Transcript

Indian Auto Industry Update

17 April 2017

IndustryAndhra govt starts acquisition of 600 acres for Kia Motors facility

Andhra Pradesh likely to bag Rs 10000-crore Kia project

Recycling policy to fetch right price for junked cars

Vehicle recalls set to get a codified route

Automakers largely absorb the currency impact

Interviews amp FeaturesChinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD

2017 Hyundai Xcent facelift spied ahead of launch in April

Whatamprsquos India driving Hot wheels with frills

Cars SUVs MUVsTata Motors to hire widow of employee after MPs intervention

Reva founder looks to make electric cars affordable in India

Nissan GT-R unveiled in Bengaluru

Datsun to showcase Redi-Go in Chennai

Car dealer ordered to pay Rs 25k for selling stolen car

GST may boost online market for used cars

Luxury CarsWith No 1 slot for second year Mercedes shifts focus to after-sales in India

Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017

Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff

Assembly unit in India a matter of when not if Volvo Cars

A race car you can drive every day

Commercial VehiclesConstruction amp Agri Machinery

SBI slips on tractor loan settlement plan

Supreme Court order puts brake on sales of tractors construction vehicles

23 WheelersYoung buyers to represent 40 of global market for personal luxury goods by 2025

Italian super bike maker Ducati expects to double India sales in 2 years

Bajaj Auto loses ground since exiting scooters in 2010

Updated Kawasaki Z250 to launch on 22nd April 2017

Mopeds continue to thrive even as two-wheeler market growth slows

E-BikesComponents

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur

Allied IndustriesNow be ready to pay up to 5 more for tyres

Dhama to market auto seats via OEMs

Apollo Tyres plans to increase market share in Europe to 35 from 25

JK Tyre eyes over 20 market share in two-wheeler segment

Emissions EnvironmentFinance amp Insurance

Home Vehicle loans save the day for NBFCs

Oil Lubricants amp Alternative FuelsUK based Morris Lubricants forays into Indian market

Petrol price hiked by Rs 139 per litre diesel up by Rs 104

News MagazinesToyota FT-4X SUV concept revealed at New York

Lexus LS F Sport revealed at New York

Aston Martin Vanquish S gets special Red Arrows edition

India-bound Jeep Compass 5 things to know

2017 BMW 5-series gets five-star safety rating

International NewsContinental sets up new research facility in Silicon facility

Yamaha Motor Taiwan rolls out its 10-millionth unit

New 2018 Cadillac CT6 features first hands-free driving tech for highway

Osram eyes acquisitions of up to $530 million CFO

Self-driving truck passes test in China

Cadillac Global sales increase 221 in March 2017

Volkswagen Group sales decline marginally during Jan-March 2017

This one number is significant for autonomous driving industry

Redesigned Hyundai Sonata make its North American debut

Ex-Tesla team with new electric vehicle in works missing this one thing

The iPhone of cars Apple enters self-driving car race

Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements

Global carmakers converge on China as rare slowdown looms

Sleek look and the promise of excellent performance

EconomyMarket falls by 245 points to 2946145 for the week

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632

Closing

Industry

Andhra govt starts acquisition of 600 acres for Kia Motors facility B Dasarath ReddyBusiness Standard (Web amp Print Edition)(Apr 16)

Hyderabad Hyundai Motor Companyamprsquos sister concern Kia Motors is all set to establish its first Indian manufacturing facility inAndhra Pradesh as the state government has initiated the process for acquisition of land meant for the companyamprsquosoperations

Recent reports cited Sri City as the possible location in AP for its close proximity to Tamil Nadu which is the base for HyundaiMotorsamprsquo manufacturing operations and its vendor ecosystem However Kia has chosen a place that is closer to Bengalurucity

In its orders issued on Thursday the AP government has directed the Anantapur district collector to acquire 600 acres inErramanchi village near Penukonda on the national highway connecting Bengaluru for an ampldquoindustrial parkamprdquo Sourcestold Business Standard that the acquisition was meant for Kiaamprsquos upcoming manufacturing facility

The government has even mentioned the survey numbers of the land having a total extent of 59938 acres for the acquisitionbesides fixing Rs 05 lakh per acre as the acquisition cost The identified land is nearly 120 km from Bengaluru city according tosources

Having decided to set up its manufacturing plant in India Kia had scouted for a suitable location in Gujarat Andhra Pradesh and

Uttarakhand The company finally zeroed in on the south Indian state according to sources

Besides locational advantage AP was found to be an attractive destination for the company as the government has been offeringbig incentives besides acting fast on such investment decisions in its pursuit to attract large-scale investments in the automobilesector Japanese four-wheeler maker Isuzu had already starting operations in Sri City and HeroMotoCorp was given a large plot ofland in Chittoor district for the proposed bike manufacturing plant

Recent reports suggested that the government had offered reimbursement of sales tax one-and-a-half times of its capitalexpenditure on plant and machinery external connectivity among other things to Kia Motors

According to these reports Kia is planning to invest around Rs 5000 crore on this facility in phases to start with a production of20000 cars per annum Seoul-headquartered Kia Motors is the second largest car maker in South Korea

First stepsThe AP government on Thursday directed the Anantapur district collector to acquire 600 acres in Erramanchi village nearPenukonda on the national highway connecting Bengaluru for an ampldquoindustrial parkamprdquo

The identified land is nearly 120 km from Bengaluru city according to sources

Recent reports suggest the AP government had offered reimbursement of sales tax one-and-a-half times of its capital expenditureon plant and machinery external connectivity among other things to Kia Motors

Kia is planning to invest around Rs 5000 cr on this facility in phases to start with a production of 20000 cars per annumhttpwwwbusiness-standardcomarticlecompaniesandhra-initiates-acquisition-of-600-acres-for-kia-motors-facility-117041400772_1html

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Andhra Pradesh likely to bag Rs 10000-crore Kia project CR Sukumar amp Ketan ThakkarThe Economic Times (Web amp Print Edition)(Apr 17)

Hyderabad | Mumbai South Koreaamprsquos Kia MotorsKia Motors may put in as much as Rs 10000 crore in one of the biggestforeign direct investment projects in India with the Hyundai Motor unit selecting Andhra Pradesh for its maiden facility after atwo-year four-state search in Asiaamprsquos third-largest car market

Two persons aware of the development told ETthat Kia a unit of South Koreaamprsquos biggest carmaker has chosen Penukonda inAnantapur district in southern Andhra Pradesh which is starting the process of buying land for the factory Kiaamprsquos choice ofAndhra Pradesh amid intensifying interstate rivalry to draw investments as part of the Make-in-India initiative helps reinforce NChandrababu Naiduamprsquos credentials as a business-friendly chief minister

ampldquoThe car manufacturing facility a first for Andhra Pradesh will involve two phases with a cumulative investment of $16billion or Rs 10300 crore with first phase of investment amounting to about Rs 6000 croreamprdquo said one of the personsmentioned above ampldquoThe first phase of the production facility will have an installed capacity to produce 3 lakh units ayearamprdquo In February 2016 ETwas first to break the news of Kiaamprsquos plans to set up a plant in India Its parent companyHyundai has been in the country since the late 1990s

Kiaamprsquos decision on the plant comes amid Indiaamprsquos growing stature as a manufacturing hub with several overseascompanies responding to the federal governmentamprsquos Make-in-India initiative

After the make-in-India initiative was launched in September 2014 FDI equity inflow increased 46 per cent to $6158 billion betweenOctober 2014 and May 2016 the government had said last year

The Industries and Commerce department of Andhra Pradesh has on April 13 issued government orders for acquisition of nearly600 acres of land by paying Rs 105 lakh an acre ampldquoas a special caseamprdquo

The government has accorded permission to the Anantapur district collector to procure land required for the project under the APLand Acquisition rules 2014 In the first phase the plant is likely to have a capacity of 3 lakh units per annum and the first car islikely to be rolled out by 2019 The Andhra Pradesh State Investment Promotion Board (SIPB) is currently on the verge of finalisingthe agreement with best possible incentives to the Korean firm said the same person adding that ampldquoa formal agreementbetween AP and Kia Motors is expected shortlyamprdquo

For its part Kia declined to comment on the report ampldquoAs we have not yet made any official confirmation on possible futureplans to invest in India I am afraid that we have no official comment at this timeamprdquo said Michael Choo General Manageroverseas communication planning team at Kia Anantapur in southern Andhra Pradesh is close to the automobile ecosystem ofTamil Nadu and near Hyundaiamprsquos India manufacturing facility at Sriperumbudur on the outskirts of Chennai

The site is and also close to Bangalore Karnatakaamprsquos automotive belt ampldquoThe Andhra government is very keen to bring inthe first large global car manufacturer to the state which should enable it to also attract auto ancillary and componentmanufacturers and help the southern Andhra region to emerge as an automobile hubamprdquo said another person aware of thedevelopment

ampldquoWhile Isuzu Motors already has a major production facility currently under operation in the Sri City special economic zone inChittoor district two-wheeler maker Hero Moto-Corp is in the process of setting up its facility close by involving Rs 800 crore of

investmentamprdquo

Kia has already engaged with several vendors in India through Hyundai Motor Indiaamprsquos sourcing arm Mobis An executivesupplying to Hyundai Motor India said ampldquoWe have already been intimated about understanding the logistics cost to Anantapurand accordingly quote the pricing in the future They are yet to float the RFQ but they are likely to have a portfolio of cars includinga small car a sedan and an SUVamprdquo said the executive requesting anonymity

Another Hyundai vendor that may also supply to Kia said the company has started discussing a project in South Korea codenamedSP2 which is likely to make an SUV in the same segment as Hyundai Creta and may be based on the same architecture

The vehicle may hit the market in 2019 Since the Kia factory will be located close to Hyundaiamprsquos factory Kia is consideringutilising Hyundai Motor Indiaamprsquos paint shop and body shop and a lot of aggregates to keep costs under check and bring in theeconomies of scale

Hyundai Motor India which is utilising about 90 per cent of its capacity may look at harnessing the Kia facility to ensure quickerreturn on investments said an executive aware of the Kia Motors planshttpeconomictimesindiatimescomindustryautonewsandhra-pradesh-likely-to-bag-rs-10000-crore-kia-projectarticleshow58213306cms

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Recycling policy to fetch right price for junked cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

New Delhi People owning old cars and white goods will soon have a choice of selling these junked items to registered scrapdealers at pre-determined prices once the Metal Recycling Policy being jointly prepared by the Niti Aayog and Steel Ministry is putinto action

The Metal Recycling Policy on which the Niti Aayog has already met various stakeholders is likely to be finalised over the next fewmonths

We have a huge wealth in the form of metal scrapWe (Niti Aayog and Steel Ministry) are working on Metal Recycling Policy

We want to look at scrap management in an organised manner Why cant we set up multiple scrap centres in every part of thecountry where people can deposit old cars old fridges washing machines and get the right price Vijay Kumar Saraswat memberNiti Aayog said

The policy is likely to take into account the implications of National Green Tribunal (NGT) ruling on banning over 15 years old dieseland petrol vehicles in the National Capital Region (NCR) and recent Supreme Court judgement of banning sales of BS-III vehicles inthe country from 1 April

The use of metal scrap is actively promoted by several developed countries like Germany Sweden Finland Russia TurkeyAustralia and the USA

According to industry estimates the average recycling rate in these countries is over 80 per cent while Indias recycling rate ismerely 20-25 per centhttpautoeconomictimesindiatimescomnewspolicyrecycling-policy-to-fetch-right-price-for-junked-cars58205870

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Vehicle recalls set to get a codified route Ajay ModiBusiness Standard (Web Edition)(Apr 17)

New Delhi The Motor Vehicles Amendment Bill has proposed significant changes to issues around vehicles and road safety Athree-part series looks at the impact the new rules will have on insurance claims and taxi aggregators starting with car recalls

The Motor Vehicles (Amendment) Bill 2016 is set to streamline the vehicle recall process with the legislation clearly defining theconditions under which the government can order such a recall and penalise the manufacturer concerned

The Bill which will revamp the laws governing transportation in the country was passed by the Lok Sabha last week and is nowawaiting ratification by the Rajya Sabha Among other things the Bill seeks to introduce measures that would enhance road safety

The recall of vehicles has been a grey area under the existing laws and largely practised by manufacturers voluntarily While mostcar makers have been doing recalls for the last two decades the recall of two- and three-wheelers and commercial vehicles isunheard of

ampldquoSome measures may look harsh but they are in the right direction If there is a case for recall and the company does notinitiate one the government will direct a manufacturer to do it If it still does not recall the government will take action and imposepenalty on the company One can expect a formal recall frameworkamprdquo said Vishnu Mathur director general at Society for

Indian Automobile Manufacturers (Siam) the apex body of automobile makers

In July 2012 Siam introduced a voluntary recall code for its members Itamprsquos not that recalls were not happening beforeJagdish Khattar former managing director at Maruti Suzuki said the company had recalled Omni vans more than 15 years agoThere was also a recall of Zen before Omni

The Siam code puts the responsibility of initiating recall of a defective vehicle on the manufacturer The code asks manufacturers tostate the recall information on their website and also share it with individual owners A recall should be made in cases of amanufacturing defect that could compromise the safety of a vehicle the code says Vehicles within seven years of manufacture arecovered under the recall

The industry responded well to this code and has recalled more than two million vehicles since the code was introduced Carmakers big and small have recalled hundreds of thousands of vehicles and addressed the defects while bearing the costHowever there has hardly been any recall of two-wheeler and commercial vehicles in the country

The new legislation states the government can order a recall if there is a defect in a vehicle that could harm the environment theoccupants or those on the road A recall can also be initiated in case a per cent (to be decided when the rule is notified) of ownersor a testing agency approaches the government In such a case the manufacturer must either replace the vehicle or reimburse theentire cost of the vehicle or repair it There will be provisions for imprisonment and penalty in case of failure

The industry welcomes the move but insists nothing changes for them ampldquoWe already have a proactive and robust system tovoluntarily recall vehicles in the interest of customers and their safetyamprdquo said a spokesperson at Maruti Suzuki Last year thecountryamprsquos biggest car maker announced a recall of more than 75000 units of Baleno manufactured over the previous fewmonths due to a defect in the airbag controller software

Experts said all companies will align to the recall system once it gets formalised ampldquoBut if you see the trend companies havenot been holding back news of a defect as their bigger worry today is retaining the confidence of buyers Now one can expect theseprocesses to be quickeramprdquo said Abdul Majeed partner at Price Waterhouse

Some also raise concerns about the efficacy of the regulatory machinery to detect a case of recall ampldquoThe first such decisionhas to come from the company as it will be the first one to discover it If a company keeps it under the wraps then discovery onlycan happen in case of an accident or malfunctioningamprdquo said an industry official

One can see the scale of recalls going up as the market expands and inconsistency in the quality of inputs shows up especially atthe lower level of the automobile value chain As makers squeeze lower and lower prices out of component manufacturers to maketheir price tags as competitive as possible many vendors look to cut costs by compromising on the quality

Majeed said the incidence of recall was only expected to go up ampldquoVehicles are getting more sophisticated and there is use ofnewer technologies and components These will take time to settle and in spite of quality checks there could be challengesamprdquohe said

Indeed most of the recalls in India have happened due to quality issues from small component vendors It is these vendors who inmost cases have to bear the cost of the free replacement of component during a recall The dealerships and service stations tooare burdened when a recall is executed

A recall can indeed bring death for a component maker by impacting profitability and operations Take the case of Japanesecompany Takata one of the worldamprsquos biggest airbag manufacturers Millions of cars from top car makers like Toyota havebeen recalled globally in the last couple of years after instances of explosion in air bags (supplied by Takata) and deaths werereported The consequence millions of dollars in penalty and loss of top customers like Honda and Nissan who decided againstusing the companyamprsquos air bags

Still a recall is something everyone is advocating ampldquoIf the problem comes from the customers and then you decide to recall itlooks reactive It would adversely affect their image So doing recall proactively is only in the interest of manufacturersamprdquo saidKhattarhttpwwwbusiness-standardcomarticlecompaniesvehicle-recalls-set-to-get-a-codified-route-117041700029_1html

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Automakers largely absorb the currency impact Ajay ModiBusiness Standard (Web amp Print Edition)(Apr 17)

New Delhi The last part of a four-part series on the impact of a strong rupee on key export-oriented industries looks at theautomobiles sector

One of every five cars and every 10 two-wheelers produced in this country gets exported India also exports commercial vehiclesand three-wheelers in large numbers In addition automobile components worth Rs 70000 crore get exported every year Not toforget thousands of tractors and millions of tyres to destinations across the globe

So any strengthening of rupee against the dollar hits the sector reducing the export income of companies and putting pressure ontheir margins The industry produced 379 million passenger vehicles (cars vans and utility vehicles) and shipped out 758830 unitsin FY17

Hyundai Ford and Maruti Suzuki are the top three car exporters Hyundai did not respond to queries seeking a comment on the

impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

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Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

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Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

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News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Closing

Industry

Andhra govt starts acquisition of 600 acres for Kia Motors facility B Dasarath ReddyBusiness Standard (Web amp Print Edition)(Apr 16)

Hyderabad Hyundai Motor Companyamprsquos sister concern Kia Motors is all set to establish its first Indian manufacturing facility inAndhra Pradesh as the state government has initiated the process for acquisition of land meant for the companyamprsquosoperations

Recent reports cited Sri City as the possible location in AP for its close proximity to Tamil Nadu which is the base for HyundaiMotorsamprsquo manufacturing operations and its vendor ecosystem However Kia has chosen a place that is closer to Bengalurucity

In its orders issued on Thursday the AP government has directed the Anantapur district collector to acquire 600 acres inErramanchi village near Penukonda on the national highway connecting Bengaluru for an ampldquoindustrial parkamprdquo Sourcestold Business Standard that the acquisition was meant for Kiaamprsquos upcoming manufacturing facility

The government has even mentioned the survey numbers of the land having a total extent of 59938 acres for the acquisitionbesides fixing Rs 05 lakh per acre as the acquisition cost The identified land is nearly 120 km from Bengaluru city according tosources

Having decided to set up its manufacturing plant in India Kia had scouted for a suitable location in Gujarat Andhra Pradesh and

Uttarakhand The company finally zeroed in on the south Indian state according to sources

Besides locational advantage AP was found to be an attractive destination for the company as the government has been offeringbig incentives besides acting fast on such investment decisions in its pursuit to attract large-scale investments in the automobilesector Japanese four-wheeler maker Isuzu had already starting operations in Sri City and HeroMotoCorp was given a large plot ofland in Chittoor district for the proposed bike manufacturing plant

Recent reports suggested that the government had offered reimbursement of sales tax one-and-a-half times of its capitalexpenditure on plant and machinery external connectivity among other things to Kia Motors

According to these reports Kia is planning to invest around Rs 5000 crore on this facility in phases to start with a production of20000 cars per annum Seoul-headquartered Kia Motors is the second largest car maker in South Korea

First stepsThe AP government on Thursday directed the Anantapur district collector to acquire 600 acres in Erramanchi village nearPenukonda on the national highway connecting Bengaluru for an ampldquoindustrial parkamprdquo

The identified land is nearly 120 km from Bengaluru city according to sources

Recent reports suggest the AP government had offered reimbursement of sales tax one-and-a-half times of its capital expenditureon plant and machinery external connectivity among other things to Kia Motors

Kia is planning to invest around Rs 5000 cr on this facility in phases to start with a production of 20000 cars per annumhttpwwwbusiness-standardcomarticlecompaniesandhra-initiates-acquisition-of-600-acres-for-kia-motors-facility-117041400772_1html

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Andhra Pradesh likely to bag Rs 10000-crore Kia project CR Sukumar amp Ketan ThakkarThe Economic Times (Web amp Print Edition)(Apr 17)

Hyderabad | Mumbai South Koreaamprsquos Kia MotorsKia Motors may put in as much as Rs 10000 crore in one of the biggestforeign direct investment projects in India with the Hyundai Motor unit selecting Andhra Pradesh for its maiden facility after atwo-year four-state search in Asiaamprsquos third-largest car market

Two persons aware of the development told ETthat Kia a unit of South Koreaamprsquos biggest carmaker has chosen Penukonda inAnantapur district in southern Andhra Pradesh which is starting the process of buying land for the factory Kiaamprsquos choice ofAndhra Pradesh amid intensifying interstate rivalry to draw investments as part of the Make-in-India initiative helps reinforce NChandrababu Naiduamprsquos credentials as a business-friendly chief minister

ampldquoThe car manufacturing facility a first for Andhra Pradesh will involve two phases with a cumulative investment of $16billion or Rs 10300 crore with first phase of investment amounting to about Rs 6000 croreamprdquo said one of the personsmentioned above ampldquoThe first phase of the production facility will have an installed capacity to produce 3 lakh units ayearamprdquo In February 2016 ETwas first to break the news of Kiaamprsquos plans to set up a plant in India Its parent companyHyundai has been in the country since the late 1990s

Kiaamprsquos decision on the plant comes amid Indiaamprsquos growing stature as a manufacturing hub with several overseascompanies responding to the federal governmentamprsquos Make-in-India initiative

