Autocar Professional - Latest Articles

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.

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.

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.

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.

Epsilon CAM's Gen 3.0 LFP Cathode Material Enters Global Customer Validation

Autocar Professional Bureau — Fri, 07 Aug 2026 13:23:00

Epsilon CAM, the cathode materials business of Epsilon Group, has commenced customer validation of its Gen 3.0 Lithium Iron Phosphate (LFP) Cathode Active Material with cell manufacturers across Asia-Pacific, Europe and the United States as it advances plans to establish a non-China supply chain for battery materials.

The company said its latest LFP cathode material delivers a discharge capacity of 159 mAh/g and an electrode density of 2.51 g/cc or higher. According to Epsilon CAM, the material meets the performance requirements of high-energy density LFP cathodes, a segment currently dominated by Chinese suppliers.

20,000 TPA Capacity Roadmap by 2028

Epsilon CAM plans to establish a commercial manufacturing facility with an annual capacity of 20,000 tonnes by 2028, with a roadmap to expand capacity to 100,000 tonnes per annum in subsequent phases.

R&D and Manufacturing Base in Moosburg, Germany

For research and development, the company operates its Cathode Technology Centre in Moosburg, Germany. The facility houses a team focused on cathode material development and includes a 250 TPA commercial manufacturing facility, an ISO 9001-certified quality management system and a portfolio of 149 patents, supporting product development, customer qualification and commercial scale-up.

Epsilon CAM also said its proprietary cathode technology has been developed to support compliance with emerging battery material sourcing requirements, including U.S. Prohibited Foreign Entity (PFE) regulations, as battery manufacturers diversify supply chains outside China.

"The advancement of our Gen III LFP cathode material into customer validation with large global cell makers shows our commitment to providing cell manufacturers with high-performance, globally competitive and supply chain-resilient cathode solutions," said Vikram Handa, Managing Director, Epsilon Group.

BKT Flags Further Margin Pressure as Raw-Material Costs Rise

Darshan Nakhwa — Thu, 06 Aug 2026 21:00:47

Balkrishna Industries Ltd (BKT) expects raw-material inflation to affect margins by around 2% in the coming quarter, even as the tyre maker receives the full benefit of price increases taken during Q1 FY27.

Management said raw-material prices had risen by about 5% on the cost base. This would have an impact equivalent to around 3% of sales, with part of the increase expected to be offset by the price hikes already implemented.

“The raw-material price has increased by 5% on the cost basis of the raw material. The impact on the sales price is approximately 3%. Out of that, we are expecting it may impact 2% of our margins in the coming quarter,” M.S. Bajaj, Special Adviser to Chairman and Managing Director, said during the company’s Q1 earnings conference.

The call transcript, however, does not clearly establish when the impact will be felt. Management initially said the cost increase would flow through Q2 and Q3, before referring to a 2% margin impact in the “coming quarter”. It also did not clarify whether the 2% referred to a two-percentage-point contraction or a relative decline.

BKT’s standalone EBITDA margin fell 315 basis points year on year to 20.61% in Q1 FY27, even as revenue and volumes grew sharply. Its revenue increased 24% to ₹3,409 crore, while EBITDA rose at a slower pace of 7% to ₹703 crore. Profit after tax increased 50% to ₹432 crore. Off-highway tyre volumes grew 16% to a record 93,770 tonnes.

Why BKT's Margins Are Under Pressure

During the June quarter, the company’s raw-material expenses rose to ₹1,935 crore, up from ₹1,285 crore in the year-ago period. The increase also reflected the higher production and sales volumes during the period.

The off-highway tyre business accounted for around 90% of BKT’s revenue, while carbon black contributed about 10%, according to the investor presentation.

Management attributed the margin contraction mainly to higher raw-material prices and supply-chain disruption caused by geopolitical tensions. An increase in India’s share of volumes also weighed slightly on profitability because domestic sales carry lower margins than exports.

