Following the government’s BS IV norms, GM has to withdraw its Tavera [images] from the BS IV cities to replace the engine. Now GM has come out with an alternative disposal, a 2.0 lit common –rail diesel engine to be localized from Sonalika. Sonalika is fitting this engine for its home product Rhino. This comes in the wake of technical flaw with the earlier 2.5lit engine found unsuited for the BS IV norms. Hence GM met with the decline in the sale of Tavera. With this resonance, GM hopes that there will be a refreshed demand for its MPV in Tavera till the full- fledged BS IV model rolls out before this year end, which will be equipped with the power output of 100bhp.
Sedan version of Micra from Nissan possible
Nissan Sedan from Micra platform (V) soon
The C-segment sedan sector may get a new entrant from Nissan, which will follow the success path of recently launched Micra. Meanwhile, Nissan is not ruling out the automatic transmission hatch in Micra [images]. Nissan has in its sleeves a lot of models for the Indian market- probably nine models- said the company’s VP for sales and marketing.
The vehicles will be designed and made from the company’s Chennai facility which is equipped to deliver 2 lakh units this year. He said the facility is geared up to meet the requirements in future demand, which may arise by way of exports to Europe, South Africa and South America. He further mentioned that the price of sedan (which is also based on V platform like Micra) will be competitive since there will be 85 domestic components.
The 4 wheeler crosses 3 million mark
The car segment in the Indian auto industry is on the ever increasing pace. The segment is to cherish the moment of pride as
the new hallmark of the industry is on the cards- 3 million unit of the passenger car which is on the 3.5 million mark soon. The economic downfall had not affected the sale of cars in India and the auto industry analysts and observers see the growth to continue in coming years too. Almost all major car makers are on the increased capacity monger- Maruti is increasing its capacity to 4.75 millions per year, said its MD. The current year’s production may pass over 2.2 -2.3 million he added quoting 70% of domestic components.
The figures corresponding to the last year (2009-10) were 2,351,240 passenger vehicles which hit the growth with 28% from the previous year. Of this, 446,146 units were export units which also stood at the growth of 27% from the previous year. Maruti, which leads the Indian car market, is quite obvious to stand on top in increased capacity too, said its MD. Toyota, Renault and GM have already announced either new plants are increase in the capacity for the coming years. The MD of Ford expressed that the Indian passenger car segment has good potential as evident from the success formula with Figo [images]. He said that the small car has almost 70% share in the net car market and this makes India a prominent hub for the sector. The increased capacities of the car makers will boost the efficiency of the Indian car market, said the Chairman of Rane group which rules the component segment. The major factor which demands for the increased capacity is the export market
which heavily relies on the Indian products.
There will be a double-digit growth in the Indian passenger car industry and this will make India a highly competitive market for the global players. Everything depends on the component industry which is the major breeder for the makers. There may be hitches in Tier2 and Tier 3 suppliers, said MD of Maruti. This is due to insufficient infrastructure among the low end component suppliers and added power crisis. There is also a problem by way of necessary manpower both at skilled and at managerial levels, he added. Maruti is keen on settling the score on these aspects at Gurgaon-Manesar, Pune and Chennai facilities.
Palio to seclude, says Fiat
A once famous small car from the Italian car maker Fiat, Palio [images], is to become extinct as the company has shut down its doors for the customers. The low return during the last three years in this Palio forced Fiat to decide this manner. On the other hand, the focus will now turn towards the Punto [images] hatchback and Linea sedan. Fiat seeks to push the sale of these two premium brands to fetch the double growth- to an approximate figure of 45000 units. To grab this figure, Fiat has launched the diesel version of Punto for Rs6.78 lakhs. The diesel version is fit with a 1.3 lit mutlijet engine for enhanced efficiency and fuel savings. The car will counter the supremacy of Hyundai i20 [images] and Maruti’s Swift [images] in hatchback segment. To penetrate the booming small car sector, Fiat is exploring the possibilities to devise a small car of its own detached from the technical know-how of Tata Motors.
