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pEssentialro readingfe fors thes Automotiveion industryal Vol. 17 No. 5 Total pages: 48 15 February 2021 www.autocarpro.in

BRAND FINDER INDUSTRY ACMA...... 14 Ampere Vehicles...... 7 ...... 14 ...... 7 Daimler’s big divide and ...... 25 Benelli ...... 12 Bgauss...... 7 the road ahead for India Bharat Benz...... 30 Ceat Tyres...... 7 Cooper Corporation...... 24 Daimler...... 28 Daimler India CV...... 30 Earth Energy EV...... 42 Gemopai...... 7 GWM India...... 5 Hero Electric...... 7 Hyundai Motor India...6, 14 JBM Group ...... 32 Maruti India...10, 14 -Benz...... 28 MG Motor India...... 6 Motor India...... 3 Okinawa Autotech...... 7 Pure EV...... 7 QuantumScape...... 36 REE Automotive...... 40 ...... 31 Renault India...... 21 Revolt Motor...... 7 With Daimler planning to spin off its business and create a new Mercedes-Benz SKF India...... 6 Skoda Auto India...... 9 identity for , there will be new challenges and opportunities to reckon with. The ...... 31 move could also have some interesting implications for the India market Page 28 Suzuki Motor Corp...... 8 BUDGET 2021 INTERVIEW SPOTLIGHT ...... 6, 30 Tata-Hitachi...... 14 INDIA ...... 8 Why PV market leader isn’t .....9 betting on EVs yet Page 10 TVS Motor Co...... 4 ...... 8, 36 Zeon Charging...... 45 The new Magnite SUV brings the buzz back Page 3 TWO- JBM GROUP WHEELERS Atmanirbharta Farrokh Cooper CVs and logistics stand to Chairman and MD of Satara-based TVS rolls out vs Protectionism gain from Budget Page 32 start-stop tech on Import duty is up on some auto Cooper Corporation on India being Jupiter scooter components. Can self-reliance go a manufacturing growth engine HERO ELECTRIC hand in hand with tariff barriers and why it’s time for a change of Tops high-speed e-two- Page 4 in a globalised world? Page 18 mindset for India Auto Inc Page 24 wheeler sales in 2020 Page 7 TECHNOLOGY QUANTUMSCAPE AIMS TO REDEFINE CHARGING WITH SOLID-STATE BATTERIES PAGE 36

February 15-2021 cover.indd 1 2/11/2021 3:51:09 PM AD.indd 16 2/11/2021 12:20:33 PM NEWS

EDITORIAL Managing Editor Ajit Dalvi Executive Editor Sumantra B Barooah Special Correspondents Mayank Dhingra (New ), Shahkar Abidi (Mumbai) New Magnite brings the buzz Correspondents Nilesh Wadhwa (Mumbai), Sricharan R () Copy Editor Sumana Sarkar Assistant Art Editor Pralhad Kusuma Photographer Ardeshir Ashley Baxter Manager — Administration & Office Affairs back into Nissan showrooms G K Singh (Gurugram) By Mayank Dhingra get 5MT or 5MT alongwith Consulting Editor Murali Gopalan Nissan Motor India, which CVT as gearbox options, has little to show in terms respectively. AD SALES of passenger vehicle market The crossover also offers B2B Business Head Sudhanva Jategaonkar Senior Manager – Brand Partnerships share, has reasons for cheer segment-first features such (Pune & Rest of Maharashtra) Pratik Soni with its latest offering in as a 360-degree camera, Brand Partnerships (Mumbai) Rohan Doshi the compact SUV space — wireless Apple CarPlay Regional Manager (North) Brand Partnerships Harsh Verma Nissan Magnite — drawing and Android Auto and CVT Manager-Brand Partnerships (South) huge consumer interest. transmission. While Nissan Pramodh R The budget-friendly Motor India is witnessing Advertising Coordinator Sonal Jain crossover, which undercuts a revival with the Magnite, Senior Manager — Marketing Avinash Bhakre Production Manager Prasad Gangurde rivals by as much as it is soon to find in-house General Manager — Circulation Rs 190,000, ex-showroom, competition with alliance Gilbert D'Souza is seeing customers partner Renault all set Head — Circulation (South — Chennai) P Vijayakumar (Cell: 94442 88134) queuing for this make- to introduce its Renault Regional Manager — Circulation (North) or-break model for the The carmaker plans to ramp up production