BKT Price Hikes: Will They Offset Rising Costs?

India accounted for 39.7% of Q1 tyre volumes, up from 34.9% in the year-ago period. Europe’s share was flat at 38.4%, while the Americas contributed 12.3%, compared with 17% in Q1 FY26.

Management said the margin on Indian sales was now only marginally lower than the export business, with the gap narrowing from earlier levels.

Price Hike to Provide Partial Relief

BKT raised prices by about 5% in stages during Q1. Since the increases were spread across the quarter, their full benefit will be reflected in the subsequent quarter.

“We have taken a price hike of about 5%, scattered across various parts of the quarter. You will see the full pass-through coming in this quarter,” Joint Managing Director Rajiv Poddar said.

The company has not announced another increase and will assess market conditions before deciding on further price action.

However, price increases may not fully offset the near-term rise in costs. The extent of the margin impact will depend on how quickly raw-material inflation flows through and BKT’s ability to pass it on to customers without affecting demand.

Freight and Supply-Chain Risks Persist

BKT flagged risks from geopolitical uncertainty, including possible disruptions to the availability and cost of raw materials, vessels and containers.

Freight costs accounted for around 5% of revenue in Q1. Management said rates could rise further if the present disruption continued and that the company would assess how much of the increase could be passed on to customers.

Weather conditions in Europe and uncertainty around the Indian monsoon were also identified as variables that could affect near-term performance.

Carbon Black Integration Offers Some Protection

BKT has expanded its in-house carbon black capacity to reduce dependence on external suppliers and secure access to a key tyre input.

The company commissioned the second phase of its Bhuj carbon black plant during Q1, raising total capacity to 360,000 tonnes per annum. It also increased captive power capacity to 64 MW.

The expansion was aimed at improving raw-material availability, energy integration and sustainability, according to the investor presentation. It would also strengthen BKT’s position as a carbon black supplier to tyre and non-tyre customers in India and overseas.

BKT said its integrated carbon black facility gives it greater control over a critical raw material and supplies power to its tyre plants, helping reduce a major manufacturing cost.

However, management warned that higher crude prices and geopolitical disruption could still affect carbon black costs and supplies. The company may increase carbon black prices to offset raw-material inflation.

ASK Automotive Revises FY27 Revenue Forecast Upwards

Kiran Murali — Thu, 06 Aug 2026 20:02:44

ASK Automotive has raised its revenue growth forecast for the 2026-27 financial year to the high-teens from an earlier expectation of mid-teen growth, encouraged by a strong first quarter, fresh order wins and a positive demand outlook, according to senior executives of the company.

"We are confident that we will continue to grow not only in mid-teens but I am confident that will be now growing for the full year in high teens," Ask Automotive's management told investor after announcing the company’s first quarter earnings.

ASK Automotive manufactures advanced braking systems, aluminium lightweight precision solutions and safety control cables for two-wheelers and other vehicle segments. In the financial year 2025-26, it reported consolidated revenue of Rs 4,196 crore.

The revised outlook comes after the auto components maker reported its highest-ever quarterly revenue, EBITDA and profit after tax in the April-June quarter, while continuing to outpace growth in the domestic two-wheeler production indistry.

In the first quater, the company saw its consolidated net revenue rise 25.3% year on year to Rs 1,062 crore, while EBITDA increased 32.7% to Rs 164 crore and profit after tax climbed 28.8% to Rs 85 crore.

ASK Automotive attributed its optimism for a stronger full year growth to a healthy order pipeline and improving market conditions.

"We expect a high teens growth you know. So I have revised my forecast so you can see that even this quarter is going very well and we expect this momentum to continue in the whole of the financial year," the management said.

It added that the broader industry environment remained supportive.

"The industry is growing and I think the way economy is growing at about 6.7% I believe lot of money is percolating down the line and after this GST reduction from 28 to 18% I think because the prices have become rather reasonable and customers are buying the product especially two wheeler you know there is a lot of tailwinds," the management said.