After the make-in-India initiative was launched in September 2014 FDI equity inflow increased 46 per cent to $6158 billion betweenOctober 2014 and May 2016 the government had said last year

The Industries and Commerce department of Andhra Pradesh has on April 13 issued government orders for acquisition of nearly600 acres of land by paying Rs 105 lakh an acre ampldquoas a special caseamprdquo

The government has accorded permission to the Anantapur district collector to procure land required for the project under the APLand Acquisition rules 2014 In the first phase the plant is likely to have a capacity of 3 lakh units per annum and the first car islikely to be rolled out by 2019 The Andhra Pradesh State Investment Promotion Board (SIPB) is currently on the verge of finalisingthe agreement with best possible incentives to the Korean firm said the same person adding that ampldquoa formal agreementbetween AP and Kia Motors is expected shortlyamprdquo

For its part Kia declined to comment on the report ampldquoAs we have not yet made any official confirmation on possible futureplans to invest in India I am afraid that we have no official comment at this timeamprdquo said Michael Choo General Manageroverseas communication planning team at Kia Anantapur in southern Andhra Pradesh is close to the automobile ecosystem ofTamil Nadu and near Hyundaiamprsquos India manufacturing facility at Sriperumbudur on the outskirts of Chennai

The site is and also close to Bangalore Karnatakaamprsquos automotive belt ampldquoThe Andhra government is very keen to bring inthe first large global car manufacturer to the state which should enable it to also attract auto ancillary and componentmanufacturers and help the southern Andhra region to emerge as an automobile hubamprdquo said another person aware of thedevelopment

ampldquoWhile Isuzu Motors already has a major production facility currently under operation in the Sri City special economic zone inChittoor district two-wheeler maker Hero Moto-Corp is in the process of setting up its facility close by involving Rs 800 crore of

investmentamprdquo

Kia has already engaged with several vendors in India through Hyundai Motor Indiaamprsquos sourcing arm Mobis An executivesupplying to Hyundai Motor India said ampldquoWe have already been intimated about understanding the logistics cost to Anantapurand accordingly quote the pricing in the future They are yet to float the RFQ but they are likely to have a portfolio of cars includinga small car a sedan and an SUVamprdquo said the executive requesting anonymity

Another Hyundai vendor that may also supply to Kia said the company has started discussing a project in South Korea codenamedSP2 which is likely to make an SUV in the same segment as Hyundai Creta and may be based on the same architecture

The vehicle may hit the market in 2019 Since the Kia factory will be located close to Hyundaiamprsquos factory Kia is consideringutilising Hyundai Motor Indiaamprsquos paint shop and body shop and a lot of aggregates to keep costs under check and bring in theeconomies of scale

Hyundai Motor India which is utilising about 90 per cent of its capacity may look at harnessing the Kia facility to ensure quickerreturn on investments said an executive aware of the Kia Motors planshttpeconomictimesindiatimescomindustryautonewsandhra-pradesh-likely-to-bag-rs-10000-crore-kia-projectarticleshow58213306cms

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Recycling policy to fetch right price for junked cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

New Delhi People owning old cars and white goods will soon have a choice of selling these junked items to registered scrapdealers at pre-determined prices once the Metal Recycling Policy being jointly prepared by the Niti Aayog and Steel Ministry is putinto action

The Metal Recycling Policy on which the Niti Aayog has already met various stakeholders is likely to be finalised over the next fewmonths

We have a huge wealth in the form of metal scrapWe (Niti Aayog and Steel Ministry) are working on Metal Recycling Policy

We want to look at scrap management in an organised manner Why cant we set up multiple scrap centres in every part of thecountry where people can deposit old cars old fridges washing machines and get the right price Vijay Kumar Saraswat memberNiti Aayog said

The policy is likely to take into account the implications of National Green Tribunal (NGT) ruling on banning over 15 years old dieseland petrol vehicles in the National Capital Region (NCR) and recent Supreme Court judgement of banning sales of BS-III vehicles inthe country from 1 April

The use of metal scrap is actively promoted by several developed countries like Germany Sweden Finland Russia TurkeyAustralia and the USA

According to industry estimates the average recycling rate in these countries is over 80 per cent while Indias recycling rate ismerely 20-25 per centhttpautoeconomictimesindiatimescomnewspolicyrecycling-policy-to-fetch-right-price-for-junked-cars58205870

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Vehicle recalls set to get a codified route Ajay ModiBusiness Standard (Web Edition)(Apr 17)

New Delhi The Motor Vehicles Amendment Bill has proposed significant changes to issues around vehicles and road safety Athree-part series looks at the impact the new rules will have on insurance claims and taxi aggregators starting with car recalls

The Motor Vehicles (Amendment) Bill 2016 is set to streamline the vehicle recall process with the legislation clearly defining theconditions under which the government can order such a recall and penalise the manufacturer concerned

The Bill which will revamp the laws governing transportation in the country was passed by the Lok Sabha last week and is nowawaiting ratification by the Rajya Sabha Among other things the Bill seeks to introduce measures that would enhance road safety

The recall of vehicles has been a grey area under the existing laws and largely practised by manufacturers voluntarily While mostcar makers have been doing recalls for the last two decades the recall of two- and three-wheelers and commercial vehicles isunheard of

ampldquoSome measures may look harsh but they are in the right direction If there is a case for recall and the company does notinitiate one the government will direct a manufacturer to do it If it still does not recall the government will take action and imposepenalty on the company One can expect a formal recall frameworkamprdquo said Vishnu Mathur director general at Society for

Indian Automobile Manufacturers (Siam) the apex body of automobile makers

In July 2012 Siam introduced a voluntary recall code for its members Itamprsquos not that recalls were not happening beforeJagdish Khattar former managing director at Maruti Suzuki said the company had recalled Omni vans more than 15 years agoThere was also a recall of Zen before Omni

The Siam code puts the responsibility of initiating recall of a defective vehicle on the manufacturer The code asks manufacturers tostate the recall information on their website and also share it with individual owners A recall should be made in cases of amanufacturing defect that could compromise the safety of a vehicle the code says Vehicles within seven years of manufacture arecovered under the recall

The industry responded well to this code and has recalled more than two million vehicles since the code was introduced Carmakers big and small have recalled hundreds of thousands of vehicles and addressed the defects while bearing the costHowever there has hardly been any recall of two-wheeler and commercial vehicles in the country

The new legislation states the government can order a recall if there is a defect in a vehicle that could harm the environment theoccupants or those on the road A recall can also be initiated in case a per cent (to be decided when the rule is notified) of ownersor a testing agency approaches the government In such a case the manufacturer must either replace the vehicle or reimburse theentire cost of the vehicle or repair it There will be provisions for imprisonment and penalty in case of failure

The industry welcomes the move but insists nothing changes for them ampldquoWe already have a proactive and robust system tovoluntarily recall vehicles in the interest of customers and their safetyamprdquo said a spokesperson at Maruti Suzuki Last year thecountryamprsquos biggest car maker announced a recall of more than 75000 units of Baleno manufactured over the previous fewmonths due to a defect in the airbag controller software

Experts said all companies will align to the recall system once it gets formalised ampldquoBut if you see the trend companies havenot been holding back news of a defect as their bigger worry today is retaining the confidence of buyers Now one can expect theseprocesses to be quickeramprdquo said Abdul Majeed partner at Price Waterhouse

Some also raise concerns about the efficacy of the regulatory machinery to detect a case of recall ampldquoThe first such decisionhas to come from the company as it will be the first one to discover it If a company keeps it under the wraps then discovery onlycan happen in case of an accident or malfunctioningamprdquo said an industry official

One can see the scale of recalls going up as the market expands and inconsistency in the quality of inputs shows up especially atthe lower level of the automobile value chain As makers squeeze lower and lower prices out of component manufacturers to maketheir price tags as competitive as possible many vendors look to cut costs by compromising on the quality

Majeed said the incidence of recall was only expected to go up ampldquoVehicles are getting more sophisticated and there is use ofnewer technologies and components These will take time to settle and in spite of quality checks there could be challengesamprdquohe said

Indeed most of the recalls in India have happened due to quality issues from small component vendors It is these vendors who inmost cases have to bear the cost of the free replacement of component during a recall The dealerships and service stations tooare burdened when a recall is executed

A recall can indeed bring death for a component maker by impacting profitability and operations Take the case of Japanesecompany Takata one of the worldamprsquos biggest airbag manufacturers Millions of cars from top car makers like Toyota havebeen recalled globally in the last couple of years after instances of explosion in air bags (supplied by Takata) and deaths werereported The consequence millions of dollars in penalty and loss of top customers like Honda and Nissan who decided againstusing the companyamprsquos air bags

Still a recall is something everyone is advocating ampldquoIf the problem comes from the customers and then you decide to recall itlooks reactive It would adversely affect their image So doing recall proactively is only in the interest of manufacturersamprdquo saidKhattarhttpwwwbusiness-standardcomarticlecompaniesvehicle-recalls-set-to-get-a-codified-route-117041700029_1html

Top

Automakers largely absorb the currency impact Ajay ModiBusiness Standard (Web amp Print Edition)(Apr 17)

New Delhi The last part of a four-part series on the impact of a strong rupee on key export-oriented industries looks at theautomobiles sector

One of every five cars and every 10 two-wheelers produced in this country gets exported India also exports commercial vehiclesand three-wheelers in large numbers In addition automobile components worth Rs 70000 crore get exported every year Not toforget thousands of tractors and millions of tyres to destinations across the globe

So any strengthening of rupee against the dollar hits the sector reducing the export income of companies and putting pressure ontheir margins The industry produced 379 million passenger vehicles (cars vans and utility vehicles) and shipped out 758830 unitsin FY17

Hyundai Ford and Maruti Suzuki are the top three car exporters Hyundai did not respond to queries seeking a comment on the

impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

Top

Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

Top

Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Uttarakhand The company finally zeroed in on the south Indian state according to sources

Besides locational advantage AP was found to be an attractive destination for the company as the government has been offeringbig incentives besides acting fast on such investment decisions in its pursuit to attract large-scale investments in the automobilesector Japanese four-wheeler maker Isuzu had already starting operations in Sri City and HeroMotoCorp was given a large plot ofland in Chittoor district for the proposed bike manufacturing plant

Recent reports suggested that the government had offered reimbursement of sales tax one-and-a-half times of its capitalexpenditure on plant and machinery external connectivity among other things to Kia Motors

According to these reports Kia is planning to invest around Rs 5000 crore on this facility in phases to start with a production of20000 cars per annum Seoul-headquartered Kia Motors is the second largest car maker in South Korea

First stepsThe AP government on Thursday directed the Anantapur district collector to acquire 600 acres in Erramanchi village nearPenukonda on the national highway connecting Bengaluru for an ampldquoindustrial parkamprdquo

The identified land is nearly 120 km from Bengaluru city according to sources

Recent reports suggest the AP government had offered reimbursement of sales tax one-and-a-half times of its capital expenditureon plant and machinery external connectivity among other things to Kia Motors

Kia is planning to invest around Rs 5000 cr on this facility in phases to start with a production of 20000 cars per annumhttpwwwbusiness-standardcomarticlecompaniesandhra-initiates-acquisition-of-600-acres-for-kia-motors-facility-117041400772_1html

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Andhra Pradesh likely to bag Rs 10000-crore Kia project CR Sukumar amp Ketan ThakkarThe Economic Times (Web amp Print Edition)(Apr 17)

Hyderabad | Mumbai South Koreaamprsquos Kia MotorsKia Motors may put in as much as Rs 10000 crore in one of the biggestforeign direct investment projects in India with the Hyundai Motor unit selecting Andhra Pradesh for its maiden facility after atwo-year four-state search in Asiaamprsquos third-largest car market

Two persons aware of the development told ETthat Kia a unit of South Koreaamprsquos biggest carmaker has chosen Penukonda inAnantapur district in southern Andhra Pradesh which is starting the process of buying land for the factory Kiaamprsquos choice ofAndhra Pradesh amid intensifying interstate rivalry to draw investments as part of the Make-in-India initiative helps reinforce NChandrababu Naiduamprsquos credentials as a business-friendly chief minister

ampldquoThe car manufacturing facility a first for Andhra Pradesh will involve two phases with a cumulative investment of $16billion or Rs 10300 crore with first phase of investment amounting to about Rs 6000 croreamprdquo said one of the personsmentioned above ampldquoThe first phase of the production facility will have an installed capacity to produce 3 lakh units ayearamprdquo In February 2016 ETwas first to break the news of Kiaamprsquos plans to set up a plant in India Its parent companyHyundai has been in the country since the late 1990s

Kiaamprsquos decision on the plant comes amid Indiaamprsquos growing stature as a manufacturing hub with several overseascompanies responding to the federal governmentamprsquos Make-in-India initiative

After the make-in-India initiative was launched in September 2014 FDI equity inflow increased 46 per cent to $6158 billion betweenOctober 2014 and May 2016 the government had said last year

The Industries and Commerce department of Andhra Pradesh has on April 13 issued government orders for acquisition of nearly600 acres of land by paying Rs 105 lakh an acre ampldquoas a special caseamprdquo

The government has accorded permission to the Anantapur district collector to procure land required for the project under the APLand Acquisition rules 2014 In the first phase the plant is likely to have a capacity of 3 lakh units per annum and the first car islikely to be rolled out by 2019 The Andhra Pradesh State Investment Promotion Board (SIPB) is currently on the verge of finalisingthe agreement with best possible incentives to the Korean firm said the same person adding that ampldquoa formal agreementbetween AP and Kia Motors is expected shortlyamprdquo

For its part Kia declined to comment on the report ampldquoAs we have not yet made any official confirmation on possible futureplans to invest in India I am afraid that we have no official comment at this timeamprdquo said Michael Choo General Manageroverseas communication planning team at Kia Anantapur in southern Andhra Pradesh is close to the automobile ecosystem ofTamil Nadu and near Hyundaiamprsquos India manufacturing facility at Sriperumbudur on the outskirts of Chennai

The site is and also close to Bangalore Karnatakaamprsquos automotive belt ampldquoThe Andhra government is very keen to bring inthe first large global car manufacturer to the state which should enable it to also attract auto ancillary and componentmanufacturers and help the southern Andhra region to emerge as an automobile hubamprdquo said another person aware of thedevelopment

ampldquoWhile Isuzu Motors already has a major production facility currently under operation in the Sri City special economic zone inChittoor district two-wheeler maker Hero Moto-Corp is in the process of setting up its facility close by involving Rs 800 crore of

investmentamprdquo

Kia has already engaged with several vendors in India through Hyundai Motor Indiaamprsquos sourcing arm Mobis An executivesupplying to Hyundai Motor India said ampldquoWe have already been intimated about understanding the logistics cost to Anantapurand accordingly quote the pricing in the future They are yet to float the RFQ but they are likely to have a portfolio of cars includinga small car a sedan and an SUVamprdquo said the executive requesting anonymity

Another Hyundai vendor that may also supply to Kia said the company has started discussing a project in South Korea codenamedSP2 which is likely to make an SUV in the same segment as Hyundai Creta and may be based on the same architecture

The vehicle may hit the market in 2019 Since the Kia factory will be located close to Hyundaiamprsquos factory Kia is consideringutilising Hyundai Motor Indiaamprsquos paint shop and body shop and a lot of aggregates to keep costs under check and bring in theeconomies of scale

Hyundai Motor India which is utilising about 90 per cent of its capacity may look at harnessing the Kia facility to ensure quickerreturn on investments said an executive aware of the Kia Motors planshttpeconomictimesindiatimescomindustryautonewsandhra-pradesh-likely-to-bag-rs-10000-crore-kia-projectarticleshow58213306cms

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Recycling policy to fetch right price for junked cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

New Delhi People owning old cars and white goods will soon have a choice of selling these junked items to registered scrapdealers at pre-determined prices once the Metal Recycling Policy being jointly prepared by the Niti Aayog and Steel Ministry is putinto action

The Metal Recycling Policy on which the Niti Aayog has already met various stakeholders is likely to be finalised over the next fewmonths

We have a huge wealth in the form of metal scrapWe (Niti Aayog and Steel Ministry) are working on Metal Recycling Policy

We want to look at scrap management in an organised manner Why cant we set up multiple scrap centres in every part of thecountry where people can deposit old cars old fridges washing machines and get the right price Vijay Kumar Saraswat memberNiti Aayog said

The policy is likely to take into account the implications of National Green Tribunal (NGT) ruling on banning over 15 years old dieseland petrol vehicles in the National Capital Region (NCR) and recent Supreme Court judgement of banning sales of BS-III vehicles inthe country from 1 April

The use of metal scrap is actively promoted by several developed countries like Germany Sweden Finland Russia TurkeyAustralia and the USA

According to industry estimates the average recycling rate in these countries is over 80 per cent while Indias recycling rate ismerely 20-25 per centhttpautoeconomictimesindiatimescomnewspolicyrecycling-policy-to-fetch-right-price-for-junked-cars58205870

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Vehicle recalls set to get a codified route Ajay ModiBusiness Standard (Web Edition)(Apr 17)

New Delhi The Motor Vehicles Amendment Bill has proposed significant changes to issues around vehicles and road safety Athree-part series looks at the impact the new rules will have on insurance claims and taxi aggregators starting with car recalls

The Motor Vehicles (Amendment) Bill 2016 is set to streamline the vehicle recall process with the legislation clearly defining theconditions under which the government can order such a recall and penalise the manufacturer concerned

The Bill which will revamp the laws governing transportation in the country was passed by the Lok Sabha last week and is nowawaiting ratification by the Rajya Sabha Among other things the Bill seeks to introduce measures that would enhance road safety

The recall of vehicles has been a grey area under the existing laws and largely practised by manufacturers voluntarily While mostcar makers have been doing recalls for the last two decades the recall of two- and three-wheelers and commercial vehicles isunheard of

ampldquoSome measures may look harsh but they are in the right direction If there is a case for recall and the company does notinitiate one the government will direct a manufacturer to do it If it still does not recall the government will take action and imposepenalty on the company One can expect a formal recall frameworkamprdquo said Vishnu Mathur director general at Society for

Indian Automobile Manufacturers (Siam) the apex body of automobile makers

In July 2012 Siam introduced a voluntary recall code for its members Itamprsquos not that recalls were not happening beforeJagdish Khattar former managing director at Maruti Suzuki said the company had recalled Omni vans more than 15 years agoThere was also a recall of Zen before Omni

The Siam code puts the responsibility of initiating recall of a defective vehicle on the manufacturer The code asks manufacturers tostate the recall information on their website and also share it with individual owners A recall should be made in cases of amanufacturing defect that could compromise the safety of a vehicle the code says Vehicles within seven years of manufacture arecovered under the recall

The industry responded well to this code and has recalled more than two million vehicles since the code was introduced Carmakers big and small have recalled hundreds of thousands of vehicles and addressed the defects while bearing the costHowever there has hardly been any recall of two-wheeler and commercial vehicles in the country

The new legislation states the government can order a recall if there is a defect in a vehicle that could harm the environment theoccupants or those on the road A recall can also be initiated in case a per cent (to be decided when the rule is notified) of ownersor a testing agency approaches the government In such a case the manufacturer must either replace the vehicle or reimburse theentire cost of the vehicle or repair it There will be provisions for imprisonment and penalty in case of failure

The industry welcomes the move but insists nothing changes for them ampldquoWe already have a proactive and robust system tovoluntarily recall vehicles in the interest of customers and their safetyamprdquo said a spokesperson at Maruti Suzuki Last year thecountryamprsquos biggest car maker announced a recall of more than 75000 units of Baleno manufactured over the previous fewmonths due to a defect in the airbag controller software

Experts said all companies will align to the recall system once it gets formalised ampldquoBut if you see the trend companies havenot been holding back news of a defect as their bigger worry today is retaining the confidence of buyers Now one can expect theseprocesses to be quickeramprdquo said Abdul Majeed partner at Price Waterhouse

Some also raise concerns about the efficacy of the regulatory machinery to detect a case of recall ampldquoThe first such decisionhas to come from the company as it will be the first one to discover it If a company keeps it under the wraps then discovery onlycan happen in case of an accident or malfunctioningamprdquo said an industry official

One can see the scale of recalls going up as the market expands and inconsistency in the quality of inputs shows up especially atthe lower level of the automobile value chain As makers squeeze lower and lower prices out of component manufacturers to maketheir price tags as competitive as possible many vendors look to cut costs by compromising on the quality

Majeed said the incidence of recall was only expected to go up ampldquoVehicles are getting more sophisticated and there is use ofnewer technologies and components These will take time to settle and in spite of quality checks there could be challengesamprdquohe said

Indeed most of the recalls in India have happened due to quality issues from small component vendors It is these vendors who inmost cases have to bear the cost of the free replacement of component during a recall The dealerships and service stations tooare burdened when a recall is executed