and employ 1,000 Kiger crossover, based on Vimal Sharma Japanese carmaker in additional workforce to bring down the wait time to 2-3 months. the same platform as the Manager — Subscription Ganesh Jadhav Customer Care India, which currently has Magnite, and aiming to take [email protected] a minuscule 0.37 percent the price war to the next PV market share and 0.26 level. CONTACT US percent UV market share. The competitive compact Mumbai: Raheja Xion, 4th/5th floor, Opposite Nirmal Park, Dr B Ambedkar Marg, Byculla East, Nissan Motor India SUV segment is headed for Mumbai 400 027 Tel: 022-23787500 is understood to have an exciting time in 2021. e-mail: [email protected] despatched 4,527 units of How well the Magnite, Bangalore: No. 811, ‘A’ Wing, 8th Floor, Mittal Tower, M G Road, Bangalore 560001 the Magnite in January, with Nissan India's limited Tel: 080-40954311 registering a 220 percent retail infrastructure and year-on-year uptick in concerning aftersales News-Stand Price: Rs 100 sales volumes compared support, fares against Subscription Rates 1 year — Rs 1,680/- , 2 years — Rs 2,880/- , 3 years — Rs 3,600/- (plus to 1,413 units sold in the many rivals in the long run, Rs 35 for cheques not drawn on a Mumbai bank). same month last year. In remains to be seen. But for Cheques to be drawn in favour of December 2020, it had now, the Magnite is drawing 'Haymarket SAC Publishing India Pvt Ltd '. International Subscription Rate despatched 560 Magnites buyers like a magnet. US$80 for one year and also exported five The publisher makes every effort to ensure units. A total of 1,974 Nissan Motor India is understood to have despatched 4,527 units that the magazine's contents are correct. Magnites were produced in in January, registering a 220 percent YoY uptick in sales volumes. MAGNITE IMPACT However, he can accept no responsibility for l Budget-friendly crossover, any effects from errors or omissions. December 2020. Unsolicited material — including photographs The Magnite is a value- 150-odd touch-points At the time, the carmaker which undercuts rivals by and transparencies — is used in Autocar for-money offering in the across the country for the announced plans to as much as Rs 190,000, Professional, but it is submitted entirely at B-SUV segment wherein compact crossover. Seeing ramp up production at its ex-showroom, is a make- the owner's risk and the publisher accepts no responsibility for its loss or damage. All material it squares off against the the momentum build-up, 480,000 units-per-annum or-break model for Nissan published in Autocar Professional is copyright likes of the segment leader the company has refrained plant in Chennai and also in India. and unauthorised reproduction is forbidden. Maruti Suzuki Vitara from implementing a price employ an additional 1,000 l Two engine options — a Printed and published by Hormazd Sorabjee Brezza, and good sellers hike to the introductory workforce to bring down 1.0L 72bhp petrol and a 1.0L on behalf of Haymarket SAC Publishing (India) Pvt Ltd, Raheja Xion, 4th/5th floor, Opposite such as the Hyundai Venue, price of the car, in order to the wait times to up to two 100bhp, turbocharged petrol. Nirmal Park, Dr B Ambedkar Marg, Byculla East, Ford EcoSport and the hot- gain more customers in a to three months. l Magnite has segment- Mumbai 400 027 selling Sonet. highly-competitive market. The Magnite, which first features such as a Printed at Indigo Press ( India ) Pvt Ltd, Plot No. 1, Nissan’s value card can On January 4, just a comes priced between 360-degree camera, wireless C/7 16, Off Dadoji Konddeo Cross Road, between Sussex and Retiwala Industrial Estate, Byculla be understood to have done month after its market Rs 549,000 and Rs Apple CarPlay and Android (East), Mumbai 400 027 the trick for the Magnite’s launch, Nissan Motor India 