Reflecting the stronger demand outlook, ASK Automotive also said it may increase its capital expenditure for the year.

"We had given a guidance of about around 450 to 500 crores but the way we are going and the way we are receiving the orders because as I today revised the guidance to high teens you know I think our capex may go to something like 700," the management said.

The higher investment will partly support a new manufacturing facility in southern India after the company secured additional business. Management said the Bengaluru plant is expected to be operational before the end of the financial year.

Vision 2030: Motherson Maps a Five-Fold Leap, and a Future Beyond Cars

Shahkar Abidi — Thu, 06 Aug 2026 19:06:23

Samvardhana Motherson International Ltd. has set itself a target that would be ambitious even by its own standards: gross revenues of $108 billion by 2029-30, up from $22.9 billion in FY2026.

The goal anchors Vision 2030, the group's seventh five-year plan, launched as Motherson completes 50 years since Vivek Chaand Sehgal and the late Swaran Lata Sehgal founded the company in Delhi in 1975. The plan rests on four pillars: the USD 108 billion topline, a 40% group return on capital employed, dividends of up to 40% of consolidated profit, and a diversification rule the company calls 3CX10 — no country, customer or component should contribute more than 10% of revenues.

A Compass

Motherson is candid that five-year plans have "guided us as compass and direction, not just as a target" — language that acknowledges a mixed scorecard. The company beat its first four plans, turning a 1995 target of Rs 100 crore into Rs 153 crore, and overshooting the 2010 goal of $5 billion with $5.5 billion. Likewise, in 2015, the company achieved $8.9 billion against a $5.5-18 billion target , and $25.7 billion against $36 billion in 2025.

The Diversification Math

The 3CX10 target is arguably the more transformative commitment for a company still recognizably an automotive supplier. Motherson's booked business of USD 96 billion as of March 2026 remains 75% conventional automotive and 22% pure-EV programs, with non-automotive at just 3% . By geography of revenue, India alone accounts for 22%; by component, wiring harness contributes 25%.

Getting every cell of that matrix under 10% implies the non-auto businesses — aerospace, consumer electronics, logistics, health and medical, semiconductors, rolling stock, must grow disproportionately. The capital allocation already points that way: FY27 capex guidance of Rs 6,000 crore is split roughly half growth, half regular, with about 60% of growth capex directed at non-auto businesses. All 13 facilities currently under construction sit in emerging markets, from India and the UAE to Morocco, Poland and Hungary.

Firepower and Positioning

For the automotive industry, the plan is a signal of where a top-10 global supplier believes value is migrating. Motherson now brands itself a D.E.M.A.L. specialist — design, engineering, manufacturing, assembly and logistics. For OEMs, the message is continuity; for the components sector, it is that one of India's most acquisitive groups intends to be measured, by 2030, as much by what it makes outside the car as within it.

Godrej Enterprises Opens Manufacturing Facility for Material Handling Equipment in Khalapur

Dev Vadchhedia — Thu, 06 Aug 2026 15:02:55

The Material Handling Equipment business of Godrej Enterprises Group has commenced operations at its new manufacturing facility in Khalapur, Maharashtra. Located within the 360-acre Naoroji Godrej Industrial Park, the plant will produce material handling solutions for automotive and other sectors.

Khalapur Plant Capacity and Strategic Location

The facility has an initial annual production capacity of 6,000 units, which can be scaled up to 15,000 units as demand expands. Situated near Nhava Sheva Port and the upcoming Navi Mumbai International Airport, the plant manufactures a range of equipment including articulated trucks, which Godrej exports to more than 40 countries.

Digital Assembly, Robotic Welding & Automation at the New Facility

Anil Lingayat, Business Head of the Material Handling Equipment business, stated that the plant incorporates digital assembly guidance, robotic welding, and automated painting systems to support domestic supply chains and global competitiveness. The site also integrates energy-efficient technologies aligned with the company's broader sustainability initiatives.

