FADA Journal - January 2017

Office Bearers contents

President PRESIDENT’s MESSAGE 7 Looking Forward to 2017 with Renewed Hopes
INDUSTRY TRACK 8 Auto Market Feels the Heat of Demonetisation
JOHN K PAUL TECHNOLOGY
Popular Vehicles & Services Pvt Ltd 11 How the Convergence of Automotive and Tech will Create
Kuttukaran Centre, Mamangalam, Kochi - 682 025 a New Ecosystem - McKinsey & Co.
Tel: +91-484-234 1134 / 7872 / 5013
E-mail: [email protected];

[email protected]

Vice President OPINION 14 Sales Skid Post-Demonetisation Issue - ICRA
INSIGHT
ASHISH KALE ACROSS BORDERS 16 The Auto Industry’s Real Challenge - Strategy&, PWC
Provincial Automobile Co. Ltd FUEL WATCH
Kingsway, Near Railway Station, Nagpur - 440 001 SURVEYS & STUDIES 19 • Record Sales for Groupe Renault
Tel: +91-712-391 1129 / 1150 KNOW OUR MEMBER • US Industry Hits New Peak Behind Solid GM, Nissan, Honda Gains
E-mail: [email protected]; FADA NEWSLINE
22 Russian Gas Pipelines and Hacking the Elections
[email protected] - Steve Austin for OIL-PRICE.NET

Secretary General & Editor, FADA 26 White Remains the Most Popular Car Colour Globally
Journal - Axalta Global Automotive 2016 Colour Popularity Report

GULSHAN AHUJA 29 Profile of Pavan Hyundai, Bangalore
Federation of Automobile Dealers Associations
805, Surya Kiran, 19, K G Marg, New Delhi 30 • FADA Delegation Meets Union Finance Minister
Telefax: +91-11-6630 4852, 2332 0095 • FADA Council Holds its 282nd Meeting
E-mail: [email protected] • Web: fada.in
32 • Ashok Leyland Launches ‘GURU’ and ‘PARTNER’
ADVERTISERS’ INDEX 60 NEW ON WHEELS • Tata Motors Launches Lifestyle Vehicle ‘Hexa’
2 NEWS BASKET • Maruti Suzuki Unveils IGNIS - Urban Compact Vehicle
Back Cover
V E Commercial Vehicles 36 • Hero MotoCorpStarts Operations in Argentina; Unveils New Glamour
• Vikram Pawah Appointed as President of BMW Group India
Front Inside Cover • Honda 2-Wheelers Inaugurates its First Traffic Park in Tamil Nadu
Tata Capital Financial Services • Chevrolet India Extends Retail Offers for 2017
• Suzuki Motorcycles to Export its Made-In-India Gixxer to Japan
Back Inside Cover • Nissan India Opens Third Dealership in Himachal Pradesh
• Toyota Kirloskar Motor Bags National Exporter Award
Tata Motors 59
41 Beneficiaries of the Electric Vehicle Boom - Credit-Suisee
Inside Pages PERSPECTIVE

• Mahindra & Mahindra Financial Services 3 42 NCDRC : Ashok Leyland Ltd & Anr - Petitioners
Versus Kameshwar & Anr - Respondents
• Automotive Manufacturers 4 CONSUMER CASE STUDIES

• SKF Group 6 44 Paris Motor Show Trends Reflect the Evolving Automotive World
- Guillaume Saint of TNS Automotive
• Carazoo Online Solutions 10 BLOG

• Marikar Group 13

• Force Motors 28 COMPETITION LAW 47 Competition Law Updates - G R Bhatia

• Prime Honda 35

• Bagga Link 40 SALES REPORTS 48 Vehicle and Tractor Sales & Exports and Y-o-Y Growth - Dec’16

• Maurya Motors 45

• Sansera India 51 UPGRAGES & VARIANTS 53 • Tata Motors Unveils New Xenon Yodha Range of Pick-Ups
• BikeDekho.com 54 • Ecosport ‘Platinum Edition’ Introduced

• L&T Financial Services 58 NADA MUSINGS 56 Major developments affecting Automobile Industry in US

For Advertisement query, please contact Printed and Published by G K Ahuja on behalf of Federation of Automobile Dealers Associations,
Ankush Sethi at [email protected] 805, Surya Kiran, 19, Kasturba Gandhi Marg, New Delhi-110001.
Printed at Sita Fine Arts P Ltd, A-22, Naraina Industrial Area, Phase-II, New Delhi-110028.
Editor: G K Ahuja



President’s Message Looking Forward to 2017 with
Renewed Hopes

Dear friends,
It needs no reiteration that we usher in the New Year on a cautious
note with shadow of uncertainty and apprehensions in the market
caused by demonetisation looming large on the horizon. When
the year 2016 started off, there was a great deal of enthusiasm
and hope amongst the automobile dealer fraternity, with
buoyancy in vehicle sales gradually returning. However, at the fag-
end of the year, the demonetisation of large currency notes
virtually played the role of a demon, causing a widespread
disruption in the economic activity, including auto market.
As I write this column today, i.e. 15th January, the auto market is
yet to gain traction seen pre-demonetisation. Rural market is the
worst hit, as seen from the two-wheeler sales that have declined
by as much as 40%. The truck segment has been equally hit hard
by the disruption fuelled by demonetisation. While the extent of
damage in the case of passenger vehicle is not as massive as in
the case of CVs and two-wheelers, there has been sharp drop in
the passenger vehicle sales as well.
With currency supply improving gradually, we are sanguine that
the auto retail market will be back on track soon. Our expectations are not unfounded. Economy, especially the organised
sector, has been doing reasonably well, demonetisation notwithstanding. Bucking demonetisation, factory output measured
in terms of Index of Industrial Production (IIP) grew by 5.7% in November 2016 due to better performance of manufacturing,
mining and electricity sectors, coupled with larger offtake of capital goods, considered a barometer of investment. Secondly,
the inflation sitting at below 5.0% is within the comfort zone. In fact, December CPI is at a two-year low. Thirdly, the oil prices
by and large remain stable, although fuel prices in India have witnessed significant increase of late
Regarding the activities of FADA since my previous column, after series of individual meetings with a number of industry
leaders, followed by an interaction with SIAM Executive Committee, FADA team was invited by the Hon’ble Union Finance
Minister for a meeting in response to a representation made to him in the wake of demonetisation. I am happy to inform that
all these meetings with OEMs, SIAM Executive Committee and the Hon’ble Union Finance Minister were quite meaningful.
The key points of discussion with individual OEMs and SIAM Executive Committee were: (a) Inventory control; (b) manpower
rationalisation; (c) shortage of skilled manpower suiting the requirements of automobile dealerships; and (d) provision of fair
dealer exit policy. In the meeting with the Union Finance Minister, which was held on 2nd January 2017, FADA team, while
emphasising the importance of auto retail trade & service industry in terms of employment and revenue generation in the
national and state economies, took up the issues of (i) Grant of industry status to the auto retail trade business for access to
credit; (ii) Automatic route for FDI in automobile dealerships; (iii) increased depreciation for motor vehicles in the context of
shrinking lifecycle of vehicles; and (iv) incentives for renewal and modernisation of transport fleet.
It is heartening to note that all the suggestions made by FADA to OEMs and the Hon’ble Union Finance Minister were
well-received.
The new team FADA office bearers is really thinking big and contemplating many changes, including creation of a legal cell
within FADA for the guidance of automobile dealers in order to make the body more useful for its constituents. A number of
other initiatives are also on the anvil. You will hear about them, as we go along.
Please feel free to send your inputs and suggestions, if any.
With best wishes,
Yours sincerely,