959,000, ex-showroom, Auto and CVT transmission. Published at Haymarket SAC Publishing (India) growing popularity, which had claimed receiving has two engine options — a l Nissan plans to ramp up Pvt Ltd, Raheja Xion, 4th/5th floor, Opposite is drawing customers up to 33,000 bookings of 1.0-litre 72bhp naturally- production at its Chennai Nirmal Park, Dr B Ambedkar Marg, Byculla East, Mumbai 400 027 especially first-time buyers the Magnite, with waiting aspirated petrol and a 1.0- plant to bring down the Editor: Hormazd Sorabjee and those on a budget, periods rising as high as litre 100bhp, turbocharged sizeable waiting period. CIN: U22120MH1998PTC116780 flocking to the carmaker’s four months in some cities. petrol. The engines either This magazine contains 48 pages including both covers. Autocar Professional Editorial Tel: 022-23787500 or Email: [email protected] Advertising Tel: 022-23787552 or Email: [email protected] Subscriptions Tel: 022-23787592 / 93 or Email: [email protected]

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BRAND FINDER ELECTRIC MOBILITY INTERVIEWS EXCLUSIVE BharatBenz ...... 28 Continental Automotive India ...... 7, 36 Hella targets electric Continental Tech Centre India ...... 36 Daimler India Commercial Vehicles ...... 28 2- and 3- wheeler Damon ...... 44 Freightliner ...... 28 ...... 28 Global NCAP ...... 12, 14 industry for growth Hella ...... 3, 20 Electronics and lighting supplier sets up subsidiary to design and Hella eMobionics ...... 3, 20 Hero Cycles ...... 25 develop India-specific components to make inroads into growing David Ward Hino ...... 32 market. 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Gujarat 24Cretaswith move a has little driven help from aheadisexperiences significant Nano of Maruti throughfrom Suzuki developed (32,577 its dual units). Yamaha Vietnam ...... 24 Commercial vehicle market HYPERDRIVE Damon Motorcycles’ leader Tata Motors adopts governmentare plugging to into set e-mobilityup a Rs 4,930 markets.partnership,high-voltage For future-ready that Arvind government Goel, MD, that should draw buyerspetrol technology in to impact of reducing fuel costs powertrain platform Page 44 E-MOBILITY protect, and grow, its turf. today’scroreinHYUNDAI a biglithium times way. Valeoof ionMOTORA launches wallet-bustingfew battery daysAn upgradedINDIA plantafter 694cc version has andlegislationTatastrongly emissions.” AutocompZERO-WASTE is in required. CARthe SystemsUV segment "We said: are with 48V integrated of the Nano’s two-cylinder Concept car made from Tata Power announcede-powertrain engine is now plans doing duty in to “As partrecycled of waste the is sustainable Tata Group petrolin Bacharaji,achieved prices. anothernearTVSPage 4MotorAhmedabad, thesales Ace -truck milestone Page 26 planningThefour TVS superinnovation to Jupiter Pageestablish performer 40 is equipped a lithium- SUVs — Companythehavefor Suzuki its a network popular has MotorANALYSIS introduced HOWofSUV, Corp- overINDIA Creta. CAN (SMC) 700 BECOMEstop- It EVAN R&D HUB FORwithion HIGH-QUALITYinitiative,all-new battery Ecothrust PRODUCTS Creta, Tatarecycling PAGE Fuel AutoComp 36Venue, injection centre Tucson hasin startbackedcharginghas technology now Automotive Autocarstations sold Professional - December —the 1-2020 called by cover.indd CretaElectronics FY2021,1 TVS to over Tata (ET-Fi)future,"beenand technology planningKona said Takeuchi.electric27-11-2020 a significant 15:41:09which — Takeuchi registering is Rs 100 Global reach intelliGO.PowerAutoComp500,000 Pvt Ltd customers Systems (AEPPL) signed nowsince Rsalso 100itan was claimedwasplaysale speaking in of to providing 34,212 provide at theunits 15systems Global percent (April-July plansMoU Accordinglaunched to with set upUS-based into a 2015.the lithium-ion company, The DC chargingcompany betterElectrificationand2020) componentsmileage, showcasing