by a component supplier-related issue and, more recently, in end-July by flooding caused by heavy rainfall in the region both at the plant, which manufactures the Tiago, Tigor, Nexon and Sierra, as well as at suppliers’ facilities in and around Gujarat.

Between December 2025 and July 2026, the Tata Sierra – the modern avatar of the iconic model sold between 1991 and 2003 – has sold 50,038 units, crossing the 50,000-units wholesales milestone in the domestic market in a span of eight months. In CY2026’s first seven months, the Sierra’s 49,747 units make it the third-best-selling SUV for Tata Motors after the Punch and Nexon compact SUVs, and ahead of the Harrier, Curvv and Safari midsize SUVs.

As the wholesales data table below depicts, the Tata Sierra’s best monthly sales were in March 2026 (9,003 units) when it accounted for a 16% share of Tata Motors’ 55,748 SUV sales. However, since then, there has been a month-on-month drop in dispatches due to the disrupted production at the Sanand plant: April (7,316 units, down 19% MoM), May (6,606 units, down 10% MoM), June (6,392 units, down 3% MoM) and July (6,327 units, down 1% MoM). As a result, the Sierra’s share of Tata UV sales has reduced from 16% in March to 12% in July.

If it were not for the slowed-down production in April-June and end-July, the Sierra’s cumulative seven-month sales would have likely been higher by an additional 10,000 units, given that there is a sizeable backlog of consumer bookings for this popular midsize SUV. With production back on track, expect dispatches from August to see a marked increase.

The Sierra’s highest sales were in March (9,003 units), when it accounted for 16% of Tata Motors’ dispatches. Factory dispatches in Q2 CY2026 were impacted by localised supply chain constraints.

Within Tata Motors’ SUV portfolio, the Sierra is positioned between the Curvv and the Harrier, and goes head-to-head against the Hyundai Creta, Maruti Grand Vitara and Victoris, Renault Duster, Toyota Hyryder, Kia Seltos, Honda Elevate, Volkswagen Taigun, Skoda Kushaq, MG Astor and Citroen Aircross X.

The addition of the Sierra to Tata Motors’ SUV portfolio has given a boost to Tata Motors’ UV sales. The company’s cumulative January-July 2026 SUV sales at 369,615 units jumped 57% YoY (January-July 2025: 234,735 SUVs). This year’s sales comprise the Punch (140,616 units, up 47% YoY), Nexon (135,637 units, up 35% YoY), Sierra (49,747 units, New Model), Harrier (21,256 units, up 123% YoY), Curvv (11,556 units, down 44% YoY) and Safari (10,803 units, up 18% YoY).

The Tata Sierra, which won Autocar India’s Car of the Year 2026 title as well the Best Design & Styling, Viewer’s Choice for Car of the Year and the Midsize SUV of the Year awards, had impressed the jury with its premium, well-appointed cabin, a wide spread of powertrain options and a design that turns heads. Pricing for the 24-variant Tata Sierra, which has a 5-star Bharat NCAP safety rating, starts from Rs 11.49 lakh through to Rs 21.29 lakh (ex-showroom). In terms of powertrain, the Sierra debuts Tata’s all-new 1.5-litre direct injection turbo-petrol engine and also has the naturally aspirated 1.5-litre petrol and diesel engine options on offer with manual and automatic transmissions. Fuel efficiency depends on the engine and transmission options. As per ARAI, the petrol variants deliver 16-18kpl, while the diesel variants deliver better fuel efficiency of 18-20kpl.

The Tata Sierra EV, launched on June 30, has a price sticker that starts at Rs 18.79 lakh and goes up to Rs 25.99 lakh (ex-showroom). Positioned above the Curvv EV in the brand's EV lineup, the Sierra EV competes with the Mahindra BE 6, Hyundai Creta Electric, Vinfast VF6, Maruti e-Vitara, MG ZS EV and Tata Curvv EV. Offered with 35kWh and 75kWh battery packs, Tata Motors claims a maximum driving range of 665km (MIDC) for the 75kWh version and 535km (MIDC) for the 63kWh version, while DC fast charging can add 263km of range in 15 minutes. In its first verdict on the newest Tata EV, Autocar India calls the Sierra EV a “superb family car that just happens to be an EV” and that it is the best new Tata in years, which gets the smoothest powertrain the brand has to offer.

Tata Motors has sold 369,615 SUVs between January-July 2026, which gives the category an 83% share of the 442,669 PV sales, considerably higher than the 76% share they had a year ago.

SUV Share of Tata PV Sales Jumps to 83% in January-July 2026
As a result of the strong demand for its six-pack of SUVs, the SUV share in Tata Motors’ PV sales continues to rise. In the current calendar year’s first 7 months, the 369,615 SUVs sold account for 83% of total PV wholesales (442,669 units). This is a sizeable jump over the 76% SUV share in Tata Motors’ record passenger vehicle sales of 578,771 units in CY2025.

The growing SUV share in PV wholesales is also helped by the accelerated customer demand for EVs, a segment where Tata is the market leader and has the largest portfolio of seven models including four e-SUVs – Nexon EV, Punch EV, Curvv EV, Harrier EV and the recently launched Sierra EV. In the January-July 2026 period, Tata Motors EVs have clocked e-PV wholesales of 76,615 units, including a monthly best of 15,217 electric cars and SUVs this July. Now with Sierra ICE and Sierra EV production back on track, and the festive season coming along soon, it’s likely the Tata Sierra (ICE and EV) could close in on the 100,000 annual wholesales milestone in CY2026.

ALSO READ: Tata Motors dispatches 76,615 EVs in January-July, charges towards 150,000 milestone in CY2026

Compact SUVs Hit New High of 397,609 Units in Q1 FY2027, Tata Motors Commands 29% Share

Hyundai Motor India Targets 1 Million Connected Car Sales By 2027

Autocar Professional Bureau — Mon, 10 Aug 2026 11:44:15

Hyundai Motor India (HMIL) has surpassed 0.8 million cumulative connected-car sales in India and is targeting the 1-million-unit milestone by 2027. The company said connected vehicle penetration across its portfolio has increased from 4% in 2019 to 20% in 2026.

HMIL introduced its Bluelink connected car technology in India in 2019 with the Hyundai Venue. Since then, the company has expanded its connected technology offerings across models including the Creta, Venue and i20, and introduced over-the-air (OTA) capabilities.

The company is also targeting more than 2 million cumulative connected car sales by 2030. Its connected vehicle roadmap is centred on the development of software-defined vehicles (SDVs), with the latest Connected Car Navigation Cockpit (ccNC) technology introduced in 2025 offering controller OTA update capability.

Bluelink Features
Hyundai Bluelink currently offers more than 70 features covering safety, security and convenience. These include remote vehicle monitoring, vehicle health diagnostics, location tracking, trip history, remote commands, Hyundai Pay, Digital Key, Digital Passport and Remote Immobilizer.

The system also supports more than 450 AI-powered voice commands across five languages.

According to HMIL, its connected technology has assisted more than 0.5 million motorists through SOS and roadside assistance services. The company also said its systems have supported around 15,000 crash notification interventions and assisted law-enforcement agencies with vehicle tracing and recovery.

Next-Generation Connected Technology
HMIL said its upcoming mass-market electric SUV will offer next-generation connected car technology as standard across all variants. The company sees this as part of its strategy to integrate connected technology with its expanding electric vehicle portfolio.

Tarun Garg, MD and CEO, Hyundai Motor India, said: “As we move towards our goal of 1 million connected car sales by 2027, we remain focused on advancing software-defined mobility and expanding connected technologies across our portfolio.”

Mahindra Group Appoints Shveta Arya as Group Chief Strategy Officer

Shruti Shiraguppi — Sun, 09 Aug 2026 20:42:26

Mahindra Group has announced the appointment of Shveta Arya as Group Chief Strategy Officer, effective September 15, 2026. She will also form part of the Senior Management of Mahindra & Mahindra Ltd.

In this role, Arya will lead the Group Strategy Office, working across Mahindra's portfolio of businesses to identify growth opportunities, unlock value and drive long-term strategic advantage. She will be part of the Group Executive Board and will report to Dr. Anish Shah, Group CEO & MD, Mahindra Group.

Dr. Anish Shah, Group CEO & MD, Mahindra Group, said, "We are pleased to welcome Shveta Arya as Group Chief Strategy Officer. Shveta brings over two decades of leadership experience across business and strategy, as well as management consulting across diverse sectors. Her experience in driving growth, shaping strategy and leading through change will be valuable as we work with our portfolio of businesses to drive growth and create long-term value across our portfolio of businesses. Her passion for constructive change and holistic progress also resonates strongly with Mahindra's purpose. I wish her the very best in this key leadership role."

Arya joins Mahindra Group after a career spanning more than 23 years across publicly listed multinational organisations and management consulting, with experience across the automotive, travel, financial services and telecom sectors.

In her most recent role as Managing Director of Cummins India Limited, Arya was responsible for driving Cummins' growth, ensuring customer success, nurturing talent and fostering a positive, inclusive and ethical work culture. Prior to joining Cummins, she led Strategy and M&A at Thomas Cook India and held roles at Kearney and Infosys.

Arya holds a Master of Business Administration from the Indian Institute of Management Ahmedabad and a Bachelor's degree in Engineering in Information Technology from Delhi University.

She has also been involved in diversity, inclusion and women's empowerment initiatives, serving as program sponsor for Cummins' initiative focused on the lives of girls and women in India.

Founded in 1945, the Mahindra Group employs over 324,000 people across more than 100 countries. It holds a leadership position in farm equipment, utility vehicles, information technology and financial services in India, and is the world's largest tractor company by volume. The group also has a presence in renewable energy, agriculture, logistics, hospitality and real estate

Weekly News Wrap: JSW-Skoda VW JV Talks Advance, Hero Sets 2027 E-Motorcycle Entry, E20 Row Deepens

Darshan Nakhwa — Sun, 09 Aug 2026 18:36:14

India’s automotive industry saw a busy week between August 3 and 9, 2026, with developments spanning potential joint ventures, new electric products, manufacturing investments, fuel policy, exports and fundraising.

One of the biggest developments came from Skoda Auto Volkswagen India and the JSW Group. The two companies are in the final stages of discussions for a manufacturing joint venture and are likely to sign a non-binding memorandum of understanding within the next two months. The structure under discussion is a 51:49 venture, with JSW Group expected to hold the majority stake. Senior global executives from Skoda Auto and Volkswagen are also expected to visit India in the second half of August.