John K Paul

7 January 2017

Industry Track

Auto Market Feels the Heat of Demonetisation

The ongoing cash crunch, following the government’s Pravin Shah, President & Chief Executive (Automotive), M&M,
demonetisaion of Rs 500 and Rs 1,000 currency notes, said, “The auto industry continues to go through challenging
continues to play spoilsport for the auto market. The total times, grappling with the short-term effects of demonetisation.
domestic vehicle sales across all segments, reeling under the However, we believe there will be a gradual pick-up in demand
impact of demonetization, plunged 18.7% to 1,221,929 units starting next few months.”
in December 2016 vis-à-vis 1,502,314 units a year ago.
Another home-grown player, namely, Tata Motors, however,
Passenger vehicle sales ride on the year-end freebies and bucked the demonetization blues. The company posted a
discounts, yet slip into negative terrain healthy growth of 24.7% y-o-y in domestic passenger vehicle
sales at 12,012 units in December 2016 on the back of
Despite the year-end freebies and handsome discounts, continuing robust demand for its latest hatchback – Tiago that
passenger vehicles clocked 227,824 units in domestic sales, contributed 4,013 units to the PV sales tally.
falling by 1.4% in December 2016, as against 230,959 units in
December 2015. Toyota Kirloskar Motor (TKM) also notched up an impressive
22.0% uptick in domestic sales that aggregated 12,747 units
Maruti Suzuki India (MSIL), the bellwether of the Indian in December 2016 (December 2015: 10,446 units). The newly
passenger vehicle industry, recorded 4.4% decline in domestic launched Toyota Fortuner and the new Innova Crysta were
sales that numbered 106388 units in December 2016 the main growth drivers for the Japanese automaker.
(December 2015: 111,333). All sub-segments, barring mid-size
(Ciaz) and UVs (Gypsy, Ertiga, S-Cross and Vitara Brezza) posted Powered by the Kwid hatchback, Renault India’s domestic
negative growth. While Ciaz posted a growth of 30.6% in sales registered a 9.2% increase in Decemeber 2016 with sales
domestic sales at 3,711 units, the domestic sales of UV sub- tally of 11,244 units (December 2015: 10,292 units). For
segment at 16,072 units were up by whopping 75.3% y-o-y, calendar year 2016, the carmaker sold a total of 132,235 units,
thanks to 8,971 units contributed by hot-selling Brezza. The up 146.0% (CY2015: 53,847 units).
company’s bread-and-butter duo of Alto and Wagon R sold
31,527 units in domestic market during December 2016 Sumit Sawhney, country CEO & MD, Renault India Operations,
(December 2015: 37,234 units), down a sizeable 15.3%. said: “We are on track with a 4.5 percent market share at the
Domestic sales of the compact car quintet of Swift, Ritz, end of 2016, achieving a robust three-digit growth over 2015.
Celerio, Baleno and Dzire were also down 8.6% y-o-y to 43,295 We plan to launch at least one new product every year, over
units in December. the next five years, beginning with some exciting product
innovations starting this year. We will continue to build our
Hyundai Motor India Ltd (HMIL) witnessed a 4.3% dip in network this year as well, with strategic measures to make
domestic sales, which stood at 40,057 units in December 2016 our cars more accessible to customers across the country.”
compared to the 41,861 units in December 2015. However,
the company crossed the 5-lakh-unit sales-mark in a year in Honda Cars India Ltd (HCIL) stayed in reverse gear, posting
India, clocking 5,00,537 units in CY 2016. 18.6% decline in domestic sales to 10,071 units in December
2016 (December 2015: 12,379 units). The Amaze sedan was
Y K Koo, MD & CEO, HMIL, commented, “2016 has been an the best-seller with 3,322 units, followed by City with 2,898
Year of Excellence for Hyundai in India achieving various units. While domestic sales numbers for Jazz and BR-V were
milestones - Celebrating 20 years in India, the roll-out of 7 identical at 1,601 units, those for Brio, Mobilio and CR-V read
millionth car in Nov’16, crossing the 5 lakh domestic sales in 443 units, 151 units and 55 units, respectively.
CY2016 and the fastest 50,000 unit sales in
the month of October.” Sales (Domestic + Exports) during December 2016 viz-a-viz December 2015

Mahindra & Mahindra (M&M), largely
dependent on rural market that has taken
a severe hit post-demonetisation, reported
domestic sales of 16,698 passenger
vehicles (comprising UVs, cars and vans)
in December 2016, which reflected an
8.2% drop vis-à-vis 18,197 units in
December 2015.

January 2017 8

Industry Track

Yoichiro Ueno, President and CEO, HCIL said, “After a severe Bajaj Auto’s domestic sales in December 2016 at 106,665 units
impact of demonetisation in November 2016, December 2016 were lower by 11.4% y-o-y.
sales continued to be challenging. We expect the new year to TVS Motor Company that had been performing steadily
gradually bring back normalcy in the market.” slipped into negative terrain with 8.9% decrease in its domestic
Nissan Motor India reported domestic sales of 3,711 units in two-wheeler sales that stood at 153,413 units in December
December 2016, a 21.2% y-o-y increase. The Nissan and Datsun 2016 (December 2015: 168,160 units).
sales combined registered 50% YoY growth during 2016. Bucking the trend, India Yamaha Motor posted a healthy
“We have achieved consistently strong sales in the first three- 28.2% growth in domestic sales to 49,775 units in December
quarters of this fiscal year. The growth we’ve achieved from 2016 from 38,833 units in December 2015.
April through December positions us as the second-fastest Roy Kurian, VP - Sales & Mktg, Yamaha Motor India Sales, said,
growing company in the passenger vehicle segment in India, “2016 has been a landmark year for us. This year, Yamaha
a significant feat for a comparatively young company,” Arun crossed the 100,000 sales figure consecutively in two months
Malhotra, MD, Nissan Motor India, said. (September and October 2016). Yamaha will enhance its
The Nissan Motor India Group, which manages the sales and product portfolio and intensify its network expansion plan with
service support for both the Nissan and Datsun brands, plans a target of achieving 1 million sales in 2017.”
to introduce up to eight new cars from the two brands in India Driving in top gear, Royal Enfield clocked domestic sales of
by 2021. These new products include the recently-launched 56,316 units in December 2016, which marked an impressive
Nissan GT-R and the launch of X-Trail Hybrid in 2017. 40.7% increase over the corresponding sales figure of 40,037
Meanwhile, Ford India’s domestic sales slipped 6.0% to 5,566 units in December 2015.
units in December 2016, from 5,924 units a year ago. However, Commercial Vehicle sales remain subdued
the Chennai-based carmaker reported strong exports of 17,904 The demonetization pain has been all-pervasive, the
units in December 2016, clocking a handsome 262.4% growth commercial vehicles being no exception. Total domestic sales
(December 2015: 4,941 units). of commercial vehicles at 53,966 units were down 5.0% y-o-y.
In CY 2016, Ford India clocked 151,638 units in exports. While the LCVs scraped through with a measly 1.2% growth
The surge in export numbers has come about, thanks to the in domestic sales, the MCV sales in the Indian market declined
growing demand from overseas markets for the made-in- by 12.4% y-o-y in December 2016. All CV majors, barring M&M,
Chennai new Figo, which is sold as the Ka+ in the UK and Europe. were in negative terrain.
Two-wheeler sales bogged down by demonetization Tata Motors’ domestic sales of CVs at 23,813 units in
The two-wheeler market, particularly the rural two-wheeler December 2016 declined by 7.6% y-o-y. However, the
market that is majorly dependent on cash transactions is construction sub-segment grew strongly by 22% y-o-y due to
grappling with an acute slowdown due to cash crunch. Two- pick-up in the road construction and the coal & iron ore mining
wheeler sales in domestic market plummeted by 22.0% y-o-y activities. Tata Bus sales grew by 59% over last year.
to 910,235 units in December 2016. Ashok Leyland posted a negative growth of 14.2% in domestic
The two-wheeler market leader, Hero MotoCorp posted sales that stood at 9,700 units in December 2016 (December
domestic sales of 330,202 units in December 2016, which 2015: 11,299 units).
translated into a steep 33.9% fall from 499,665 units in VE Commercial Vehicles’ domestic sales at 3,246 units were
December 2015. in negative territory, declining by 21% (December 2015: 4,109).
Honda Motorcycle & Scooter India (HMSI) sold 205,158 units Mahindra & Mahindra was the exception, with its CV sales in
in the Indian market in December 2016 as against 290,540 domestic market growing by 13.5% to 14,154 units in
units sold in December 2015, thus, recording a decline of December 2016 (December 2015: 12,465 units).
29.4%. The auto market is currently witnessing muted conditions
Commenting on the sales, YS Guleria, Sr VP – Sales and Mktg, due to cash crunch and downbeat sentiment. It is hoped that
HMSI, said: “Demonetisation continued to negatively impact the forthcoming Union Budget to be presented on February
customer sentiments for the second consecutive month and 1, 2017, will be a consumer- and business-friendly one, giving
domestic two-wheeler industry closed at an 80-month low of boost to the sentiment and economic activity, including
909,000 units in the traditionally lean month.” vehicle sales

9 January 2017



Technology

How the Convergence of Automotive and Tech
will Create a New Ecosystem

McKinsey & Company

As the high-tech and automotive worlds merge—with four • Electrification. Drivetrains will shift toward hybrid-
disruptive technology trends driving change—a complex electric, electric, and fuel-cell technologies, as they
ecosystem is creating new rules for success. mature and become cheaper.

As four technology trends reshape the global automotive • Autonomous driving. The operation of automated cars
sector, customer preferences are moving away from its will move from advanced driver-assistance systems to fully
traditional strongholds, such as chassis and engine autonomous driving, as the technology matures.
development. This shift in customer preferences and the
sheer size of the automotive sector have attracted new • Diverse mobility. As the sharing economy expands and
players: a potent mix of large high-tech companies and start- consumer preferences change, the standard model will
ups. Both differ from the automotive incumbents on virtually continue to evolve from outright purchase or lease to
every level. rentals and car sharing.
These new entrants and the disruptive trends they bring—
electrification, autonomous driving, diverse mobility, and • Connectivity. The possibilities for “ infotainment”
connectivity—will transform typically vertically integrated innovations, novel traffic services, and new business
automotive value chains into a complex, horizontally models and services will increase, as cars get connected
structured ecosystem. The newcomers are well positioned to each other, to the wider infrastructure, and to
(and expected) to make moves in novel areas such as people.
autonomous driving. Consequently, today’s OEMs and tier-
one suppliers must abandon strategies aiming at total control Attracted by the shift in customer preferences, the importance
of vehicles and instead pick and choose where and how to of the new trends, and the global automotive market’s massive
play by shedding assets, streamlining operations, and size and value-creation potential, technology players are
embracing digital acquisitions. making their way into the sector. As they develop new software
options, cars are evolving into computers on wheels, a change
Four trends that favour software-driven innovation similar to events in the computer industry 20 years ago and
the cellphone industry 10 years ago. As a result, we anticipate
The fortunes of players in the automotive sector have always that a complex ecosystem will emerge in the automotive
depended on what customers see as valuable. Most of this sector.
value has resided in the hardware of vehicles and in the
automakers’ brands. However, future innovations will
probably focus on disruptive technology trends, so the
customers’ perceptions of value will shift, increasingly putting
incumbents in danger. The four trends that will favour the
newcomers are these:

11 January 2017

Technology

Although the sector adheres to a vertically integrated OEMs and suppliers face tough new competition
business model, with OEMs in full control of their supplier
networks, the new tech players are more focused on Many OEMs and tier-one suppliers can see the shift coming
horizontal moves: but might underestimate how much strategic change they
• A number of high-tech players are developing must undergo to be part of the automotive sector’s future:
they may lag behind the tech entrants in the asset base, skills,
autonomous-driving systems that are quite likely to merge and resources needed to respond to this new competitive
into what the computer industry calls an operating system environment. Still, it makes sense to assess the readiness of
(the central system that makes a unit run). the OEMs and tier-one suppliers, on the one hand, and of the
• Disruptors from the taxi and ride-sharing industries are tech players, on the other, in the important indicators of
developing innovative new business models. competitiveness: financial flexibility, the deployment of capital
• Two leading online and technology companies are & people, operating models, culture, and customer-centricity.
focusing on in-car entertainment platforms, which they Financial flexibility. Traditional OEMs often have limited
hope will become the standard for applications. financial flexibility as a result of low operating margins, low
No single player is likely to dominate any part of such a returns on invested capital (ROIC), and moderate market-
horizontally organized, complex value chain by itself. But capitalization levels. Tech players, in contrast, tend to enjoy
many of the new tech entrants are well positioned to take high financial agility, with robust operating margins, high
the lead in the software-focused parts. For each part of the ROICs, and large market caps.
ecosystem, there might be room for only a few winners, since Some tech companies enjoy valuations ten times higher than
few players will be able to invest the resources necessary to those of leading OEMs. As a result, exploratory investments
reach scale. in new disruptive technologies, which might cost as much as
The automakers have invested billions in car hardware, from 10 per cent of a leading OEM’s market cap, would cost only 1
engine plants to stamping facilities and beyond, so they have per cent of the market caps of the largest tech players. As
the best position to dominate the hardware-focused areas. In Wall Street flooded the tech sector with money over the past
software, the tech players enjoy significant advantages, decade, companies in it have made a high priority of pursuing
including leading-edge capabilities, agile operating models, growth and business opportunities that can justify these
and the financial muscle required to pursue exploratory valuations. Investors expect such exploratory investments, so
investments aggressively. For the automakers and tech players, tech companies enjoy higher financial flexibility. For many
success in tomorrow’s mobility sector will depend on how well OEMs, by contrast, the top priority is to achieve full asset
they build on these natural advantages. utilization (given high fixed costs) and to increase volumes of
current models. That limits opportunities for exploratory
investments.
Deploying capital and people. Automakers command
manufacturing and mechanical-engineering assets and have
large workforces weighted toward these disciplines.
Technology companies focus much more on software and
frontline computer assets, such as machine learning.

January 2017 12

Technology

Automakers not uncommonly spend up to 75 per cent of their Future OEM and high-tech automotive strategies
overall capital-expenditure distributions on traditional
product-development and manufacturing assets. Tech players For mass-market OEMs, the emerging strategy is to go all out
instead allocate a similar ratio to software development and to build additional scale. This probably means additional
the customer experience. The largest technology entrants also consolidation in the sector. To succeed, OEMs will have to focus
spend more on R&D than automakers do—over 10% strongly on developing and producing market-leading
compared with less than 5% of their revenues, respectively— hardware, such as bodies and interiors. They must also
and allocate more of this spending to disruptive technologies. increase their margins by embracing digital manufacturing
Operating models and culture. Automotive incumbents techniques (including 3-D printing and automation), added
operate by a rich legacy of sectoral norms and conventions. purchasing power, and the dilution of overhead. These
They often adhere to rigid, rigorous, and unique product- changes would be similar to those undertaken by hardware
development practices; work with complex supply chains; and manufacturers in the mobile-phone industry. In low-margin
sell through extensive franchised retail-dealer networks. Tech areas, scale is needed to generate substantial profits.
players prefer experimental, fast-moving cultures that reward In contrast, premium OEMs could streamline their platforms
innovation & risk taking. OEMs have traditionally favoured to free up capital, shed low-value manufacturing assets to
incremental hardware innovations, while tech companies double down on worthwhile hardware attributes, and provide
actively seek disruptive software products or services. OEMs extensive personalization. Their development efforts should
use traditional marketing tools. Tech players tend to be more focus on a single new area, such as in-car entertainment,
focused on customers, engaging them early and often. autonomous driving, or mobility services. These companies
The operating models of the two sides differ dramatically. For should also secure partnerships to exploit other disruptive
example, automakers reengineer their core products approx. technologies and focus on maintaining their brand strength.
once every seven years, with noticeable updates every three Tech players have several options to enter the sector through
years, but do not update existing products. Tech companies horizontal plays. One likely choice is to be a technology
redo their core products about every two years, make supplier focused on new high-tech products but then to evolve
noticeable updates every two months, and provide continual into a dominant platform player by acquiring all relevant
updates for existing products. The OEMs’ systematic competing assets, such as infotainment ecosystems or
“waterfall” approach to product development tends to slow autonomous-driving systems. These companies would partner
down innovation; the average time to market is about five with OEMs to push products to the market on the backs of
years. Most tech players depend on agile operating models solid hardware platforms from the established players, thereby
that enable a time to market of roughly two years. breaking up the vertically oriented structure.
Customer perceptions. Mass-market automotive brands, The convergence of the automotive and high-tech sectors will
while strong, often evoke traditional values, such as reliability rewrite the rules of competition and lessen the chances of
and efficiency, and, thus, lack the “coolness factor” that leading survival for traditional players that fail to act. The competitive
tech players enjoy. In fact, tech brands took six of the top ten space remains fluid at this point, but that could change quickly
positions on a recent tally of the world’s most valuable brands; as incumbents move to position themselves advantageously
the first automotive one held 28th place. and tech companies solidify their investment strategies

13 January 2017







Insight

these requirements. The problem in the US is that an based on stringent safety requirements and long design cycles,
automaker’s entire model lineup, including SUVs and light meshes poorly with tech companies’ rapid development pace
trucks, has to maintain an average level of higher mpg and and experimental culture.
lower emissions. Making matters more difficult, the average At the same time, automakers must scale up geographically,
is taken from autos sold, not produced. automakers are because virtually all the industry’s growth is, and will be, in
expected to have to improve fuel efficiency by at least 20 emerging markets. That means satisfying regional differences,
percent and as much as 60 percent by 2025, depending on including the need for fundamentally cheaper automobiles
the company and regulations. for emerging economies, a different product design and
This presents a particularly thorny problem for vehicle makers marketing for these countries, and local manufacturing. These
in the US, where, thanks to low fuel prices and consumer demands compound the requirements for more investment.
preferences, they make virtually all their money selling hugely So the costs and complexities of renewing and expanding
popular trucks and SUVs, which of course bring down those product lineups can be expected to grow.
mpg averages. Most customers simply don’t want smaller, All these demands add to the already enormous and
more efficient cars, and very few companies have been able overbearing capital requirements of the industry in general.
to make money consistently in this part of the US market. As the technological demands accumulate, it becomes less
Adding expensive technology to improve fuel efficiency is feasible to recover the costs of developing a new vehicle and
equally unpalatable: Already, new-vehicle prices are beyond all the powertrain and regional variations it requires. As
the reach of the average US citizen, according to a recent article automakers create ever more vehicle models and variants in
in the NY Times. It is not at all clear how most automakers will attempts to achieve more volume on which to spread their
be able to profitably reconcile what government regulators investments, they further increase the total capital needed.
will force them to sell and what customers want to buy. These pressures will bring into stark relief the industry’s
In response to these pressures, vehicle makers have to invest notoriously weak capital efficiency. Its historical return on
heavily in technology to squeeze out more fuel economy and invested capital has generally been below the cost of that
performance. Investments in lighter-weight technologies and capital, despite the restructuring that followed the 2008-09
powertrains are swelling as never before. The costs of financial crisis, and significantly lower than that of virtually
proliferating and advancing engine offerings are staggering, every other major industry globally. On top of that, the
as most automakers are supporting a large array of expensive industry’s margins are so closely tied to the number of vehicles
engine technologies — gasoline, diesel, electric hybrid, plug- it sells that it makes the industry’s profitability highly cyclical.
in electric, battery electric, and hydrogen fuel cell. Without Taken together, this bodes ill for an industry facing the massive
knowing which path will ultimately win in the context of different investments required to overcome the challenges coming up
federal and state regulatory landscapes, manufacturers are in the next five to seven years. An economic downturn in this
faced with a murky choice of which technologies to bet on, time frame, which is highly plausible, would only pile on more
how much to bet, and whether and how to partner with others pressure. Only players with sufficient scale and shrewd
to spread the costs and risk. technology and investment strategies will prevail to confront
Another challenge is related to the digitization of driver and the next set of obstacles posed by the fully autonomous auto
passenger experiences. automakers recognize that consumers world. The question is, what can an automaker do to meet
are attracted to the rapidly progressing connectivity and these more imminent challenges?
intelligence in their vehicles — safety features such as blind- The Way Forward
spot warnings and automatic pre-collision braking, and As serious, and even overwhelming, as the obstacles faced by
convenience and infotainment features such as automated the auto industry today appear to be, companies that position
parking assistance and smartphone mirroring on the themselves properly will prosper. To do so, however, they must
dashboard. But designing and producing these smart cars and take the first step of carefully separating what needs to be
trucks is no easy task, and it poses real risks. The cost of accomplished within the next five to seven years from the
incorporating and managing all the new technology and data investments needed for a longer-term future of self-driving cars.
is skyrocketing. Further, automakers, given their traditionally Robotic vehicles and noncore service businesses cannot offer
hardware-focused organizations and cultures, simply don’t a near-term solution for all the industry’s challenges.
have the technology or the software skills to do it themselves. Companies along the automotive value chain must realistically
That’s why they have been investing in and partnering with decide how much of their precious management attention
technology companies to help design and build AVs. Yet that
also presents problems, as automakers’ culture, traditionally