Mobilitybetter for starts,customer EVs, Summit professionalEssential reading for the Automotive industry professionalEssential reading for the Automotive industry “TVSbatteryinfrastructureVol.is 16 No. 23 intelliGOoffering Totalrecycling pages: 56 the enhances company, Cretafacility. in15 November AEPPL,1.5-litre 2020Tellus www.autocarpro.in refinementVol.on 16 No. 22as acceptance the well Total pages: 64sidelines as andprovide of durability. of SUVs Auto enabling1 November in 2020 www.autocarpro.inExpo the The BRAND FINDER ELECTRIC MOBILITY EXCLUSIVE INTERVIEWS brand finder r&d and teStinG SpeCial eXClUSive intervieW Ather Energy ...... 3, 12 Ashok Leyland ...... 5, 30 ACMA ...... 33 Ather Energy ...... 23 PowerANERT ...... 6 Green to supply AC and Bajaj2020 Auto ...... 18systems Motor for Show. establishing which is based in Hansalpur, Daimler India Commercial theARAI riding ...... 43 comfort, mileage Jupiter's highlights include LED petrol, 1.5-litre diesel and a 1.4- Vehicles ...... Hyundai4 portfolio, and leading to ATS Group ...... 41 DynaPack ...... 8 Bajaj Auto ...... 6, 31, 46 Electra EV...... 41 BMW Motorrad ...... 53 e-Trio...... 8 DCBNVSAP...... fast22 chargers. These chargers FADA ...... charging57 infrastructure. Ahmedabad, is a JV in which Ford ...... 17Takeuchi claims that SMC is andBosch ...... reduces53 emissions by headlamp, two-litre glovebox, Local presence litre turbocharged petrol engine GKN Automotive ...... 44higher brand affinity.” Continental ...... 40 Gotech Energy Co ...... 8 DSM India ...... 39 ...... 17 Warren harris Ducati ...... 53 Venu Srinivasan TVS Motor Co’s CMD on the Grinntech ...... 5 Tata Technologies’ CEO on canEESL ...... be5,6 used for all electric Groupe PSA ...... 16Tata AutoComp hassetting already up an e-mobility SMCEicher ...... holds 12 50 percent stakeneed to cut GST to 18-20% mobileHarley-Davidsonworking ...... 18 charger to expand and 21-litreproduction fuel intelligently switching off software engineering centre FADA ...... 32, 35 Hella India Lighting ...... 57 Hyundai’s sales in the April- options. and why stability in policy is Global NCAP ...... 22 Hero Electric ...... 57 in India with GKN Page 44 vital for growth Page 26 Hero MotoCorp ...... 18 Hero Eco Group ...... 37 Motorcyle & Scooter paSSenGer veHiCleS EFD Induction is your worldwide induction partner with Honda & India ...... 18 vehiclesScooter India ...... 34 — two- and three- established JVs for providing while Toshiba and Denso hold tank.Hyundaicapacity Motor India ...... 57 The andadjustable localise shock lithium-ion theHyundai engine Motor IndiaCommenting ...... 16 during long on theidling sales IIT-Madras Research JulyPark .5 2020 period take it ahead ICAT ...... 22 Mahindra looks to ride KPIT Technologies ...... 41 takes the lead IMMA ...... 31 Mahindra & Mahindra .....26 Maruti Suzuki India 5, 12, 57 Jaguar ...... 52 MathsWorks ...... 54 JBIC ...... 6 electric driveline as well as manufacturing plants, workshops and service centers in 40wheelers, percente-commerce andpassenger 10 boom percent with vehicles and Matrixbattery Partners India...... 28 in digital parts instrument in India. In addition, Kia Motors India ...... 7 absorbers further enhance riding likelandmark, traffic signals Tarun and Garg, other director MBRDI ...... of41 the UV market leader, Maruti KPIT Technologies ...... 12, 41 MediaTek ...... 33 Mahindra & Mahindra .4, 10 Meru Cabs ...... 26 cluster race globally Nissan bets big all-electric Treo Zor MG Motor India ...... 16 Mahindra Electric ...... 10 Vinod Dasari NITI Aayog ...... 38 Surge in e-commerce business and resultant demand for last-mile ’s CEO on NASSCOM ...... 40batteryGlobal Tier 1 supplier packs of instrument clusters ridesfor on OEMs’ passengeron new Magnite respectively.commercial The vehicles company — in India.will Nissanparts Motor India ...... 