A recall can indeed bring death for a component maker by impacting profitability and operations Take the case of Japanesecompany Takata one of the worldamprsquos biggest airbag manufacturers Millions of cars from top car makers like Toyota havebeen recalled globally in the last couple of years after instances of explosion in air bags (supplied by Takata) and deaths werereported The consequence millions of dollars in penalty and loss of top customers like Honda and Nissan who decided againstusing the companyamprsquos air bags

Still a recall is something everyone is advocating ampldquoIf the problem comes from the customers and then you decide to recall itlooks reactive It would adversely affect their image So doing recall proactively is only in the interest of manufacturersamprdquo saidKhattarhttpwwwbusiness-standardcomarticlecompaniesvehicle-recalls-set-to-get-a-codified-route-117041700029_1html

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Automakers largely absorb the currency impact Ajay ModiBusiness Standard (Web amp Print Edition)(Apr 17)

New Delhi The last part of a four-part series on the impact of a strong rupee on key export-oriented industries looks at theautomobiles sector

One of every five cars and every 10 two-wheelers produced in this country gets exported India also exports commercial vehiclesand three-wheelers in large numbers In addition automobile components worth Rs 70000 crore get exported every year Not toforget thousands of tractors and millions of tyres to destinations across the globe

So any strengthening of rupee against the dollar hits the sector reducing the export income of companies and putting pressure ontheir margins The industry produced 379 million passenger vehicles (cars vans and utility vehicles) and shipped out 758830 unitsin FY17

Hyundai Ford and Maruti Suzuki are the top three car exporters Hyundai did not respond to queries seeking a comment on the

impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

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Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

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Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

investmentamprdquo

Kia has already engaged with several vendors in India through Hyundai Motor Indiaamprsquos sourcing arm Mobis An executivesupplying to Hyundai Motor India said ampldquoWe have already been intimated about understanding the logistics cost to Anantapurand accordingly quote the pricing in the future They are yet to float the RFQ but they are likely to have a portfolio of cars includinga small car a sedan and an SUVamprdquo said the executive requesting anonymity

Another Hyundai vendor that may also supply to Kia said the company has started discussing a project in South Korea codenamedSP2 which is likely to make an SUV in the same segment as Hyundai Creta and may be based on the same architecture

The vehicle may hit the market in 2019 Since the Kia factory will be located close to Hyundaiamprsquos factory Kia is consideringutilising Hyundai Motor Indiaamprsquos paint shop and body shop and a lot of aggregates to keep costs under check and bring in theeconomies of scale

Hyundai Motor India which is utilising about 90 per cent of its capacity may look at harnessing the Kia facility to ensure quickerreturn on investments said an executive aware of the Kia Motors planshttpeconomictimesindiatimescomindustryautonewsandhra-pradesh-likely-to-bag-rs-10000-crore-kia-projectarticleshow58213306cms

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Recycling policy to fetch right price for junked cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

New Delhi People owning old cars and white goods will soon have a choice of selling these junked items to registered scrapdealers at pre-determined prices once the Metal Recycling Policy being jointly prepared by the Niti Aayog and Steel Ministry is putinto action

The Metal Recycling Policy on which the Niti Aayog has already met various stakeholders is likely to be finalised over the next fewmonths

We have a huge wealth in the form of metal scrapWe (Niti Aayog and Steel Ministry) are working on Metal Recycling Policy

We want to look at scrap management in an organised manner Why cant we set up multiple scrap centres in every part of thecountry where people can deposit old cars old fridges washing machines and get the right price Vijay Kumar Saraswat memberNiti Aayog said

The policy is likely to take into account the implications of National Green Tribunal (NGT) ruling on banning over 15 years old dieseland petrol vehicles in the National Capital Region (NCR) and recent Supreme Court judgement of banning sales of BS-III vehicles inthe country from 1 April

The use of metal scrap is actively promoted by several developed countries like Germany Sweden Finland Russia TurkeyAustralia and the USA

According to industry estimates the average recycling rate in these countries is over 80 per cent while Indias recycling rate ismerely 20-25 per centhttpautoeconomictimesindiatimescomnewspolicyrecycling-policy-to-fetch-right-price-for-junked-cars58205870

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Vehicle recalls set to get a codified route Ajay ModiBusiness Standard (Web Edition)(Apr 17)

New Delhi The Motor Vehicles Amendment Bill has proposed significant changes to issues around vehicles and road safety Athree-part series looks at the impact the new rules will have on insurance claims and taxi aggregators starting with car recalls

The Motor Vehicles (Amendment) Bill 2016 is set to streamline the vehicle recall process with the legislation clearly defining theconditions under which the government can order such a recall and penalise the manufacturer concerned

The Bill which will revamp the laws governing transportation in the country was passed by the Lok Sabha last week and is nowawaiting ratification by the Rajya Sabha Among other things the Bill seeks to introduce measures that would enhance road safety

The recall of vehicles has been a grey area under the existing laws and largely practised by manufacturers voluntarily While mostcar makers have been doing recalls for the last two decades the recall of two- and three-wheelers and commercial vehicles isunheard of

ampldquoSome measures may look harsh but they are in the right direction If there is a case for recall and the company does notinitiate one the government will direct a manufacturer to do it If it still does not recall the government will take action and imposepenalty on the company One can expect a formal recall frameworkamprdquo said Vishnu Mathur director general at Society for

Indian Automobile Manufacturers (Siam) the apex body of automobile makers

In July 2012 Siam introduced a voluntary recall code for its members Itamprsquos not that recalls were not happening beforeJagdish Khattar former managing director at Maruti Suzuki said the company had recalled Omni vans more than 15 years agoThere was also a recall of Zen before Omni

The Siam code puts the responsibility of initiating recall of a defective vehicle on the manufacturer The code asks manufacturers tostate the recall information on their website and also share it with individual owners A recall should be made in cases of amanufacturing defect that could compromise the safety of a vehicle the code says Vehicles within seven years of manufacture arecovered under the recall

The industry responded well to this code and has recalled more than two million vehicles since the code was introduced Carmakers big and small have recalled hundreds of thousands of vehicles and addressed the defects while bearing the costHowever there has hardly been any recall of two-wheeler and commercial vehicles in the country

The new legislation states the government can order a recall if there is a defect in a vehicle that could harm the environment theoccupants or those on the road A recall can also be initiated in case a per cent (to be decided when the rule is notified) of ownersor a testing agency approaches the government In such a case the manufacturer must either replace the vehicle or reimburse theentire cost of the vehicle or repair it There will be provisions for imprisonment and penalty in case of failure

The industry welcomes the move but insists nothing changes for them ampldquoWe already have a proactive and robust system tovoluntarily recall vehicles in the interest of customers and their safetyamprdquo said a spokesperson at Maruti Suzuki Last year thecountryamprsquos biggest car maker announced a recall of more than 75000 units of Baleno manufactured over the previous fewmonths due to a defect in the airbag controller software

Experts said all companies will align to the recall system once it gets formalised ampldquoBut if you see the trend companies havenot been holding back news of a defect as their bigger worry today is retaining the confidence of buyers Now one can expect theseprocesses to be quickeramprdquo said Abdul Majeed partner at Price Waterhouse

Some also raise concerns about the efficacy of the regulatory machinery to detect a case of recall ampldquoThe first such decisionhas to come from the company as it will be the first one to discover it If a company keeps it under the wraps then discovery onlycan happen in case of an accident or malfunctioningamprdquo said an industry official

One can see the scale of recalls going up as the market expands and inconsistency in the quality of inputs shows up especially atthe lower level of the automobile value chain As makers squeeze lower and lower prices out of component manufacturers to maketheir price tags as competitive as possible many vendors look to cut costs by compromising on the quality

Majeed said the incidence of recall was only expected to go up ampldquoVehicles are getting more sophisticated and there is use ofnewer technologies and components These will take time to settle and in spite of quality checks there could be challengesamprdquohe said

Indeed most of the recalls in India have happened due to quality issues from small component vendors It is these vendors who inmost cases have to bear the cost of the free replacement of component during a recall The dealerships and service stations tooare burdened when a recall is executed

A recall can indeed bring death for a component maker by impacting profitability and operations Take the case of Japanesecompany Takata one of the worldamprsquos biggest airbag manufacturers Millions of cars from top car makers like Toyota havebeen recalled globally in the last couple of years after instances of explosion in air bags (supplied by Takata) and deaths werereported The consequence millions of dollars in penalty and loss of top customers like Honda and Nissan who decided againstusing the companyamprsquos air bags

Still a recall is something everyone is advocating ampldquoIf the problem comes from the customers and then you decide to recall itlooks reactive It would adversely affect their image So doing recall proactively is only in the interest of manufacturersamprdquo saidKhattarhttpwwwbusiness-standardcomarticlecompaniesvehicle-recalls-set-to-get-a-codified-route-117041700029_1html

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Automakers largely absorb the currency impact Ajay ModiBusiness Standard (Web amp Print Edition)(Apr 17)

New Delhi The last part of a four-part series on the impact of a strong rupee on key export-oriented industries looks at theautomobiles sector

One of every five cars and every 10 two-wheelers produced in this country gets exported India also exports commercial vehiclesand three-wheelers in large numbers In addition automobile components worth Rs 70000 crore get exported every year Not toforget thousands of tractors and millions of tyres to destinations across the globe

So any strengthening of rupee against the dollar hits the sector reducing the export income of companies and putting pressure ontheir margins The industry produced 379 million passenger vehicles (cars vans and utility vehicles) and shipped out 758830 unitsin FY17

Hyundai Ford and Maruti Suzuki are the top three car exporters Hyundai did not respond to queries seeking a comment on the

impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

Top

Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

Top

2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

Top

Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

Top

Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Indian Automobile Manufacturers (Siam) the apex body of automobile makers

In July 2012 Siam introduced a voluntary recall code for its members Itamprsquos not that recalls were not happening beforeJagdish Khattar former managing director at Maruti Suzuki said the company had recalled Omni vans more than 15 years agoThere was also a recall of Zen before Omni

The Siam code puts the responsibility of initiating recall of a defective vehicle on the manufacturer The code asks manufacturers tostate the recall information on their website and also share it with individual owners A recall should be made in cases of amanufacturing defect that could compromise the safety of a vehicle the code says Vehicles within seven years of manufacture arecovered under the recall

The industry responded well to this code and has recalled more than two million vehicles since the code was introduced Carmakers big and small have recalled hundreds of thousands of vehicles and addressed the defects while bearing the costHowever there has hardly been any recall of two-wheeler and commercial vehicles in the country

The new legislation states the government can order a recall if there is a defect in a vehicle that could harm the environment theoccupants or those on the road A recall can also be initiated in case a per cent (to be decided when the rule is notified) of ownersor a testing agency approaches the government In such a case the manufacturer must either replace the vehicle or reimburse theentire cost of the vehicle or repair it There will be provisions for imprisonment and penalty in case of failure

The industry welcomes the move but insists nothing changes for them ampldquoWe already have a proactive and robust system tovoluntarily recall vehicles in the interest of customers and their safetyamprdquo said a spokesperson at Maruti Suzuki Last year thecountryamprsquos biggest car maker announced a recall of more than 75000 units of Baleno manufactured over the previous fewmonths due to a defect in the airbag controller software

Experts said all companies will align to the recall system once it gets formalised ampldquoBut if you see the trend companies havenot been holding back news of a defect as their bigger worry today is retaining the confidence of buyers Now one can expect theseprocesses to be quickeramprdquo said Abdul Majeed partner at Price Waterhouse

Some also raise concerns about the efficacy of the regulatory machinery to detect a case of recall ampldquoThe first such decisionhas to come from the company as it will be the first one to discover it If a company keeps it under the wraps then discovery onlycan happen in case of an accident or malfunctioningamprdquo said an industry official

One can see the scale of recalls going up as the market expands and inconsistency in the quality of inputs shows up especially atthe lower level of the automobile value chain As makers squeeze lower and lower prices out of component manufacturers to maketheir price tags as competitive as possible many vendors look to cut costs by compromising on the quality

Majeed said the incidence of recall was only expected to go up ampldquoVehicles are getting more sophisticated and there is use ofnewer technologies and components These will take time to settle and in spite of quality checks there could be challengesamprdquohe said

Indeed most of the recalls in India have happened due to quality issues from small component vendors It is these vendors who inmost cases have to bear the cost of the free replacement of component during a recall The dealerships and service stations tooare burdened when a recall is executed

A recall can indeed bring death for a component maker by impacting profitability and operations Take the case of Japanesecompany Takata one of the worldamprsquos biggest airbag manufacturers Millions of cars from top car makers like Toyota havebeen recalled globally in the last couple of years after instances of explosion in air bags (supplied by Takata) and deaths werereported The consequence millions of dollars in penalty and loss of top customers like Honda and Nissan who decided againstusing the companyamprsquos air bags

Still a recall is something everyone is advocating ampldquoIf the problem comes from the customers and then you decide to recall itlooks reactive It would adversely affect their image So doing recall proactively is only in the interest of manufacturersamprdquo saidKhattarhttpwwwbusiness-standardcomarticlecompaniesvehicle-recalls-set-to-get-a-codified-route-117041700029_1html

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Automakers largely absorb the currency impact Ajay ModiBusiness Standard (Web amp Print Edition)(Apr 17)

New Delhi The last part of a four-part series on the impact of a strong rupee on key export-oriented industries looks at theautomobiles sector

One of every five cars and every 10 two-wheelers produced in this country gets exported India also exports commercial vehiclesand three-wheelers in large numbers In addition automobile components worth Rs 70000 crore get exported every year Not toforget thousands of tractors and millions of tyres to destinations across the globe

So any strengthening of rupee against the dollar hits the sector reducing the export income of companies and putting pressure ontheir margins The industry produced 379 million passenger vehicles (cars vans and utility vehicles) and shipped out 758830 unitsin FY17

Hyundai Ford and Maruti Suzuki are the top three car exporters Hyundai did not respond to queries seeking a comment on the

impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

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Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

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Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

Top

Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

Top

Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

Top

Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

Top

GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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impact from the stronger rupee R C Bhargava chairman at Maruti Suzuki said exporters cannot expect the exchange rate to bealways favourable for them ampldquoThe rupee has strengthened but is still weak compared to what it was a few years ago Intodayamprsquos climate the currency fluctuation is so frequent that any hedging only works for a short duration Businesses need totake such fluctuations in their stride and adjust operations accordinglyamprdquo he said

Maruti has a well-structured exchange risk management policy ampldquoThe company manages this risk by appropriate hedgeinstruments depending on market conditions and the view on currencyamprdquo the countryamprsquos biggest car maker said in itslatest annual report Its risk on foreign exchange fluctuation it said was mainly on account of import of components raw materialsroyalty payments (to Japanese parent Suzuki) and export of vehicles While royalty payments and the bulk of import happens in theyen the export realisation would be in dollars

ampldquoWe absorb the impact of any fluctuation in foreign exchange As the rupee turns stronger there is a small decline inprofitability to that extent At our end we try to push distributors in our export markets to expand volume There is no other measureat this pointamprdquo said Roy Kurian vice-president (sales amp marketing) at Yamaha India The company ships about 14000two-wheelers or 18 per cent of its production every month

The strengthening rupee has a significant positive angle as well for the industry There is significant imported raw material content incars especially in the bigger and premium ones These imports get billed in dollars so a weaker dollar is good In recent quarterscar makers had taken decisions to increase prices in the domestic market attributing the decision to a weaker rupee among otherthings A strong rupee now makes the margins better unless companies pass on the gains to customers

Toyota for instance imports almost 30 per cent of the content by value for its Innova Crysta and Fortuner bestsellers The situationis similar with many others Luxury car makers Mercedes-Benz and Audi will benefit more from the stronger rupee as the content ofimported raw material is more than 40 per cent in many of their products While sourcing of components from local vendors brings ahost of benefits and mitigates currency fluctuation risks complete localisation is not feasible due to unavailability of desiredtechnology or quality both due to lack of economies of scale

Motherson Sumi the countryamprsquos biggest auto component maker said it did not need to hedge as most of its exports are in theeuro and to subsidiaries abroad ampldquoExports continue to be steady We have a natural hedgeamprdquo said G N Gauba chieffinancial officerhttpwwwbusiness-standardcomarticleeconomy-policyautomakers-largely-absorb-the-currency-impact-117041700035_1html

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Interviews amp Features

Chinese dumping leaves us with less opportunities Neeraj Kanwar Apollo tyres MD Sharmistha MukherjeeThe Economic Times (Web amp Print Edition)(Apr 17)

Apollo Tyres which recently commissioned its first overseas greenfield manufacturing facility in Hungary wants to de-risk itsoperations through geographic diversification Managing Director Neeraj Kanwar tells ETamprsquos Sharmistha Mukherjee that whilethe governmentamprsquos Make-in-India programme is a progressive initiative the dumping of cheap tyres by Chinese manufacturershas surfaced as a massive challenge for Indian companies prompting their search for diverse opportunities

Edited excerpts

Apollo Tyres has invested 475 million euros to set up its first overseas greenfield facility in Hungary What is the roadmap forscaling up operations here

Thatamprsquos (rolling out 55 million passenger car tyres and 675000 commercial vehicle tyres) in the initial phase Obviously thearea we have is much more We bought the area keeping in mind our growth plans

Currently with this product mix we have we can produce up to 260 tonnes per day We can go up to 900 tonnes per day dependingon the market growth we have in Europe

The investment we have made is only for the first phase We will realise full capacity in the first phase by late 2019 Furtherexpansion will depend on how well the market develops for Apollo and for Vredestein (the Dutch tyre maker Apollo acquired in2009)

You have focused on de-risking operations geographically What would be the mix of the home and overseas revenues at Apollo

Today 60 per cent of our revenues come from the Indian market It used to be 85-90 per cent With this plant coming up it willcome down a bit to 55 per cent And a level we will stay at is 5050 Very clearly our vision for 2020 in India is to become leaders inall product categories trucks light trucks farm or passenger cars In Europe our aim is to become a premium brand

Y ou have concluded your first phase of investment in Hungary and put in resources to double capacity at Chennai Are you lookingat scaling up further or you are at the end of an investment cycle

Now we have to sit back and take out tyres from all these capacities we have invested in There is no major capex right now that wehave planned

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

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Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

Top

Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

There were reports about Apollo Tyresamprsquo interest in Kumho Tire and Falconamphellip

Nothing on Falcon It is just a rumour As far as Kumho is concerned we put an unbinding bid As the attractiveness was more forAmerica we pulled out after the first phase itself

You have put in place a team to build your brand and presence in the US but have stated your intentions to steer clear of theworldamprsquos largest automobile market ampndash Chinaamphellip

One in China there is a surplus of capacity There is no market which is available there Overcapacity in trucks (in the Chinesemarket) is at least 3-4 times And thatamprsquos why they are dumping into India

You know the problem with India is on one hand Mr Modi is saying Make-in-India but you see we ourselves have come toHungary We would love to do it in India but there are far fewer opportunities because of today in truck radials 30-35 per cent isChinese dumping in India 35 per cent market share for the Chinese is huge in our country And there are no barriers tariff ornon-tariff

People just come in and dump So it becomes very tough to operate And we have been taking it up with the government time andagain about (imposing) the anti-dumping duty To answer your question thatamprsquos the main reason My hands are full there ismuch more risk in China My risk appetite is low and whereas in America there is relatively lesser risk

So you will be concentrating on the North American and the Asean markets

Yes ASEAN too is doing very good I think we started two years ago We have crossed the $50-million mark and I am very happywith that We look at a double-digit growth there because first when we started we didnamprsquot have the entire product portfolioOur RampD has worked to get us good products for that market and we are seeing good growth coming there

The demonetisation exercise affected demand in several sectors across the automotive industry What kind of impact did you seeon the tyre segment

What happened initially was that the market share of Chinese tyres went down because those sales were in cash So that in effectwas good for us For those 2-3 months Chinese tyres had gone down But then everything came back again

Apart from the imposition of the anti-dumping on Chinese imports how satisfied are you with reforms initiated for the ease of doingbusiness in India

Depends on which state you are talking about because each state has its own policy Today I find cordial relationships with everystate whether it is Gujarat or Tamil Nadu or Kerala These are fine in fact we bought a site in Andhra and we are very happy withthat We are not making any investments right nowhttpeconomictimesindiatimescomopinioninterviewschinese-dumping-leaves-us-with-less-opportunities-neeraj-kanwar-apollo-tyres-managing-directorarticleshow58212481cms

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2017 Hyundai Xcent facelift spied ahead of launch in April The Financial Express (Web Edition)(Apr 16)

Hyundai Xcent facelift has been spotted at a dealerships stockyard without any camouflage ahead of its launch slated for thismonth The facelifted Xcent has received major updates on the outside According to the images taken by TeamBHP the newXcent will get a redesigned bumper with hexagonal grille new fog lamps and LED DRLs At the rear the car will receive a newbumper with redesigned tail lamps amp boot lid and a shark fin antenna on the roof

As for the interiors the new Xcent facelift is expected to get a host of updates like its other siblings such as a touchscreeninfotainment system with navigation smartphone connectivity Apple CarPlay Android Auto and Mirror Link In terms of safety it willget ABS (Anti-lock Braking System) with EBD (Electronic Brakeforce Distribution) and dual front airbags as standard