17 January 2017

Insight

and financial capital they will deploy on the longer-term infotainment and customer-interface system for an automobile
speculative opportunities and how much on the more more effectively than the existing supply chain of an automaker.
immediate challenges. They must successfully traverse the Regardless of what form they take, partnerships, alliances, and
minefield just ahead in order to be able to participate in the JV are likely to become much more common. As these types
big battles of the fully autonomous world. of arrangements expand, the old lines of distinction between
The second step is for companies to clearly decide what their automakers & suppliers, auto industry players and technology
strength is — for example, building large trucks and SUVs, companies, and those that were previously competitors could
powertrains, or some other technology integration — so that permanently change. Some branded auto manufacturers may
they put their resources into the scale and capabilities needed evolve from full-line manufacturers to focused players or even
to thrive in their chosen area. They should do this while branded suppliers of a particular type of powertrain or interior,
keeping in mind that not every automaker will survive in its most of their products sold or offered in onetime competitors’
current form, nor can they all hope to gain the scale and vehicles. Joint ventures with companies outside the auto
breadth of the largest players. industry — such as technology companies with digital
Because of this, it is wise to assume that the auto industry expertise — will also increase. Alliances like these, of course,
will undergo a substantial restructuring between now and have occurred in the past, with decidedly mixed results. A
2025. This restructuring will force most automakers to redefine distinctive capability for many of the winners in the industry
themselves, not by their past product lines or where they do will certainly be learning how to adapt their organization and
business, but by what they are particularly good at, what their culture to incorporate advanced digital technology.
most distinctive capabilities are, where they have the A restructuring of the industry is inevitably on the horizon, so
appropriate scale to compete, and thus where they fit into rather than being swallowed up whole or picked apart by larger
the industry’s overall value chain. companies interested only in their most obvious strengths,
For automakers, this shift will likely entail breaking up industry these companies should already be focusing on those strengths
verticals and dis-integrating large segments of the industry in and paring away anything that distracts from their chosen way
response to the overwhelming impending capital to play. They have to judiciously select what technologies and
requirements. So suppliers may achieve greater scale by taking investments they should and can afford to make, and deploy
on more of what auto manufacturers outsource for multiple their limited resources accordingly. They should be pursuing
carmaker customers, or new suppliers may leverage scale from creative & aggressive new strategies of vertical dis-integration
outside the auto industry. and partnerships that can make up for insufficient scale.
One potential course for an automaker trying to focus its Overinvesting in the pursuit of fully autonomous solutions and
limited capital on its core offerings is to source some vehicle noncore businesses runs the great risk of focusing companies’
segments from a joint venture (JV), a competitor, or even a precious attention and resources away from the tall tasks that
consortium of auto companies. An automaker with insufficient have to be mastered well before the AV dream has a chance
profitable small cars to meet regulatory emission and fuel of becoming reality.
economy mandates might find it makes the most strategic No matter what future we can imagine for the auto industry,
sense to establish a JV with another company to provide them, it will probably be plagued with cyclicality, high capital costs,
or to just buy them from an independent small-car specialist. changing consumer demand, and regulation. That’s just the
Outsourcing some or even all powertrains, which are an nature of a business in which technology matters more and
increasingly capital-intensive and risky part of the business, is more, government requirements get tighter and tighter, and
another way to conserve scarce resources. This, in turn, would ever more companies are chasing new markets around the
create opportunities for a merchant powertrain supplier to world. But companies that understand this, and can focus over
achieve greater scale, resiliency, and viability. Perhaps the the nextfive toseven yearson profitably designing, manufacturing,
small-car joint ventures and specialists will source all their and marketing the kinds of vehicles or vehicle systems they
powertrains from the same supplier or two. excel at, while establishing partnerships for the rest, will be in
Relying more heavily on suppliers for other expensive, high- the best position to survive and thrive. Those that put too
technology subsystems — infotainment, holistic vehicle much energy, money, and other resources into a more distant,
interiors, or advanced driver-assistance packages — is another more unpredictable future will struggle to meet their much
avenue. For instance, a consumer electronics company, more pressing challenges. It will be a matter of survival of the
leveraging technology, operations, brand, and customer pull fittest, and every auto company still has the opportunity to
from its much larger scale, might provide an entire optimally position itself for the changes ahead

January 2017 18













Fuel Watch

In this scenario, look at the ground realities: Almost a third of And, thanks to the Turkish stream, redundant with existing
EU's gas equaling 50% of total gas imports, comes from Russia, pipelines, Russia can "diversify" its gas pipelines, thus
of which, 40% comes in through Ukraine. Europe just can't cornering the European market and delivering gas directly into
afford to let such a large share of its gas transit through the Europe. Revenue from export duties will benefit Russia too. It
Ukrainian warzone. So, pipelines bypassing Ukraine altogether also cements economical and strategic ties between Russia
come into the picture eliminating the country's role as a major and Turkey, which will control gas route into Europe while
transit zone, with blessings of both the EU and Russia. getting its own gas at a 10% discount. That's a blessing because
Nord Stream Pipeline Turkey relies on natural gas for 50% of its electricity generation.
This gas pipeline, with two parallel lines, carries Natural Gas Russia and Turkey have also stepped up partnership in defense
from Russia directly into Germany via Baltic Sea. Though it in the area of anti-missiles. Furthermore, Russia will also build
has the ability to deliver 55 billion cubic metres per year, the Turkey's first nuclear power plant.
gas supplied in 2015 amounted to just about 39 billion cubic With NATO allies like Turkey, who needs enemies? Apparently
metres. The pipeline supplies more than 150 million cubic prediction #4, which we made in our previous article titled
metres of gas per day. Being shorter, the gas pipeline is very “Oil price forecasts during Trump presidency" has already
cost effective, so it's hard for any other foreign power (such realized, a mere two weeks into the new year.
as Qatar) to build a competing pipeline into Western Europe Turkey not only gets 60% of its gas, but also more than 30% of
that would be cheaper. its crude oil from Russia. For Turkey, this is a major achievement
The multi-billion dollar Nord Stream 2, with two pipelines, is to show the world that it has the guts to implement major
scheduled for 2019. Each will carry 27.5 bcm per year. Nord Stream projects without support from Europe. Further, it strengthens
and Nord stream 2 will, thus, supply a total of 110 billion cubic Turkey's geopolitical aspirations in the region. In addition,
metres per year of gas across the Baltic Sea to the EU Union. Turkish stream aligns Russia and Turkey's interest and dissuades
Turkish Stream Turkey from building a pipeline to Qatar via Iraq, which would
Turkish stream, in short, is a chess master's dream. have fed into Europe and sap Russia's market share.
In the last month of 2014, Russia abandoned the South Stream Of course, Turkish Stream's 63 billion capacity outdoes the
pipeline project after disagreements with the EU. In a expected demand in the area. However, the moot point is
spectacular turnaround, Russia went in for the jugular. So, different. It's the story of winner gets all. Russia, thus, directly
instead of South Stream, work on two pipeline strings running competes with Europe's plan to diversify away from Russia. It
under the Black Sea carrying 64 billion cubic feet of gas was also sabotages Iran's aspiration for a pipeline.
taken up, after a meeting between Putin and Turkish President Conclusion
Tayyip Erdogan. In fact, the pipes and other infrastructure parts Putin sits pretty. US secretary of state is Exxon's CEO Tillerson,
ordered for the South Stream project was diverted to the a friend of Putin. Michael Finn, the proposed national security
Turkish Stream. The sea section alone is set to cost Russia adviser is a strong advocate of Russia. The Russian President
about 7 billion Euros. The pipe laying under the Black Sea is has tons of influential friends in Washington, ready to sway
scheduled for late 2017. The first string of the project would things in his favour. In the coming months, US support for
supply gas to Turkey, while the second string would carry gas energy diversification in Europe will erode quickly, branding
to Europe. Also, the south Balkan pipeline, which delivers the renewal of US-Russia ties as a priority over interfering in
Russian gas to Turkey via Ukraine will be made redundant by foreign energy markets.
the first string of the project. This is a significant strategic US progress towards energy self-sufficiency in the sight of
victory for Russia. Gazprom will have rights to the sea part of persistently low oil prices has also reduced geopolitical
the project, while the land stretch will be owned by Turkish concerns over control of foreign energy sources. So, it comes
customers in the first leg and by a JV in the second leg. So, as no surprise that the US has started a reform to drastically
Turkey would collect royalties on gas going into Europe to the reduce its Strategic Petroleum Reserve (SPR).
dismay of Bulgaria, losing royalties, transit revenues and Slowly but surely, Russia has laid the groundwork for
strategic advantage to its former Ottoman overlord. Indeed, dominance over the European energy market. For now,
Moldova and Romania too lose out in terms of transit fee. Russian ploy seems to be working well. And, Washington has
Turkish Stream's main objective is for Russia to bypass existing been reined in too. The southern Gas corridor could well be
Ukrainian gas routes. At any rate, Russian target is to stop all the tipping point. On target, Russian monopoly on natural gas
gas transport through Ukraine by 2019. is set. The big question is, what next?