10 such as motor and inverter Okinawa Autotech ...... 45 mobility applications sees Mahindra Electric bullish on its three- transient— Sales, stops. Marketing The technology & changedService, business dynamics convenience.Park+ ...... Suzuki28 aggressive strategies inIndia advancing the The cockpit experiencewhich 110cc in Made-for-India sold engine model looks toa total the Americas, Europe and Asia. We have the industry’s Vehicles ...... 14 wheeler electric cargo business. Rolls out all-electric Treo Zor as an Qualcomm ...... 33 and what it will take to thrive India, while also tapping local engineering talent to develop ride surging wave of demand Royal Enfield ...... 8, 28 eco-friendly solution with reduced total cost of ownership Page 10 QuEST Global ...... 41 SHIFT Asia ...... 5 amidst new normals Page 28 RBEI ...... 36 solutions like voice-assisant tech for overseas markets Page 32 for compact SUVs Page 10 Renault-Nissan ...... 17 Silentium ...... 52 e-mobility indUStry inSiGHt TellusPASSENGER Power VEHICLES is an EVINDUSTRY CONCLAVE SAICare Motor Corpcars, ...... 16 also commercial likely to be vehicles localised. as manufactureSMEV ...... 37 30 million cells per also helps avoid fuel wastage developsSequoia India ...... of28 32,577 5.5 units.kW at At7000rpm present, the SrivaruHyundai Motors ...... 39, 47 Motor India said, “The MARKET DYNAMICS Skoda Auto Volkswagen HERO & HARLEY most comprehensive range of induction heating products: State Bank of India ...... 6 Hyundai ups the premium Is two-wheeler demand in India ...... 9, 16 tVs srichakra develops tyres Partnership between mass- Swag EV ...... 5 India sustainable and is the SM Auto Engineering ...... 8 market OEM and niche player Tata Motors ...... 6, 12 Supreme Group ...... 8 growth story real? Page 30 Tata AutoCompwell ...... 7 as fast developingto take off in India two- Page 18 and yearinfrastructureTIE Woman ...... in 44 2025 with manufacturing production As perfor electrica presentation two-wheelers made by during thesehatch quotient stops with and new i20 reduces whileTata Motors ...... 5 producing maximum TVS HyundaiMotor Co ..... 26, 35, 48 Creta has been the Korean carmaker leads the UV INVENTORY Tata Technologies ...... 44 TOYOTA KIRLOSKAR Varroc Engineering ...... 38 With an eye on the Korean carmaker launches Toyota Kirloskar Motor .....12 Wheels EMI ...... 35 MANAGEMENT future, Chennai- ‘Young India’ the new mantra third-generation premium TVS Motor Co ...... 3, 18 • Heat treatment systems Yulu ...... 46 The black art of balancing TVS Srichakra ...... 50 based tyre maker’s for the carmaker Page 12 hatchback with four Visteon Indiathree-wheelers ...... 32 in India. Tata company with a range supplyof and demand Page 34 Takeuchi, SMC has suggested emissions.”capacity of more than 1GWh. torqueR&D facilityof develops 8.4 Nm at 5500rpm.RBEI’S PROJECT X-PACE blockbustervariants, three model in the Indian segment with a market share of low-rolling-resistance Bosch subsidiary’s integrated engine and five SAFETY Why India needs affordable radials using one-stop solution for making SPOTLIGHT transmission functionalised safety technologies Page 40 spotlight vehicles Page 36 for surface- and through ByproductsTVS end-2020, Apache races options and and the services. first phase The of tatasome AutoCompAutoComp polymers key to offer pointers and Tellus for future will now TVSautomobilepast 4 million IntelliGo best-in-class industry technology START-UPSever since targets $3The billion24.54 optimum TVS range, percent Jupiter, to equipped MarutiGRINNTECH Suzuki’s global sales features Start-up founders reveal their by 2025 high efficiency and To set up EV and BMS battery companyPage 48 Page 16 says it has developedsecrets of success Page 44 pprovideage 7 enhanced grip Page various50 sizesplant in Tamilof Nadu PageAC 5 hardening debutsdevelopmentINDUSTRYits INDIA-CENTRIClaunch on the NCAP IS NEED in company’s will OF THE2015. 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SUV, India. p8 4 4Autocar Autocar Professional Professional 15 15 February June 2020 2020 www.autocarpro.inwww.autocarpro.in 4 Autocar4 Autocar Professional Professional 15 February 15 August 2021 2020 www.autocarpro.inwww.autocarpro.in www.autocarpro.in 15 February 2021 Autocar Professional 5