The facelifted Xcent will be powered by a 12 litre petrol engine that produces 818 hp of power and 114 Nm of torque In additionthe company might introduce a 12 litre diesel unit that will produce around 73 hp of power and 190 Nm of torque

2017 Xcent will be launched at a price tag slightly bigger than the current generation Xcent and when launched will compete withthe likes of Maruti Suzuki Swift Dzire and Honda Amaze The existing Xcent is priced at a range of Rs 459 lakh to Rs 732 lakh(ex-showroom Delhi)httpwwwfinancialexpresscomautocar-news2017-hyundai-xcent-facelift-spied-ahead-of-launch-in-april629052

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Whatacirceurotrades India driving Hot wheels with frills Malyaban Ghosh The Financial Express (Web Edition)(Apr 16)

New Delhi When the countryamprsquos top sellers of passenger vehicles find few takers for their otherwise bestseller entry-levelcars finding more traction in the premium segment you know consumer preferences have changed And when you see that there

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

Top

News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

Top

International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

has been no product launch by these companies in the entry-level segment in the past three years you know the trend is here tostay

That equations have changed is evident from the numbers The countryamprsquos top two car markers Maruti Suzuki and HyundaiMotor which were once known for their small cheap cars are today reaping more from premium products above the Rs6-lakhrange The contribution of premium products to the overall volumes for Maruti touched 26 in FY17 against 14 a year backSimilarly Hyundaiamprsquos premium cars contributed 46 to its overall sales compared to 43 a year back

The last car launched below the Rs6-lakh category by these firms the Celerio by Maruti is more than three yearsamprsquo oldSince FY14 Maruti has launched four products Ciaz S-Cross Vitara Brezza and Baleno all in the premium category

In FY17 the production and sales of Baleno (a premium hatchback) and Vitara Brezza (a compact SUV) touched the 10000-unitmark per month while the Ciaz sold an average of almost 5500 units per month For Hyundai almost 50 of the volumes duringthe last fiscal came from the Creta (a compact SUV) and the Elite i20 (a premium hatchback) Both the products sold an average of10000 units each per month during the fiscal Clearly consumers are increasingly moving towards more premium cars or SUVswith the good old entry-level vehicles no longer the preferred choice

Itamprsquos a turnaround for dealers too as selling small cars is becoming more difficult forcing them to offer high discounts to pushsales ampldquoTo sell an Alto we have to give a discount of at least Rs50000 but we need not offer a single penny as discount forproducts in the premium category

Most Nexa dealers (showrooms which retail only premium vehicles by Maruti) have already recovered half of theirinvestment Itamprsquos a win-win situation for both the company and the dealersamprdquo said a Maruti dealer who owns a regularas well as a Nexa showroom

ampldquoThe sale of premium vehicles contributes heavily to the top-line of a company and also increases the realisations

Customers these days are looking to buy products packed with features which is leading to demand for premium hatchbacks andcompact SUVsamprdquo said Sridhar V partner (automobiles) Grant Thortonhttpwwwfinancialexpresscomindustrywhats-india-driving-hot-wheels-with-frills629521

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Cars SUVs MUVs

Tata Motors to hire widow of employee after MPs intervention The Economic Times (Web Edition)(Apr 16)

Jamshedpur Tata Motors on Saturday agreed to award a permanent job to the widow of an employee who died during duty at oneof its local plant on Friday

The decision came after political parties blocked the gates of the plant and staged a dharna outside Telco throughout the day

47-year-old Dhirendra Kumar an employee of the auto transport department died of cardiac arrest soon after reporting at work onFriday Leaders and activists of political parties like BJP JMM Congress AJSU JVM(P) AAP sat on dharna after the companymanagement refused to hire Dhirendras widow Punita Devi

However the demonstrators relented after parliamentarian Bidyut Baran Mahato chaired a tripartite meeting with Dhirendras familycompany management and the agitating leaders After the meeting the company agreed to hire Punita

Discussions have concluded between Tata Motors and all parties present As a special case we have agreed to induct the wife ofDhirendra Kumar as trainee for one year and then on probation Tata Motors spokesperson Arthur S Rao said

Along with other facilities the company has agreed to provide services to the kin of the victim on compensatory ground inaccordance with the established rules and norms of Tata Motors Mahato said

As a result of the blockade as many as 4000 employees of the company were left stranded inside the plant

The political leaders who were agitating outside the company premises were joined by office bearers of the affiliated workers unionof Tata Motors (Telco Workers Union)httpautoeconomictimesindiatimescomnewsindustrytata-motors-to-hire-widow-of-employee-after-mps-intervention58199869

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Reva founder looks to make electric cars affordable in India Alnoor PeermohamedBusiness Standard (Web amp Print Edition)(Apr 16)

Bengaluru Chetan Maini the man who gave India its first electric car the Reva is now looking to give the country its first real

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

Top

Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

Top

Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

Top

A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

Top

Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

Top

Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

chance of replacing gas guzzling vehicles with zero emissions electric ones by making them more affordable

Mainis new venture is looking to build modular batteries for electric vehicles that can be swapped out quickly at stations similar totodays petrol bunks The companys battery as a service model could help reduce the initial cost of buying EVs by as much as 50per cent

While the cost of an electric car is more than a conventional car if you remove the batteries and all the electronics around thebatteries you can bring the cost under control So electric vehicles could cost the same as gasoline powered ones said ChetanMaini Vice Chairman at Sun Mobility

Sun Mobilitys core innovation is a smart modular battery that can be fitted into two-wheelers cars trucks and busses quicklyserving as a more efficient option to charging these batteries over several hours Maini says the company will solve the biggestchallenges of EVs today - high battery costs high charge time and limited range

A 5050 joint venture between Mainis Virya Mobility 50 and SUN New Energy Systems the company is looking to run pilots of thesystem in Bengaluru by January 2019 Sun Mobility will partner with OEMs to build vehicles that can accept its battery pack andproviders of renewable energy to operate its stations in a truly green way

Suns model will revolve around owning the batteries and essentially charging users for the energy stored within them similar tohow vehicle owners pay for fuel today The upside for consumers would be that the electricity used to power their cars would costsignificantly less than what they pay for fuel today

It allows you to have a very quick interchange faster than what it would take to fill gasoline It is going to be low-cost less thanwhat it takes you to fill your tank and its going to be more convenient being fully digitally enabled added Maini

Sun Mobility with the backing of SUN New Energy Systems says it is well capitalised to take the concept to pilot stage after which itwill require a few hundred million dollars to deploy the solution Uday Khemka Vice Chairman of SUN Group said that the companywas already in talks with investors but declined to share details of the investments

Maini is setting himself a two year deadline for rolling out the service in a big way with research into the location of batteryswapping stations partnerships with OEMs and other stakeholders already being in advanced stages The batteries themselves willutilise intellectual property that Maini already owns making them versatile enough for the same battery to be used in differentvehicle models and even different platforms

Having worked in the field of electric mobility in India for the past two decades Maini believes its the right time to introduce such aservice in the country Not only is has the technology and battery costs hit critical mass but even the Indian government is moreproactively looking at ways to promote electric mobility

With 80 per cent of the countrys fuel today being imported mass adoption of electric mobility will allow India to significantly reduceforeign exchange The government to this extent has set a goal to hit 100 percent electric vehicle sales by 2030 making thebusiness case for Sun Mobility all the more strongerhttpwwwbusiness-standardcomarticlecompaniesreva-founder-looks-to-make-electric-cars-affordable-in-india-117041201118_1html

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Nissan GT-R unveiled in Bengaluru Deccan Herald (Web Edition)(Apr 16)

Bengaluru Nissan India unveiled its most awaited Godzilla GT-R sports car recently at Surya Nissan Marathahalli showroom inBengaluru

Godzilla-Nissans range topper is a super car stomping with high -tech dynamo Its 38 litre twin turbo V6 engine makes a mightily565 bhp while a six-speed dual clutch automatic and all wheel drive team up to put all the power to a robust drive It is priced at Rs199 crore

GT-R allows it to accelerate from zero to 100 kmph within three secondshttpwwwdeccanheraldcomcontent606570nissan-gt-r-unveiled-bengaluruhtml

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Datsun to showcase Redi-Go in Chennai The Hindu (Delhi Print Edition)(Apr 16)

Chennai Customer of Nissan Motor India can walk into the amplsquoDatsun Experience Zone a specially designed experience vanto have a look at amplsquoDatsun redi-Goamprsquo car across key location in Chennai from April 16 to 21

ampldquoThe Datsun Experience Zone is meant to engage showcase and help consumers experience the beat-in-class features ofthe redi-go with an upbeat atmosphere at a convenient placeamprdquosaid Arun Malhotra MD Nissan Motor India

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Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

Top

Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

Top

Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

Top

Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

Top

JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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Powered by Enablingbiz Esoluttions

Car dealer ordered to pay Rs 25k for selling stolen car The Economic Times (Web Edition)(Apr 16)

Hyderabad A district consumer forum here has pulled up a second-hand car dealer over the sale of a stolen four-wheeler anddirected the firm and one of its employee to refund about 225 lakh and pay 25 000 as compensation to a customer

The forum during the trial observed that Dr Car Private Limited and its representative resorted to unfair trade practice by selling anused car without proper verification and authentication

The fact that police had investigated the theft and traced the vehicle to the complainant and subsequently seized it leads us to inferthat the vehicle was placed for resale at Dr Car fraudulently with a malafide intention to cheat both the original owner of the vehicleand the complainant observed the bench in its judgment last week

The complainant SSRL Narayana had approached the car dealer to purchase a second-hand car in March 2014 He selected anIndica and after negotiations agreed to buy it for 223708

Narayana was shocked when the Hyderabad police seized the Indica on February 2 2015 stating that the vehicle was a stolenproperty The petitioner immediately approached the car dealer for help but in vain The vexed buyer finally approached the forum

The car dealer and its employee in their written submission meanwhile contended that they were in business of providing aplatform for sellers and buyers of used cars Their argument that they were not responsible for for any breach did not cut ice withthe forumhttpautoeconomictimesindiatimescomnewsindustrycar-dealer-ordered-to-pay-rs-25k-for-selling-stolen-car58200014

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GST may boost online market for used cars Sharath ChowdaryBusiness Standard (Web Edition)(Apr 16)

Hyderabad Online pre-owned vehicle dealers believe that the Goods and Services Tax (GST) once in place will accelerate thegrowth of the online market in this space

ampldquoCurrently registration into other states is an entry barrier in terms of extra cost GST will remove these complexities and willaccelerate the adoption of online as far as used vehicles are concernedamprdquo online automobile transactional marketplaceDroom founder and CEO Sandeep Aggarwal said

According to him GST will also bring a better equilibrium of price because the demand and supply can be matched with a lesserfriction and better efficiency

As per the GST rules released last week second-hand cars will attract GST only on transaction value Some states chargeadditional octroi charges of 45 per cent over and above of road tax It will be covered under standard SGST rates which will enablecar owners to transfer from other cities without paying additional 45 per cent

The rise in used-car prices has attracted many organised players such as Cars24 CarDekho CarTrade and QuikrCars to enter intothis business Still the organised sector accounts only 10 per cent of the used-car market

Second-hand cars portal Truebil co-founder Shubh Bansal said ampldquoUsed-cars market in India has huge growth potential goingforward Close to 35 lakh used-cars were sold in the country while around 30 lakh new cars were sold during the last financial yearThe new car market is growing at 8 per cent whereas the used car market is growing at 15 per centamprdquohttpwwwbusiness-standardcomarticleeconomy-policygst-may-boost-online-market-for-used-cars-117041500829_1html

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Luxury Cars

With No 1 slot for second year Mercedes shifts focus to after-sales in India PTISee this story in The Times of India (Web Edition)(Apr 17)

Mumbai Buoyed by its widening customer base of first-time buyers and cementing its No1 position for the second year in a rowluxury carmaker Mercedes is now shifting its focus to after-sales services

The average age of our customers is down to 37 now A few years ago this was 45 This has resulted us in investing more onafter-sales service by massively lowering the time to resolve customer complaints Mercedes-Benz Indias vice president

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

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Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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Powered by Enablingbiz Esoluttions

after-sales Santosh Iyer told PTI

Speaking at the companys headquarters in Pune he said one of the major initiatives in this area is to increase their PremierExpress service centres to 12 this year from the present eight

The Premier Express service comes with an additional Rs 2000 fee

He said one of the major reasons for faster growth apart from its quality of cars is the first time buyers who are mostlyprofessionals and drive their own Mercs unlike in the past when the buyers were middle-aged businessmen

Most of our customers over 70 per cent are first time buyers now and they drive their cars They need servicing at the shortestpossible time So weve launched a new service called Premier Express under which if the car is not serviced in 2 hours its donefree he said

The other reasons for higher growth are the highest resale value and the lowest ownership cost amongst the luxury carmakers saidIyer

Mercedes saw record sales in the March quarter at 3650 units while its 2016 sales stood at 13231 despite the diesel ban But thisis way ahead of the immediate rivals Audi and BMW

Last July Merc had launched the My Mercedes-My Service programme setting a new benchmark in after-sales standards Theinitiative promises to make after-sales service as the new differentiator in luxury car segment

My Mercedes-My Service has three pillars -- digital service drive premier express service and innovative service products calledStar Ease -- offering the lowest ownership costs in the luxe segment he said

This excludes major service and repairs warranty repairs or service on speciality AMG vehicles said Iyer who also heads the retailtraining amp vehicle preparation centre which includes a training centre a five-storey parking lot that can park 5000 cars and southAsias largest spare-parts centre for Merc with an area of 18000 sqm

The official said India is the only market outside the US to have the digital service drive offering for AMG models

Under this Merc offers service updates through video calls online booking with real time availability of time slots at any dealershipacross network for those customers who buy into their service package which is the lowest in segment in the country and comeswith unlimited mileage coverage

Already Merc is the only luxury carmaker in the country to provide three years warranty as standard offering

Its offers Flex service packages to customers at any point till the fourth year of ownership and even for 10 years

The package starts at Rs 64700 for two years and offers up to 45 types of services depending on the payout Iyer said adding a 10year package for the top-end models like E-Class comes at Rs 903 lakh

On the impact of the Premier Express service he said the average service time for maintenance has come down drasticallyreducing the turnaround time by upto 90 per cent

Asked about the low onwership cost Iyer said that compared to Audi and BMW it is up to 50-60 per cent cheaper if a customerbuys the service package

On the resale front also Mercedes commands the highest which is up to 30 per cent higher than its immediate rivals he saidquoting the Indian Blue Book datahttptimesofindiaindiatimescomautomiscellaneouswith-no-1-slot-for-second-year-mercedes-shifts-focus-to-after-sales-in-indiaarticleshow58207818cms With No 1 slot for 2nd year Mercedes-Benz India shifts focus to after-salesThe Economic Times (Web Edition)httpautoeconomictimesindiatimescomnewsindustrywith-no-1-slot-for-2nd-year-mercedes-benz-india-shifts-focus-to-after-sales58205593With No 1 slot for 2nd year Merc shifts focus to after-salesBusiness Standard (Web Edition)httpwwwbusiness-standardcomarticlepti-storieswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-117041600158_1htmlWith No 1 slot for 2nd year Merc shifts focus to after-salesDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-with-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales-2403788With No 1 slot for 2nd year Merc shifts focus to after-salesIndiatodayhttpindiatodayintodayinstorywith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-sales1930200html With no 1 slot for 2nd year merc shifts focus to after-salesThe Pioneer (Web amp Print Edition)httpwwwdailypioneercombusinesswith-no-1-slot-for-2nd-year-merc-shifts-focus-to-after-saleshtml

Top

Volvo Auto India posts 10 growth in 2016 plans to sell 2000 units in 2017 The Economic Times (Web Edition)(Apr 16)

New Delhi On the sidelines of the launch of its first performance sedan Volvo Auto India said that the company has sold about

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

1600 cars in Indian market and posted a 10 percent year-on-year growth in 2016

Volvo Auto India attributed the companys growth to its popular selling SUV Volvo XC90 The company has sold more than 750units of its XC90 SUV since its launch in 2016 Volvo was also the first company to introduce a plug-in-hybrid model with launch ofits Volvo XC90 T8 plug-in-hybrid in September 2016

The Swedish auto-maker entered in India in 2007 and currently sells its four-premium vehicles in the country All the vehicles arebrought in as completely built units (CBUs)

Volvo XC90 SUV and Volvo S80 are imported from companys plant in Sweden whereas the Volvo XC60 and Volvo S60 sedancome to India from the automakers plant in Belgium The company has about 16 dealerships across India

Globally the company sells vehicles to over 100 countries and plans to sell about 8 lakh cars by 2020 and Volvo Auto India aims tosell 2000 cars in calendar year 2017

For the first time Volvo Auto India has brought in its performance sedan Volvo S60 Polestar in the country and has aggressivelypriced it at Rs 525 lakh (Ex-showroom Delhi) The car takes on the likes of Audi S6 Mercedes-Benz C43 AMG and Mercedes-BenzCLA 45 AMG

Polestar performance brand started to intensify its business relations with Volvo Cars in 2009 Volvo S60 and Volvo V60 were thefirst products by the company to get Polestar performance variants globally in 2014

New generation Volvo XC60 which broke covers at the 2017 Geneva Motor Show is expected to be launched in India in 2017httpautoeconomictimesindiatimescomnewsindustryvolvo-auto-india-posts-10-growth-in-2016-plans-to-sell-2000-units-in-201758192115

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Polestar is a car to drive not to be driven in Volvo Auto India MD Tom von Bonsdorff Gulshankumar WankarHindustan Times (Web Edition)(Apr 16)

New Delhi For decades the Indian luxury car was the ultimate symbol of decadence -- a cushy backseat for senior executivesbeing driven around by smartly attired chauffeurs

But now Volvo Auto India thinks it can change this trend The iconic Swedish brand launched a sports version of its entry-levelsedan -- S60 Polestar-- at Rs 5250 lakh (ex-showroom Delhi) on Friday

The car is pitted against the likes of Mercedes-AMG C43 priced at Rs 87 lakh the BMW M3 at Rs 459 lakh and the Audi S5 at Rs74 lakh

The company is pitching the car as a high-energy zippy beast that embodies both power and luxury perfect for the young executivewho doesnamprsquot mind getting behind the wheel on a weekend trip away from the city

In fact Tom von Bonsdorff the managing director of Volvo Auto India says ampldquoIf you donamprsquot drive it you better not buyitamprdquohttpwwwhindustantimescomautospolestar-is-a-car-to-drive-not-to-be-driven-volvo-auto-india-md-tom-von-bonsdorffstory-N4cefmLK42Bm0FzCzA59vIhtml

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Assembly unit in India a matter of when not if Volvo Cars PTISee this story in The Economic Times (Web Edition)(Apr 17)

Coimbatore Swedish luxury car maker Volvo Cars will consider assembling its vehicles in India where it is looking to garner 10 percent market share in the high-end segment by 2020

The company is also gearing up to enter into pre-owned car segment with its global programme Volvo Select in India as it looks towiden customer base here

Volvo Cars sells a range of luxury cars and SUVs from the hatchback V40 D Kinetic to SUV XC90 T8 Excellence priced between Rs26 lakh and Rs 128 crore It has been witnessing double digits growth for the last two years

India is among the fastest growing markets for Volvo cars globally This year also we are looking at double-digit growth VolvoAuto India Managing Director Tom von Bonsdorff told here

The headquarter of the company is really opening up its eyes to India he said adding that the top management was alsoconfident about the countrys potential considering its economic growth thus giving impetus to the talks of setting up assembly planthere

When asked about Volvos plans for assembling in India von Bonsdorff said While no decision has been taken yet on starting

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

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A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

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Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

assembling our vehicles in India it is no longer a question of if but it is about when

The company is also looking at the possibilities of partnerships for such a step as and when a decision to assemble in India istaken he added

Volvo currently sells fully imported cars and SUVs from parent plant in Sweden and another in Belgium

Elaborating the companys ambitions in India he said While we are still behind the big players (Mercedes Audi and BMW) in theluxury segment in absolute numbers we are the fastest growing brand

We currently have about 5 per cent market share and our target is to double it to 10 per cent by 2020

The Indian luxury car market stood at around 34000 units down over 5 per cent from about 36000 units in 2015

Volvo Auto India sold around 1600 units last year In 2015 the company had sold 1423 units while in 2014 it stood at 1202 units

Commenting on plans to enter the pre-owned cars segment von Bonsdorff said With the growing car parc we have in India it istime for us to look at it

So far the company has sold a total of around 7500 units in India

Globally the company sells used cars under the Volvo Select initiative

We may try out with one dealer initially and gradually roll out nationwide depending on the response von Bonsdorff