25 January 2017

Surveys & Studies

White Remains the Most Popular Car Colour Globally

Axalta Global Automotive 2016 Colour Popularity Report

White retained its top ranking as the most popular automotive North America
colour internationaly in the Axalta’s 64th edition of Automotive
Colour Popularity Report. Axalta’s comprehensive report • Black, with 21%, is up from 2015 and trails white by only
provides an in-depth review of automotive colour popularity four points, closer than in any other region.
both by geography and vehicle type.
According to Elke Dirks, Automotive OEM Colour Designer for • At 16%, gray remains in third place, five points ahead of
Axalta’s Europe, Middle East and Africa region, Axalta uses silver.
the colour popularity data to assist customers in decision-
making. “Our trend reporting enables Axalta to be nimble as • At 11%, silver has not been at or below this level since 1998.
we work with automakers on future colours,” she said.
“Understanding consumer preferences and trends provides South America
insights that help us forecast where consumer choices may
be heading in the years to come.” • At 41%, white is the region’s most popular colour.
For the sixth consecutive year, white leads in global popularity. Although solid white’s popularity declined by 2%, pearl
At 37% worldwide, it is up two full percentage points from white jumped 6%.
2015. Asia favours white more than any other region; at a
remarkable 48%, white appears on almost one of every two • Green comes in at 5%, tied with Russia for green’s most
vehicles there. popular region.
Black, still at 18%, remains the second most popular colour.
In Axalta’s years of colour popularity reporting, black has only • At 24%, silver does best here.
been the most popular colour in one region: Europe. Black
was the top choice from 1987 through 1997, except for 1995 Europe
when blue was the prevailing choice in Europe.
Silver, overtaken by white as world number one in 2011, • White, with 27%, remains the most popular colour in this
continues to slide globally coming in at only 11%. Conversely, region, even though it fell by two percentage points this
gray continues a gradual climb and is up a full percentage year.
point and tied with silver as the world’s third most popular
colour. Gray leads silver in popularity in Europe (by 6%), • As in North America, gray is up two points year over year.
North America (5%), and South Korea (7%). At 17%, gray is more popular here than in any other
As the top three positions demonstrate, neutrals remain most region. The intermediate segment shows a significant
popular. However, in terms of bold colours, North America is increase of more than 4% effect gray.
the most popular region for red (10%), while Russia and
Europe prefer blue (each at 9%). Yellow/gold is again most • Black was more popular in Europe than in any other region
popular in Asia (4%). last year. In 2016, black is down a percentage point but
remains at second place.
Colour Preferences at a Glance
World Colours • Yellow and green form the tail, but both saw a slight upswing.

• White stays in first place at 37% worldwide. Russia
• White’s dominance in Asia at 48% is the highest number
• There may be renewed interest for green in Russia. It is
for one colour since silver dominated in South Korea in up 4%, almost returning to 2014 levels.
2008 at 50%.
• After leveling out last year and following four years of • Beige/brown colours populate the region at 8%. No other
decline, silver slipped two more percentage points region reaches that mark.
compared to 2015.
Asia

• Up seven percentage points over 2015, white is the most
popular colour across the region at 48%.

• In China alone, solid white gained in popularity by 10
percentage points.

• In Japan, pearl white is most popular at 27%.
• Colour returns to South Korea with gray increasing by two

percentage points, blue by one, and red by one.
• India, along with South Africa, went against trends and

saw silver up one point to remain the most popular
colour in India.

January 2017 26

Africa with less than 1%, that number is unchanged.

• White leads again, with almost half of all vehicles • Light colours are most favoured here and, together, silver
produced at 47%. and white make up 63%.

• As in 2015, green could not be any less popular; • Nevertheless, black gained three percentage points here

27 January 2017



Know Our Member

Pavan Hyundai, Bangalore

Pavan Hyundai, a unit of Vayuputra Automobiles Pvt Ltd and employees, including the top management. All service
based in Bangalore, is new Life Member of FADA. standards and SOPs laid down by HMIL are in place and
Established in the beginning of 2016, Pavan Hyundai is the 5th adhered to religiously. A culture of excellence is ingrained
dealership of Hyundai Motor India Ltd (HMIL), located on among employees and the management ensures that there
Kanakapur Road, Bangalore, with the largest 3S (Sales, Service is no compromise in service standards. The organization
and Spare Parts) facility. constantly endeavours to raise the bar when it comes to the
SSI and CSI scores.
Pavan Hyundai, currently having one 3S facility, has ambitious
expansion plans. A couple of more sales & service outlets will Vayuputra Automobiles was founded by
be up and running soon. father-son duo - Suresh Babu, Director and B
The operations of Pavan Hyundai are carried out with the S Alok, Managing Director & Dealer Principal.
support of 40 direct employees and 35 in-direct employees. Both are from the Textile Retail background
The sprawling facility built on an area of one- and have been handling very efficiently
lakh square feet, offers all services under one Branded Retail Formats such as Reliance
roof for the ease and convenience of its Trend for a number of years. They are also
esteemed customers. A huge area of 15,000 connected to Automotive Retail, as their
sq ft for the new-car display enables all the family is also connected to Two-Wheeler
models to be displayed at a time. A specific Dealership network in Bangalore and other
area is earmarked for display of premium cars. towns nearby.
The dealership also boasts of automated car The dynamic and energetic dealer principal,
wash facility. Alok has single-point agenda to constantly
Although new in the business, Pavan improve service standards and enhance
Hyundai sells, on an average, 125 new cars customer experience. This is what he says to
and 40 pre-owned cars, in addition to his customers “From Getting the Price quote
servicing about 625 cars, a month. The till the delivery of your vehicle and thereafter, helping you at
dealership has been able to clock a every step is our sole aim. For us customer satisfaction is primal
turnover of Rs. 60 crore during the last six than any other thing. We have made it all under one roof so
months. that you no longer have to search for very other thing here
Ensuring customer delight at all stages of the customers’ and there.”
interface with the dealership remains the focus of all the
In addition to the Branded Textile Retailing, the Group is also
into Real Estate (Building & Leasing of Commercial Properties).
FADA Wishes Pavan Hyundai and its team All the Best

29 January 2017







New on Wheels

Tata Motors Launches Lifestyle Vehicle ‘Hexa’

Tata Motors announced the commercial launch of its ‘lifestyle CONFIDENCE OF ABSOLUTE SAFETY
vehicle’ HEXA on January 18. Based on a new versatile • Standard safety across variants, including Dual Airbags,
platform, HEXA is a complete vehicle package, with an
exceptional combination of design, luxury, off-road and on- ABS with EBD, Torque, Corner Stability Program, Disc
road capabilities, boasting modern and exciting architecture, Brakes on all wheels, Perimetric Alarm, Child Safety Lock
plush interiors and next-generation connectivity. on Rear Door and Door Ajar Warning as standard fitments.
Mayank Pareek, President – PVBU, Tata Motors, said, "Ever
since its first showcase as a concept, HEXA has generated a PREMIUM CUSTOMER EXPERIENCE
great amount of curiosity and excitement and customers are • A 24X7 live Web Chat service with Toll-free Hexa Premium
sure to find value & prestige that goes beyond their expectations."
Available in six variants – XE, XM, XT, XMA, XTA and XT 4×4, Desk, manned by specially trained relationship managers
and 5 colour options – Pearl White (PW), Arizona Blue (ARB), to provide real time response to HEXA customers.
Tungsten Silver (TNS), Sky Grey (SKG) and Platinum Silver (PTS),
the introductory price of Hexa is INR 12,08,798 for MT and The company has introduced Tata Motors Service Application
INR 14,98,382 for AT variant (Ex-Showroom, Maharashtra). (TMSA) to improve the overall service experience, making it
Powered by an advanced Next-gen 2.2L VARICOR 400, 156PS quicker & more efficient at service centres by eliminating the
engine and coupled with 6-speed G-85 transmission, Hexa process of physical filing of service details.
delivers fuel-efficiency of 14.4 kmpl (as per ARAI).
The vehicle features a new first-in-segment ‘SUPER DRIVE WARRANTY
MODES’ system to provide customers with a pleasurable, • HEXA comes with a Warranty Policy of 3 years or 1,00,000
comfortable and dynamic driving experience. This system
allows the driver to seamlessly switch between four different kms. Additionally, customers will be offered an Engine
driving modes – Auto, Comfort, Dynamic and Rough Road. Warranty of 3 years or 1,50,000 kms, whichever is earlier.
The new system is a flawless combination of Engine • Extended Warranty for the fourth and fifth year at
performance, Electronic Stability Program (ESP), Torque on competitive prices.
Demand (TOD), Instrument Cluster display and ambient lighting. • The periodic Service Schedule at 10,000 kms or 6 months.
Equipped with ‘CONNECTNEXT Infotainment system‘, HEXA has • Oil change at an interval of 20,000 kms or 12 months.
an ergonomically placed 5-inch touchscreen exclusively
designed by Harman, with 10 JBL branded speakers, featuring ANNUAL MAINTENANCE CONTRACTS
voice recognition and smartphone integration. The • Gold AMC: Scheduled maintenance services ranging from
ConnectNext App suite includes, NAVIMAPS App, Juke-Car
App, Tata Smart Remote App and Tata Smart Manual App. 20,000 kms to 1,50,000 kms – labour, parts &
consumables, unexpected repairs, viz. clutch, brake pad,
brake liner, suspension, belts, wiper, Wheel Alignment,
Wheel Balancing and other Wear & Tear items.

• Silver AMC: Scheduled maintenance services, ranging
from 20,000 kms to 1,50,000 kms - labour, parts &
consumables.