EFD AND INHOUSE AD.indd 16 21-12-2020 11:13:15 NewsNEWS.inddNewNEWS.indd AD final - Feb - AD4 10.indd June4 15.indd 4 4 2/11/20212/14/20207/15/20208/17/2020 9:58:55 4:50:07 5:59:09 11:25:26 AM PM PM AM EDITORIAL

New growth Great Wall Motors routes AS THE AUTOMOTIVE industry evolves, at a pace India: a year on, like never before and in a way that very few have an experience of, it may call for some business strategies no solution in sight that haven't been adopted By Murali Gopalan earlier. Daimler AG, the On January 17, 2020, GWM inked a deal to If the script had gone acquire GM's plant in Talegaon, near Pune. world's leading truck and according to plan, Great maker, has Wall Motors (GWM) would decided to carve out its truck business into a separate have been ready to launch entity by the end of this year. The decision marks the its debut SUV in India "start of a profound reshaping of the company". Our next month. The Chinese comprehensive analysis, which begins on page 28, automaker had announced with much fanfare in January delves on what this move could mean for its India 2020 its intent to take over businesses. ’ Talegaon The future is shaped by actions in the present. The plant near Pune. Then Union Budget 2021 had quite a few announcements followed the Delhi Auto that will have a bearing on the automotive industry, Expo a month later where it showcased an impressive with some impact to kick in from the new financial range of products. By all year, and some over the coming year/s. The formal indicators, the stage was set announcement of a vehicle scrappage policy created for GWM to kick off its India headlines but what's equally important, is the innings and possibly emerge focus on growing the manufacturing sector. "Our GWM's impressive display of SUVs at the Delhi 2020. a strong contender in the manufacturing companies need to become an integral buoyant SUV space. part of global supply chains, possess core competence Fast forward to the will involve shutting down automaker, SAIC Motor Corp, and cutting-edge technology," said Finance Minister present and nobody is really Talegaon plant and offer a which is going strong with its Nirmala Sitharaman during her Budget speech while sure if the company can severance package to the MG range of SUVs. even begin the formalities workers. Things are not going It is quite likely that the referring to the manufacturing sector's role in helping of acquiring the GM plant. quite as planned here either MoU with GWM will be India realise her $5 trillion economy dream. With a A large part of 2020 was with the State government extended for a few months share of nearly 50 percent in the country's GDP, the tumultuous following the digging in its heels and longer but, as an industry automotive industry has a lead role to play in holding Covid-19 pandemic and the not inclined to letting this observer puts it that is the flag high for India. Read a special report on how lockdowns that followed. happen in a hurry. “neither here nor there”. the Budget will impact the automotive industry, and What has made the situation The State’s stance is The Budget 2021 has also industry leaders' take on it — pages 14-21. even more difficult for GWM quite understandable in the driven home strongly the is the aggression shown context of huge job losses Atmanirbharta message, Electrification is seen as the future of the by the