Tenneco Clean Air India Reports 20% Revenue Growth in Q1 FY2027

Arunima Pal — Thu, 06 Aug 2026 11:10:35

Tenneco Clean Air India Ltd reported a 20.2% year-on-year increase in revenue from operations to Rs 15.45 billion for the quarter ended June 30, 2026 (Q1 FY2027), while value-added revenue (VAR), the company's preferred performance metric, rose 18.4% to Rs 13.82 billion.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 7.9% year-on-year to Rs 2.47 billion. However, the EBITDA margin based on VAR declined by 175 basis points to 17.9% from 19.6% a year earlier, reflecting higher commodity costs linked to geopolitical developments and expenses associated with the company's transition from a privately held business to a listed entity.

Profit after tax (PAT) stood at Rs 1.65 billion, down 1.7% from the corresponding quarter last year, with the PAT margin narrowing to 12.0% from 14.4%. The company said the previous year's profit included a one-time post-tax interest income of around Rs 187 million arising from the sale of the Motocare business. Excluding this non-recurring gain, PAT growth in the latest quarter would have been broadly in line with EBITDA growth.

Advanced Ride Technologies Drives Outperformance

The company said its value-added revenue growth exceeded the 16.2% growth recorded in its served addressable market, which includes passenger vehicles and commercial trucks. Performance during the quarter was supported by new programme wins, higher content per vehicle, stable exports and a broader customer base across its Advanced Ride Technologies (ART) and Clean Air & Powertrain (CA&PT) businesses.

Advanced Ride Technologies remained the fastest-growing business segment, with revenue increasing 27.9% year-on-year to Rs 7.19 billion, compared with 9.6% growth in the Clean Air & Powertrain business, which generated Rs 6.63 billion in revenue.

DCx Da Vinci Suspension Tech Expands Market Share

During the quarter, Tenneco expanded the application of its DCx Da Vinci suspension technology through multiple new programme wins and added four new customers and three additional vehicle models. The company also introduced the DCx32 suspension system for smaller A- and B-segment vehicles and completed the fitment and benchmarking of its Mechanical Adaptive Roll Damping (MARD) dampers with a domestic original equipment manufacturer (OEM). It said its passenger vehicle shock absorber and strut value market share increased by 300 basis points to 55% in FY2026.

New Programme Wins in Clean Air & Powertrain

In the Clean Air & Powertrain business, the company secured several new programme nominations from passenger and commercial vehicle manufacturers. These included a spark plug order from a leading passenger vehicle OEM, a passenger vehicle exhaust programme, a CNG platform cold-end assembly programme for two models from a global OEM, and an emission after-treatment system programme for a domestic commercial vehicle manufacturer's small commercial vehicle range. The company also said its spark plugs are now compatible with flex-fuel applications of up to E85.

Export Orders and Industry Recognition

Tenneco also reported export-related developments during the quarter, including its first order from a European all-terrain vehicle manufacturer for its ART business and a heat shield order from Tenneco America for its Powertrain segment.

The company received the Innovation and Performance Award from Mahindra, the Ride Performance Award 2026 from The Economic Times, and the Technology & Innovation Award from Daimler India Commercial Vehicles during the quarter.

Whole-Time Director and Chief Executive Officer Arvind Chandra said the company's growth was driven by programme execution, customer additions and higher market share across key product categories. He said Tenneco would continue investing in advanced technologies, localisation and alternative fuel solutions while pursuing long-term growth opportunities in both domestic and export markets.

Cummins India Q1 Revenue Rises 18%, Profit at ₹543 Crore

Arunima Pal — Wed, 05 Aug 2026 19:11:18

Cummins India Ltd. reported a standalone profit after tax of ₹543 crore for the quarter ended June 30, 2026, on total sales of ₹3,375 crore. Revenue increased 18% year-on-year, supported by strong domestic demand, while profit before tax (before exceptional items) stood at ₹721 crore with a margin of 21.4%. The company's net profit margin for the quarter was 16.1%.