This will be a good platform to reach out to aspiring customers who are unable to buy a new Volvo brand with the assurance of thecompany and thus help in widening customer base he addedhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsassembly-unit-in-india-a-matter-of-when-not-if-volvo-cars58205437Assembly unit in India a matter of when not if Volvo CarsThe Times of India (Web amp Print Edition)httptimesofindiaindiatimescomautomiscellaneousassembly-unit-in-india-a-matter-of-when-not-if-volvo-carsarticleshow58208308cmsAssembly unit in India a matter of when not if Volvo CarsDaily News amp Analysis (Web Edition)httpwwwdnaindiacommoneyreport-assembly-unit-in-india-a-matter-of-when-not-if-volvo-cars-2403795

Top

A race car you can drive every day Vikram ChaudharyThe Financial Express(Apr 17)

In 1996 Swedish racer Jan amplsquoFlashamprsquo Nilsson founded a team called Flash Engineering The mission was to run thefactory Volvo team in the inaugural Swedish Touring Car Championship In 2004 chief mechanic Christian Dahl became the ownerof Flash Engineering and in 2005 he changed its name to Polestar representing the frozen north of Sweden while also playing onthe connection to pole position and a star of racing

In 2015 Volvo Cars purchased the performance unit of Polestar making it the performance-car brand of Volvo Cars Last weekVolvo Auto India launched the S60 Polestar we drive it on the Kari Motor Speedway near Coimbatore in Tamil Nadu

Looks are deceivingJust by glancing at the S60 Polestar you probably wouldnamprsquot suspect that this car is one of the worldamprsquos best in powerperformance and agility Look closely however and youamprsquod realise that the S60 Polestar is inspired by 20 years of motorsportexperience ampndash the meticulously designed aerodynamic exterior including front splitters twin-exhaust pipes and rear spoilerand diffusor for high-speed stability is ample proof of that

What add to its appearance are the Michelin tyres 20-inch lightweight rims and Brembo 371mm disc brakes on all wheels Inaddition thereamprsquos a blue-coloured Polestar branding at the front rear and on the rims that differentiates it from the regular S60sedan

Treat your sensesThe layout of S60 Polestaramprsquos cabin is similar to that of the S60 sedan but there are thoughtful touches that set it apart Forexample Polestar branding on the gear lever and blue stitching on the racing car-inspired seats Because itamprsquos a Volvo luxuryis a given Simply touching the material used inside the cabin is a treat to senses so good is the quality Unlike most otherperformance-oriented cars the rear seats of the S60 Polestar are very comfortable itamprsquos a performance car you can use toget chauffeured to office

Performance is exhilaratingPress the brake shift into the Drive mode release the brake and floor the accelerator pedal In under a second youamprsquod feelthat everything around you is being fast-forwarded That feeling is courtesy the 20-litre petrol engine that delivers a peak power of376bhp and a torque of 470Nm The result is a 0-100kph sprint in just 47 seconds and a top speed of 250kph

Essentially Polestar took the regular S60 engine and added a bigger turbo a supercharger new conrods new camshafts a largerair intake and a higher-capacity fuel pump to augment it and matched it with a BorgWarner four-wheel drive system and the new

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

Top

Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Polestar-optimised eight-speed Geartronicautomatic gearbox The result is exhilarating performance

Handling is inspiringThis powerhouse of a car is not only engaging to drive its handling is precise too The Kari Motor Speedway track resembles Indianroads to an extent and we found that from the twisting corners to the high-speed straight each component of the S60 Polestarappeared to maximise drivability and control

Pricing is sensibleSomehow Volvo has been able to price it at just Rs 525 lakh (ex-showroom Delhi) Its closest competitors are Mercedes-AMGCLA 45 and Mercedes-AMG C 43 ampndash both are priced above Rs 70 lakh Even Ford Mustang is priced higher ampndash at overRs 65 lakh ampndash as is Audi S5

The S60 Polestar is not only remarkably quick it combines Polestaramprsquos 20 years of racing pedigree with Volvoamprsquosengineering heritage and safety It is an affordable racing car that you can use every day of the year on almost all kinds of roadshttpwwwfinancialexpresscomindustrya-race-car-you-can-drive-every-day630237

Top

Commercial Vehicles

Construction amp Agri Machinery

SBI slips on tractor loan settlement plan Abhijit LeleBusiness Standard(Apr 17)

Mumbai State Bank of Indiaamprsquos one-time settlement (OTS) scheme for tractor loans has failed to get adequate response

Only Rs 24 crore worth cases have come under it In a portfolio of around Rs 4000 crore of tractor loans about Rs 800 crore worthloans were eligible for the scheme The bank is assessing reasons for the lukewarm response and might look at extending theMarch 31 deadline

Crop failure and inability to deploy tractors were some of the reasons for the loans turning bad SBI executives said

The lender saw better traction with its OTS scheme for small and medium enterprises (SMEs) The scheme received 2772applications (Rs 671 crore) out of which 2703 applications (Rs 647 crore) were approved

The schemes were floated as a part of a process to clean up the books after making prudential provisions for non-performing loansThe tractor loan book was part of the bankamprsquos farm loan portfolio and the lender announced a settlement scheme to sheddebts with prospects of low recovery after adequate provisioning SBI was to take a haircut of 40 on these loans

Many SMEs have been hit as customers payments dipped Their incremental capacity to service loans was under severe pressurehttpwwwbusiness-standardcomarticlefinancesbi-slips-on-tractor-loan-settlement-plan-117041600562_1html

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Supreme Court order puts brake on sales of tractors construction vehicles Ajay ModiBusiness Standard(Apr 17)

Tractor and construction equipment vehicle makersamprsquo business has had a near-freeze across the country since April 1

Regional transport offices (RTOs) in most states have refused to register these vehicles after the Supreme Court order of lastmonth which stopped sales of two-wheelers three-wheelers passenger and commercial vehicles meeting only BS-III emissionstandards

The order was not meant for tractors combines and heavy construction vehicles which have different emission norms Howeverthe RTOs have declined to allow their registration It was late last week when Odisha and Gujarat resumed doing so

ampldquoRegistration and sales of tractors are completely stalled RTOs do not want to do anything that might form contempt of courtWe are in touch with the Union ministry of road transport and expect it to issue a clarificationamprdquo said Rajesh Sinha director(sales and marketing) at John Deere a leading tractor maker

India is a large tractor market with average monthly sale of 48000 units Mahindra amp Mahindra is the largest Rajesh Jejurikar

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

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23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

president of its farm equipment sector would not comment on the issue

The Central Motor Vehicles Rules have separate and distinct rules for emissions from agricultural tractors power tillersconstruction and earth moving vehicles and combine harvesters All these come under Rule 115A other vehicles meant fortransportation of goods and passengers are under Rule 115

Raman Mittal executive director at Sonalika ITL hopes the registration process to be back in place by the end of this monthampldquoOur association is making the required representations While this is a pan-India development we do not expect this todisrupt business significantlyamprdquo he said

Tractors follow the Bharat (Trem) Stage III A emission norms different from the BS-III norms for other vehicles

Anand Sundaresan president at the Indian Construction Equipment Manufacturersamprsquo Association says the Supreme Courtorder has been misunderstood by RTOs ampldquoThis is an important season for sales We are not able to bill anything at mostplaces The detailed SC order came this Thursday and it only talks about vehicles under Rule 115 We now expect a clarification toemergeamprdquo said Sundaresan also vice-chairman and managing director at Schwing Stetter a construction equipment maker

The impacted segment is valued at Rs 20000 crore with annual volume of 48000 units Sundaresan said the past 15 days hadbeen a amplsquonightmareamprsquo for most entities which have spent long hours with ministries and lawyers to address the situation

The SC order banning sales and registration of BS-III vehicles from April 1 shook many companies Two-wheeler makers had toliquidate hundreds of thousands of BS-III stocks at hefty discounts Commercial vehicle makers remain saddled with inventory ofBS-III stock valued at a few thousand croreshttpwwwbusiness-standardcomarticlecompaniessupreme-court-order-puts-brake-on-sales-of-tractors-construction-vehicles-117041700032_1html

Top

23 Wheelers

Young buyers to represent 40 of global market for personal luxury goods by 2025 John SarkarThe Economic Times (Apr 16)

New Delhi Grey hair and Porsches dont go together anymore Young buyers are all set to beat the older generation in buyinghigh-end goods that were reserved for a select few - those with bloated bank balances and receding hairlines

With the luxury industry entering a new `normal characterized by lower growth brands are betting on a new generation to keep theengine purring

Millennials will represent 40 of the global market for personal luxury goods by 2025 revealed new research by Bain amp Companyand Farfetch ampldquoAround 16 of our current sales come from millennialsampldquo said Vimal Sumbly MD at TriumphMotorcycles India ampldquoWe expect this to go up to 30 in the next two-to-three yearsampldquo

This is a far cry from the time when premium brands depended on an older generation of well-heeled buyers for growth In 2008Milwaukeebased big bike maker said its average rider was 48 years old

The characteristics of millennial behaviour are al ready seeping through to older generations -which accounted for 73 of luxurypurchases in 2016 said Bain amp Co For one with younger buyers jumping into the fray the time taken to make a purchase isdecreasing -millennials take one-third less time than older customers to make purchase decisions For older buyers too digitalinteractions with peers are on the rise when choosing to purchase a product

ampldquoMillennials definitely are the next set of aspirational shoppers for premium and luxury brands said Sanjay Kapoor MD ofGenesis Group which markets and distributes some of the top luxury brands in India including Jimmy Choo Canali and PaulSmith

ampldquoThis is a clear trend in emerging markets especially in China and now in India India has one of the worlds youngestconsuming population in the world today a reason why global brands continue to flock to Indiaampldquo

Millennials are also pushing brands to act digitally Today 70 of luxury purchases are influenced by online interactions whichmean at least one digital interaction has taken place with the brand or the product before purchases the report said

Around 14 of consumers from ages 18 to 24 complete their first luxury purchase online Dinaz Madhukar senior VP at DLF luxuryretail amp hospitality echoed similar views

ampldquoWe believe these evolving Luxury shoppers might do some initial purchases online but they will like any traditional luxuryshopper want to touch and feel their purchaseampldquo she said ampldquoLuxury is all about bespoke and experiences and cant becompromised after a pointhttpautoeconomictimesindiatimescomnewsindustryyoung-buyers-to-represent-40-of-global-market-for-personal-luxury-goods-by-202558189294

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Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

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Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Italian super bike maker Ducati expects to double India sales in 2 years T E NarasimhanBusiness Standard(Apr 16)

Chennai Italian superbike maker Ducati expects to break-even by next year in India Having crossed the 1000-bike sales mark lastyear the company expects to sell 600 units this year

According to Ducati India its operations in the country will be profitable by the end of 2018

Ducati started operations in India in March 2015 and established six dealerships across Delhi NCR Mumbai Pune Bangalore andAhmedabad

Ravi Avalur managing director Ducati India said that India is one of the fastest growing motorcycle markets and has greatpotential for future growth

Ducati India registered an 18 per cent increase in sales during 2016 passing the significant milestone of 1000 Ducatis sold in IndiaDucati growth came in a market that grew by 46 per cent in 2016 Avalur said

The company offer a wide range of motorcycles in India Its line-up currently includes over 24 motorcycles across various segments

Racing-oriented motorcycles are one of the key offerings from the company Ducati also forayed into the cruiser category with theunique XDiavel Its offerings also include touring adventurists urban riders and others

Recently Ducati announced the limited edition Ducati Diavel Diesel which is now available on special order at Ducati dealershipsacross the country

The company has already launched two premium motorcycles in India aimed at collectors and connoisseurs ampndash the 1299Superleggera and the Diavel Diesel

We will also see the launch of six new models including additions to the Ducati Scrambler Monster and Multistrada families saidAvalur Ducati will continue to focus on strengthening the existing product segments as well Over the next year the focus will be onadding another four dealers

This will back the companys plan to double its sales to over 1200 units in the next two years

Globally in 2016 Ducati delivered 55451 motorcycles to customers all over the world thus recording an increase in sales for theseventh consecutive year Companys Thailand plant is equipped to serve all the ASEAN countries as well as China and India TheThailand plant will continue to be the hub for the Asian region httpwwwbusiness-standardcomarticlecompaniesducati-india-expects-to-double-sales-in-2-years-117041000400_1html

Top

Bajaj Auto loses ground since exiting scooters in 2010 Nandini Sen GuptaThe Economic Times(Apr 16)

Chennai Bajaj Autos decision to stay out of the scooter market has cost the company dear in terms of market share both in theoverall two-wheeler market as well as in the motorcycle segment According to Siam numbersBajaj Autos motorcycle market share declined from 243 per cent in FY10 when scooters were discontinued to 183 per cent inFY17e (estimated) This despite the fact that the Rs zero margin product CT100 has helped add nearly 4 per cent market sharesince its launch a year-and-a-half ago

In overall two-wheelers Bajaj Autos market share has come down from 27 per cent 10 years ago to less than half at around 12 percent in FY17 The company however maintains that it is more focused on margins than market share

In response to an emailed questionnaire Bajaj Auto president (business development) S Ravikumar said The low-margin Indianscooter industry is not attractive to us We make far more money exporting 15 million bikes and 3 wheelers across the world thananyone could ever hope to selling scooters in India Our focus will always be high-margin segments This is why Bajaj Auto is theworlds most profitable auto company with the highest market cap in its industry in India

Bajaj Auto may have a point there At 224 per cent in FY16 its operating ebitda (earnings before interest tax depreciation andamortisation) margins are the highest in the industry up from 136 per cent in FY09 Its net profits have also gone into top gear-from Rs 656 crore in FY09 to Rs 3652 crore in FY16 Auto analysts however maintain that despite its margins focus Bajaj Auto islosing out in the domestic numbers game For one its dealer volumes per month are lower than the top three -Hero MotoCorpHonda Motorcycle amp Scooter India and TVS In fact at an average 213 units per dealer per month Bajajs dealer volumes are lessthan half of HMSI (446) and just over one-third of Hero MotoCorp (nearly 600)

Also despite its premium focus Bajaj has actually lost market share in the premium motorcycle segment as well from 46 per cent in2010 to 33 per cent in 2017e a 1300-basis-point slide (100bps =1percentage point) In contrast Royal Enfields share has grownfrom 4 per cent to 25 per cent in the same period

In its just announced sales for the year ended March 31 2017 Bajaj Auto saw a 14 per cent dip in domestic motorcycle sales in

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

Top

Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

Top

Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

Top

Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

Top

JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

Top

Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

March at 151449 units compared to 176788 units in March 2016httpeconomictimesindiatimescomindustryautonewsindustrybajaj-auto-loses-ground-since-exiting-scooters-in-2010articleshow58193021cms

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Updated Kawasaki Z250 to launch on 22nd April 2017 The Financial Express(Apr 16)

Kawasaki India launched the Z900 Ninja 300 and the Z650 in India on 25th March 2017 Now the two-wheeler manufacturer willlaunch an updated version of the Z250 on 22nd April 2017 which is expected to be priced around Rs 325 lakh ex-showroomDelhi This new 2017 model will command a slight premium over the outgoing version which is priced at Rs 311 lakhex-showroom Delhi

The new Z250 is likely to get ABS (Antilock Braking System) as standard along with new body colours Powering the sub-500 ccmotorcycle is the existing 249 cc liquid cooled four-stroke a parallel-twin engine that produces 32 hp of power and 21 Nm of peaktorque The unit will be mated to a six-speed gearbox

The Z250 will have a similar design language when compared to its elder sibling the Z900 In all likelyhood the company will alsointroduce the Z250 with AHO or Automatic Headlamp On function which keeps the headlamp of the motorcycle always on Thisenables other motorists to see a two-wheeler better Once introduced the new Z250 will compete with the likes of the KTM 200Duke Honda CBR250 R and the Benelli TNT 25 in the sub-500 cc segment

Recently Kawasaki also ended its tie-up with Bajaj Auto for its retail and after sales The Japanese motorcycle manufacturer is nowopening independent dealerships the first of which was inaugurated in Mumbai Kawasaki is now managed by India KawasakiMotors Pvt Ltd a 100 percent subsidiary of Kawasaki Heavy Industries Japan The new Mumbai showroom Anzen KawasakiMumbai have a complete range of Kawasaki model lineup and also retail Kawasaki branded merchandise including riding gearhttpwwwfinancialexpresscomautobike-newsupdated-kawasaki-z250-to-launch-on-22nd-april-2017628998

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Mopeds continue to thrive even as two-wheeler market growth slows Hindustan Times (Delhi Print Edition)(Apr 17)

Mumbai Kineticamprsquos 50 cc Luna model which became synonymous with the moped category in the 1980s has long faded intooblivion But mopeds as a category continue to be popular years after the Chal Meri Luna TV advertising campaign was last aired

The humble moped continues to provide affordable mobility to thousands of people especially in semi-urban and rural India Incurrent times TVS XL model has assumed the leadership mantle in the category Itamprsquos commonly referred asamplsquoBikkiamprsquo amplsquoLunaamprsquo and amplsquoHeavy weightamprsquo in parts of UP ampmdash one of the biggest markets forthe low-cost low-speed two-wheelers

In the year ended March 31 moped sales zoomed 23 to 890367 units from a year earlier according to data compiled by Societyof Indian Automobile Manufacturer (Siam) The fastest sales growth in seven years came on the back of the launch of a new mopedwith four-stroke 100cc engine said a TVS dealer who declined to be identified This was in a year when the broader twowheelermarket expanded by a mere 4 from last year

The popularity of mopeds defies the prevailing trend in India which has transformed into a multi-brand multiproduct market wherehighspeed performance bikes and gearless scooters have emerged as hot favourites

So what makes the moped click Besides the TVS XLamprsquos affordable price (Rs35000 ex-showroom Maharashtra) thevehicleamprsquos ability to carry light loads makes it popular with small businessmen said a Navi Mumbai dealer of TVS citinginstance of vegetable traders who use the moped to travel to and from APMC (the wholesale market for agriculture produce) inVashi

A TVS spokesperson declined to comment citing the ampldquosilent periodamprdquo ahead of TVSamprsquo earnings announcementlater this month

Less is more said a former executive at TVS Motor also declining to identified ampldquoThe fundamental of any good brand isconsistency and least amount of tinkeringamprdquo he said pointing out that the XL still retains the three-decade old look The onlychange is a bigger engine with the four-stroke technology

For TVS the XL has been an old workhorse a breadwinner he said pointing out that it has kept the company going even duringtough times when sales of other models were not picking up The company decided to be consistent in its approach and kept sellingthe model without making too many changes even when others like Kinetic and Hero Cycles which sold the Luna and Hero Puchrespectively exited the segment he said

ampldquoThey (TVS) have been reinventing the wheel and have a product in every segment and sub-segment and the approach hasworked well for themamprdquo said Abdul Majeed head of automotive practice at consulting PwC

Top

E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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E-Bikes

Components

ACMA sees strong prospects for 4wheeler 2wheeler cos in Jamshedpur The Economic Times(Apr 16)

Jamshedpur The Automotive Components Manufacturing Association (ACMA) sees strong prospects for the four-wheeler andtwo-wheeler manufacturing companies in the state

The apex body representing the interest of the auto component producing enterprises in India has said the present stategovernment is pursuing its development agenda at pace but it requires a follow-up mechanism that works on a sustained manner toresolve petty-to-large issues of the automobile industry to transform the proposals into actual investment

If theres one thing that requires to be done to attract investment in automobile sector then it is aggressiveness ACMA presentRattan Kapur told media persons on Friday

He said states like Gujarat Andhra Pradesh Maharashtra and Karnataka are pursuing investment proposals in automobile industrywith rapid approach whereas the eastern states are yet to pick up the required speed

Jharkhand along with Odisha have the potential to become next destination with regard to fresh round of investments thatautomobile sector is apparent to make in the next one decade However this state need to push up investment ideas with renewedvigour Kapur said on the sidelines of his interaction with the MSME representatives at a city hotel

Kapur iterated that by 2026 two-wheeler manufacturing companies shall produce 55 million vehicles while four-wheeler is expectedto produce 13 million vehicles

The existing plants of the several companies in the both categories will attain its full capacity in few years from now and thesecompanies will look for new places for setting up greenfield plant to meet the 2026 target and in this context Jharkhand is a gooddestination for the keen investors Kapur said

Presently four-wheeler companies are producing 36 million vehicles and two-wheeler manufactures are producing 18 millionvehicles he said

Hailing the administrative quality of the chief minister Raghubar Das the ACMA representative said theres been a tremendousdevelopment in the state in last two and half yearshttpautoeconomictimesindiatimescomnewsauto-componentsacma-sees-strong-prospects-for-4wheeler-2wheeler-cos-in-jamshedpur58199915

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Allied Industries

Now be ready to pay up to 5 more for tyres T E NarasimhanBusiness Standard(Apr 16)

Chennai Tyre majors have decided to increase prices by three to five per cent the second time in three months E-mails to MRFMichelin and TVS Tyres did not elicit a response but Apollo Tyres CEAT and dealers of the other companies have confirmed theincrease

Satish Sharma president Asia-Pacific Middle East and Africa for Apollo said theyd raised prices by five per cent during the Marchquarter From the end of this month it had decided to increase the price further by around three per cent With this the cumulativeprice hike for Apollo would be nine to 10 per cent in most segments