Chinese army in after the pandemic and the which is clearly directed at automotive industry. However, not everyone is occupying Indian territory. last thing one wants at this everything Chinese. There driving/riding into the electric vehicle (EV) space with Clearly, anti-China point is to have over 1,500 is really little hope of GWM the same level of enthusiasm or speed. While the JBM sentiments are running workers from an automotive getting a nod in the short- Group has established its presence in the EV space high and GWM’s plans have plant adding to the list of term and it is a million-dollar with buses and plans to grow there, on the other end gone out of the window. The unemployed people. It question if it will choose of the vehicle spectrum, Earth Energy EV — another Maharashtra government makes for bad optics. to wait longer, or just call start-up in the EV space — has entered the fray with has decided to freeze all Ideally, it would have been it a day. If that happens, it investments from China and perfect had GWM taken will mark the closure of yet two-wheelers. However, India's largest passenger the ball is now in the Home over the facility, as well as another automotive plant in vehicle OEM Maruti Suzuki doesn't want to enter the Ministry’s court. Going by the the workforce. That is not India, following PAL- EV space yet, but instead is devising an alternate fuel present mood in India, the happening either as the and Daewoo two decades strategy towards cleaner mobility. Turn to page 10. earlier and, in more recent last thing the Centre would Talegaon plant continues to The automotive industry in the new age is contemplate is to allow a wait for a lifeline. Clearly, GM times, Chinese auto brand to set up is not going to wait forever, and Eicher-Polaris. GWM will witnessing a host of new and interesting strategies. shop here, especially when especially when it had made be hoping that both India This issue gets you the flavour of what's cooking. the call of Atmanirbharta is known its intentions earlier and China bury the hatchet Enjoy reading. Do share your feedback and getting louder by the day. through the MoU with GWM and move on — for now, this suggestions. Stay safe and healthy. In the meantime, GM has early last year. It had already seems a remote possibility. Sumantra B Barooah, Executive Editor decided to go ahead with sold its other facility in Halol, l Atmanirbharta vs [email protected] its plans to exit India, which Gujarat, to another Chinese Protectionism, p18

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News AD - Feb 10.indd 5 2/11/2021 10:01:22 AM NEWS Electric PV sales to hit record high in FY2021 By Ajit Dalvi The numbers per se may ELECTRIC SUVS LEADING THE CHARGE This self-service store will provide direct access to genuine option not be very flattering but Apr-Dec '20 Apr-Dec '21 % growth from bearings, housing and accessories, greases and others. the fact of the matter is Electric cars 261 1,262 -79% that the electric passenger Electric SUVs 3,250 292 1013% vehicle (PV) segment is set Total 3,511 1,554 SKF India targets to record its best year of EV sales this fiscal (FY2021). In the first nine months Production Sales speedier growth, (April-December 2020), a FY2020 328 286 total of 3,511 electric PVs FY2021(Apr-Dec '20) 2,244 2,244 were sold, going past the Total 2,572 2,530 launches online store 3,400 units sold in all of FY2020 and just 89 short SKF India has launched an of FY2019’s 3,600 units. car sales (12,91,234 units) online store —E-shop eshop. Given the monthly sales ELECTRIC PV SALES has fallen from 0.10 skf.co.in — offering products momentum, the FY2019 (APRIL-DEC 2020) percent in April-December from its automotive and total would have been Model Units 2019 to 0.03 percent, industrial business for retail surpassed in January 2021 Tata Nexon 2,244 