Domestic sales rose 22% year-on-year to ₹2,854 crore, reflecting demand across key end markets. Export sales remained flat year-on-year at ₹521 crore, although they increased 16% sequentially. Overall sales were also 14% higher than the previous quarter.

The company said revenue growth was driven by domestic demand and order execution, while exports remained resilient despite geopolitical developments. However, higher commodity costs and inflationary pressures weighed on profitability, resulting in a marginal decline in operating margins compared with the same period last year.

Looking ahead, Cummins India expects business momentum to remain steady across its key markets, although inflationary pressures and supply chain constraints are likely to persist. The company said it will continue to focus on disciplined execution, cost management and operational efficiency, supported by its balance sheet, manufacturing network and distribution capabilities.

ASK Automotive Q1 Profit Rises 29% to ₹85 Crore, Rrevenue up 52%

Arunima Pal — Wed, 05 Aug 2026 18:45:15

ASK Automotive Ltd. reported a 28.8% year-on-year increase in consolidated net profit to ₹85 crore for the quarter ended June 30, 2026, while total income rose 52.1% to ₹1,361 crore from ₹895 crore a year earlier. EBITDA increased 32.7% to ₹164 crore, although the EBITDA margin narrowed to 12.0% from 13.8% in the corresponding quarter last year.

The company said revenue growth during the quarter was partly driven by higher alloy prices, which had a pass-through impact on reported revenue. Excluding this effect, along with the impact of a strategic reduction in its wheel assembly business, overall net revenue grew 25.3% year on year.

ASK Automotive's earnings per share increased to ₹4.32 from ₹3.35 in the year-ago quarter, in line with the rise in net profit.

During the quarter, the company's Advanced Braking Systems business recorded revenue growth of 48% year on year, while Aluminium Lightweight Precision Solutions grew 75% and Safety Control Cables increased 20%. Export revenue rose to ₹39 crore from ₹33 crore in the corresponding period last year.

The company said higher alloy prices affected profitability margins during the quarter despite growth in earnings. EBITDA margin declined by 176 basis points to 12.0%, while net profit margin fell to 6.3% from 7.4% a year earlier.

Chairman and Managing Director Kuldip Singh Rathee said the company continued to grow faster than the two-wheeler industry and attributed the performance to expansion in value-added businesses, improved capacity utilisation and cost efficiencies. He added that the company expects EBITDA margins to improve if aluminium prices remain stable in the coming quarters.

On the operational front, ASK Automotive said technical collaboration with Kyushu Yanagawa of Japan has been implemented at its Karoli plant, from where supplies of high-pressure die-cast alloy wheels have commenced to a Japanese customer. The company said its Karoli manufacturing facility is ramping up production, while its Bengaluru facility is operating at optimum utilisation.

The company also said its second captive solar power plant in Rajasthan is expected to become operational during the second quarter of FY27 as part of its renewable energy initiatives.

Looking ahead, ASK Automotive said it expects the growth momentum in the two-wheeler industry to continue during the year and aims to maintain growth above industry levels while focusing on profitability.

ASK Automotive is India's largest manufacturer of brake shoes and advanced braking systems for two-wheelers, with an estimated 50% share of the OEM market. The company also operates in aluminium lightweight precision solutions and safety control cables, serving both automotive and non-automotive segments with an increasing focus on electric vehicles and exports.

Edge AI, Not Cloud AI, to Define the Next Generation of Autonomous Vehicles: NXP

Mukul Yudhveer Singh — Wed, 05 Aug 2026 11:36:37

The next generation of autonomous vehicles will increasingly rely on edge AI rather than cloud computing, with real-time intelligence enabling vehicles to make safety-critical decisions within milliseconds, according to Hitesh Garg, who leads NXP Semiconductors' engineering organisation in India.