33 January 2017

Maruti Suzuki Unveils IGNIS - Urban Compact Vehicle

Maruti Suzuki India Ltd (MSIL) launched the premium urban speedometer, carbon fibre texture on louvers and
compact vehicle – IGNIS on January 13. speedometer, coupled with rich and complementary body
Presenting IGNIS, Kenichi Ayukawa, MD & CEO, MSIL said, colour interior accents are a sheer delight to the eyes.
“NEXA, our premium automotive retail channel, now has an Plugged Seamlessly: Smartphone on wheels
offering for the millennials - IGNIS. It combines unconventional The look, feel and positioning of the infotainment system, akin
design, seamless smartphone experience with AndroidAuto a Tablet plugged to the car, adds style to IGNIS. It comes
and Apple CarPlay, AGS on both petrol and diesel variants, equipped with an infotainment system, which offers a
advanced safety features as standard and personalization seamless smartphone connectivity experience with Android
options, making it unique. IGNIS will help us expand our Auto, Apple CarPlay and Mirror Link.
presence in the premium compact segment.” Android Auto
IGNIS is built on a new generation rigid platform embodying IGNIS is the first car in the Maruti Suzuki portfolio to offer
Suzuki Total Effective Control Technology (TECT) for occupant “Android Auto” feature, expanding smartphone connectivity
protection. The company, alongwith its suppliers, has invested to Android users. Android Auto allows users to control the
over Rs. 950 crore towards development of IGNIS. multimedia functions via voice commands. It helps users get
Unconventional Design directions, make calls, send and receive messages, listen to
The exterior is inspired by the inherent desire of the millennial music and audio books through a remarkable touch interface.
to be distinct. The unique proportions of IGNIS get a confident Android Auto also helps in getting real time traffic update via
stance with expressive wheel arches, tastefully accentuated Google Navigation and access to other supported Apps.
with clad, and wheels placed at extreme corners. Captivating Roomier Cabin
front has a single frame grille design, with inset Headlamps. Smart packaging of the engine makes IGNIS cabin space
The chrome accentuation on the front grille and fog lamps roomier and offers comfortable ingress-egress. Front and rear
create a perfect example of unconventional design. have abundant head room and leg room, offering maximum
The dynamic Day Light Opening (DLO) with a unique kick-up usable space with the right proportions at all the places. The
shape enhances the overall appeal of IGNIS. The LED Projector large, 265 litre, boot is wide enough for easy access and
Headlamps with LED DRLs, fog lamps with chrome inserts, and comfortable handling of heavy and large luggage pieces. The
3D trapezoidal 5-spoke all-black Alloy Wheels, add to the boot space can be extended with 60:40 rear split, maximizing
design quotient. the utility space.
Refreshing Interiors The overall layout of the vehicle offers excellent overall
The floating layered dash board design in black & ivory dual visibility for bumper to bumper urban traffic in India. A high
tone and the unconventional cockpit styled console panel set eye point helps user in easy manoeuvrability, both within the
the IGNIS apart. The EDM inspired illumination in the city and on highways.

January 2017 34

New on Wheels

Advanced Safety Features Convenience of Two Pedal Technology
IGNIS comes equipped with dual airbags, seatbelts with pre- IGNIS offers the celebrated AGS technology on both petrol
tensioner force limiter (PTFL) and ABS with EBD as standard and diesel trims.
fitments. IGNIS is compliant for pedestrian safety, side-impact, Personally Yours: Make it your style statement
and offset crash regulations ahead of regulation timeline. It For a generation that aspires to be `different’ IGNIS offers
also gets ISOFIX Anchorage and a child seat restraint system, unique personalization opportunities with concepts like Roof
as standard in all variants. Wraps, colour options in ORVMs, spoilers, fog lamp garnish,
Powerful Drive Performance interior styling and more. Other personalization accessories
IGNIS comes with two engine options - petrol variant fitted include roof spoilers, wheel cladding, door-visor and cladding,
with the proven VVT engine (1.2L), delivering power of 61kW front, rear and side skid plate, making their IGNIS distinctive
@ 6000rpm with a torque of 113Nm @ 4200rpm and fuel- and original.
efficiency of 20.89 kmpl. The engine is tuned to offer better Colour Options
low-end torque, enabling better drivability in various IGNIS is available in 6 colours in single tone - Pearl Arctic White,
conditions. The diesel IGNIS gets the power of the acclaimed Uptown Red, Silky Silver, Tinsel Blue, Glistening Grey and Urban
DDiS 190 diesel engine (1.3L) delivering power of 55.2 Blue and 3 colour options in dual tone & aplha grage - Uptown
kW@4000 rpm with a torque of 190Nm@2000 rpm and fuel- Red with Midnight Black, Tinsel Blue with Midnight Black and
efficiency of 26.80 kmpl. Use of pendulum engine mount Tinsel Blue with Pearl Arctic White.
system, effective use of acoustic insulation and absorption Price
materials around the cabin and engine compartment ensure The petrol variant is priced between Rs. 4.59 lakh and Rs. 6.69
low NVH levels. A well-tuned suspension delivers a stable and lakh. The price of diesel variant ranges from Rs. 6.39 lakh to
comfortable ride. Technologies such as intelligent battery Rs. 7.80 lakh (Ex-Showroom, Delhi)
management, gear shift indicator, low rolling-resistance tyres
– make the IGNIS drive highly efficient.

35 January 2017

News Basket

Hero MotoCorp Starts Operations in by bringing on-board the Argentine legend - Diego Simeone,
Argentina; Unveils New Glamour the coach of Atletico de Madrid,” he added.
The masculine and sportier new Glamour makes a strong
Hero MotoCorp (HMCL) unveiled the new Glamour – its technological statement with the new BS-IV complaint engine
first-ever global launch of a new product outside India, on that also features Hero patented and proven i3S technology.
January 12. In addition to delivering excellent performance and fuel-
This global launch of the new Glamour coincides with the efficiency, the charismatic new Glamour carries an unmatched
commencement of Hero’s operations in Argentina, its 35th style-quotient and offers an exciting package of class-leading
market in the company’s rapidly growing global footprint. features to add to the premium-ness of the brand.
This launch comes in conjunction with the impressive debut Hero MotoCorp has appointed Marwen SA as its distributor
of Hero MotoSports Team Rally – comprising of riders C S in Argentina.
Santosh and Joaquim Rodrigues - at the Dakar Rally 2017. For the local market in Argentina, Hero MotoCorp has rolled
The new Glamour was unveiled at a glittering ceremony held out four products from its wide portfolio in the first phase -
at the historic Law University in the capital city and attended Hunk, Hunk Sports, Ignitor and the scooter - Dash.
by senior government officials, members of the diplomatic These products will be sold through a network of 40 dealers
corps, and more than 100 Hero MotoCorp associates, including across the regions of Capital Federal and GBA.
global distributors and dealers from India.
On this occasion, Pawan Munjal, CMD and CEO, HMCL, said,
“The past five years have seen Brand Hero evolve into a
major global player. Where mobi lity solutions are
developed at our state-of-the-art R&D facilities in India and
distributed globally. And the extent of this growth is today
showcased here in Argentina, the first ever global launch
of our new bike, while our team races along in the Dakar
Rally for the first time.”
“With the commencement of our operations in Argentina, we
are now significantly growing our presence in the region. We
have already begun our brand building initiatives for Argentina

Vikram Pawah Appointed as President of BMW Group India

Vikram Pawah (45) has been of Head of Business Steering - Luxury Class. During his
appointed as the President of assignment of over 3 years, Schloeder has held the position
BMW Group India effective 1 of Director - Marketing, where he effectively steered the BMW
March 2017. brand in India. In his tenure as acting President, BMW Group
Pawah brings more than increased both its sales and market share in the Indian luxury
twenty five years of car segment.
international experience both “India is a growing market with great potential for mobility
in the automotive and non- products and services. With his broad experience in the
automotive industry. He automotive industry and his country specific knowhow, Pawah
started his career at Jay brings excellent preconditions to strengthen our position in
Engineering Works, India and the Indian market. We would like to thank Schloeder for his
has held multiple leadership remarkable accomplishments and wish him the best for his
positions within Honda Cars in India and Australia. Most new role,” said Hendrik von Kuenheim, Senior Vice President,
recently, he was the MD of Harley-Davidson India. Asia Pacific and South Africa, BMW Group.
Having completed his assignment, Frank Schloeder (42) acting Pawah has graduated in Bachelor of Commerce (Honours)
President, BMW Group India will return to BMW Group from Delhi University and holds a MBA in International and
Headquarters in Germany, where he will assume the position Strategic Management from Victoria University, Melbourne.