Electric motorcycles also moved higher on the industry agenda. Hero MotoCorp indicated that its first electric motorcycle is expected to arrive in 2027 as India’s largest two-wheeler maker expands its EV portfolio beyond scooters. The plan stood in contrast with Ather Energy, whose chief executive Tarun Mehta said an electric motorcycle from the company was probably more than two years away, with Ather currently focused on products based on its new EL scooter platform.

The week also saw a sharp see-saw around E20 petrol. Media reports initially said the Society of Indian Automobile Manufacturers had raised concerns over chloride and moisture contamination and an increase in the replacement of some fuel- and emissions-related components. The petroleum ministry responded by saying state-run oil marketing companies were regularly monitoring fuel quality. SIAM subsequently withdrew its earlier communication, saying some of the numbers referred to required authentication. Indian Oil, HPCL and BPCL later released test results that they said did not support reports of unusually high chloride or water contamination in E20 petrol.

Away from these developments, Maruti Suzuki laid out a more ambitious growth roadmap, Audi prepared for a product and localisation-led comeback, Hyundai highlighted India’s growing role in its global operations, and EV retail sales touched an all-time high in July. The supplier industry remained equally active, with Michelin beginning passenger car tyre production in India, Motherson retaining a ₹6,000-crore capex programme, Dhoot Transmission preparing for expansion and an IPO, and several EV companies raising fresh capital.

Here is a detailed round-up of the key developments that shaped the automotive industry during the week:

Passenger Vehicles

JSW Group Eyes Majority in Proposed JV with Skoda Auto Volkswagen

Skoda Auto Volkswagen India and JSW Group moved closer to a potential manufacturing partnership during the week. The proposed venture is being discussed as a 51:49 structure, with JSW expected to hold the controlling stake. A non-binding MoU could be signed within two months.

The discussions come as Skoda evaluates a larger role for its Indian operations in its global strategy. Separately, the carmaker is studying the possibility of exporting the India-developed Kylaq compact SUV to Europe. The proposal remains at an early stage, with the company examining homologation, emissions requirements and engine options.

Maruti Suzuki Sees Faster Path to Next Million Sales

Maruti Suzuki said its journey towards the next million units of annual sales could be faster than previously expected. Managing Director and CEO Hisashi Takeuchi said the momentum generated in FY26 had put the company at an inflection point. The carmaker plans to introduce seven SUVs over the next five years.

The company is also reassessing its longer-term targets as it expects India’s passenger vehicle market to reach 6.1-6.3 million units by FY2031. Chairman RC Bhargava said stronger demand following GST reforms had prompted a fresh assessment of the next five years.

CNG will remain a major pillar of Maruti’s strategy. The company has set a target of selling nine lakh CNG vehicles in FY27 after volumes jumped 58% in the first quarter. It sold 2.2 lakh CNG vehicles during April-June, following sales of 7.46 lakh units in FY26.

Exports are another growth engine. Maruti is targeting higher overseas shipments in FY27 despite challenges in the Middle East. Japan has emerged as its third-largest export market, while Maruti now accounts for almost half of India’s passenger vehicle exports.

The carmaker is also making its manufacturing network more flexible. All new production lines will be designed to switch between platforms and models as demand changes, an approach intended to prevent capacity mismatches such as those created by the decline in small-car demand and the rise of SUVs.

At the same time, Maruti is increasing localisation and alternate sourcing as geopolitical uncertainty and dependence on specialised materials, semiconductors, batteries and electronics raise supply-chain risks. It is also expanding the use of software and generative AI in product development and manufacturing.

Audi Plans India Reset; BYD Readies Denza

Audi laid out a fresh plan to rebuild its position in the Indian luxury-car market. The company is preparing a three-model offensive led by the next-generation Q3 in the fourth quarter of 2026, followed by the A5 in the first half of 2027 and the flagship Q9 SUV. Audi India wants to double its market share over the medium term.

Globally, Audi is also moving away from an earlier all-electric-only strategy. CEO Gernot Döllner said the company will maintain a broader mix of battery-electric vehicles, plug-in hybrids and combustion-engine models as EV adoption progresses at different speeds across markets. EV assembly is also planned in India.

Greater localisation, more local assembly and quicker introduction of global products will form part of Audi’s India reset. Döllner said the country was becoming increasingly important to the company.

Meanwhile, BYD is preparing to introduce its premium Denza brand in India. The D9 executive MPV is expected to lead the rollout, with a launch being targeted around Diwali 2026, although it could be pushed to the Bharat Mobility Global Expo in February 2027.

Kia also moved further upmarket by opening pre-bookings for the Sorento, which will become its flagship SUV in India.

Hyundai: India Takes a Bigger Global Role

Hyundai Motor India said the country could become Hyundai Motor Company’s second-largest market globally by 2030, supported by economic growth, rising vehicle ownership and demand for technology-led mobility.

The automaker also disclosed that localisation at the OEM level reached 83% in FY26. Hyundai said greater localisation of high-value components and higher use of locally sourced steel were improving cost competitiveness and reducing import dependence.

Two-Wheelers

Hero Sets 2027 Electric Motorcycle Entry

Hero MotoCorp emerged as one of the key companies to watch in the electric motorcycle space after saying its first battery-powered motorcycle is expected in 2027.

CEO Harshavardhan Chitale said the electric motorcycle programme was progressing and more details would be shared over the coming months. The product will take Hero’s EV portfolio beyond scooters.

Hero also turned more bullish on the overall two-wheeler market, saying industry growth could approach double digits in FY27. Demand remained strong through July across ICE and electric vehicles, although the high base created by the GST-led recovery last year could moderate growth in the second half.

The company also strengthened its premium business by appointing Anuj Dua as Chief Business Officer for the premium segment. The newly created role will oversee portfolio expansion, strategic partnerships, premium retail and rider engagement.

Bajaj Auto, meanwhile, expanded the Pulsar N160 range with the N160 S and N160 SS. The variants receive a revised 165cc engine, electronic throttle control and four riding modes, while the N160 SS also gets traction control and a TFT display.

Ather Holds Back on Motorcycle, Ola Embraces Dealers

While Hero plans an electric motorcycle for 2027, Ather Energy has no near-term plan to enter the segment. Tarun Mehta said an electric motorcycle was probably more than two years away as Ather first focuses on expanding its scooter portfolio around the EL platform.

Ather is, however, considering accelerating Phase 2 of its Aurangabad manufacturing facility if current EV demand continues. The company recently raised ₹2,500 crore, giving it flexibility to bring forward investment if Phase 1 capacity comes under pressure.

Ola Electric also made an important shift in its business model by opening its sales and service network to dealer partners. Company-owned stores will increasingly focus on brand and product experience, while dealers will take a larger role in sales and aftersales. Ola expects the dealership programme to gain meaningful scale by Diwali 2026.

E3 Electric Ai entered the market with the Trion electric scooter, designed so that a damaged wheel and hub motor can be repaired at a local workshop. The company has signed around 30 dealers and plans to establish a presence in at least 90 markets within its first year.

July Retail Crosses 3.27 Lakh Units

India’s electric vehicle market reached a new high in July. EV retail sales rose 66.2% year on year to 327,901 units, according to FADA, taking EV penetration across the overall vehicle market to nearly one in eight sales.

Electric two-wheelers were the largest contributor, while electric three-wheelers continued to account for more than 65% of their segment. Passenger EV sales also grew strongly, although supply constraints on popular models continued to restrict volumes.

E20 Seesaw

Contamination Report Triggers Claim, Counter-Claim and Withdrawal

Fuel quality became one of the week's most closely watched policy issues. A media report said SIAM had written to the petroleum ministry citing high chloride and moisture contamination in E20 petrol. The report also said automakers had seen a sharp rise in replacements of fuel injectors, pumps, EGR valves, exhaust components and other parts exposed to fuel or emissions.

The Ministry of Petroleum and Natural Gas responded that state-run OMCs regularly monitor fuel quality. SIAM later withdrew its earlier communication, saying the figures being referred to in media reports required authentication and that parts of its communication had been selectively quoted.

The issue took another turn when Indian Oil, HPCL and BPCL released results from a nationwide testing exercise. The companies said chloride levels in samples collected across the supply chain were between zero and 3 parts per million and that reports of levels as high as 500 ppm could not be validated.

The sequence kept the E20 debate alive even as the industry body stepped back from the figures that had triggered the controversy.

Tractors and Construction Equipment

Escorts Kubota Turns More Bullish

Escorts Kubota raised its FY27 outlook for the tractor industry to mid-single-digit growth after a stronger-than-expected first quarter.

The tractor industry sold a record 3.39 lakh units in Q1 FY27, up 18.6%. Escorts Kubota’s domestic volumes grew 22.9% to 35,457 units, its best first quarter, while July sales rose another 23.7%.

The company also expects the construction equipment market it serves to expand 12-15% in FY27. Cranes and mini excavators are expected to lead growth.

Escorts Kubota has budgeted ₹850-900 crore of capex in FY27, including ₹450-500 crore for a new greenfield project where groundbreaking is expected this month.

Tyres

Michelin Localises Passenger Tyres; JK Tyre Faces Cost Pressure

Michelin started producing passenger car tyres in India with the launch of the Primacy 5 from its Chennai plant. The tyre is aimed at sedans and SUVs and can be used on ICE, hybrid and electric vehicles. It will be sold through Michelin Tyres & Service outlets and around 800 authorised dealers.

The French tyre maker also outlined a larger role for India as a global hub for manufacturing, tyre development, AI and sourcing. More than ₹3,486 crore has been committed to Chennai, while Pune supports product development for North America and Asia and houses global AI, digital and corporate-service capabilities.

Michelin, however, made clear that local production was primarily about market access rather than lower manufacturing costs.

For JK Tyre, the week highlighted the other side of the tyre industry's operating environment. Raw-material prices rose about 20% between Q4 FY26 and Q1 FY27 and are expected to rise another 8-9% in Q2. Its consolidated EBITDA margin fell to 6.8%, from around 10.9% a year earlier.

The company’s Mexico operations were also hit hard by geopolitical disruption, with segment revenue falling 82% year on year to ₹89 crore in Q1 FY27.

Apollo Tyres, meanwhile, completed a production shutdown at its Netherlands plant in June as part of a restructuring that shifts more production towards India and Hungary. The full transition is expected to be completed by October.

Auto Components

Capex, Capacity and New Segments Take Centre Stage

Samvardhana Motherson International retained its FY27 capex guidance at ₹6,000 crore, plus or minus 10%. Three plants were commissioned during Q1, taking its expansion pipeline to 13 facilities, of which 10 are expected to become operational during FY27.