Speaking at Siemens Realize LIVE APAC 2026, Garg said the industry's challenge is no longer developing more powerful AI models, but bringing AI safely into the physical world, where vehicles, robots and industrial machines must react instantly to changing conditions.

"The next step is AI coming to the physical world," he said, arguing that autonomous systems require a fundamentally different computing architecture from traditional cloud AI.

Garg compared future autonomous vehicles to the human nervous system. Just as the brain handles reasoning while the spinal cord executes instant reflexes, he said future vehicle architectures will combine central AI computing with distributed edge processors capable of making immediate safety decisions while reducing dependence on cloud connectivity for time-critical functions.

For motorists, this means critical functions such as emergency braking, collision avoidance, steering corrections and other advanced safety features can continue to operate with ultra-low latency, even when cloud connectivity is unavailable or too slow to respond.

According to Garg, three principles will define successful edge AI systems: ultra-low latency, low power consumption, and high levels of trust. As vehicles become increasingly software-defined, he said computing architectures must deliver not only intelligence but also functional safety, cybersecurity, and resilience against failures.

"The real world has no undo button," he said, stressing that autonomous systems should be designed to recover safely even when faults occur, rather than assuming failures can be completely eliminated.

Garg said NXP is applying the same architectural approach across multiple industries, including automotive, robotics, drones, and industrial automation, with distributed intelligence allowing systems to make local decisions while remaining coordinated with central computing platforms.

The comments come as automakers increasingly adopt software-defined vehicle architectures that consolidate multiple electronic control units into central and zonal computing platforms, creating the foundation for AI-powered driving, over-the-air software updates, and future autonomous functions. Garg said this shift will make edge AI a critical enabler for advanced driver assistance systems, autonomous driving, and the next generation of intelligent mobility.

Ardee Industries Eyes Brownfield Expansion as Capacity Utilization Nears Trigger Point

Shahkar Abidi — Tue, 04 Aug 2026 20:43:05

Lead recycler Ardee Industries Ltd. plans to sweat its existing capacity of 156,950 tonnes per annum to 75-80% utilisation before committing to fresh brownfield or greenfield investment, even as its Rs 426 crore initial public offering, including a Rs 320 crore fresh issue aimed largely at funding working capital, opens for subscription on Aug. 5.

The company, which operates a recycling facility in Andhra Pradesh's Tirupati district, produced about 70,000 tonnes of finished output in FY26, translating to roughly 67% utilisation of the capacity then in place, Chairman and Managing Director Sandeep Aggarwal told Autocar Professional in an interview. Installed capacity was scaled up to its current level by May 2026.

"We feel around 75 to 80% is the utilisation optimum," management said, adding that the company would first undertake debottlenecking at that threshold before evaluating new capacity. Ardee has also acquired about six acres of land adjacent to its existing plant for future growth.

Fresh Issue Skews Toward Working Capital

Of the Rs 320 crore fresh issue, Rs 220 crore; translating into nearly 70%, is earmarked for incremental working capital, with Rs 20 crore for repayment of long-term debt and the balance for general corporate purposes.

The working-capital weighting reflects the intensity of the scrap-to-metal business: Ardee runs a roughly 70-day cycle, holding about 30 days of inventory and 40 days of receivables. The company hedges its lead price exposure on a back-to-back basis, shorting derivatives against physical scrap purchases and unwinding positions once finished-goods prices are fixed.

Ahead of the IPO, shares worth about Rs 115 crore changed hands in secondary transactions at Rs 53 apiece, with buyers including institutional investors and family offices. Management attributed the move to banker advice and investor demand for early entry.