January 2017 36

News Basket

Honda 2-Wheelers Inaugurates its Highlights of Honda 2-Wheelers at the Children’s traffic
First Traffic Park in Tamil Nadu park at Coimbatore

Celebrating the National Road Safety week (9-15 January 2017) • At the completely renovated Children Traffic Park spread
and extending its commitment to make safe riding an everyday over 1 acre, Honda has replicated real-life riding
habit for two-wheeler riders, Honda Motorcycle & Scooter conditions through a specially designed and secure
India (HMSI) inaugurated its 11th adopted traffic-park in India environment in association with the Coimbatore City
on January 11 at Coimbatore – the first in state of Tamil Nadu, Police.
in association with Coimbatore City Police. The park is located
at Balasundaram Road, P N Palayam, Coimbatore. • Here, Honda will spread road safety awareness among
Honda also launched the unique ‘DREAM RIDING’ initiative. all age groups including women and children through a
Now, any female over 18 years of age can realize their dream proven scientific module, which includes both practical
of becoming independent riders. Under this unique initiative, (riding experience) and theoretical knowledge (correct
Honda’s dedicated task force of women safety instructors will riding posture, traffic signs and road rules etc).
train women on how to become independent riders in just 4
hours. • Exclusively for females, Honda has got its Dream Riding
Present at the inauguration of Honda’s first adopted park Initiative with the aim of providing higher degree of rider
in Tamil Nadu were: Chief Guest - Deepak M Damor (IPS, comfort and confidence. Expert Honda Safety instructors
DIG, Coimbatore Police); Dr Amalraj (Commissioner of (both female & male) will educate riders on the correct
Coimbatore City Police); Dr P A Moorthy (DCP, riding techniques.
Headquarters, Coimbatore Police); Saravanan (DCP, Traffic,
Coimbatore Police); Yadvinder Singh Guleria (Senior VP, • Customized road safety modules for children – Aimed at
Sales & Mktg, HMSI); Tomoaki Nagayama (Dy Director- imparting safe riding habits and appealing to the
South Region, HMSI); Yogesh Mathur (Divisional Head Sales consciousness of young school children, Honda’s road
- South Region, HMSI); Ashish Choudhary (Divisional Head- safety modules include primary activities such as snakes
Sales Resource, Training and Quality, HMSI); and over and ladders for children aged 5 to 8. For 9-12 year old
hundred kids and women. kids, Honda has brought in the imported CRF 50
Speaking on the occasion, Yadvinder Singh Guleria, said, motorcycle. This will help the young minds grasp safe
“Under ‘People Come First’ philosophy, road safety promotion riding concept through the exciting practical riding. For
has been Honda’s top priorities worldwide since 1970. In India young teens, there is the theory session on safety riding
too, Honda follows safety as an integral part of all our business as well and the family photo zone with Chhota Bheem.
activities and has already. Through various road safety
initiatives, Honda 2Wheelers has spread road safety awareness • Learning becomes fun with Honda’s Proprietary riding
to more than 10 lakh individuals. I express my sincere thanks trainer – A virtual riding simulator will help people above
to the Coimbatore City Police for providing Honda 2Wheelers 16 years of age to experience over 100 possible dangers
India an opportunity to extend our road-safety awareness on road before actual riding on road. The biggest
initiatives here. This park is yet another step in our efforts to advantage for new riders is that virtual experience will
make the riders and roads of Coimbatore safer.” significantly increase their ability to predict & react to
traffic hazards.

• For existing riders over 18 years of age, there is gymkhana
and narrow plank through which riders can test their skill
through a fun approach.

• Additional features of Children Training Park include an
amphitheatre with LED for road safety education, watch
tower, rope-way and an exclusive Kids Play Zone.

37 January 2017







Perspective

Beneficiaries of the Electric Vehicle Boom

The future is electric. The declining costs of batteries, stricter Credit-Suisse
emissions norms and regulatory incentives all support the
trend toward battery-powered vehicles. have a sea change happening in power generation, with
Over the next five years, demand for electric vehicles (EV) and renewables expected to contribute to almost half of
electric storage systems (ESS) is expected to record a incremental global power generation through 2035.
compound annual growth rate of 20 percent and 10 percent, Renewable energy comes with storage issues, and lithium-
respectively. based battery technology is being used to deal with load
Technological developments and the maturing of battery and frequency management issues. Global storage capacity
technology as a viable source of power have led to new currently stands at about 250 MW and is expected to grow
requirements in terms of natural resources. Lithium, cobalt, to 14,000 MW by 2023.
graphite, nickel, aluminum and copper are highly likely to Lithium-Based Batteries – "The Salt on the Salad"
benefit from surging battery demand. Tesla's founder and CEO, Elon Musk, famously answered "...it's
Battery Boom, Why Now? like the salt on the salad, "when asked if he was concerned
The declining costs of batteries, stricter emissions norms and that the boom in EV could lead to a supply squeeze for lithium.
regulatory incentives (tax exemptions and subsidies) all "Our cells should be called nickel graphite," he said. While his
support the trend toward battery-powered vehicles. The EU answer was meant to allay concerns about the heavy
passenger car emissions target of 95g/km for 2020, the USA's dependence on lithium, it actually also highlights the potential
target of 93g/km by 2025, Japan's 105g/km by 2020 and for a squeeze in nickel and graphite prices. What is clear is
China's 117g/km by 2020 will be close to impossible to meet that the battery technology for EV and power storage has
without adding EV to all fleets, which currently produce matured and is focused on a range of lithium-based cathode
emissions of around 200g/km. At the same time, technologies. Cathodes form about 30 per cent of the battery
technological developments have pushed the energy density and require lithium, nickel and cobalt. According to the Credit
of batteries significantly higher and costs significantly lower Suisse Global Equity and Credit Research team, lithium
over the past decade. In 2008, the cost per kilowatt hour for carbonate demand will rise from about 200 kilotons (kt) today
batteries was about USD 1,000. In 2015, the International to over 500 kt in 2025. Anodes form about 8 per cent of the
Energy Agency defined the cost at around USD 250 and battery and require spherical graphite, with current graphite
forecast it to come down to USD 150 by 2022. This should demand at around 90 kt and seen expanding to 400 kt by
help the industry wean itself off purchase incentives. We also 2020.
How to Gain Exposure to This Theme
Battery-grade raw material supply lags demand, and prices
have started to rise in response. This supply/demand
imbalance is likely to intensify with the construction of up
to 12 new battery mega-factories, which are forecast to triple
battery manufacturing capacity by 2020. Given the rapid rise
in battery demand, we expect a shortage in the supply for
lithium, graphite and cobalt. However, copper and aluminum
should also benefit from this trend. EVs are up to three times
as copper-intensive as internal combustion vehicles, while
alumina (aluminium) is used in light-weighting of a vehicle
as well as a separator in EV batteries. Beyond the miners,
battery materials makers should also profit from this trend.
Additionally, auto suppliers (especially those with power
management solutions) with relevant products and limited
exposure to traditional engines should benefit from an
accelerating shift to EV. Lastly, though at a nascent stage,
companies investing in charging infrastructure (charging
stations) are expected to benefit from the EV boom

41 January 2017

Consumer Case Studies

National Consumer Disputes Redressal Commission, New Delhi

K S Chaudhary, Presiding Member

Ashok Leyland Ltd & Anr - Petitioners

Versus

Kameshwar & Anr – Respondents

Revision Petition No. 3836 of 2013 Decided on 30.11.2016

(Against the Order in Appeal No. 114/2012 dated 04.07.2013 of the State Commission Himachal Pradesh)

Consumer Protection Act, 1986 – Sections 15,17,19 and 21 – Automobiles – Manufacturing Defect – District Forum allowed
complaint and directed OPs jointly and severally to replace engine of vehicle with new one along with compensation of Rs.
50,000 and litigation cost of Rs. 15,000 – Complainant in complaint pleaded that he is an unemployed person and for the
purpose of self-employment he is plying truck personally – Merely because Complainant has mentioned in accompanied
affidavit his occupation as private business, it does not mean that he was carrying on any other business except plying vehicle
for earning his livelihood by means of self–employment – However, when District Forum, Solan had no jurisdiction to entertain
complaint, complaint is liable to be dismissed for want to territorial jurisdiction – Complainant given liberty to file complaint
before appropriate Forum having jurisdiction to entertain complaint - Revision Petition Allowed (Paras 5, 7 to 9)

Important Point

Complaint can be dismissed for want of territorial jurisdiction.

Order

1. K S Chaudhari, Presiding Member - This revision who is also an authorized repairer of the manufacturer
petition has been filed by the Petitioner against the of the vehicle, was approached. A mechanic was
order dated 4.7.2013 passed by the H P State Consumer deputed by OP No. 2. The vehicle was taken to the
Disputes Redressal Commission, Shimla (in short, ‘the workshop of OP No. 2. OP No. 2 demanded a sum of
State Commission’) in Appeal No. 114/2012 – Ashok Rs. 90,000 for replacing the engine. Complainant
Leyland Ltd & Anr Vs Kameshwar & Anr by which, the refused to pay the aforesaid amount of money,
appeal was dismissed. because, according to him, the vehicle was still within
warranty period. Alleging deficiency on the part of OPs,
2. Brief facts of the case are that the Complainant/ Complainant filed complaint before District Forum. OP
Respondent No. 1 - Kameshwar purchased a truck of No. 1 did not file separate reply and OP No. 2 was
Ashok Leyland - Comet 1611/3 make from OP-2/ proceeded ex-parte. OP No. 3 resisted complaint and
Respondent-2 M/s Paramount Motors Pvt Ltd, Phase submitted that the Forum at Solan did not have the
1, Mohali with a warranty of eighteen months or jurisdiction, as the vehicle was purchased at Mohali
coverage of one lakh fifty thousand kilometres and no cause of action was shown to have occured
distance, whichever was earlier. After lapse of one within the territorial jurisdiction of District Solan. Also,
month, the vehicle started giving trouble. Its it was stated that Complainant was not a consumer, as
temperature would go up. Complainant approached the vehicle had not been purchased by him for self-
authorized service workshops of Ashok Leyland Ltd employment. It was stated that though the allegation
situated in Bilaspur and Solan districts. M/s Gautam was there in the complaint that the vehicle had been
Automobiles, authorized service station, changed the purchased for self-employment, yet in the affidavit
coolant, but the problem was not solved and within submitted with the complaint, it was mentioned that
further one month, the coolant was again replaced. the Complainant was a businessman. On merits, it was
The vehicle had covered a distance of only 36,000 stated that when the vehicle was brought to the
kilometers when, on 4.4.2008, the vehicle carrying a workshop of OP No. 2, it was noticed that the
consignment to Chamba broke down and its engine thermostat of the engine had been removed and that
seized. OP No. 2 / Petitioner No. 2 - M/s C M Associates, had caused seizing of engine. Denying any deficiency