Motherson Wiring said its new greenfield projects had reached breakeven after maintaining a revenue run-rate of around ₹450 crore in Q1. Profit contribution is expected to improve over the next one to two quarters as volumes scale.

Tenneco said its share of India’s passenger vehicle shock absorber and strut market had increased from 48% to 55% in eight months, helped by new programmes and growing demand for premium ride quality.

Dhoot Transmission also emerged as a company in expansion mode. It plans to increase capacity by 23% through two IPO-funded wiring-harness plants at Jhajjar and near Hosur, while other facilities are also under construction.

The company is additionally evaluating entry into passenger vehicle wiring harnesses and may seek government incentives for future products if they qualify under applicable schemes.

Godrej Enterprises opened a new material-handling equipment facility at Khalapur in Maharashtra with an initial capacity of 6,000 units annually, scalable to 15,000 units.

Meanwhile, Ardee Industries said it would first raise utilisation of its 156,950-tonne annual capacity to 75-80% before deciding on further brownfield or greenfield expansion.

Funding and M&A

EV Companies Raise Capital, Dhoot Heads for IPO

Capital continued to flow into electric mobility and auto components. Greaves Electric Mobility raised ₹530 crore through a fully subscribed rights issue to fund new products, battery management systems, powertrains and technology development.

River Mobility closed a $120 million Series C round comprising equity and venture debt, one of the larger private fund raises in India’s electric two-wheeler sector.

Matel Motion raised ₹130 crore in Series B funding to expand manufacturing, R&D and engineering capabilities and increase its presence in commercial EV powertrains.

Dhoot Transmission raised ₹918.27 crore from anchor investors ahead of its IPO, with domestic mutual funds taking a large share of the allocation.

Belrise Industries, meanwhile, acquired Hyva India’s tipper-body business for about $5.65 million. The transaction includes three manufacturing plants in Pune, Jamshedpur and Bengaluru.

Manufacturing and Digitalisation

India’s growing role as a manufacturing and engineering base remained a common thread across several developments.

Siemens Digital Industries Software said India was already among its top 10 markets globally and could move towards the top five as the automotive and manufacturing sectors increase digitalisation.

Across OEMs and suppliers, the same themes were visible: localisation, flexible manufacturing, software, AI and greater supply-chain resilience. Maruti is preparing flexible production lines and alternate sourcing, Hyundai has pushed localisation to 83%, Michelin wants India to serve global manufacturing and R&D needs, and Motherson continues to add capacity.

Together, these developments showed that the industry’s current investment cycle is not only about adding factories. Automakers and suppliers are also changing where they source, how flexible their plants are, how much software they use and how much of their technology can be developed locally.

Leadership Changes

The week also brought several senior appointments. Hero MotoCorp appointed Anuj Dua to lead its premium business. JLR named Adam Constable as the first dedicated head of Discovery as the brand prepares for repositioning. Pininfarina appointed Davide Loris Amantea as Chief Creative Officer.

Pankaj Doval joined JSW Motor as senior vice president for corporate affairs and public policy, while Schaeffler India named Amit Bhalerao as Chief Operating Officer.

Varroc Engineering appointed Eric Hamon as Chief Technical Officer, Remsons Industries named Rahul Prabhakar Desai as CEO, and the Automotive Skills Development Council appointed Prasanna Pahade as its new chief executive.

The Week in Perspective

The August 3-9 week reflected several shifts happening simultaneously across the Indian automotive market.

At the OEM level, the potential JSW-Skoda Auto Volkswagen alliance showed how ownership structures and localisation strategies are being reconsidered as global carmakers seek greater scale in India. At the product level, Hero MotoCorp’s 2027 electric motorcycle plan signalled the next phase of competition in electric two-wheelers, even as Ather chose to wait.

At the policy level, the E20 episode moved rapidly from reported contamination concerns to government assurances, SIAM’s withdrawal and an OMC-led rebuttal, highlighting the scrutiny surrounding India's transition towards higher ethanol blending.

And underneath these headline developments, investment remained strong. Automakers were adding products and flexible capacity, suppliers were committing thousands of crores to expansion, EV companies were raising fresh capital and India was assuming a larger role in global manufacturing, sourcing, R&D and exports.

Taken together, the week showed an industry preparing simultaneously for higher domestic demand, greater exports, electrification and a more uncertain global supply-chain environment.

Software, generative AI reshaping vehicle development at Maruti Suzuki, says MD Hisashi Takeuchi

Kiran Murali — Sun, 09 Aug 2026 00:40:11

Maruti Suzuki is increasing its use of digital technologies as rising software content in vehicles and advances in generative artificial intelligence reshape product development and manufacturing.

Managing director and CEO Hisashi Takeuchi said technology was transforming the company in areas extending beyond vehicle powertrains.

“The rapid rise of software content in vehicles and the advances being made in Artificial Intelligence, particularly Generative AI, are fundamentally reshaping product development, manufacturing, quality management, safety improvement and customer experience,” Takeuchi said in his address to shareholders in the company's annual report for FY26

As Maruti Suzuki expands, digital technologies are becoming increasingly important for improving efficiency, enabling faster and better-informed decisions and enhancing organisational agility, he said.

“Across Maruti Suzuki, we are increasingly leveraging digital technologies,” Takeuchi added.

The growing use of software and artificial intelligence comes as Maruti Suzuki prepares for one of its most intensive product programmes. As Autocar Professional reported earlier, the carmaker plans to introduce nine models over the next three years and is looking to reduce vehicle development time by 25 percent, from 48 months to 36 months. The pipeline includes seven SUVs, although their rollout is planned over five years.

Maruti Suzuki is also working more closely with parent Suzuki Motor Corporation to build new models faster and at lower cost.

Chairman R C Bhargava said cooperation between the two companies had become closer and more integrated during FY2026, with both sides seeking to improve their competitiveness by strengthening the partnership.

“In particular, we are working closer than ever to strengthen our capacity for building new models of cars in shorter and more cost-effective ways,” Bhargava said in his address to shareholders.

“Engineering strength is the core value that leads to success of a car company,” he added.

Maruti Suzuki to make all new production lines flexible, says RC Bhargava

Kiran Murali — Sun, 09 Aug 2026 00:34:10

Maruti Suzuki will make all its new production lines flexible enough to switch between platforms and models in response to changes in demand, chairman RC Bhargava said in the company's annual report for FY26.

The move is aimed at addressing capacity mismatches that emerged after the company adjusted production over the past several years to account for falling small-car sales and the rapid growth of SUVs.

The subsequent recovery in small-car demand left Maruti Suzuki without adequate capacity for some models. The country’s largest carmaker ended March 2026 with 1.9 lakh pending bookings for vehicles it was unable to produce in sufficient numbers.

“This was the consequence of adjustments made over the past several years to cater to the fall in small car sales and the growth of the SUV market,” Bhargava said in his address to shareholders.

“We are remedying this situation by making all our new production lines flexible enough to permit your company to change platforms and models as may be required,” he added.

Bhargava said the changes had already started showing results. Maruti Suzuki’s small-car sales grew 35 percent in the first quarter of FY2027 as the company increased production of vehicles facing stronger demand.

The carmaker’s overall sales increased 38 percent during the quarter, compared with 28 percent growth for the industry. Small-car sales had grown 17 percent in the second half of FY2026 following the implementation of revised GST rates in September 2025.

Maruti Suzuki is implementing the flexible manufacturing strategy while expanding its production footprint. Its installed capacity is projected to reach 2.9 million vehicles by the end of FY2027 and 3.65 million units by the end of FY2031.

Two production lines have been commissioned at the company’s Kharkhoda plant in Haryana, while work is progressing on the third.

At Hansalpur in Gujarat, a fourth line with annual capacity of 250,000 vehicles has been commissioned. This has taken the plant’s capacity to one million units, making it Suzuki Motor Corporation’s largest manufacturing facility globally.

Maruti Suzuki has also begun work at a new site in Sanand, Gujarat, where it plans to establish an annual capacity of one million vehicles. The proposed investment at the site is Rs 35,000 crore.

The flexible lines, combined with the additional capacity at Kharkhoda, Hansalpur and Sanand, are intended to give Maruti Suzuki greater room to adjust its production mix as demand shifts between small cars and SUVs.

Maruti Suzuki prioritises localisation, alternate sourcing amid global supply-chain risks

Kiran Murali — Sun, 09 Aug 2026 00:29:32

Maruti Suzuki will prioritise localisation, alternate sourcing and supplier capability development as geopolitical uncertainty and the concentration of critical automotive supply chains in a few countries increase risks for the industry.

In the annual report for FY26, Managing Director and CEO Hisashi Takeuchi said the growing use of advanced technologies was increasing the industry’s dependence on specialised materials, semiconductors, batteries and electronic components.

Supply chains for many of these items remain concentrated in a limited number of countries, increasing the automotive industry’s exposure to disruptions.

Takeuchi said recent geopolitical developments, including the conflict in West Asia, had highlighted the vulnerability of global supply chains and reinforced the need to balance efficiency with resilience.

“Localisation, alternate sourcing, supplier capability development and ecosystem development remain critical priorities,” Takeuchi said in his message to shareholders.

Takeuchi said these measures were intended to address immediate supply risks while supporting the development of a stronger domestic automotive ecosystem.

Maruti Suzuki is extending its focus beyond its own manufacturing operations to suppliers and dealer partners. During FY2026, the company assessed human-resource systems and human-rights practices at local Tier 1 suppliers accounting for 84 percent of its component purchases by value.

It also conducted more than 2,550 training programmes covering all Tier 1 suppliers and dealer partners during the year. The company continued to promote occupational health and safety, skill development and governance standards across its ecosystem.

Maruti Suzuki conducted more than 470 supplier assessments and awareness programmes relating to the management of substances of concern. It also extended a governance framework across its Tier 1 supplier base to strengthen transparency, risk management and ethical conduct.

The supplier initiatives come as greater use of semiconductors, batteries, electronics and specialised materials makes access to reliable supply chains increasingly important for new vehicle programmes.

Takeuchi said the objective was not merely to mitigate risk, but to strengthen India’s long-term competitiveness in future mobility technologies.

Path to Maruti Suzuki’s next million sales accelerating, says Hisashi Takeuchi; 7 SUVs lined up

Kiran Murali — Sun, 09 Aug 2026 00:24:27

Maruti Suzuki’s journey towards its “next million sales milestone” appears significantly faster than previously anticipated, Managing Director and CEO Hisashi Takeuchi said, as the carmaker prepares to introduce seven SUVs over the next five years.