A spokesperson for CEAT said ampldquoWe implemented a price hike of four to five per cent in phases since January We arewitnessing a significant increase in raw material prices and these price increases are taken to mitigate the impact on our bottomlineamprdquo

The market had slowed in the phase after demonetisation especially in passenger segments ampldquoWe have already seenrecovery in market sentiment and footfall As the price increases have been small we expect the same to be absorbed easily withno impact on demandamprdquo added the CEAT spokesperson

At the end of January and beginning of February tyre companies raised prices by up to five per cent

T Loonchand Chordia who represents a multinational tyre brand and is in this business for a little over seven decades feels this is

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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Powered by Enablingbiz Esoluttions

not the right time for a price increase as sales are still to recover from demonetisation When raw material prices are coming downcompanies are not reducing the price whenever it goes up they immediately increase he said

Sharma said the price rise is raw materials was nearly 20 per cent ampldquoTo neutralise the impact we need to increase the priceby at least 15-18 per centamprdquo

Sharma is also chairman of the Automotive Tyre Manufacturersamprsquo Association which represents 11 large companies in thesegment accounting for a little over 90 per cent of production

The price of rubber rose to Rs 160 a kg in December 2016 from Rs 92 a kg in February 2016 though it has softened since to Rs146-147 Raw material cost is around 60 per cent of the revenue of which rubber accounts for 55 per cent

ampldquoWhenever the price (of raw materials) drops the industry has passed on those benefits In the past 24-28 months the pricedropped 15-18 per centamprdquo said Sharma

Nitesh Sharma of PhillipCapital said a price hike is a positive for the tyre industry and would lead to a re-rating of the sector With a10 per cent cumulative price increase the margins would near-normalise from the June quarterhttpwwwbusiness-standardcomarticlecompaniesnow-be-ready-to-pay-up-to-5-more-for-tyres-117041400344_1html

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Dhama to market auto seats via OEMs Lalatendu MishraThe Hindu(Apr 17)

Mumbai Dhama Innovations which developed temperature-controlled automobile seats along with American auto major GeneralMotors has decided to take the Original Equipment Manufacturer (OEM) route to promote this technology in the commercial vehicle(CV) industry

ampldquoThe temperature-controlled seat is an effective and extremely cost viable solution to address driver fatigue particularlycommercial vehicle drivers who drive long distance in extreme weather conditionsamprdquo said Kranthi Kiran Vistakula chiefinnovator Dhama Innovations

ampldquoTo keep the cost low we are seeking to go through the OEM route so that the drivers and the transportersamprsquocommunity benefit from this innovative technologyamprdquo he said

The company said that tapping the retail network would make the product expensive which will act as a deterrent for its use

Mr Vistakula from MIT US has been working on developing this technology for the past 7 years The carCV seat is co-patentedwith General Motors

Dhama is in talks with OEMs in India to integrate the technology in the driver seats

The seat is designed factoring in the thermal map and pressure map of the human body while driving and that makes itergonomically suitable for addressing the issue of driver fatigue it is understood

Cost-effectiveThe battery-operated seats which cool the driveramprsquos body in a non-AC cabin have no impact on mileage thereby making it acost-effective solution the firm saidhttpwwwthehinducomtodays-papertp-businessdhama-to-market-auto-seats-via-oemsarticle18073402ece

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Apollo Tyres plans to increase market share in Europe to 35 from 25 T E NarasimhanBusiness Standard(Apr 17)

Chennai With the Hungary plant going on stream Apollo Tyres plans to increase its market share to 35 per cent in the nexttwo-three years from the current 25 per cent in Europe And it plans to start supplying to major brands including Volkswagen andMercedes-Benz It also said the US would be its next stop for building brands

Apollo Tyres Vice-Chairman and Managing Director Neeraj Kanwar said its Vision 2020 for Europe was to be a premium brand bothin terms of size and price Tyres with or above 16-inch diameter catering to the top-end segment is considered as premium tyres

ampldquoThis facility (Hungary unit) will help us further increase our presence and market share in Europe From being a replacementmarket-focussed company in Europe we would soon be starting supplies of our tyres to all the leading original equipments (OEs) inEurope including Volkswagen and Mercedes-Benzamprdquo said Kanwar

The company has already started discussion with original equipment manufacturers (OEMs) and has turned on a satellite RampD

division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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division in Frankfurt which only caters to the OEMs in Europe

Apollo sells 75-8 million tyres annually in Europe and the European market is estimated to be around 300000 million units Kanwarsays the figure has to double and the Hungary facility will have 55 million tyres and the unit is expected to ramp up in 12-15months The full volume of Hungary would come in the balance sheet in the year 2018-19

With the inauguration of Hungary new facility Apollo had crossed another milestone in its global growth journey the company saidThis will be companyamprsquos sixth plant and the first overseas new unit by an Indian tyre company

Built over 72 hectares the construction began on site in April 2015 The company is investing 475 million euros in this facility

The final capacity at the end of Phase-I would be 55 million passenger car amp light truck (PCLT) tyres and 675000 commercialvehicle tyres This facility will complement Apollo Tyresamprsquo existing facility in the Netherlands and will produce both Apollo andVredestein brand of tyres for the European market

Vredestein will be for both OEs and replacement while the Apollo brand will cater to the replacement market in the market

Of the total revenue about 60 per cent currently comes from India while the European business accounts for 26 per cent With thenew facility Kanwar expects Europe contribution would increase to 30 per cent while India would continue to drive the major chunkof business with about 55-60 per cent The company is looking at demand from the customers and trying to create brands in the USIts initial plan is to market rather than manufacturing in the region

Apollo Tyres was the first Indian tyre major to make an international acquisition in 2006 followed by a second one in 2009 It wasalso the first one to start selling India-made products in the European market which is considered as the most advanced automotivemarkethttpwwwbusiness-standardcomarticlecompanieswith-hungary-plant-apollo-tyres-eyes-3-5-market-share-in-europe-117041600148_1html

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JK Tyre eyes over 20 market share in two-wheeler segment PTISee this story inDaily News amp Analysis(Apr 20)

JK Tyre amp Industries is eyeing over 20 market share in the two-wheeler segment over the next 18 months as it readies to roll outnew products as well as expand reach across the country

The tyre major entered the segment last year with the Rs 2195-crore buyout of BK Birla flagship firm Kesoram Industries tyremanufacturing plant at Haridwar

It currently sells tyres in 14 sizes mainly catering to products in the 100-125 cc category The company now plans to introduceanother 14 sizes catering to 150 cc and above category under its Blaze brand in June

In just 7-8 months of launching the two wheeler tyres we already have inched towards a market share of 10

In another 18 months we expect to touch a market share of 20 JK Tyre amp Industries Marketing Director Vikram Malhotra told PTI

With 14 tyre sizes in two-wheeler segment the company is catering to 75 of the demand With the new launches slated in June itwould be able to cater to 95 of the demand he added

The company which also makes tyres for three wheelers now plans to go full hog in terms of reach in the country It is targeting togo deeper in small towns and rural areas

With two wheeler sales now recovering in rural areas it gives us confidence to get a bigger pie in terms of sales in these areasMalhotra said

The companys Blaze range of tyres is well suited for smaller towns and rural areas as they can be used in both tube-type andtube-less applications

Further in order to reach to a bigger audience the company has rolled out a comprehensive advertisement campaign for the Blazerange of tyres

The Rs 2195 crore buyout had also helped the company to add 100 lakh tyres per annum capacity and enter the high-growth twoand three-wheeler tyre segmenthttpwwwdnaindiacommoneyreport-jk-tyre-eyes-over-20-market-share-in-two-wheeler-segment-2403784

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Emissions Environment

Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

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Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

Top

Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Finance amp Insurance

Home Vehicle loans save the day for NBFCs Shilpy SinhaThe Economic Times(Apr 17)

Mumbai Non-banking financial companies are expected to report strong growth in home and vehicle loans in the fourth quarter offiscal 2017 but subdued performance in gold and microfinance segments that still struggle due to the impact of demonetisationampldquoNBFCs are likely to see moderation posting an 11 year-on-year increase in profit after tax after three consecutive quartersof 16-20 growthampldquo brokerage firm Motilal Oswal said in a report

The brokerage predicts 44 profit growth at Bajaj FinanceAmong the rest it expects profit to expand 30 at Dewan Housing 26at Indiabulls Housing Finance 19 at LIC Housing Finance 23 at Muthoot Finance and 18 at Gruh Finance

Housing finance companies are expected to report a better Q4 as disbursements picked up after a lull third quarter Interestsubvention schemes to support housing for the middle income groups also gave a boost to the sector

On microfinance Motilal Oswal said there could be pressure ampldquoas the worst is yet to comeampldquo Some reports suggest theeffect of lower collections by the microfinance industry in Uttar Padesh and Maharashtra spreading to Karnataka as well Recently ratings firm ICRA downgraded the outlook for Janalakshmi and Satin Creditcare which the brokerage said spelt concerns for theentire MFI sector

Centrum in a report said it expected asset finance companies to report a sequentially strong quarter on both growth andprofitability But the MFI space continues to be under pressure following lower collection efficiency and the risk of eventual writeoffsit added HDFC Securities expects vehicle finance companies to report better earnings

Implementation of the Bharat Stage IV emission regulation from April 1 benefitted lenders as people queued up to purchasevehicles meeting the previous BS III rules that manufactures sold at huge discounts towards the year end

As NBFCs benefitted from a decline in borrowing costs broking firms expect vehicle finance companies to report healthy netinterest margin Gold loan companies are expected to report muted growth mainly due to the effects of demonetisation and ban ontransactions above 20000 in cash`

Top

Oil Lubricants amp Alternative Fuels

UK based Morris Lubricants forays into Indian market PTISee this story in The Economic Times(Apr 16)

Chennai The over a century-old United Kingdom headquartered Morris Lubricants has forayed into the Indian market to tap thegrowing lubricant industry a top official said here

The UK-based family owned firm has been exporting to over 85 countries worldwide

For its India operations the company has appointed George Oakes part of the Amalgamations Group as the marketing anddistribution partner Morris Lubricants Director and Member Board of Directors Andrew Wilkins said

We are delighted to be in India We have strong historical trading links between India and United Kingdom India is one of the maincountries were we need to have more focus he told reporters

On the tie up with George Oakes he said the company had held discussions with research firm RoseField DAA for nearly two yearsbefore entering the domestic market

We discussed with Shailendra (Gokhale MD RoseField DAA) for over two years before this happened We are happy to have alocal partner here (George Oakes) he said

Paterson Lubricants the holding company of Morris Lubricants formally commenced Indian operations last weekThe companywould initially focus in West and South regions

The domestic lubricant industry was around 250 million kilolitres per annum valued at Rs 32000 crore registering 4-5 per centgrowth year-on-year

India is one of the fastest growing markets in the world and a very attractive destination for our growth he said We realised forthe Indian marketunlike other countries exports from UK may not be ideal solution Hence we decided to blend some of ourlubricants and maximise the sourcing of raw materials in India he said

The company has two manufacturing facilities in UK with a total capacity of producing 50 million litres a year

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

Top

Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Morris Lubricants as part of its strategy to offer country specific products has identified a local partner to set up the facility nearMumbai for blending the lubricants in India he said

On the marketing strategy in India Wilkins said we have a lot of products to offer Currently India is the third largest lubricantmarket in the world

We will go and meet all our customers Our products can be used for heavy duty trucks tractors aftermarket service twowheelers he saidhttpautoeconomictimesindiatimescomnewsoil-and-lubesuk-based-morris-lubricants-forays-into-indian-market58195107

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Petrol price hiked by Rs 139 per litre diesel up by Rs 104 PTISee this story in The Economic Times(Apr 16)

New Delhi The price of petrol was tonight hiked by Rs 139 per litre and diesel by Rs 104 a litre in sync with firming internationalrates

The hike comes on the back of a Rs 485 per litre reduction in rates of petrol and Rs 341 a litre in diesel effected from April 1

Indian Oil Corp (IOC) the nations largest fuel retailer said price of petrol is being increased by Rs 139 per litre excluding statelevies and that of diesel by Rs 104 (excluding state levies) with effect from midnight tonight

Actual increase in price will be more after taking into account local VAT Petrol in Delhi currently costs Rs 6629 a litre while a litre ofdiesel is priced at Rs 5561

The current level of international product prices of petrol and diesel and INR-USD exchange rate warrant increase in selling price ofpetrol and diesel the impact of which is being passed on to the consumers with this price revision IOC said in a statement

The movement of prices in the international oil market and INR-USD exchange rate shall continue to be monitored closely anddeveloping trends of the market will be reflected in future price changes it said

IOC also said it intends to shortly start daily changes in price of petrol and diesel on pilot basis in Udaipur JamshedpurPondicherry Chandigarh and Vizaghttpautoeconomictimesindiatimescomnewsoil-and-lubespetrol-price-hiked-by-rs-1-39-per-litre-diesel-up-by-rs-1-0458200720

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News Magazines

Toyota FT-4X SUV concept revealed at New York Autocar India(Apr 16)

The Toyota FT-4X is an urban SUV concept thatamprsquos been revealed at the New York motor show The car has been designedby Toyotaamprsquos California Calty studio for millennials with an active lifestyle and features tough boxy styling and a raised drivingposition

It gets an integrated GoPro camera and removable and interchangeable panels to enable customisation The car also features atoughened up section in its cabin to enable all-weather protection and water resistance from sodden passengers

The car is based on Toyotaamprsquos new global architecture C-Platform and stands almost as tall Range Rover Evoque It sits on18in wheels wrapped in off-road tyres

The FT-4X concept doesnamprsquot feature an engine but Toyota said if it did itamprsquod likely be a small displacementfour-cylinder driving all four wheels The car would use a selectable low-range gearbox to boost its off-road ability

ampldquoYou can really tell that we had a blast designing the FT-4X because it looks fun to use and fun to driveamprdquo said CaltyStudio chief designer Ian Cartabiano

ampldquoI love this idea of mechanical satisfaction because while weamprsquore living in todayamprsquos digital world we tooksomething thatamprsquos based on physical movements and made that a large part of what this vehicle is We want everyone tointeract with this car and feel a sense of delight and excitementamprdquohttpwwwautocarindiacomauto-newsto-sub--toyota-ft-4x-suv-concept-revealed-at-new-york-404688aspx

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Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

Top

Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Lexus LS F Sport revealed at New York

Autocar India(Apr 16)

Lexus has revealed the new LS F Sport with a more aggressive styling than its standard sibling It now sports two large air intakesflanking Lexusamprsquo signature amplsquoSpindleamprsquo grille while 20-inch alloy wheels are fitted as standard Two new coloursampndash shades of blue and white ampndash are exclusive to the F Sport too

Inside the F Sport gets more bolstered seats with perforated leather and ultrasuede as well as aluminium pedals and footrest An FSport steering wheel also features as do instruments derived from those in the LFA supercar

Under the bonnet thereamprsquos either a 35-litre twin-turbocharged V6 producing 421hp and 599Nm torque in the LS 500 or thesame engine is mated to an electric motor for the LS 500h with 299hp and 354 both come with 10-speed automatic gearboxes

The former manages 0-100kph in 45sec while the mild hybrid takes a more leisurely 54sec but can be used in electric-only modeat up to 140kph Lexus is yet to announce the hybridamprsquos electric-only range but the range is expected to be around 48km thesame as the updated Mercedes-Benz S500 hybrid

Mechanical upgrades include bigger brakes ampndash six-piston front and four-piston rear units ampndash and air suspension speciallyset up for a sportier ride Thereamprsquos also Lexusamprsquo Dynamic Handling tech which tweaks the ABS traction control ESCand steering to control the way the car behaves at different speeds

Lexusamprsquo chassis control tech is fitted in its most advanced iteration in the LS F Sport and is claimed to control the caramprsquosride and flatness around corners as well as provide greater comfort by tweaking the brake response steering and suspensionThree drive modes are selectable Normal Sport S or Sport S+ which tweak the chassis control systemamprsquos settings

India has been no stranger to the Lexus brand with many of its offerings predominantly the LX SUVs and LS limousines findingtheir way into the country as private imports over the years Earlier this year the brand officially entered the Indian market with thelaunch of three models - the ES 300h hybrid sedan the RX450h hybrid SUV and the range-topping LX450d full-size SUVhttpwwwautocarindiacomauto-newslexus-ls-f-sport-revealed-at-new-york-404678aspx

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Aston Martin Vanquish S gets special Red Arrows edition Autocar India(Apr 16)

As the latest commission for the Q by Aston Martin project 10 Vanquish S Red Arrows Edition cars will be produced The specialedition model celebrates the iconic Red Arrows RAF jets

The cars are marked out from standard Vanquish S models with Eclat Red paint ampndash the same colour used on the Red Arrowsampndash as well as exterior and interior details including a side stripe in blue or white in a nod to the smoke trails commonlyassociated with the jets and a pattern on the roof which reflects the canopy of a fighter jet

Inside the upholstery features the same green used on the Arrowsamprsquo pilot flight suits as well as Red Arrow formation graphicsembroidered into the door cards and seat backs Each car also gets a unique plaque on its engine signed by the correspondingRed Arrows pilot Meanwhile the steering wheel features an RAF-inspired switchgear and is derived from that of the One-77

The rear seats have been replaced with a stowage area for two Red Arrows motif crash helmets These are included as are racesuits and bespoke bomber jackets a luggage set car cover build book and a scale model of both their car and a Hawk Red Arrowsplane

No mechanical changes have been made so the Vanquish Samprsquo 600hp 650Nm V12 engine remains the same as does thecaramprsquos 35sec 0-100kph time and 323ph top speed

Production is limited to 10 cars although the final car is to be gifted to the RAF Benevolent Fund The series has beencommissioned to the Q by Aston Martin initiative by Aston Martin Cambridge ampndash the same branch which commissioned the 80V12 Vantage S Spitfire 80 special edition cars last year and the Vantage S Blades Editionhttpwwwautocarindiacomauto-newsaston-martin-vanquish-s-gets-special-red-arrows-edition-404680aspx

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India-bound Jeep Compass 5 things to know Autocar India(Apr 17)

Jeep officially entered India last year with the launch of the iconic Wrangler and the Grand Cherokee the latter offered as a dieseland as high-performance Grand Cherokee SRT Later in the year the automaker revealed the all-new Jeep Compass a mid-sizeSUV along with its intention to bring it to India Shown to the Indian media for the first time a few days ago the India-spec Compassis expected to launch sometime in August this year which is in close proximity to Jeepamprsquos first anniversary here

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Closing

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NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

Here are the five things you should know about Jeepamprsquos first locally-assembled SUV

1) Design and platformThe Compass shares a lot of its design cues with the current range-topping Grand Cherokee Common design cues includesquared-off wheel arches the seven-slat grille projector headlamps with LED treatment high ground clearance and big alloywheels The Compass is based on the same platform (small wide 4x4) as the automakeramprsquos entry-level SUV the RenegadeThe new Compass however features a longer wheelbase to improve cabin space

2) Spacious and upmarket cabinInside the new Compass will give the feel of a much larger SUV The India-spec version will get plenty of metal brightwork orbracketing and features like Terrain Select dial a full-colour 70-inch or smaller 35-inch driver information display and a large84mm touchscreen Higher trim models are also likely to get leather seats and dual-tone upholstery apart from off-roading gearsuch as a terrain select system and locking differentials

3) New diesel powerplantThe Compass will also feature a Fiat-sourced diesel engine but unlike the current 13-litre and 16-litre units used by Indianautomakers the Compass will feature a new 20-litre Multijet II four-cylinder unit developing over 170hp Also on offer will be a new14-litre Multi-air turbo-petrol motor developing in the region of 160hp The petrol engine will be offered with a six-speed manual or aseven-speed dual-clutch automatic gearbox while the diesel for now will be offered with only the former

4) Off-road credentialsJeep will differentiate itself from the crowd by retaining off-road skills that are so central to its brand Top-of-the-line versions willcome with a dedicated four-wheel-drive system and Jeeps Selec-Terrain Traction Management system that optimises the SUV forconditions like snow sand mud and rocks More expensive versions will get a differential locking system that works by brakingindividual wheels Jeep however will also offer a two-wheel-drive or front-wheel-drive version so as to allow for a good spreadThe automaker will also bring in the more off-road Trailhawk variant to India as well but only early next year

5) Locally assembledUnlike its earlier products launched here the Compass will be both manufactured and exported from Fiats Ranjangaon plantoutside Pune and will feature an extremely high level of localisation This allows Jeep to price its SUV competitively somewhere inthe region of Rs 18-25 lakhhttpwwwautocarindiacomauto-newsindia-bound-jeep-compass-5-things-to-know-402741aspx

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2017 BMW 5-series gets five-star safety rating Autocar India(Apr 17)

The latest BMW 5-series has been awarded a five-star safety rating by Euro NCAP scoring a strong 81 percent overall Euro NCAPsaid the car displayed good all-round protection thanks to its new platform while avoidance tests results were improved by thecaramprsquos autonomous braking system Pedestrian safety was also highly rated by Euro NCAP thanks to the 5-series standard-fitwarning system and active bonnet