Why the Automotive Industry is Watching

The expansion math matters to battery makers and, by extension, vehicle manufacturers. Automotive applications; both original-equipment fitment and replacement demand, account for about 85% of India's lead demand, according to the company, with the recycled lead market growing 6-8% annually. Battery manufacturers already source more than 70% of their lead from recyclers, management said, and electrification has not dented demand: electric vehicles continue to carry a 12-volt lead-acid battery for auxiliary functions including cranking, power windows and onboard electronics.

Ardee supplies recycled pure lead and lead alloys, with the battery industry contributing about 35% of FY26 revenue and the wider metals industry about 50%. Value-added alloys, which require lengthy OEM R&D approvals, contribute 28% of business. The company holds LME brand registration for its pure lead, secured after a two-and-a-half-year process, is listed on the MCX, and exports to markets including Japan, South Korea, Singapore, the U.S. and the UAE.

A Fragmented Field

The build-out comes in an industry where consolidation has barely begun. The informal sector still accounts for an estimated 40% of India's recycled lead output, and Ardee, despite ranking among the top six formal players, holds a 2.09 percent market share; a gap management believes stricter enforcement of the Battery Waste Management Rules, 2022 and the EPR regime could help close in favour of organised recyclers. Beyond lead, the company is evaluating diversification into copper, tin and plastics recycling, though these remain exploratory.

Castrol India Reports 43% Surge in Net Profit to ₹348 Crore in Q2CY26

Dev Vadchhedia — Tue, 04 Aug 2026 19:36:55

Castrol India Limited reported a 43% year on year increase in net profit at Rs 348 Crore for the second quarter of Calendar Year 2026 that ended June 30, 2026, driven by volume growth and expansion in personal mobility power brands.

Revenue from operations grew 25% year on year to Rs 1,871 Crore, compared to Rs 1,497 Crore in the corresponding quarter of the previous year. Earnings before interest, taxes, depreciation, and amortization rose 41% to Rs 494 Crore. For the first half ended June 30, 2026, operational revenue reached Rs 3,417 Crore, up 17% year on year, while net profit grew 24% to Rs 590 Crore.

Managing Director Saugata Basuray noted that the growth was supported by disciplined execution and supply chain agility despite ongoing raw material pricing volatility and supply disruptions. Chief Financial Officer Mrinalini Srinivasan added that the accelerated dividend payout reflects confidence in the company's cash flow generation during its operational transition.

Sundram Fasteners Revenue Rises to Rs 1,846 Crore in Q1FY27, Plans ₹400 Cr Capex

Dev Vadchhedia — Tue, 04 Aug 2026 19:10:02

Sundram Fasteners Limited reported a 20% increase in consolidated revenue from operations at Rs 1,846.07 Crore for the quarter ended June 30, 2026, compared to Rs 1,533.39 Crore in the corresponding period of the previous year.

Consolidated net profit for the first quarter grew 14% to Rs 168.69 Crore, up from Rs 147.94 Crore reported in the year-ago period. On a standalone basis, operational revenue increased 20% to Rs 1,614.76 Crore compared to Rs 1,350.17 Crore in the prior year. Standalone domestic sales rose 16% to Rs 1,084.31 Crore, while export sales expanded 23% to Rs 465.97 Crore. Standalone net profit reached Rs 150.97 Crore against Rs 138.35 Crore in the previous year. Standalone earnings per share stood at Rs 7.18, with consolidated earnings per share at Rs 8.01.

Managing Director Arathi Krishna stated that the company experienced a steady recovery in export demand and sustained domestic market resilience, alongside progress in non-automotive sectors including aerospace, wind energy, railways, and defence.

The board also earmarked a capital expenditure of Rs 400 Crore to expand manufacturing capacities across internal combustion engine, plug-in hybrid electric, and electric vehicle segments. Out of the total outlay, approximately Rs 250 Crore will be allocated to the Fasteners Division for wind energy, space, and aerospace applications, while Rs 100 Crore is targeted for the Cast and Machined Assemblies business.