Takeuchi said the momentum generated in FY26 had placed the country’s largest carmaker at an inflection point, with multiple growth engines moving simultaneously.

“The journey towards next million sales milestone appears significantly faster than previously anticipated,” Takeuchi said in his message to shareholders in the company’s annual report for FY26.

Maruti Suzuki sold a record 2.42 million vehicles in FY26, including 447,774 units in overseas markets. Annual production exceeded two million units for the second consecutive year, while the company also recorded its highest-ever domestic sales.

The carmaker plans to introduce seven SUVs over the next five years to to strengthen its presence in the segment.

Takeuchi said Maruti Suzuki’s SUV portfolio was strengthened during FY2026 with the launch of the Victoris and e Vitara. The e Vitara also marked the company’s entry into the battery electric vehicle market.

The planned SUV rollout comes as Maruti Suzuki expands manufacturing capacity to support its medium-term growth. Chairman RC Bhargava said installed capacity would reach 2.9 million units by the end of FY27 and 3.65 million units by the end of FY31.

Takeuchi said customer expectations were evolving beyond mobility, with buyers increasingly seeking safety, comfort, convenience and connectivity. Maruti Suzuki is expanding its product portfolio and manufacturing capacity as it moves towards its next million sales milestone.

Maruti Suzuki targets higher exports in FY27 as Japan becomes 3rd largest overseas market

Kiran Murali — Sat, 08 Aug 2026 23:58:14

Maruti Suzuki is targeting higher exports in FY27 despite problems in the Middle East, as Japan emerges as its third-largest overseas market and the carmaker strengthens its position as India’s leading passenger vehicle exporter.

The country’s largest carmaker now accounts for almost 50 percent of passenger vehicles exported from India, chairman RC Bhargava said in his address to shareholders in the company's annual report for FY26.

“Japan has become our third-largest export market. Export volumes are targeted to increase from last year’s level, despite the problems in the Middle East,” Bhargava said.

Maruti Suzuki exported a record 447,774 vehicles in FY2026 and remained India’s largest passenger vehicle exporter for the fifth consecutive year.

Managing director and CEO Hisashi Takeuchi said in his message to shareholders that Maruti Suzuki vehicles are now sold in nearly 120 countries through Suzuki Motor Corporation’s global distribution network. The broad geographical presence has reduced dependence on any single region and strengthened the resilience of the company’s export business.

Exports will continue to play an important role in Maruti Suzuki’s growth strategy. The commencement of e Vitara exports has enabled the carmaker to re-enter advanced markets such as Europe and Japan, while strengthening India’s position within Suzuki’s global operations, Takeuchi said.

Maruti Suzuki is also increasing the use of rail to move vehicles while reducing logistics costs, emissions and the risk of damage in transit.

Rail accounted for 26.5 percent of the company’s vehicle dispatches in FY2026. Maruti Suzuki expects the share to increase to 28 percent in FY2027.

“Moving cars by using rail transport continues to be a priority activity,” Bhargava said.

The railway siding at Maruti Suzuki’s Manesar plant is operational and has delivered cost savings and greater convenience. Bhargava said rail transport also reduces the carbon impact of vehicle dispatches and carries a lower risk of damage in transit.

A similar railway siding is planned at the company’s Kharkhoda manufacturing facility in Haryana, where two production lines have been commissioned and work is progressing on the third.

Maruti Suzuki targets nine lakh CNG vehicle sales in FY2027

Kiran Murali — Sat, 08 Aug 2026 23:51:33

Maruti Suzuki has set a target of selling nine lakh CNG vehicles in FY27 after volumes rose 58% in the first quarter, reinforcing the fuel’s importance in the carmaker’s multi-powertrain strategy.

The country’s largest carmaker sold 2.2 lakh CNG vehicles in the first quarter of this financial year, Chairman RC Bhargava said in his address to shareholders in the company’s annual report for FY26. This followed a 22% increase in CNG sales to 7.46 lakh units in FY26.

"CNG cars have been in much demand,” Bhargava said. “This year’s target is nine lakh CNG cars."

The target represents an increase of about 21% over FY26 volumes.

Maruti Suzuki Managing Director and CEO Hisashi Takeuchi, in his message to shareholders that the company’s multi-pathway approach had helped it meet its Corporate Average Fuel Efficiency Phase 2 target for FY26 “by a good margin”.

Maruti Suzuki’s multi-powertrain strategy covers battery-electric vehicles, strong hybrids, CNG, compressed biogas, E20-compatible vehicles, and flex-fuel technologies.

“For a country as large and diverse as India, no single technology pathway can adequately address all mobility needs,” Takeuchi said.

He described the multi-powertrain approach as a practical route towards reducing carbon emissions while preserving affordability, customer choice and energy security, while remaining suited to local conditions.

Among these pathways, Maruti Suzuki sees a significant opportunity in compressed biogas. Takeuchi said India’s biomass resources could be used to produce low-carbon fuel locally, reduce dependence on imported fossil fuels and create supply chains supporting the rural economy. Using paddy straw as feedstock could also help reduce crop burning.

Maruti Suzuki’s board has approved four biogas plants in the first phase at an investment of Rs 561 crore. Bhargava said the company could make substantial further investments in biogas production and distribution after gaining experience from the initial projects.

The carmaker plans to consume more than 20 tonnes of biogas per day by FY31. It has also been working with the Indian Agricultural Research Institute, Pusa, over the past two years to study biogas production and the use of fermented organic manure.

The nine-lakh-unit target underlines the role CNG will continue to play in Maruti Suzuki’s efforts to reduce fleet emissions and meet regulatory requirements alongside electric vehicles, hybrids and biofuels.

Maruti Suzuki may revisit long-term targets as India car market heads towards 6.3 million units

Kiran Murali — Sat, 08 Aug 2026 23:28:16

Maruti Suzuki may revisit its long-term targets as it expects India’s passenger vehicle market to reach 6.1-6.3 million units by FY2031, with small cars likely to grow significantly faster than they did over the past five years.

The country’s largest carmaker is undertaking a fresh assessment of demand over the next five years following the momentum generated by the GST reforms, chairman RC Bhargava said in his address to shareholders in the annual report fo FY26.

“Presently, we are estimating that the car industry would grow to 6.1 to 6.3 million by FY2030-31 and that the share of the small-car market would grow significantly faster than what had happened in the last five years,” Bhargava said.

“This could lead to some changes in our longer-term targets,” he added.

The assessment comes as Maruti Suzuki accelerates its manufacturing expansion. Work has started on a new plant at Sanand in Gujarat, where the carmaker plans to invest Rs 35,000 crore and create annual capacity for one million vehicles.

Along with expansions at Kharkhoda and Hansalpur, the new plant will take Maruti Suzuki’s installed capacity to 2.9 million units by the end of FY2027 and 3.65 million units by the end of FY2031.

Maruti Suzuki’s small-car sales grew 17 percent in the second half of FY2026. They accelerated by 35 percent in the first quarter of FY2027 as the company increased production of models facing strong demand.

The company’s overall sales grew 38 percent in the first quarter, compared with 28 percent growth for the industry, Bhargava said. Retail sales had increased 17 percent in the second half of FY2026 following the implementation of revised GST rates on September 22, 2025.

The recovery in demand has exposed a mismatch between Maruti Suzuki’s production capacity and the models customers are seeking. The carmaker ended March 2026 with 1.9 lakh pending bookings because of inadequate manufacturing capacity for some models.

Bhargava attributed the shortage to production adjustments made over the past several years in response to falling small-car sales and the rapid growth of SUVs.

Maruti Suzuki is addressing the issue by making its new production lines flexible, allowing it to switch between platforms and models in response to changes in demand. Bhargava said the move had already started showing results, with more small cars being produced during the first quarter.

Two production lines have been commissioned at Kharkhoda in Haryana, while work is progressing on the third.

A fourth line, with an annual capacity of 250,000 vehicles, has been commissioned at Hansalpur in Gujarat. This has increased the facility’s installed capacity to one million units, making it Suzuki Motor Corporation’s largest manufacturing plant globally.

The company is also working more closely with parent Suzuki Motor Corporation to develop new models faster and at lower cost.

“In particular, we are working closer than ever to strengthen our capacity for building new models of cars in shorter and more cost-effective ways,” Bhargava said.

“Engineering strength is the core value that leads to success of a car company,” he added.

Audi Global CEO Backs Broader Powertrain Mix; EV Assembly Planned in India

Hormazd Sorabjee — Sat, 08 Aug 2026 19:53:53

Audi will pursue a broader powertrain strategy spanning battery-electric vehicles, plug-in hybrids and combustion engines, stepping away from its earlier plan to become an all-electric carmaker.

Global CEO Gernot Döllner said he reviewed Audi’s all-electric strategy after taking charge and decided that the company needed a more balanced product and powertrain mix to address the varying pace of EV adoption across markets.

“When I joined Audi, there was an all-electric strategy in place, which was one of the first things I reviewed,” Döllner told Autocar India in an exclusive interview. “We found a more balanced strategy between plug-in hybrids, especially important for Europe, combustion engine and electric.”

The slower-than-expected pace of EV adoption in several global markets has extended the relevance of combustion engines and plug-in hybrids. Audi expects to retain a focused combustion-engine and plug-in-hybrid portfolio, particularly for SUVs.

The company has recently completed a major investment cycle covering new petrol and diesel engines, plug-in hybrids and battery-electric vehicles designed to meet Euro 7 and other global regulations.

“For sure, the majority of our investment will be in battery electric. That’s a given,” Döllner said.

Audi will continue to invest selectively in combustion engines, including efficiency improvements and transmission technology, but Döllner expects the pace of innovation to be much faster in EVs.

“The combustion engine is fairly mature. It’s at the very end of a 100-year innovation cycle, and battery electric is still at the very beginning, to be honest,” he said. “The dominant part of our investment will definitely be on the battery-electric side.”

Electric remains Audi’s leading technology

Audi’s decision to retain combustion engines and plug-in hybrids does not alter its long-term direction towards electric vehicles.

“Electric is, for Audi, still the leading technology,” Döllner said. “It’s our main priority to step by step become more electric.”

Audi currently has four battery-electric model lines globally and expects to increase this to five by the end of the year, with some available in more than one body style.