Secretary general of Euro NCAP Michiel van Ratingen said ampldquoBMW has led the way with a new 5-series that features lots ofdriver assistance systems which Euro NCAP believes will transform safety in the years to comeamprdquo

BMW will launch the new 5-series sedan in India soonhttpwwwautocarindiacomauto-news2017-bmw-5-series-gets-five-star-safety-rating-404691aspx

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International News

Continental sets up new research facility in Silicon facility The Economic Times(Apr 16)

HanoverSan Jose Technology company Continental in a press release said that it is expanding its worldwide network of itsresearch and development centers The company opened a new location in San Joseacute in Silicon Valley California USA where upto 300 experts from all parts of the company will work on pioneering solutions for the sustainable mobility of the future Theirprojects are concerned with automated driving electromobility connectivity and mobility services

ampldquoOur attention is focused on developing and shaping the environment of future mobility At our new center in Silicon Valleywe connect our customeramprsquos wishes contributions and orders with our innovative ideas knowledge energy and experience ofover 32000 of our engineers worldwide and our business partners ampndash for the benefit of allamprdquo said ContinentalamprsquosCorporate Technology Officer Kurt Lehmann

Continental claims that it is investing millions of US dollars in the new research and development center The state-of-the-artlaboratories workshops and offices are housed in a complex of around 6000 square meters Continental has already been

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Powered by Enablingbiz Esoluttions

represented in Silicon Valley for several years as the Intelligent Transportation Systems (ITS) business unit has been based theresince 2014

Lehmann noted that the new research and development center forms an important building block in implementingContinentalamprsquos strategy The aim of this strategy is to develop new technologies for transporting people and their goodsSoftware-based solutions handling large amounts of data and using artificial intelligence play a vital role in this

ampldquoThe automotive industry is undergoing the biggest transformation in its 130-year history In the past it created valueprimarily using mechanical solutions It then increased this value with help from sensors electronics software and digitalization Inthe future our business will be driven by mobility services and intelligent mobility technologiesamprdquo explained Lehmann whohas been responsible for corporation-wide technology development at Continental

He went on to say ampldquoOver the coming decades most of the electrically powered fully connected and automated vehicles incities will be operated by mobility service providers and fleet managers Continental connects vehiclesamprsquoamplsquobrainsamprsquo thus expanding the collective intelligence of the fleet This is the kind of interdisciplinary collaboration takingplace across Continental in San Joseacute and it will result in new additional business areas for our pioneering solutionsamprdquo

Continental employs more than 18000 people in the USA In the past five years the company has invested more than $19 billionthere and is planning comparably large investments for the next five yearshttpautoeconomictimesindiatimescomnewsauto-technologycontinental-sets-up-new-research-facility-in-silicon-facility58193186

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Yamaha Motor Taiwan rolls out its 10-millionth unit The Economic Times(Apr 16)

Iwata Japanese two-wheeler manufacturer Yamaha Motor announced today that its Taiwanese local Group company YamahaMotor Taiwan (YMT) has now produced its ten-millionth motorcycle since the companyamprsquos establishment in 1987

YMT was established in 1987 as a local subsidiary of Yamaha Motor for motorcycle production in Taoyuan City of northern Taiwanand mainly produces scooters for Taiwan and Japan The annual production volume in 2016 was 330000 units of which 250000were for Taiwan and 80000 for overseas markets including Japan

In Taiwan the total number of motorcycles owned is more than 13 million units with the countryamprsquos total population being 24million people the annual total demand for motorcycles is about 850000 units (Yamaha Motor data 2016) In Taiwan scooters arewidely used as a means of transportation in everyday life says Yamahahttpautoeconomictimesindiatimescomnewstwo-wheelersscooters-mopedsyamaha-motor-taiwan-rolls-out-its-10-millionth-units58194843

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New 2018 Cadillac CT6 features first hands-free driving tech for highway The Economic Times(Apr 16)

New York US based General Motors brand Cadillac has introduced the new 2018 Cadillac CT6 that features Super Cruise theindustryamprsquos first true hands-free driving technology for the highway

Unlike other driver assistance systems Super Cruise utilises two advanced technology systems ampmdash a driver attention systemand precision LiDAR map data ampmdash to ensure safe and confident vehicle operation informed the automaker in an officialstatement

Super Cruise adds automatic lane-centering to CT6amprsquos existing suite of driver assistance active safety technologies enablingautomatic control of speed and steering during highway driving

ampldquoSuper Cruise is a more technologically advanced hands-free driving solution which in terms of capability integration andvalidation is uniquely focused on customer convenience and safetyamprdquo said Johan de Nysschen Cadillac presidentampldquoCadillacamprsquos philosophy is to elevate driving Super Cruise enables safe simple hands-free driving for thehighwayamprdquo

ampldquoWhen we were developing Super Cruise we knew it was important to keep the driver engaged during operationThatamprsquos why weamprsquove added a driver attention function to insist on driver supervisionamprdquo said Barry Walkup chiefengineer of Cadillac Super Cruise

The driver attention system uses a small camera located on the top of the steering column that focuses on the driver and works withinfrared lights to track head position to determine where the driver is looking whenever Super Cruise is in operation

Existing driver assist systems only rely upon steering wheel input and warning messages to request driver attention and controlCadillac is the only manufacturer to monitor driver attention to the road ahead when Super Cruise is engaged claims theautomaker

If the system detects the driver has turned attention away from the road ahead for too long it will prompt the driver to return their

attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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attention to the road ahead If the driver does not immediately refocus on the road Super Cruise will continue to safely steer until afurther escalation of alerts prompts the driver to resume supervision

If the system determines continued inattentiveness a steering wheel light bar guides the driver to look at the road or take backcontrol of the wheel

Super Cruise is the first assisted driving technology that will use precision LiDAR map data in addition to real-time cameras sensorsand GPS

Combined with the real-time data from cameras and GPS sensors the precision map governs system use enabling it in only theareas where appropriate road conditions are detected The combination of real-time data with precision mapping also improvesvehicle control through curves and hills

This advanced map data restrains Super Cruise use to divided limited-access highways ampmdash highways with definedampldquoon-amprdquo and ampldquooff-rampsamprdquo

ampldquoThe development of Super Cruise reflects a responsible and safety-oriented approach to the rollout of this advancedtechnologyamprdquo de Nysschen said

ampldquoAmerican drivers travel twice as many miles on urban and suburban highways as they do on rural roadsamprdquo Walkupsaid ampldquoSuper Cruise allows hands-free driving and operates only within the environment where it has the most benefit While itis technically possible for the technology to drive hands-free on other kinds of streets and roads we feel strongly that this targetedapproach is the best to build consumer and regulatory confidence and enthusiasm for advanced mobilityamprdquo

Super Cruise will be offered as an option on the 2018 Cadillac CT6 prestige sedan starting this fall in the US and Canadianmarketshttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsnew-2018-cadillac-ct6-features-first-hands-free-driving-tech-for-highway58196347

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Osram eyes acquisitions of up to $530 million CFO ReutersSee this story in The Economic Times(Apr 16)

Berlin German lighting company Osram is on the lookout for acquisitions worth up to 500 million euros ($530 million) althoughthere are no specific plans for a deal as yet its finance chief told a German newspaper

Osram wants to strengthen the areas of electronics and software within its automotive lighting unit and is looking for acquisitiontargets or partners Ingo Bank told Boersen-Zeitung in an interview published on Saturday

Acquisitions for its Opto semiconductors unit would also be attractive if they opened up access to markets he said

Osram has funds available after the sale of lamps division LEDvance which brought in gross proceeds of about 500 million eurosand thanks to its strong balance sheet Bank said

We have a lot of firepower and the ability to act However we will not be making the error of buying for the sake of it the paperquoted him as sayinghttpautoeconomictimesindiatimescomnewsauto-componentsosram-eyes-acquisitions-of-up-to-530-million-cfo58196651Opec warns of a world that still has far too much oilminthttpwwwlivemintcomOpinionpflxgHfgFmZDqb5m1GB27KOpec-warns-of-a-world-that-still-has-far-too-much-oilhtml

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Self-driving truck passes test in China PTISee this story in The Economic Times(Apr 16)

Beijing A Chinese-made self-driving truck has passed a navigation test heralding a new era of intelligent automated heavyvehicles official media reported

FAW Jiefang the leading truck manufacturer debuted the self-driving truck at FAW Tech Center in Changchun city Jilin province

The truck which FAW Jiefang plans to commercialize as early as next year was able to recognize obstacles slow down make adetour and speed up state-run Xinhua news agency reported

The intelligent driving vehicle reacted correctly to traffic lights adaptive cruise control remote commands and successfully overtookthe report said

Hu Hanjie FAW Jiefang General Manager said the company has built a whole industry chain partnership to develop manufacture

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

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Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Powered by Enablingbiz Esoluttions

sell and service self-driving trucks

The participation of more firms across the sector will accelerate the technologys use on heavy-duty vehicles Hu said

Leading Chinese tech firms including Baidu and Tencent have invested in self-driving entities

Baidu for example has tested driverless mini cars at the annual World Internet Conference for the last two years

The technology may prove more practical when it is used on trucks than private cars as truck drivers are more likely to drive tiredthe report addedhttpautoeconomictimesindiatimescomnewscommercial-vehiclemhcvself-driving-truck-passes-test-in-china58197015

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Cadillac Global sales increase 221 in March 2017 The Economic Times(Apr 16)

New Delhi American car maker Cadillac in a media statement said that the comany sold a total of 27406 vehicles in March 2017globally an increase of 221 percent March was the 10th consecutive month of double-digit percentage growth

Cadillac attributed the positive momentum to the expanding midsize luxury crossover segment which grew 65 percent in March and544 percent so far in 2017 Cadillacamprsquos new XT5 luxury crossover continues to be one of the companys best-selling luxuryvehicle in the US market

Cadillac saw a 63 growth in China as the company sold 12369 units in March 2017 as against 7588 units in March 2016

According to Power Information Network the average US transaction price for a new Cadillac in March rose to $54268 thousandsmore than competitors such as BMW Audi and Lexus

ampldquoFor ten consecutive months now Cadillacamprsquos disciplined strategy and strong product substance have produceddouble-digit gains of global sales growthamprdquo said Cadillac President Johan de Nysschen ampldquoAverage transaction prices inthe US market continue to increase and the XT5 luxury crossover continues to grow the business in one of the most competitivesegmentsamprdquohttpautoeconomictimesindiatimescomnewsindustrycadillac-global-sales-increase-22-1-in-march-201758190303

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Volkswagen Group sales decline marginally during Jan-March 2017 The Economic Times(Apr 16)

New Delhi The Volkswagen Group registered a sales decline by 05 in the first quarter of 2017 The company delivered just under25 million units to its customers around the world in the first quarter of this year confirmed the company in a media release Thecompany had sold over 25 million vehicles during Jan-March 2016

In March 2017 the Volkswagen Group handed over 990900 vehicles to its customers

We finished the first quarter with good delivery figures for March The growth drivers for the Volkswagen Group were Europe andthe North and South America regions which saw a marked increase in new vehicle deliveries said Fred Kappler Head of GroupSales at Volkswagen Aktiengesellschaft commenting on the figures for March We expect to see a positive growth impetus inChina in the second quarter Kappler continued

In Europe VW Group delivered about 11 million units in the first quarter of 2017 up by 44 percent Group deliveries rose 60percent to 474300 units in March 410300 vehicles were handed over to customers in Western Europe in March of which 131600were delivered in the home market of Germany an increase of 58 percent Deliveries in the markets of Central and Eastern Europerose 119 percent to 64100 during the same month

Sales in China saw a decline in the first quarter by 67 The company sold 891500 units between Jan-March 2017 as against955500 units during the same months a year back

The Company delivered 213700 vehicles (+60 percent) in the North America region in the first quarter 51200 vehicles weredelivered in the USA the regions largest single market in March saw a growth of 27 percent

The Volkswagen Group handed over 357200 vehicles to customers in the Asia-Pacific region in March ampndash a decrease of 19percent In total the Group delivered 973700 vehicles (-69 percent) in this region in the first quarter 324500 new vehicles werehanded over to customers in China in March (-11 percent) Compared with the record figure in China for the first quarter of 2016deliveries in the first quarter of 2017 were down 67 percent

Within the group VW Passenger cars Audi saw a sales decline by 13 percent and 73 respectively in the first quarter of 2017Skoda CEAT Porsche showed positive momentumhttpautoeconomictimesindiatimescomnewsindustryvolkswagen-group-sales-decline-marginally-during-jan-march-201758191014

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This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

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Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

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Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

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Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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Top

This one number is significant for autonomous driving industry The Economic Times(Apr 16)

Santa Clara California There is one number in particular which has a lot of significance for the autonomous driving industry andthat is 4 terabytes (TB)

Says Kathy Winter vice president and general manager of the Automated Driving Solutions Division at Intel Corporation Fourterabytes is the estimated amount of data that an autonomous car will generate in about an hour and a half of driving ampndash or theamount of time a typical person spends in their car each day

She went on to say that as the industry moves toward fully autonomous cars data presents a number of challenges for the entireglobal industry The first challenge goes back to that original number 4TB The exponentially growing size of the data setsnecessitates an enormous amount of compute capacity to organise process analyse understand share and store

The need to train autonomous vehicles as quickly as possible presents another challenge When new driving responses orsituations are identified machine learning simulation and algorithm improvements must happen almost instantly and updateddriving models must be pushed to the cars immediately once available

Thereamprsquos also the matter of data protection and what that means for consumers to eventually trust the autonomousexperience

Finally says Winter the data challenge grows over time as small fleets of vehicles eventually become hundreds of millions ofvehicles The ability to make this happen comes only through the ability to process increasingly larger data sets

Winter added No one company can tackle these data challenges on its own The fastest way to solve the autonomous driving datachallenge is through industry collaboration While thereamprsquos a lot of work to do to deliver fully autonomous vehicles by 2021 Iam confident that by working with the industry and our partners together we can get it donehttpautoeconomictimesindiatimescomnewsindustrythis-one-number-is-significant-for-autonomous-driving-industry58191653

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Redesigned Hyundai Sonata make its North American debut The Economic Times(Apr 16)

New Delhi Redesigned and face lifted Hyundai Sonata made its North American debut at the New York International Auto Show asit enters the market with a more aggressive profile and a completely modified rear

Created and designed at Hyundaiamprsquos California Design Studio and new features LED daytime running lights The rear of thesedan now comes with sharp taillight design and enlarged Hyundai badge which now houses the trunk release button Chromeaccents surround the daylight opening (DLO) and new wheel designs cap off its new look

Inside the renewed center stack and instrument panel echo the exterioramprsquos look Dashboard features a dial design and astrong three-spoke steering wheel Piano key buttons for audio and HVAC controls gives a modern appeal

Hyundai also claims that it has refined chassis with improved ride and handling The torsion bar stiffness within the steering systemin increased by 12 percent and will help to improve steering response and feel in all conditions

In addition to these steering changes Hyundai Sonata received an updated rear suspension The trailing arms are 21 percentthicker making them stiffer to manage heavy suspension loads

For the top-of-the-line powertrain thereamprsquos even more The 245 horsepower 20-liter turbocharged engine now includes aneight-speed automatic transmission which adds ratio range at both the top and bottom of output speeds The 20-liter turbo modelsroll on 18-inch wheels now with Michelin tires

The updated Hyundai Sonata also get a seven-inch color display audio touchscreen with both Apple CarPlay and Android Autointegrationhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsredesigned-hyundai-sonata-make-its-north-american-debut58191612

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Ex-Tesla team with new electric vehicle in works missing this one thing Bloomberg Anne Riley Moffat and David WelchSee this story in The Economic Times(Apr 16)

Electric-car startup Lucid Motors has a team recruited from Tesla and a slick concept that boasts impressive performance Now

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

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The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

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Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

Top

Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

Top

Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

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PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

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Powered by Enablingbiz Esoluttions

itamprsquos going to need some money

The nascent carmaker unveiled its Air prototype in December and had said it would start production of its all-electric luxury sedan in2018 That timeline has slipped a bit -- Lucid wants to secure Series D financing before breaking ground on a plant in Arizona thendebut the car in 2019 according to chief technology officer Peter Rawlinson

We donamprsquot have the money in place Thatamprsquos why we need to secure Series D in order to execute this Rawlinson wholed engineering of Teslaamprsquos Model S sedan said Thursday at the New York International Auto Show It would be irresponsibleto start moving earth or start anything until we have a financial runway to execute that professionally and with absolute integrity

Once funding is in place it will take 24 months before Lucid begins production Rawlinson said In November the company said itwould break ground and begin hiring in the first half of 2017 with production beginning in 2018

The extended timeline means Lucid will fall another year behind Tesla and other competitors in the race to bring the next generationof low-emissions vehicles to market Still Rawlinson said heamprsquos confident in the car partially because he says heamprsquoshired most of his old team away from Tesla

Key PlayersI have secured many of my key players he said All my vehicle directors that report to me were with me at Tesla on Model S Sothe team thatamprsquos doing this knows how to do it

The Lucid Air will start at $60000 or $52500 after federal tax credits With the equivalent of 400 horsepower the car will drive 240miles on a charge according to the company A higher-end 1000 horsepower version that can drive 400 miles on a charge will bemuch more expensive Rawlinson said selling for well north of $100000

Thatamprsquos how Lucid plans to make money where many electric-car programs have produced red ink The base model will beprofitable because battery costs are low while the faster versions will compete with the top luxury cars and command loftier priceshe said Lucid has signed battery-supply agreements with both LG Chem and Samsung

Autonomous EventuallyLucid has said it plans to build 10000 vehicles in its first 12 months of production and ramp up to 130000 annually by 2022 The Airmodel will come equipped with the hardware required for fully autonomous driving though the software wonamprsquot be ready until2021 or 2022 Rawlinson said

There are a lot of bulls Iamprsquom a bit bearish about the software being available he said But having that sensor suite meanswe can collect the data the big data and that in itself will help accelerate the process toward full autonomy

The Air just completed its first high-speed stability test at 217 miles per hour Its high performance will compete with German luxurymanufacturers rather than just with other electric carmakers Rawlinson said

To be credible there we have to have a car which can run at Autobahn speeds and compete with that set and show its credibilityhe said Itamprsquos a bit like the diveramprsquos watch It has to go to 1000 meters Maybe the human body canamprsquot take 1000meters but to be credible that watch has to deliver what it says it canhttpautoeconomictimesindiatimescomnewsindustryex-tesla-team-with-new-electric-vehicle-in-works-missing-this-one-thing58192477

Top

The iPhone of cars Apple enters self-driving car race APSee this story in The Times of India(Apr 16)

San Francisco Apple is joining the fiercely competitive race to design self-driving cars raising the possibility that a company thathas already re-shaped culture with its iPhone may try to transform transportation too

Ending years of speculation Apples late entry into a crowded field was made official on Friday with the disclosure that the CaliforniaDepartment of Motor Vehicles had awarded a permit for the company to start testing its self-driving car technology on public roadsin the state

The permit covers three vehicles - all 2015 Lexus RX 450h hybrid SUVs - and six individual drivers California law requires peopleto be in a self-driving car who can take control if something goes wrong

Apple goes Mobile In a new wayApple confirmed its arrival in the self-driving car market but wouldnt discuss its intentions Its interest in autonomous vehicletechnology however has long been clear

The Cupertino California company pointed to a statement that it issued in December

Apple is investing heavily in machine learning and autonomous systems the company said then There are many potentialapplications for these technologies including the future of transportation

Apple released that statement after Steve Kenner a former Ford Motor executive who is now Apples director of product integritynotified federal regulators of the companys interest in self-driving cars in a letter

Like others Apple believes self-driving cars could ease congestion prevent millions of crashes and save thousands of lives

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

Top

Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

Top

Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

Top

Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

NURC MediaNext Pvt Ltd

DirectorSapna KulshresthaMobile 9810975257

Production-in-ChargeS K MandalPhone 011-22626650

Editing-in-ChargeGulab Singh YadavMobile 9999132357

Marketing-in-ChargeRashmi ThakurMobile 9958949710

Accounts-in-ChargeVimal ParasharMobile 9910631712

PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

This email is a solicited newsletter We sent you this email because youyour employer organisation signed up for our daily industry updates If you do not wishto receive these email updates in future please contact us at vimalpnurcmedianextcom to unsubscribe

Powered by Enablingbiz Esoluttions

annually in traffic accidents often caused by drunk or distracted motorists

Self-driving cars could also be a lucrative new market And Apple has been searching for its next act for a while one that will take itbeyond its mainstay phones tablets and personal computers

A Next Big ThingAlthough iPhones ongoing popularity has helped Apple remain the worlds most valuable company the company hasnt had abreakthrough product since the 2010 debut of the iPad currently in the throes of a three-year sales slump The dry spell has raiseddoubts as to whether Apple lost some of its trend-setting magic with the death of co-founder Steve Jobs in 2011