January 2017 42

Consumer Case Studies

on their part, the OPs prayed for dismissal of the so, District Forum, Solan had no jurisdiction to
complaint. Learned District Forum after hearing parties, entertain the complaint. Learned State Commission,
allowed complaint and directed OPs jointly and in para 11 of the impugned judgment, observed that
severally to replace the engine of the vehicle with new cause of action occured partly within the area of Solan
one along with compensation of Rs. 50,000 and District because the defect in engine developed at that
litigation cost of Rs. 15,000. Appeal filed by OP Nos. 1 place, but in para 13 of the order, it was observed that
and 3 was dismissed by learned State Commission vide engine of truck seized on 4.4.2008 when the
impugned order against which, this revision petition consignment was being carried to Chamba. Learned
has been filed. Counsel for the parties admitted that Chamba does not
3. Heard learned Counsel for the parties finally at fall within the territorial jurisdiction of District Forum,
admissions stage and perused the record. Solan. None of the OPs are residing within territorial
4. Learned Counsel for the Petitioner submitted that jurisdiction of District Forum, Solan. Learned Counsel
Complainant does not fall within purview of consumer, for Respondent No. 1 could not apprise how District
as the vehicle was purchased for commercial purpose Forum, Solan had jurisdiction to entertain the
and the District Forum, Solan had no jurisdiction to complaint. Learned State Commission, in the impugned
entertain the complaint; even then, learned the District order, rejected this plea only on the ground that OP
Forum committed error in allowing the complaint and No. 2 was not impleaded as a party in the appeal; so,
the learned State Commission further committed error there cannot be an order in favour of the appellants
in dismissing the appeal; hence, the revision petition holding that District Forum, Solan did not have
be allowed and impugned order set aside. On the other territorial jurisdiction because that would mean
hand, learned Counsel for the Respondent No. 1 passing of order in conflict. I do not agree with the
submitted that order passed by learned State aforesaid observation because when District Forum,
Commission is in accordance with law; hence, revision Solan had no jurisdiction to entertain the complaint,
petition be dismissed. Learned Counsel for the order of District Forum allowing complaint cannot be
Respondent No. 2 submitted that he was not served upheld merely because OP No. 2 against whom District
before District Forum and he came to know first time Forum allowed the complaint was not impleaded as a
about the order on receiving notice of revision petition party in the appeal. When District Forum, Solan had
and he is no more dealer of OP No. 1 and prayed for no jurisdiction to entertain the complaint, complaint
dismissing the complaint. is liable to be dismissed for want of territorial
5. As for purchase of the vehicle for commercial purpose jurisdiction.
is concerned, Complainant in complaint has pleaded 8. In the light of aforesaid discussion, it becomes clear
that he is an unemployed person and, for the purpose that learned District Forum had no territorial
of self-employment, he is plying truck personally. jurisdiction to entertain the complaint and the
Merely because the Complainant has mentioned in the complaint was liable to be dismissed for want of
accompanied affidavit his occupation as private territorial jurisdiction. The learned District Forum
business, it does not mean that he was carrying on any committed error in allowing the complaint and learned
other business except plying the vehicle for earning State Commission further committed error in
his livelihood by means of self-employment. Learned dismissing appeal on flimsy grounds. Therefore, the
District Forum has not committed any error in rejecting revision petition needs to be allowed.
this objection and learned State Commission has rightly 9. Consequently, revision petition filed by the Petitioner
dismissed appeal on this count. is allowed and the impugned order dated 4.7.2013
6. The core question to be decided is whether District passed by the learned State Commission in Appeal No.
Forum, Solan had jurisdiction to entertain the 114/2012 – Ashok Leyland Ltd & Anr Vs Kameshwar &
complaint? Anr and order of District Forum dated 2.3.2012 in
7. Learned Counsel for the Petitioner submitted that complaint No. 120/2008 – Kameshwar Vs Ashok
vehicle engine seized at Chamba and the vehicle was Leyland Ltd & Ors is set aside and the complaint is
purchased from OP No. 2 carrying on business at dismissed. Complainant is given liberty to file
Mohali and none of the cause of actions arose at Solan; complaint before appropriate Forum having
jurisdiction to entertain the complaint. Parties to bear
their costs

43 January 2017











TWO-WHEELER SALES - DECEMBER 2016

Domestic Sales Dec-16 Dec-15 Growth Y-o-Y (%) Exports Dec-16 Dec-15 Growth Y-o-Y (%)
106,665
OEM OEM
Bajaj Auto 210
H-D Motor 312,233 120,322 -11.35 Bajaj Auto 96,647 127,460 -24.17
Hero MotoCorp 205,158
HMSI 330 -36.36 H-D Motor 587 1,035 -43.29
India Kawasaki 37 476,012 -34.41 Hero MotoCorp 17,969
India Yamaha 49,775 290,540 -29.39 HMSI 26,605 23,653 -24.03
Mahindra 2W -57.47 India Yamaha 22,538
Piaggio 1,498 87 28.18 16,067 65.59
Royal Enfield 3,482 38,833
Suzuki 56,316 12,516 80.07
Triumph 21,364
TVS Motor 10,488 -85.72 Mahindra 2W 1,935 1,624 19.15
84
Total 153,413 1,618 115.20 Piaggio 1,592 132 1,106.06
40,037 40.66 Royal Enfield 1,082
21,119 1.16 Suzuki 5,133 416 160.10
12.00 TVS Motor 26,095
75 -8.77 5,779 -11.18
168,160
25,906 0.73

910,235 1,167,621 -22.04 Total 200,183 214,588 -6.71

Domestic Sales + Exports

OEM Dec-16 Dec-15 Growth Y-o-Y (%)

Bajaj Auto 203,312 247,782 -17.95

H-D Motor 797 1,365 -41.61

Hero MotoCorp 330,202 499,665 -33.92

HMSI 231,763 306,607 -24.41

India Kawasaki 37 87 -57.47

India Yamaha 72,313 51,349 40.83

Mahindra 2W 3,433 12,112 -71.66 Segment wise (Domestic Sales + Exports)

Piaggio 5,074 1,750 189.94 Category Dec-16 Dec-15 Growth Y-o-Y (%)
Scooters/ 315,163
Royal Enfield 57,398 40,453 41.89 Scooterettes 413,628 -23.81

Suzuki 26,497 26,898 -1.49 Motorcycles/ 729,472 911,040 -19.93
Step-Through
Triumph 84 75 12.00

TVS Motor 179,508 194,066 -7.50 Mopeds 65,783 57,541 14.32

Total 1,110,418 1,382,209 -19.66 Total 1,110,418 1,382,209 -19.66
Source: SIAM

49 January 2017

COMMERCIAL VEHICLE SALES - DECEMBER 2016

Domestic Sales Dec-16 Dec-15 Growth Y-o-Y (%) Exports Dec-16 Dec-15 Growth Y-o-Y (%)
35 37 -5.41
OEM OEM 1,031 855 20.58
AMW Motor 9,700 11,299 -14.15 30 19 57.89
Ashok Leyland 1,638 Ashok Leyland -52.13
Force Motors 1,768 -7.35 Force Motors 1,313 2,743
Isuzu Motors 142 Mahindra 97 0 -
Mahindra 14,154 90 57.78 Maruti Suzuki 0 20 -
Maruti Suzuki Piaggio Vehicles 83 91 -8.79
Piaggio Vehicles 26 12,465 13.55 SML Isuzu 10.63
SML Isuzu 172 Tata Motors 4,745 4,289 -16.37
Tata Motors 938 VECVs - Eicher 700 837
VECVs - Eicher 23,813 -9.66
3,246 Total 7,999 8,854

--

388 -55.67 M&HCVs (Domestic Sales + Exports)

786 19.34 Category Dec-16 Dec-15 Growth Y-o-Y (%)

25,781 -7.63 Passenger Carriers 4,638 4,229 9.67
Goods Carriers 22,216 24,556 -9.53

4,109 -21.00 Total M&HCVs 26,854 28,785 -6.71

VECVs - Volvo 102 117 -12.82 LCVs (Domestic Sales + Exports)
Total 53,966 56,840 -5.06
Category Dec-16 Dec-15 Growth Y-o-Y (%)
Domestic Sales + Exports Passenger Carriers 3,503 3,751 -6.61
Goods Carriers 31,608 33,158 -4.67
OEM Dec-16 Dec-15 Growth Y-o-Y (%)
37 -5.41 Total LCVs 35,111 36,909 -4.87

AMW Motor 35

Ashok Leyland 10,731 12,154 -11.71

Force Motors 1,668 1,787 -6.66
Isuzu Motors 142 90 57.78

Mahindra 15,467 15,208 1.70

Maruti Suzuki 123 - -

Piaggio Vehicles 172 408 -57.84 Segment wise (Domestic Sales + Exports)
SML Isuzu 1,021 877 16.42
Tata Motors 28,558 30,070 -5.03 Category Dec-16 Dec-15 Growth Y-o-Y (%)
VECVs - Eicher 3,946 4,946 -20.22 26,854 28,785 -6.71
VECVs - Volvo 117 -12.82 M&HCVs 35,111 36,909 -4.87
Total 102 65,694 -5.68 LCVs
61,965
Total 61,965 65,694 -5.68

Source: SIAM

January 2017 50