The company will, however, tailor the powertrain mix to individual regions. Plug-in hybrids will be particularly important in Europe, while the requirements of the US market will influence Audi’s future combustion-engine and PHEV portfolio, especially for SUVs.

In India, Audi’s immediate focus remains on petrol and electric vehicles. Diesel is not part of its current plan. The case for plug-in hybrids will depend partly on whether they receive any benefit under the India-EU FTA.

New electric products are also planned for India.

“From what I know, we also have decided to enter with new products in the electric segment in India,” Döllner said.

Audi has decided to assemble an electric vehicle in India, Autocar India learns, although the model and launch timing are still being worked out. The move from fully imported EVs to local assembly is now a question of when, rather than if.

The company was among the first luxury carmakers to enter India’s EV market with models such as the e-tron, e-tron Sportback, e-tron GT and Q8 e-tron. High import duties, however, restricted their reach and affected their resale-value proposition.

The Q6 e-tron is among the products being studied, but Audi has not decided which EV will be assembled in India. The selected model will need to offer the right combination of volume, pricing and suitability for local conditions.

Audi believes electric SUVs make more practical sense in India because their ground clearance is better suited to local road conditions. Sedans have not been ruled out, but SUVs offer a more practical proposition for battery-electric vehicles in the country.

Regional focus to shape future products

The broader powertrain approach is part of Döllner’s effort to make Audi more responsive to the requirements of individual regions.

“Audi has to act much more regional,” he said. “The times where we had a one size fits all, and we then bring it to China, just extend the wheelbase and do the same car, that doesn’t work anymore. We have to listen carefully to the markets.”

The Q9 is the first clear example of that approach. Conceived around the requirements of American customers, it will be the first Audi to make its market debut in the US.

“The Q9 is a perfect proof point of a car. The biggest Audi we’ve ever built,” Döllner said. “That car would not be there without the American market.”

India does not yet generate the volumes required for Audi to develop country-specific models. Local requirements covering ground clearance, suspension, tyres, weather, dust and fuel quality are, however, fed into its global development process.

The introduction of new models in India is also expected to move closer to their global launches, helping Audi benefit from the interest created when a vehicle is revealed internationally.

Döllner said the improvement in India’s manufacturing and automotive technology has changed how the country is viewed within the global industry.

“India is also an excellent proof point. It’s really unbelievable what the car industry has developed in India and what level of perfection and technology products are delivered,” he said.

“In the past, there has been this strong European automotive industry, and the world has turned around. Now we have a very dynamic Chinese market, a growing and rising Indian automotive industry. The US is a story of its own.”

“What keeps me awake at night is if we are able to change fast enough,” Döllner said. “We have to speed up.”

Rethinking Farm Mechanisation for a Sustainable Future

Autocar Professional Bureau — Sat, 08 Aug 2026 17:11:32

Agriculture remains central to India's economy and livelihoods, employing over 46% of the population while feeding the whole of the country. But farmers today face mounting challenges—shrinking labour availability, unpredictable climate conditions, and the need to produce more from limited land. Addressing these pressures will require smarter mechanisation that improves not only farm productivity but also the durability, efficiency and sustainability of agricultural equipment.

However, only about 47% of farming in India is mechanised, trailing powerhouses like Brazil and China. Since most Indian farmers work small plots, providing access to high-endurance, high-performance farm machinery is no longer a convenience; it is essential to sustaining agricultural productivity and improving farm incomes.

Why tractor design matters
When discussing agricultural mechanisation, tractors occupy a unique position. They account for the majority of farm power used across Indian agriculture (over 80%) and support a wide range of activities.

Because tractors perform such an important role, their operational efficiency directly influences farm productivity and the total cost of ownership. Every component affects the materials, energy and maintenance a machine requires over its lifecycle. Longer-lasting components reduce replacement, transportation and disposal, lowering both lifecycle costs and resource consumption. In that sense, durability itself becomes an important sustainability metric.

The transition to smarter friction systems
As India accelerates its transition towards sustainable agriculture, attention must extend beyond the visible aspects of farm machinery to the engineering systems that determine its long-term efficiency and sustainability. While discussions around mechanisation often focus on horsepower, fuel efficiency and automation, friction technologies, particularly brakes and clutches play a pivotal role by directly affecting reliability, maintenance requirements, machine uptime, operating costs and lifecycle sustainability.

The Indian tractor industry has already undergone a significant transition from conventional dry braking systems to oil-immersed wet brakes. Dry braking systems generate higher operating temperatures and greater component wear under demanding agricultural conditions, leading to more frequent maintenance, increased downtime and higher lifecycle costs. In addition, brake wear particles have attracted growing attention for their potential environmental and occupational health implications.

Unlike conventional dry brakes, wet friction systems operate within an oil-lubricated environment that improves heat dissipation while protecting critical components from dust, moisture and contamination. This helps reduce wear, extend service life and deliver more consistent performance under demanding agricultural conditions. The enclosed design also helps contain friction-generated wear particles, reducing particulate emissions and contributing to improved lifecycle sustainability.

Today, a similar evolution is underway in clutch systems, as OEMs increasingly seek solutions that improve durability while lowering lifecycle costs.

To withstand the demanding conditions of modern farming, wet friction systems rely on specialised friction materials and intermediate plates designed for high-load agricultural applications. For farmers, this translates into equipment that requires less maintenance, fewer replacement parts and lower operating costs over the machine's lifetime, while supporting more reliable day-to-day operations.

Engineering the future of farm mechanisation
The future of sustainable agriculture depends not only on how crops are grown, but also on how agricultural machinery is engineered. As mechanisation evolves, the focus must extend beyond raw horsepower to include durability, lifecycle performance and resource efficiency. Decisions that extend component life, minimise maintenance and reduce resource consumption will define the next generation of farm equipment. Wet friction technologies, such as wet brakes and wet clutches, exemplify this engineering shift.

Looking ahead, advances in agricultural machinery will continue to be driven by automation, connectivity, precision farming and smarter engineering. Combined with durable, high-efficiency friction systems, these innovations will enable farm equipment that is more productive, reliable and resource-efficient, helping farmers meet future demands while supporting a more sustainable agricultural ecosystem.

E Madhavan is Managing Director at JM Frictech India Pvt. Ltd. Views expressed are the author's personal.

Scrapping Your Car in India: What You Get vs What It's Actually Worth

Autocar Professional Bureau — Sat, 08 Aug 2026 17:02:34

Vehicle scrappages has made headlines again as the Delhi Government proposes incentives linked with scrappage under its Electric Vehicle Policy draft. As per NITI Aayog estimates, only around 2-3% of End-of-Life Vehicles (ELVs) enter India's formal scrappage ecosystem currently. Such incentives though domicile to the national capital, will play a significant part of a country-wide shift in behaviour and perception; that scrapping a vehicle is not only about disposing of an old vehicle anymore it is transforming into a smart financial decision.

Owners of vehicles that are over 15 yearsthat are unfit, facing rising maintenance costs, repair requirements, fitness renewal fees and falling resale valueare often evaluating whether to sell their vehicle or scrap it. Consumers believe that the only value in scrapping comes from the money one gets for the value of metals from the scrapped vehicle. Although scrap value provides immediate financial return, typically calculated based on weight of the vehicle and materials that can be extracted, it only forms a fraction of the overall financial value unlocked through scrapping.

Scrapping via an authorized Registered Vehicle Scrapping Facility (RVSF) gives you a Certificate of Deposit (COD), enables tax exemptions on your next vehicle as per the respective state policies and permits. This can then be coupled with exchange bonus or purchase incentives, provided by select automobile makers, against the validity of the COD.

One can also save on future fitness renewal fees, green taxes and maintenance costs as additional benefits, eliminating any liability associated with the vehicle in the future by means of legal transfer of the ownership.

The True Value of Scrapping a Car

Component	Illustrative Benefit*
Scrap value	₹25,000
Certificate of Deposit (COD) benefit	₹20,000
Dealer incentive	₹30,000
Total potential value realised	₹75,000

*Illustrative only. Actual benefits may vary depending on the vehicle, state policies and OEMs' offerings.

It is important to understand one thing with clarity: scrapping decisions should be judged based on the total value of the deal and not merely the cheque that is offered by the scrapping facility.

Why Is It Different from Selling?

Unlike selling your old vehicle that involves finding a buyer and negotiating with them; scrappingis more institutionalised. Selling gives you real-time gratification, scrapping enables incentives by means of tax exemptions, which proved to be more advantageous for vehicles with low resale value.

But the selection of the facility is crucial factor as well. Authorized RVSFs meet certain environmental and safety standards, depollute hazardous materials and provide complete documentation of the process. In doing so, they protect you as a consumer while responsibly extracting the value from the material resources.

As India’s vehicle scrappage ecosystem of develops further with increased infrastructure, OEM participation and evolving state policies, the discussion is slowly shifting from disposal to value realization.Widespread awareness will be critical in helping people realize the financial gains from the formal scrappage process. It will also be pivotal in increasing the adoption rates and propelling the success of the system.

Another factor is the ownership profile of ageing vehicles. Many ageing vehicles have been passed on multiple times over the years and thus have a second, third or even fourth owner. For these consumers, affordability plays an important role in their replacement decision. Proper incentives from scrappage could make it financially easier for them to upgrade to a newer vehicle while motivating them to use the formal scrappage ecosystem and not the informal route. A tradable certificate of deposit with direct monetary benefits would play a pivotal rolein helping encourage such consumers participate in the formal scrappage ecosystem.

Thus, there is an urgent need for all stakeholders to develop a cohesive national framework comprised of some uniform principles that help build a stronger scrapping infrastructure. Apart from Delhi, some of the other states like Rajasthan, Maharashtra and Madhya Pradesh have also launched scrapping incentivizes aimed at increasing public awareness and large scale adoption. Additionally, most of these ageing vehicles belong to the lower income pyramid of the economy, thus policies should be drafted that focus on helping scrapping be a financially rewarding exercise

The industry players should focus on increasing public awareness and helping bring about a change in the consumer’s mindset when it comes to scrapping. They need to recognize the holistic value of a formal scrappage system that helps balance environmental and economical value, effectively.

Nitin Chitkara is CEO, Meta Materials Circular Markets. Views expressed are the author's personal.

BharatBenz Opens Regional Parts Logistics Centre in Pune

Arunima Pal — Sat, 08 Aug 2026 16:52:59

Daimler India Commercial Vehicles (DICV), which manufactures BharatBenz trucks and buses, has inaugurated a new West Regional Parts Logistics Centre in Pune as part of efforts to strengthen its aftersales and spare-parts distribution network.