Apple will be vying against 29 other companies that already have California permits to test self-driving cars The list includes majorautomakers including Ford General Motors BMW Volkswagen and Tesla as well as one of its biggest rivals in technologyGoogle whose testing of self-driving cars has been spun off into an affiliate called Waymo

Since Google began its work on self-driving vehicles eight years ago Waymos fleet of self-driving cars has logged more than 2million miles on the road

That means Apple has a long way to catch up in self-driving technology But it has often been a follower in markets that it eventuallyrevolutionized It wasnt the first to introduce a digital music player smartphone or tablet before its iPod iPhone and iPad came out

Deep PocketsWith $246 billion in cash Apple also could easily afford to buy technology that accelerates its development of self-driving carsThere has been recurring speculation that Apple might eventually acquire Tesla which has a market value of about $50 billionNeither Apple nor Tesla has given any inkling that theyre interested in joining forces though

Speculation about Apples interest in expanding into automobiles began swirling in 2015 amid media reports that the company hadbegun secretly working on building its own electric car under the name project ``Titan Apple never confirmed the existence ofTitan which is now believed to be deadhttptimesofindiaindiatimescomautomiscellaneousthe-iphone-of-cars-apple-enters-self-driving-car-racearticleshow58193069cms

Top

Ad wars When BMW Audi Mercedes Benz Jaguar prove prowess through advertisements The Financial Express(Apr 16)

The automobile industry is heavily competitive Car and motorcycle manufacturers invest big amounts of money and time intodevelopment of machines that would rule the hearts of enthusiasts But then one cant really get into fisticuffs with the competitionevery single time they introduce a new or better car Hence manufacturers have devised a subtle more sophisticated method ofrelieving stress ampndash advertisements While there is no guarantee that theses ads can affect the buyers decision but they suredo raise a titter Scroll down for some hilarious ads from the past and be assured the last one just fantastic

The war has not been limited to a single mode of advertising it spreads to print and billboard even video Yes companies take thisbattle very seriously In fact BMW and Audi have been in a very popular and prolonged tiff BMW even got in a tussle withMercedes Benz

It began something like this BMW actually congratulated Audi for winning the South African Car of the Year 2006 titles however itturned out to be a taunt when the brand said at the bottom of the ad From the winner of the World Car of the Year 2006

And Audi was quick to release this Le Mans is a 24 hour race which is considered a proving ground for car manufacturers

Subaru dove in the spat and took on both the automotive giants

Theres no way to shrug off BMW and Audi when talking about of battle of the brands The two got into a billboard war that grewpretty big Audi advertised the A4 with the tag line Your move BMW Now this was a clear challenge in BMWs face and hencethe brand responded with a billboard advertising the 3 Series And then the whole process was repeated again But you have togive it to the wit of the people behind these ads See for yourself

When all else fails build a very fast car and rent a zeppelin

The next is between Mercedes Benz and BMW Benz released a video in which a car crashes but the occupant walks away unhurtgiving out a message that the man was safe because he was driving a Mercedes BMW too released a video showcasing one of itscars in a similar backdrop But this time the car does not crash claiming that in BMW you will beat the bends or more like Beat theBenz

Beat the bends or Beat the BenzAnd now the epic advertisement we mentioned before This one involves a German and a Brit Mercedes Benz came up with abrilliant way to demonstrate stability ampndash a chicken But who eats chicken Well a jaguar does

Jaguar versus chickenTurns out competition is a very healthy and relevant factor in the betterment of just about anything If there was just one carmanufacturer in the world there would be a single design language similar sounding engines outcomes of races wouldnt be worthbiting nails Competition is a driving force to be better to beat others and most of all beat yourselfhttpwwwfinancialexpresscomautocar-newsad-wars-when-bmw-audi-mercedes-benz-jaguar-prove-prowess-through-advertisements628678

Top

Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

Top

Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

NURC MediaNext Pvt Ltd

DirectorSapna KulshresthaMobile 9810975257

Production-in-ChargeS K MandalPhone 011-22626650

Editing-in-ChargeGulab Singh YadavMobile 9999132357

Marketing-in-ChargeRashmi ThakurMobile 9958949710

Accounts-in-ChargeVimal ParasharMobile 9910631712

PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

This email is a solicited newsletter We sent you this email because youyour employer organisation signed up for our daily industry updates If you do not wishto receive these email updates in future please contact us at vimalpnurcmedianextcom to unsubscribe

Powered by Enablingbiz Esoluttions

Top

Global carmakers converge on China as rare slowdown looms AFPSee this story in The Economic Times(Apr 17)

Shanghai Global carmakers converge on China for the Shanghai auto show this week with the industry bracing for a sharp salesslowdown and potential price war as competition stiffens in the worlds biggest car market

Manufacturers have reaped a windfall as the fast-expanding Chinese middle class hits the road but clouds loom as VolkswagenToyota General Motors and other top nameplates pitch their latest models starting this Wednesday at Chinas biggest autoshowcase

Passenger-vehicle sales have nearly quintupled over the past decade and logged another stellar performance in 2016 surging 149percent to a record 2438 million according to the China Association of Automobile Manufacturers

But volume was skewed upward in 2016 by a government purchase incentive As Chinas decades-long economic boom loses liftsales growth will essentially be flat this year and could even shrink in 2018 for the first time in memory consultancy IHS Markit saidlast week

In a boon for consumers IHS Markit said there is already a major price war descending on the market as manufacturers anddealers slash prices to move growing stock

The threat now for international automakers is that if local players begin cutting prices there will be a rampant price war acrossthe market as automakers compete to attract new car buyers it said

Such troubles must be kept in perspective China is still El Dorado for carmakers

Last years sales set a 26th straight annual high-water mark handily beating the record 1755 million cars sold in the United Stateswhich China zoomed past eight years ago to become the planets top market

But sales were boosted by the governments halving of a 10-percent purchase tax on small-engine cars in late 2015 That tax hasbeen raised to 75 percent this year and will be restored to 10 percent in 2018 with an expected dampening effect on sales

Death by suffocationMore broadly analysts say Chinas automotive landscape is rapidly maturing as consumer tastes evolve and success will dependon manufacturers capabilities in meeting those tastes

China now has a crowded field of mostly domestic carmakers many of which wont survive said Johan Karlberg a Shanghai-basedpartner with global consultancy Roland Berger

Theres just not room enough for that many players any more Many of the smaller ones will simply die a slow suffocating deathKarlberg said

Major carmakers remain bullish but are scrambling to introduce a slew of new models aimed at Chinese consumers during theShanghai show which IHS said has taken on major importance as the dynamics evolve

Manufacturers are rushing in particular to capitalise on still fast-growing demand for sport-utility vehicles and new energy cars

Chinese drivers have latched on to both domestic and foreign-made SUVs as leisure interests grow and rising incomes put asecond family car in reach SUV sales are expected to surpass sedans as early as this year

Electric vehicle sales have been government-subsidised partly to help reduce Chinas notorious air pollution and the Chinesemarket is now the worlds biggest and growing quickly

China market leader Volkswagen along with giants General Motors Ford and a host of electric-car upstarts all have plans to rampup their China offerings

Ford will even try to sell its American-icon pickup trucks while expanding its electric offerings

We think its a huge opportunity for us to continue to build the Ford brand here in China and continue to grow our business inChina Ford CEO Mark Fields told Bloomberg News

Analysts say other future drivers lie in Chinas seemingly never-ending stock of newly-minted middle-class consumers particularlyin populous and fast-growing lower-tier cities plus the rapid growth in car-hailing and vehicle-sharing services

We still have a pretty good period of growth ahead in the Chinese market It is THE strategic market for global carmakers saidMarc Mechai an automotive analyst with Accenture in Paris

But now it remains to be seen with which vehicles and howhttpautoeconomictimesindiatimescomnewspassenger-vehiclecarsglobal-carmakers-converge-on-china-as-rare-slowdown-looms58205467Global carmakers converge on China as rare slowdown loomsThe Times of Indiahttptimesofindiaindiatimescomautomiscellaneousglobal-carmakers-converge-on-china-as-rare-slowdown-loomsarticleshow58205387cms

Top

Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

NURC MediaNext Pvt Ltd

DirectorSapna KulshresthaMobile 9810975257

Production-in-ChargeS K MandalPhone 011-22626650

Editing-in-ChargeGulab Singh YadavMobile 9999132357

Marketing-in-ChargeRashmi ThakurMobile 9958949710

Accounts-in-ChargeVimal ParasharMobile 9910631712

PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

This email is a solicited newsletter We sent you this email because youyour employer organisation signed up for our daily industry updates If you do not wishto receive these email updates in future please contact us at vimalpnurcmedianextcom to unsubscribe

Powered by Enablingbiz Esoluttions

Top

Sleek look and the promise of excellent performance The Economic Times(Apr 17)

Recently General Motors unveiled its next generation mid-size Buick Regal And in a stunning departure from the status quo thesleek new model will come in two distinct flavours -the Regal Sportback and the Regal TourX

The Sportback is a five-door hatch that features a distinctive coupelike fastback roofline in a package thats designed to couplelooks sports sedan performance and crossover utility But more interesting is the Regal TourX Its the latest in a long line of Buickwagons -this time with a much more rugged feel

Dimension and competitionAs a result of its crossover designation the TourX is physically different from its Sportback siblingThe TourX is 34 inches longeran inch taller and has a more pronounced rear greenhouse than its coupe-like counterpartDifferences aside both have beencreated to accomplish a singular mission -take on the Germans

While the Sportbacks target is the Audi A5 Sportback and the BMW 4-Series Gran Coupe the TourX will be aimed at AudisA4-based allroad wagon and the BMW 3-Series Sportwagon Like the previous generation Regal the Sportback and the TourX bothfeature a heavy dose of Teutonic DNA from GMs now-departed Opel division

Powertrain and techBuick has armed both variants with a 20 litre 250 horsepower turbocharged inline-four-cylinder engine coupled with aneight-speed automatic transmission and an advanced twinclutch all-wheel-drive system The Sportback is also available infrontwheel-drive guise with a nine-speed automatic

In addition both versions of the Regal will get GMs infotainment system with OnStar full Apple CarPlayAndroid Auto comp abilityand 4G LTE connectivity running through an available eight-inch touchscreen display Further the 2018 Regal is available with acomplete suite of drivers assistance features including adaptive cruise control lane-keep assist and pedestrian brakingPerformance figures and price of the Sportback and TourX are not yet available

Top

Economy

Market falls by 245 points to 2946145 for the week PTISee this story in Asian Age(Apr 16)

Mumbai Snapping the previous two weekly gains the benchmark Sensex fell 24516 points to 2946145 while the broader Niftycracked the key 9200-level to finish at 915080

The truncated trading week saw the market nipped by fuelling geo-political crises following last week US cruise missile attack onSyria while volatility prepossessed the investor sentiment owing to the start of fourth quarterly earning results and slew of keymacro-datas releases

The initial consolidative momentum made way for correction with market seeing three losses out of four trading sessions as thedisappointment perturbed the sentiment following the release of lower Industrial output surge in CPI inflation as well as weak startin key earning results

Rising tension in the Middle East and the Korean peninsula following last weeks US strike against Syria and sabre-rattling by theUS and North Korea took toll to the global stocks pushing investors to safer assets like gold treasuries and the yen

On the domestic front the industrial output slipped to a 4-month low by contracting 12 per cent in February and fuel prices droveretail inflation to a five-month high of 381 per cent in March

Finally a dismal start in earning results with IT index getting hammered after Infosys weak revenue outlook and plan to return cashto shareholders fell short of market expections

During the week the key indices opened higher at 2975262 hovered between 2983882 and 2944226 before settling at2946145 Showing loss of 24516 points or 083 per cent

The sensex had gained 28521 points or 097 per cent on previous two weeks While Nifty lost 4750 points or 052 per cent toquote below the key 9200-level at 915060

Selling was led by IT Metal Teck Auto Consumer Durables and Power sectors While buying witnessed in IPOs Realty PSUs

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

NURC MediaNext Pvt Ltd

DirectorSapna KulshresthaMobile 9810975257

Production-in-ChargeS K MandalPhone 011-22626650

Editing-in-ChargeGulab Singh YadavMobile 9999132357

Marketing-in-ChargeRashmi ThakurMobile 9958949710

Accounts-in-ChargeVimal ParasharMobile 9910631712

PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

This email is a solicited newsletter We sent you this email because youyour employer organisation signed up for our daily industry updates If you do not wishto receive these email updates in future please contact us at vimalpnurcmedianextcom to unsubscribe

Powered by Enablingbiz Esoluttions

HealthCare OilampGas FMCG Banks and Capital Goods

The broader midcap and smallcap companies shares also found good buying interest Meanwhile foreign portfolio investors (FPIs)and foreign institutional investors (FIIs) sold shares worth Rs 226405 crore during the week as per Sebis record including theprovisional figure of April 13

In the broader market The BSE Mid-Cap index rose 11780 points or 083 per cent to settle at 1435096 The BSE Small-Capindex gained 19974 points or 136 per cent to settle at 1488116 Both these indices underperformed the Sensex

Among sectoral and industry indices IT fell by 411 per cent followed by metal 410 per cent teck 349 per cent auto 082 per centconsumer durables 078 per cent and power

064 per cent while realty rose by 233 percent followed by healthcare 189 per cent oilampgas 185 per cent FMCG 133 per centbankex 126 per cent and capital goods 034 per cent Among the 30-share Sensex pack 18 stocks fell and remaining 12 stocksgained during the week

Shares of Adani Ports fell 781 per cent The stock was the top loser from the Sensex pack IT was followed by Tata Steel 586 percent Infosys 508 per cent TCS 409 per cent Wipro 351 per cent Tata Motors 322 per cent Reliance 293 per cent Maruti 279per cent Gail 221 per cent and Cipla 212 per cent while Sun Pharma rose by 400 per cent ITC 257 per cent Coal India 247 percent power grid 213 per cent ICICI Bank 175 per cent Lupin 163 per cent and HUL 060 per cent

The total turnover during the week on BSE and NSE fell to Rs 1501625 crore and Rs 9839340 crore respectively as against lastweekends level of Rs 1610466 crores and Rs 10593997 crores Both the markets remained closed yesterday on account of DrBaba Saheb Ambedkar Jayanti and Good Fridayhttpwwwasianagecombusinessmarket150417market-falls-by-245-points-to-2946145-for-the-weekhtml

Top

Indian corporates results to remain poor in Q4 FY17 autos revenue to degrow by 4632 Narendra NathanThe Economic Times(Apr 16)

Though not as bad as expected India Inc reported a weak set of numbers for the third quarter of 2016-17

Fourth quarter results are also going be lacklustre The aggregate revenue of the BSE 500 companies is expected to fall 541compared to the fourth quarter of 2015-16 or on a year-on-year (y-o-y) basis

The quarter on-quarter (q-o-q) fall in aggregate revenueampmdash fourth quarter revenue compared to third quarterampmdashisexpected to be 249

Most sectors will report a fall in their top linesMetals oil and gas FMCG and infotech will buck the trend of fall in revenue

While the aggregate net profit is expected to fall 1081 y-o-y it may grow 1205 q-o-q This q-o-q jump however canamprsquot betreated as a turnaround because performance of the preceding quarter was severely affected by demonetisation

ampldquoSince full remonetisation has happened only in the second half of the fourth quarter Q4 numbers are also expected to betepid like the Q3 onesamprdquo says Mayuresh Joshi Fund Manager Angel Broking

The underperformersOne can expect weakness across sectors with some facing severe pressure For instance due to the onslaught from Reliance Jiotelecom companies are facing serious pricing pressure With customers demanding free calls free roaming reduced costs for dataetc the average revenue per user (ARPU) took a major hit in the last quarter

Due to massive losses from Idea and Reliance Communication the telecom industry is expected to report a net loss at theaggregate level Will the market leader Airtel be able to maintain its profits ampldquoThere will be severe pressure on its profitabilityAirtel will fall into lossamprdquo says Joshi Tata Motors is likely to be a drag on the auto sectoramprsquos aggregate numbers

However even after excluding Tata Motors the situation is not particularly great for the sector While the two-wheeler segment tooka major hit due to demonetisationampmdashHero Motocorpamprsquos sales volume fell 6 in the fourth quarterampmdashthe passengercar segment remained relatively stableampmdashMaruti Suzukiamprsquos volume grew 15 in the fourth quarter Additional costs dueto the phasing out of BS-3 vehicles and their emergency fire sale due to the Supreme Court directive will drag autocompaniesamprsquo margins in the fourth quarter

Though the cement sector is slowly recovering from demonetisation and cement volumes picked up due to improved constructionactivity prices have fallen because of increased competition Prices in the southern and eastern markets are now down by 3-4y-o-y The sectoramprsquos performance will also be affected by the significant surge in pet-cokeampmdashan alternative tocoalampmdashprices Exports-oriented sectors such as IT Pharma etc are also expected to be under pressure

While IT was struggling with H-1B visa issues pharma has been troubled due to increased notices from the US FDA The suddenappreciation in the rupeeampmdasharound 5 in Q4 aloneampmdashwill squeeze these companiesamprsquo margins furtherampldquoFourth quarter of 2016-17 would be the first-ever quarter of PAT (profit after tax) decline for our technology universeamprdquosays Guttam Duggad Head of Research MotilalOswal Securities Infosys which declared weak results on 13 April saw its stock

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

Top

Closing

NURC MediaNext Pvt Ltd

DirectorSapna KulshresthaMobile 9810975257

Production-in-ChargeS K MandalPhone 011-22626650

Editing-in-ChargeGulab Singh YadavMobile 9999132357

Marketing-in-ChargeRashmi ThakurMobile 9958949710

Accounts-in-ChargeVimal ParasharMobile 9910631712

PLEASE NOTE

NURC Industry Updates contain editedtruncated text of Industry-specific news as it appears in various select dailies and websites These are NOT full stories unless otherwisespecifically mentioned The stories contained herein are informational only and no representation is made or warranty given as to their content reliability truthfulness orusefulness User assumes all risk of use It be clearly understood that NURC updates do not claim to and neither mean to replace the Print or the Internet editions of variousnewspapers whose articles are featured therein For the best and complete news reading NURC urges its readers to read the full text of the stories from the Newspaperswhose credits are given after the headline and visit the related website whose URL is given below the text matter of each news item

NURC News Update - AUTOMOBILES

News on Indian Auto Industry Copyright 1999 NURC MediaNext Pvt Ltd

This update purports to be a compilation of the top stories for the day in the leading Indian and International dailies websites and other information sources and NURCMediaNext Pvt Ltd cannot and does not vouch for their authenticity NURC MediaNext Pvt Ltd cannot be held responsible for any loss(es) arising out of or incidental to theuse of this News Update Reproduction or redistribution without express permission of NURC MediaNext Pvt Ltd is strictly prohibited and is a violation of the subscriptionagreement Such instances will result in immediate cancellation of subscription to the Service without any refund for the remaining period at the sole discretion of NURCMediaNext Pvt Ltd

This email is a solicited newsletter We sent you this email because youyour employer organisation signed up for our daily industry updates If you do not wishto receive these email updates in future please contact us at vimalpnurcmedianextcom to unsubscribe

Powered by Enablingbiz Esoluttions

price crash by 386

Metals will shineFourth quarter numbers would have been worse if there was no cyclical upturn in the metals sectors The steel sector for instanceis expected to report a net profit of Rs 1315 crore compared to Rs 578 crore in the third quarter It had reported a net loss of Rs507 crore in the fourth quarter of 2015-16 The non-ferrous metals (other than iron and steel) are also expected to report a y-oy netprofit growth of 32

Outlook for 2017-18Despite the weak performance in 2016-17 analysts are yet to cut the earnings estimate for 2017-18 in a big way Industry expertswarn that companies will not be able to meet the high expectations High projections in the beginning of the financial year andreducing them later has been the norm for several years and it is likely to continue in 2017-18 as well ampldquoThe economy wasexpected to take a deep cut and then recover fast

Though the expected deep cut did not happen the bounce back is also not happening as fast as expected Some structuralweakness still remains so recovery will be more long drawnamprdquo says Arun Gopalan VP Research Systematix Shares andStocks Monsoon and implementation of the Goods and Services Tax (GST) are shortterm worries for 2017-18

Though the Indian Meteorological Department (IMD) is yet to come out with its rainfall estimates private sector forecaster SkymetWeather has predicted below normal monsoon in 2017 Monsoon continues to have a significant bearing on rural consumptionImplementation of the GST can also create shortterm hiccups though it will benefit in the long term ampldquoExpect some positiveimpact of GST in the second half of 2017-18 The full impact will be visible only in 2018-19amprdquo says Gopalan

While most sectors driven by domestic demand are expected to do reasonably well in 2017-18 telecom will remain under seriouspressureampmdasheven in 2018-19 With call rates and data rates coming down drastically ARPUs are going to fall further in2017-18 Since telcos are laden with debt their interest costs are also going to be drag Global sectors like IT and pharma willremain under pressure if the rupee continues to appreciatehttpautoeconomictimesindiatimescomnewsindustryindian-corporates-results-to-remain-poor-in-q4-fy17-autos-revenue-to-degrow-by-46-3258196730

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