Harley-Davidson means real business
After its hectic presentation of vehicles in the Indian motorcycle market Harley-Davidson is screwing its bolts to tap more business here. The step towards increasing the product range are taken in rigor to shape bikes suited for the domestic market. In addition there will be an assembly unit for the iconic brands, said its VP in charge of Asia Pacific markets. He said this will be the third stage in the company’s Indian presence after the CBU and the CKD. The assembling unit will materialize based on the demand for the product range he added and he expressed the hope that this situation may prosper in another two years. As of now, the company has the lone assembling unit in Brazil. The company’s bikes come to India as CBUs which are retailed by three outlets located in Chandigarh, Hyderabad and Delhi.
Harley-Davidson is on the anvil of launching two more outlets in Mumbai and Bangalore in another two months. The cost of the bikes are whooping due to the import duty of 80% and this may be curtailed if the bikes are assembled domestically. He did not deliberate on the orders nor the expected demand for the products. He quoted the lack of showrooms and the exact number and growth would be available only when more dealerships come to the force. In this regard there is a proposal to launch more dealer networks at Chennai, Kolkata, jaipur, Nagpur, Indore, Pune and towns of Gujarat. The move is introduce
rental bikes first to source the brand reputation. In the meanwhile, the US bike maker Milwaukee is on the Indian roads with 12 models at the price range of Rs6.95 – Rs34.95 lakhs. It has a least presence in the Japanese market and wants to hold on the Indian market. However, the company had a good stint, with 33% in 2009 which is expected to be 40% in another 4 years. Currently the company is offering financial assistance to the purchase of bikes thro’ ICICI bank.
Small car from the yeoman company Fiat
The small car segment in India has not spared any car maker and this time it is Fiat. The company is on the verge of launching a small car at Rs3-4 lakh range to fit in A2 segment. If it materializes, then it would counter the likes of Hyundai Santro [images], Maruti Alto [images], and A-Star [images] and Spark [images] from Chevrolet. Fiat is said to have opted to offer both diesel and petrol versions of the proposed car. The President of the company for India said that the car will be designed by the R&D wing of the Indian team and may place below Punto.
The car might be fit with 1.0 lit engine he added. The Italian company is fully aware of the potential of the small car market in India and is on the lines of other major players like Hyundai, Ford, GM and Nissan. There is also a proposal to relaunch the Bravo as a CBU on the grounds of healthy exchange rate for euro and rupee. The company is introducing the Grande Punto [images], the sporty 90bhp premium hatchback at Rs6.79 lakhs. The car is said to contain – ABS, automatic climate control, accessory pack like rear spoiler, chrome exhaust tip, airbags, body decals, aluminium pedals, leather seat covers. The car can be chosen from the five fixed colors. The existing Punto comes in 1.2 lit and 1.4 lit petrol versions in addition to 75bhp diesel version.
General Motors set for long term vision in India
General Motors is on the upbeat mood of capitalizing the Indian car market by deriving the makes from its Chinese partner SAIC. The range will include three cars and two LCVs and may be on the Indian roads in another two years, said its MD for India. The cars are slated for manufacturing from the company’s Talegaon facility and the LCVs from Halol. Both SAIC and GM are very keen on imprinting their presence in the ransacking Indian car market, as GM is topping the table in the Chinese market. The move to concentrate on India is to expand the horizon to ASEAN regions smoothly. According to unreliable sources, the new models will include Sunshine MUV from SAIC platform at Rs5 lakhs.
The leader in this segment is Toyota Innova [images] at Rs8-12 lakh whereas M&M’s Xylo [images] is sold at Rs6.5-9 lakhs. If Sunshine costs less than these ranges, than there will be a red carpet welcome for it. However, the Indian customers are not aware of the reputation of SAIC in India but GM brand image would fill in the slot. Similar will be the case for ensuing Wulink pickups under Chevrolet range. The passenger car segment may see GM-SAIC offering a car much below than Alto, may be in the range of Rs2-2.5 lakhs to compete strongly. GM is running high with its existing two models, Spark and Beat under Rs3- 4.5 lakh range and the price factor is the key to reach more buyers. In that case it will be on par Hyundai’s proposed small car for 2011. The MD said that the Indian market is gradually gliding towards 2 and 3 tier segment which constitutes 60% of the net dealerships for the company. There is an arousing response from these areas for new products.
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