The facility is intended to bring genuine spare parts closer to customers and dealers in western India, helping reduce delivery lead times and improve parts availability. The company said the centre will support faster service turnaround and help maximise vehicle uptime.

BharatBenz currently has a central Parts Logistics Centre at Oragadam in Tamil Nadu and a Regional Logistics Centre at Gurugram, Haryana. The Pune facility adds another regional logistics hub to the network. The company’s genuine-parts distribution network includes more than 360 dealerships and 50 parts outlets across India.

DICV had earlier established its Gurugram Regional Logistics Centre to improve parts availability across the North, East and West regions. The facility was designed to stock more than 1,000 critical and fast-moving spare parts and uses digital systems for real-time inventory monitoring and parts tracking.

The Pune centre is expected to strengthen parts availability for BharatBenz customers across Maharashtra and other markets in western India. The company has also been expanding its sales and service footprint in the region. In March 2026, DICV inaugurated new BharatBenz dealerships in Talegaon, Pune, and Malegaon, Nashik, taking the total BharatBenz touchpoints in Maharashtra to 19 under its partnership with Autobahn Trucking.

The expansion comes as commercial vehicle manufacturers place greater emphasis on aftersales support, particularly for fleet operators for whom vehicle downtime can directly affect utilisation and operating costs.

Triumph to Introduce New Moto2 Race Engine in 2027

Arunima Pal — Sat, 08 Aug 2026 16:45:20

Triumph Motorcycles will introduce a new race engine for the Moto2 World Championship from 2027, with track testing scheduled to begin in the coming months. The new power unit is expected to deliver around 6% higher peak power than the current engine and will also bring a change in engine capacity.

Triumph has been the exclusive engine supplier for Moto2 since 2019, when it replaced Honda. The new engine represents the most significant performance update to the Moto2 power unit since Triumph began supplying the championship.

The development has been based on data gathered from nearly two million kilometres of racing since 2019, along with feedback from Moto2 riders. The existing 765cc three-cylinder engine, derived from the Street Triple 765 RS, has received several updates over the years, including gearbox changes aimed at improving performance.

According to Triumph, the new engine focuses on increasing airflow into the cylinders. It features a redesigned cylinder head, a lower-inertia valvetrain, higher-flow ports and a new combustion chamber. These changes are intended to enable a higher compression ratio and increase torque across the rev range.

The crankcases and internal components have also been redesigned to handle the additional power and torque. Despite the performance increase, the revised engine is around 2kg lighter than the current unit.

The engine upgrade will also require Moto2 chassis manufacturers to develop new designs for the 2027 season. Changes will be required to the air-intake positioning and engine mounting points, among other areas.

Triumph said it has been working with chassis manufacturers for the past 12 months to provide the technical information required for the new engine. The power unit will be made available to Moto2 teams ahead of private testing, with its on-track debut planned for later this year.

Since Triumph became the Moto2 engine supplier, the championship has recorded close to 100 improvements in all-time and race lap records, according to the company.

Steve Sargent, Chief Product Officer, Triumph Motorcycles, said the new engine marks a step forward in the company's partnership with MotoGP and builds on the development work carried out since 2019.

The new engine will make its competitive debut in the Moto2 World Championship in 2027.

JLR Appoints Dedicated Discovery Boss as Brand Prepares for Repositioning

Ketan Thakkar — Sat, 08 Aug 2026 16:31:42

JLR has appointed Adam Constable to lead Discovery, creating a dedicated leadership role for the brand for the first time as the automaker prepares to reposition it under its House of Brands strategy.

Constable, currently global strategy director for Range Rover, will take charge of Discovery from September 1. He will also serve as managing director of Freelander, the electrified SUV brand being developed by Chery with JLR's backing.

The appointment comes as JLR continues to restructure its leadership and product portfolio across its four-brand strategy, which comprises Range Rover, Defender, Discovery and Jaguar. Constable will be responsible for shaping the future direction of Discovery as the brand prepares for a new generation of products.

The move comes at a significant point for Discovery. The Discovery Sport is scheduled to end production later this year, while the fifth-generation Discovery is also nearing the end of its lifecycle. This could leave the brand without a model in the market during its transition to a new product portfolio.

JLR has previously indicated that Discovery will be positioned differently from Defender, despite the two brands operating in overlapping SUV segments. The focus is expected to shift towards family-oriented adventure, with greater emphasis on versatility and practicality. Future derivatives, including a potential replacement for the Discovery Sport, are expected to follow a similar positioning.

Constable brings experience across several areas of the automotive industry to the role. Before joining Range Rover's strategy team, he headed marketing for JLR's Special Vehicle Operations division and has held senior positions at Aston Martin and Prodrive.

His additional responsibility for Freelander is focused primarily on JLR's operations in China rather than the global retail operation of the new brand. Freelander's international retail activities will be managed by Chery alongside its other brands.

Despite Constable holding leadership responsibilities across both Discovery and Freelander, there are currently no plans for platform or component sharing between the two brands. His Freelander role will instead include oversight of JLR's China operations with Chery, including the Changshu manufacturing facility and Shanghai design centre, which contributed to the development of the new Freelander 8 SUV.

The appointment forms part of a wider leadership reshuffle at JLR which also includes new management positions for its UK operations, Defender and North America. For Discovery, however the initial priority will be defining a distinct market position and developing a product portfolio that can establish the brand as a standalone pillar within JLR's evolving business structure.

Credits: Autocar UK

Audi Extends Roadside Assistance for Rain-affected Cars in Delhi-NCR

Arunima Pal — Sat, 08 Aug 2026 16:24:27

Audi India has announced complimentary 24x7 roadside assistance (RSA) for customer vehicles affected by heavy rainfall in the Delhi-NCR region.

The support will be available across Delhi-NCR and will include assistance for vehicles that have been immobilised or affected by the ongoing rain and waterlogging. Customers can access the service through Audi's roadside assistance numbers, 1800 103 6800 and 1800 209 6800.

The assistance package includes on-site repairs, fuel delivery and spare-key support. Audi said customers may also receive travel or accommodation facilities, along with vehicle custody, transportation, storage and safekeeping services, depending on the circumstances.

"In light of the unprecedented challenges currently faced by our customers in the Delhi-NCR region, we remain fully committed to supporting them in every possible way. We are also monitoring situation in other cities and will extend support, as needed. Our teams are on standby to respond swiftly, ensuring the safety, comfort and well-being of our customers during this difficult time," said Balbir Singh Dhillon, Brand Director, Audi India.

The announcement comes after several days of heavy rainfall across Delhi and neighbouring parts of the National Capital Region. Delhi recorded 127 mm of rain during the first seven days of August, making it the wettest opening week of August in 15 years. Heavy rain has also affected Gurugram and Noida, with waterlogging reported on several roads and traffic disruptions across the region.

Gurugram, in particular, has reported extensive waterlogging following repeated heavy spells, affecting major arterial roads and disrupting daily travel. The rainfall has also resulted in flooded roads and stranded vehicles in parts of the NCR.

For vehicles exposed to substantial waterlogging, Audi's roadside assistance is intended to provide support with vehicle recovery and transportation, alongside basic roadside services. Customers have been advised to contact their nearest Audi dealership for further information.

Audi said its teams are monitoring weather conditions in other cities and that additional support would be extended if required.

Escorts Kubota to Spend up to Rs 900 Crore in FY27 as Greenfield Plant Breaks Ground

Anurag Chaturvedi — Sat, 08 Aug 2026 15:00:00

Escorts Kubota has budgeted Rs 850 crore to Rs 900 crore of capital expenditure for FY27, split between a new manufacturing site and its existing operations.

The greenfield project takes Rs 450 crore to Rs 500 crore this year, most of it accounted for by the land, which has been allotted and paid for. Groundbreaking is due this month. Regular capex across the rest of the business takes the remaining Rs 350 crore to Rs 400 crore.

The project will cost around Rs 2,000 crore in total, and the schedule is demand-led.
"If we have expedited construction, then maybe the spend will be more," Bharat Madan, whole-time director and chief financial officer, told analysts on the Q1 FY27 earnings call on 3 August, adding that it was too early to fix an FY28 figure. Regular capex will stay in its current band.

The commitment follows a quarter of records at both businesses. Domestic tractor sales rose 22.9 percent to 35,457 units, while construction equipment volumes rose 27.4 percent to 1,344 machines.

Captive finance

The second call on capital is the company's own lending arm. Escorts Kubota Capital reached 10-12 percent penetration during the quarter and crossed 15 percent in July, running through around 250 onboarded dealers across a limited set of states. Southern states open this year to support new launches there. Madan expects 40-50 percent of the network covered by FY27 and a pan-India rollout by FY28.

The unit is pointed at markets the company has struggled to reach rather than at the ones it already leads.

"In the stronger market, the financing is not an issue," Madan said. Management is targeting an incremental volume gain of 20-25 percent in the territories where the unit operates.

Buyback

With that spending still modest against the balance sheet, an analyst put the company's cash surplus at close to Rs 10,000 crore, a figure management did not contest, and asked whether revised rules opened the way to a buyback.

"The scope for further buyback is very limited. You can't go beyond 5 percent if you continue to be listed," Madan said.

Promoters hold about 68 percent, and promoter and non-public shareholding together come to around 70 percent, which leaves little room under minimum public shareholding requirements. A buyback remains part of the capital allocation strategy but would need both promoters to align, and the mechanics favour public shareholders over promoters looking to hold or raise their stake.

Escorts Kubota Guides 12-15% Construction Equipment Growth for FY27

Anurag Chaturvedi — Sat, 08 Aug 2026 12:04:20

Escorts Kubota expects the construction equipment market it serves to expand 12-15% in FY27. Growth will be uneven across the range, with cranes and mini excavators leading while backhoe loaders add 5-7% and compactors 5-6%.

The company enters that year from a strong quarter. Volumes rose 27.4% to 1,344 machines in Q1 FY27 and segment revenue rose 39.2% to Rs 419.6 crore. July was stronger again, with volumes up 49.2% to 534 machines. The market it addresses, covering pick-and-carry cranes, backhoe loaders, mini excavators and compactors, grew around 23 percent during the quarter, led by cranes at 46%.

Sanjeev Bajaj, chief officer of the construction equipment business division, discounted much of that on the Q1 FY27 earnings call. The year-ago quarter was disrupted by the BS-V changeover, when manufacturers were pushing costlier machines into a market wary of the new technology. Stripped of that base, he put sustainable crane growth closer to 20 percent.

Demand drivers

What is left, he argued, is a genuine recovery in project execution. "The last financial year, the rate at which roads were constructed was almost half of what it was in the year 2024 and 2025," Bajaj said. "So there is a renewed focus by the government to push these infrastructure projects."

He pointed to development activity in Andhra Pradesh following the new capital city, a pickup in West Bengal, and traction in solar power and metro rail. Corporate buyers are taking higher-capacity cranes where execution speed matters to project timelines.

Escorts Kubota gained about 2.7 percentage points of segment market share last year and intends to stay aggressive, Bajaj said. Backhoe loaders and compactors, the two lines still to move to BS-V, arrive from September and will be repriced at that point. Models aimed at specific applications and at entry-level buyers follow from October.

Pricing

Emission-linked increases came through in two bands. Machines that went from BS-III straight to BS-V carried a 6-7% rise, while those moving from BS-IV to BS-V took 3.5-4.5%. Most of that was passed on in January 2025.

Commodity costs have since forced several smaller increases through the first half of this year. Including the January revision, the cumulative rise is about 5%, or closer to 6% once adjustments to channel discounts are counted.

"There is a pushback from the customer to the tune of they are taking longer time to decide, and it is taking a deeper negotiation," Bajaj said. He expects prices to settle during the second quarter, with demand acting as the leveller.

Heavy monsoon rain is the other near-term risk, supporting tractor demand while suppressing construction activity.

Dhoot Transmission Secures Rs 918 Crore From Anchor Investors Ahead of IPO

Autocar Professional Bureau — Sat, 08 Aug 2026 11:14:35

Auto components maker Dhoot Transmission Ltd has raised Rs 918.27 crore from anchor investors ahead of its initial public offering (IPO), the company said on Friday.

The company allotted 10.54 million equity shares to 72 anchor investors at Rs 871 per share, the upper end of the IPO price band.

Of the total anchor allocation, 6.46 million equity shares, or 61.27%, were allotted to eight domestic mutual funds through 46 schemes. Another 921,895 equity shares, representing 8.74% of the allocation, were allotted to life insurance companies and pension funds.

The anchor round was priced at Rs 871 per equity share with a face value of Rs 2 each, including a share premium of Rs 869 per share.

Anchor investors typically commit capital before an IPO opens to the public, providing an early indication of institutional interest in the offering.

Dhoot Transmission's IPO, valued at Rs 3,067 crore, is scheduled to open for subscription on Monday and conclude on Wednesday. The issue has been priced in the range of Rs 829 to Rs 871 per share.

The issue comprises a fresh issue of equity shares aggregating up to Rs 1,400 crore and an offer for sale of up to 1,91,37,602 equity shares by existing shareholders.

The anchor book drew participation from a mix of domestic and overseas institutional investors, including SBI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual Fund, BlackRock, WhiteOak, Abu Dhabi Investment Authority, Axis Mutual Fund, Mirae, Nippon India Mutual Fund, Government Pension Fund, Pictet, Amundi Funds, Allianz Global Investors, Franklin Templeton Mutual Fund, Tata Mutual Fund, Invesco Mutual Fund, Canara Robeco Mutual Fund, UTI Mutual Fund, PGIM India Mutual Fund, HSBC Mutual Fund, Sundaram Mutual Fund, SBI Life Insurance, HDFC Life Insurance, ICICI Prudential Life Insurance, Axis Max Life Insurance, Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Edelweiss Mutual Fund and 3P India Equity Fund.

Escorts Kubota Raises FY27 Tractor Industry Forecast to Mid-Single-Digit Growth

Anurag Chaturvedi — Sat, 08 Aug 2026 11:10:35

Escorts Kubota forecasts mid-single-digit growth for the domestic tractor industry in FY27. The guidance it issued three months ago allowed only for a swing of two to three percent in either direction, which put a flat year at the centre of its expectations.

The June quarter overturned that. The industry sold a record 3.39 lakh units, up 18.6 percent. Escorts Kubota outpaced the industry growth with its domestic volumes rising 22.9 percent to 35,457 units, the best first quarter in its history, and it added 36 basis points of market share. Momentum then carried into July, when domestic sales rose 23.7 percent to 8,194 units. Across April to July, including exports, the company has sold 45,593 tractors.

"The last quarter and especially the last 45, 50 days have been very, very positive," Neeraj Mehra, chief officer of the tractor business division, told analysts on the company's Q1 FY27 earnings call. He expects Escorts Kubota to keep outgrowing the industry and to add further share.

Regional mix

The upgrade rests heavily on a region where the company has been thinly represented. Industry volumes in southern India rose about 33 percent during the quarter, well ahead of the 19 percent recorded nationally. Escorts Kubota gained 50-60 basis points of share there, lifting its combined Farmtrac, Powertrac and Kubota position to around 6 percent.

"South, which has traditionally been our weak geography, the industry growth has been highest over there," Mehra said.

Its established northern and central markets also outpaced the rest of the country, growing about 22 percent, against 15.4 percent elsewhere. Two state-level questions were put to management on the quality of that growth. Uttar Pradesh, Mehra said, grew organically with no subsidy involvement.

Gujarat did draw on a state subsidy, but he described it as an annual programme that varies only in timing and quantum rather than a one-off intervention.

Portfolio gaps

Product has done much of the work. The Powertrac Shaurya range, launched for southern markets late in Q4 FY26, has driven much of the regional gain, helped by dealer additions filling white spaces in the network. Farmtrac Promaxx, the four-wheel drive model, now accounts for over 20-22 percent of Farmtrac sales. Digitrac contributes 23-25 percent of Powertrac volumes after a 4x4 variant was added to the range.

There’s a gap that remains in the same configuration.

"A major gap is in the 35 to 50 HP segment in the four-wheel drive. The four-wheel drive market is actually growing across the country," Mehra said. "There are certain states which are highly driven by the four-wheel segment. So there we have not done well."

Powertrac models in that band are due over the coming months. Under the Kubota brand, launches are planned in two areas: the 20 hp to 30 hp orchard and compact category and the 41 hp to 50 hp segment, which between them account for 77-78 percent of the industry.

Exports

Escorts Kubota shipped 1,405 tractors in the quarter, down from 1,733 a year earlier, at a time when industry exports rose 17.7 percent to 29,778 units. Suggesting exports moved the other way.

The divergence is structural. Industry growth came almost entirely from the above-40 hp band, which expanded around 30 percent and where the company's presence is limited. Its own strength lies in compact tractors below 40 hp, and that segment contracted about 8 percent. Vessel availability tied to the West Asia situation delayed shipments on top of that. The Kubota global network absorbs roughly 61 percent of what the company exports.

Management expects exports to finish FY27 flat, recovering the shortfall over the remaining quarters, with FY28 growth contingent on the North American market opening up. Component exports, worth Rs 160-170 crore last year, were flat in the quarter and are expected to more than double in value within two years.

Costs and pricing

Mehra declined to project volumes quarter by quarter, pointing to the number of variables still in play. "It will not be very prudent for me to estimate at a quarterly level or a monthly level because of the shift of seasons and high base and GST last year," he said.

The festive season begins in October, later than usual. Inventory at the company's dealers stands at around 30 days, a level he called comfortable, and will rise as the season approaches, though he rejected the framing put to him.

"I'll not say push stock into the system. I'll articulate it as build stock," he said.

Costs are the counterweight. Input costs on the tractor business rose about 5 percent during the quarter. Roughly one percentage point of that came from higher minimum wages for contract labour in Haryana, a burden specific to Escorts Kubota, leaving an industry-wide commodity impact of about 400 basis points. A further 1-2 percent is expected in the second quarter.

That pressure shows in the margins rather than the top line. Agri-machinery revenue rose 26.8 percent to Rs 2,766.5 crore, but segment EBIT margin narrowed to 10.8 percent from 12.6 percent.

The pattern repeats at the company level, where standalone operating revenue from continuing operations rose 28 percent to Rs 3,178.9 crore while EBITDA advanced only 9.4 percent to Rs 355.4 crore. The EBITDA margin fell to 11.2 percent from 13.1 percent. Reported profit is not comparable year on year, the base carrying both the railway equipment divestment and a Rs 76 crore gain on land and buildings.

April's price rise of 1-1.5 percent will be followed by another, said Bharat Madan, whole-time director and chief financial officer, with quantum and timing unsettled and no expectation of recovering the full cost increase. It will also not be withdrawn once conditions ease.

"No one will take price increase only for three, four months and disturb the market," Madan said. "Whatever we do will be something which will continue in future."

He expects the reversal in commodity costs to begin in the fourth quarter.

E20 Contamination Claims Don't Hold up to Testing, Oil Marketers Say

Autocar Professional Bureau — Fri, 07 Aug 2026 21:17:21

India's state-run oil marketing companies including Indian Oil, HPCL and BPCL have together mounted a detailed public defense of the country's 20% ethanol-blended petrol, releasing results from an intensive nationwide testing drive that they say disproves media reports of chloride contamination and water in the fuel.

The companies said samples drawn from every stage of the supply chain, which includes refineries, ethanol distilleries, storage depots, tanker trucks and retail pumps, showed chloride levels between zero and 3 parts per million, far below the several-hundred-ppm figures that had circulated in recent reports. Claims of chloride concentrations as high as 500 ppm, they said, could not be validated.

The stakes for the automotive industry are considerable. Chloride is corrosive to fuel-system components, and elevated levels in petrol can attack fuel pumps, injectors and metal fuel lines over time. Water in fuel, meanwhile, is a particular concern with ethanol blends because ethanol absorbs moisture readily; beyond a threshold, the fuel can separate into layers, starving engines of a consistent air-fuel mixture and accelerating corrosion. Vehicle manufacturers calibrated their engines for E20 on the assumption that the fuel would meet government specifications, and any credible evidence of contamination would reopen a debate the industry considered settled.

That debate has simmered since India accelerated its ethanol blending programme, which reached the 20% target ahead of schedule. Automakers had earlier flagged that vehicles built before 2023 were not designed for E20, prompting consumer concerns about mileage loss and component wear. The latest contamination reports threatened to compound that unease, which likely explains the speed and granularity of the oil companies' response.

According to the release, more than 100 randomly selected petrol samples from refineries showed chloride at or below 1 ppm. A joint task force of the oil companies and the Centre for High Technology, the petroleum ministry's technical arm, tested ethanol from 80 distilleries over ten days, all returning readings below 3 ppm. More than 80 samples from terminals and over 160 from retail outlets fell within the same range of 0-3 ppm.

The companies did acknowledge two isolated cases of elevated chloride at retail outlets. Supplies at those locations were suspended, investigated and restored only after corrective measures.

On the moisture question, the companies said roughly 90,000 fuel stations have begun mandatory inspections of underground storage tanks, checked 8 to 12 times daily, with no water intrusion detected so far. Mobile testing laboratories have been deployed, and results are being cross-checked by independent fuel laboratories. Tabulated results are being published on the Centre for High Technology's website and will be updated as more data arrives.

For automakers and component suppliers, the episode underscores a structural feature of the ethanol era: fuel quality is now a shared reputational risk. When consumers experience drivability problems, the blame can land on the vehicle, the fuel or both. For now, the message to India's motorists is : keep filling up with E20.

E20 Contamination Claims Don't Hold up to Testing, Oil Marketers Say

Autocar Professional Bureau — Fri, 07 Aug 2026 21:17:21

The companies did acknowledge two isolated cases of elevated chloride at retail outlets. Supplies at those locations were suspended, investigated and restored only after corrective measures.

Apollo Tyres Completes Netherlands Shutdown in Strategic Pivot Toward Indian and Hungarian Plants

Shahkar Abidi — Fri, 07 Aug 2026 19:12:48

Apollo Tyres is nearing the finish line of a major operational overhaul in its European theater. During the company’s Q1 FY27 earnings call, management confirmed that production at its Netherlands facility officially ceased in June 2026, marking a definitive shift in the manufacturer’s regional manufacturing strategy.

The restructuring is a central pillar of Apollo’s plan to optimize costs and defend margins against a volatile raw material environment. Management expects the full transition to be completed by October 2026, with the primary financial benefits slated to begin accruing in the second half of the fiscal year.

Strategic Production Migration

The relocation of manufacturing capacity is being handled through a multi-hub approach. Truck and Bus Radial (TBR) production is being shifted to India, while the majority of Passenger Car Radial (PCR) production is moving to the company’s Hungary plant. Smaller 14–15-inch PCR tyres are also being transferred to Indian facilities.

The Hungary plant expansion, increasing PCR tyre capacity from 17,000 to 21,000 tyres/day, is expected to commence in H2FY27.

Notably, the company has opted for an "off-take" model for its high-end Agri tyres rather than building new internal capacity. Management noted that setting up dedicated Agri tyre production in India was not economically viable given the relatively small scale of 10-20 metric tonnes per day.

Financial Impact and Margin Outlook

The restructuring costs have temporarily masked the underlying health of the European business. Apollo’s European EBITDA margin stood at 9% for Q1 FY27, but management highlighted that excluding temporary overlap costs from the restructuring, the margin would have reached approximately 11%.

As the company moves toward the October completion date, the focus shifts to the Hungary plant, where a capacity expansion from 17,000 to 21,000 tyres per day is expected to commence in H2 FY27. This increased throughput, combined with the lower cost base of the new production mix, is expected to drive a gradual margin recovery starting in the latter half of the year.

Tornel Trouble: How West Asia's War Reached JK Tyre's Mexican Factory Floor

Shahkar Abidi — Fri, 07 Aug 2026 18:50:33

When JK Tyre & Industries acquired JK Tornel in Mexico over a decade ago, the strategic logic was sound: a manufacturing foothold in North America, proximity to the United States market, and a hedge against India-centric concentration risk. In the first quarter of FY27, that logic faced its most severe stress test.

Mexico segment revenue collapsed to Rs 89 crore in Q1 FY27 from Rs 505 crore in the corresponding quarter a year earlier, an 82% decline that no amount of domestic volume growth could fully offset at the consolidated level. The segment posted a loss of Rs 45.83 crore against a profit of Rs 6.32 crore in the sequential quarter ended March 2026. Capital employed in the geography, meanwhile, stands at Rs 1,150 crore, marginally higher than the preceding quarter, meaning the asset base is growing even as the revenue generating it has virtually disappeared.

The company's explanation, offered during a post-results briefing with media, identifies two converging disruptions. First, the ongoing West Asia conflict constrained the availability of key petrochemical-derived raw materials feeding the Tornel plants. "Tornel Mexico was impacted due to ongoing disruption in the geopolitical scenario, which resulted in a constraint availability of our key raw materials," remarked Anshuman Singhania, Managing Director, JK Tyre & Industries.

The second, and more operationally revealing, productivity enhancement negotiations with the Tornel workforce escalated into industrial relations issues that further disrupted output. "IR issue, but that has been resolved," Singhania responded to a question by Autocar Professional.

The convergence of external supply shock and internal labour friction at a single facility in a single quarter is, in isolation, explicable as bad timing. What makes the Tornel situation strategically significant is the structural context. The United States-Mexico-Canada Agreement trade architecture, which originally made Mexican manufacturing attractive for accessing the US tyre market, is itself under geopolitical pressure. Any further shifts in North American trade policy could alter the economics of Tornel's positioning fundamentally.

JK Tyre's total asset base in Mexico is Rs 2,329 crore against liabilities of Rs 1,178 crore, a capital employed of Rs 1,150 crore that generates, in a bad quarter, negative returns. Management has not indicated any strategic review of the asset, and Singhania's commentary on the call was forward-looking and constructive in tone. But with the India business growing at 25% volume and absorbing the group's Rs 4,980 crore phased capex programme over three years, the question of whether Rs 1,150 crore of capital in a geopolitically exposed Mexican operation is optimally deployed will grow louder if Q2 does not show a meaningful recovery.

The Tornel chapter is not closed. It may, in fact, be entering its most consequential phase.

Petro-Price Pain Squeezes JK Tyre as Crude Shock Reshapes Tyre Industry's Cost Calculus

Shahkar Abidi — Fri, 07 Aug 2026 18:30:58

JK Tyre & Industries Ltd posted a resilient top-line in the first quarter of FY27; consolidated revenue held steady at Rs 3,956 crore, but the company's management made no attempt to obscure the margin damage inflicted by a crude-oil-driven raw material surge that has rippled across India's tyre sector.

Speaking on a post-results virtual briefing on August 7, Managing Director Anshuman Singhania said raw material prices had risen approximately 20% between Q4 FY26 and Q1 FY27 on a sequential basis, and that a further increase of 8–9% was expected in Q2. The disclosure puts the cumulative input cost escalation at close to 30% over two quarters, a compression that has pushed JK Tyre's consolidated EBITDA margin down to 6.8% from approximately 10.9% in the year-ago period.

Raw Material Cost Surge Behind the Margin Hit

The structural vulnerability is well-understood across the industry. Approximately 70% of tyre raw materials - natural rubber, carbon black, synthetic rubber and process oils, are either directly petro-derived or closely correlated to crude price movements. The West Asia conflict, which has roiled energy markets through the first half of 2026, has left manufacturers with limited ability to hedge or substitute at scale.

JK Tyre's Price Hikes and Premiumisation Push

JK Tyre's response has been two-pronged. The company has implemented price increases of 10–11% through August, with a further 5–6% flagged for the coming months, Chief Financial Officer Sanjeev Aggarwal confirmed. Simultaneously, the company is accelerating its premiumisation push: the share of passenger car tyres sized 16 inches and above translates to higher-margin, lower-volume SKUs, rose to 32% of the passenger car mix in Q1 from 29% in the corresponding quarter last year.

Whether the price actions are sufficient is a live question. Singhania acknowledged recent moderation in crude prices as an encouraging signal, stopping short of calling it a trend. "We are hoping this will definitely pan out," he said, linking relief to the geopolitical trajectory in West Asia, a variable no tyre company can model with confidence.

The broader industry context makes JK Tyre's positioning instructive rather than exceptional. Competitors including MRF, Apollo Tyres and CEAT have faced identical input cost dynamics this quarter. What distinguishes JK Tyre's situation is the compounding pressure from its Mexico operations, where geopolitical disruption constrained raw material availability and added a further drag to consolidated margins.

With demand remaining robust, domestic volumes grew 25% year-on-year, OEM offtake up 42%, the demand side of the equation is not in question. It is the cost side, and specifically the pace at which price increases and premiumisation can offset petro-linked inflation, that will determine whether management's double-digit revenue growth and improved profitability guidance for FY27 survives contact with reality.

Schaeffler India Appoints Amit Bhalerao as Chief Operating Officer

Dev Vadchhedia — Fri, 07 Aug 2026 18:20:31

Schaeffler India Limited has announced the appointment of Amit Bhalerao as its Chief Operating Officer, effective August 10, 2026.

Amit Bhalerao's Mandate at Schaeffler India

In his new role, Bhalerao will join the Executive Leadership Team and take responsibility for managing the company's manufacturing footprint across India. His mandate includes guiding manufacturing strategy, operational performance, continuous improvement, digital transformation, and accelerating localization initiatives across Schaeffler India's manufacturing facilities.

Amit Bhalerao's Career Before Schaeffler India

Bhalerao brings over two decades of experience in manufacturing operations, lean management, supply chain, and quality systems across organizations in India, Europe, China, and the United States. Prior to joining Schaeffler India, he served as Managing Director and Vice President of Operations at Kelvion India. His career also includes operational and leadership roles at Cummins, Eaton, and Sterlite Technologies.

Harsha Kadam, Managing Director and CEO of Schaeffler India, said, "Amit brings extensive experience in leading complex manufacturing operations, driving operational excellence and building high-performing teams. His leadership will further enhance our manufacturing competitiveness, customer focus and innovation capabilities as we continue delivering greater value to our customers and stakeholders".

MediaTek Qualifies Infineon Memory for Automotive Cockpit Chipset

Autocar Professional Bureau — Fri, 07 Aug 2026 17:20:24

MediaTek has officially qualified Infineon Technologies' 512 Mb Quad SPI NOR flash memory for its Dimensity Auto Cockpit C-X1 platform, creating a pre-validated memory option for automakers and Tier 1 suppliers.

The automotive-grade NOR flash component provides high-density data storage for the system-on-chip platform, holding the firmware and boot code necessary for artificial intelligence tasks. These tasks include conversational voice assistants, driver monitoring systems, environmental perception, and personalized audio-visual features.

What the Infineon NOR Flash Chip Enables in the Cockpit

Built on Infineon's MirrorBit technology, the memory chip carries AEC-Q100 qualification and functions across operating temperatures up to +125°C. It supports Safe and Secure Boot features to maintain critical hardware redundancies as software-defined vehicles increasingly rely on higher storage capacities for over-the-air updates.