correspondingly the share and industrial buyers. The itself. Clearly India's electric MG ZS EV 868 of e-SUVs has risen from launch is in line with SKF’s PV industry industry is set Hyundai Kona 138 0.40-0.48 percent in April- goal to expand its customer to record a new high. Tata Tigor 261 December 2020. reach across market A close look at SIAM’s Total 3,511 segments. India industry sales Tata Nexon EV leads This 24/7 self-service Manish Bhatnagar: “Hosting statistics for April- Making a huge difference online store will provide a wide range of products December 2020 reveals that Between April-December to the segment is the Tata direct access to SKF and solutions, the platform electric SUVs are leading the 2020, a total of 261 electric Nexon EV, which completed genuine and reliable provides a reliable and charge, leaving the electric cars (all Tata Tigor sedans) 12 months of market sales in products ranging from seamless online experience to car segment behind (see have been sold in India, India on January 28, 2021. bearings and bearing units, our customers.” data table). What is also a down 79 percent YoY from The game-changing Nexon housing and accessories, fact is that other than the the 1,262 units sold in EV has sold a total of 2,244 greases and other provides a reliable and Tigor EV, there is no other April-December 2019. And units in the April-December maintenance products. The seamless online experience electric passenger car in with consumers taking 2020 period, accounting company says all process to our existing and new the market. In comparison, charge of 3,250 e-SUVs, this for 64 percent of total sales. industries, MSMEs, traders, customers.” the SUV market has seen constitutes a 1,000-plus Add the Tigor sedan (261) to retailers, automotive Highlights of the new a gaggle of new product percent YoY growth albeit the equation and that gives aftermarket retailers, online store include: launches in the past year, on a low year-ago base. Tata Motors a 71 percent mechanics and fleet l The site features a wide which are paying off for While the proportion of share of the electric PV owners will benefit from its range of products across the their OEMs. e-cars to total passenger market in India. solutions. automotive and industrial “We want to be the segments. partner of choice for l Product search bar our customers and are enables users to quickly committed to creating and accurately identify the platforms that support product by part number, the digital transformation product category etc. journey for our customers l Each product detail page and partners,” said provides all the information Manish Bhatnagar, MD of to easily place orders. SKF India. “The E-shop l Customers can enables us to adapt to the additionally avail attractive changing customer buying schemes and best prices. preferences and supports l A personal sales assistant, our strategy of expanding in real-time, to address reach in new markets while customer queries. growing our presence in the l E-shop has secure existing segments. Hosting payment methods and Tata Nexon EV, with 2,244 units in April-December 2020, is leading the charge, followed by the MG a wide range of products self-service account ZS EV (868), Tata Tigor (261) and Hyundai Kona (138). Tata has a 71% share of the e-PV market. and solutions, the platform management.

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News AD - Feb 10.indd 6 2/11/2021 3:36:45 PM NEWS

Ceat Shoppes Hero Electric remains expand into customer service high-speed electric two- centres wheeler leader in 2020

HIGH-SPEED ELECTRIC TWO-WHEELER SALES IN INDIA IN 2020 Company Jan Feb Mar Apr May June Jul Aug Sept Oct Nov Dec Total Change YoY (in %) CEAT TYRES HAS enhanced Hero Electric 575 614 1,394 36 161 480 393 522 934 314 1,155 1,533 8,111 -28.17 its service operation at its Okinawa 713 662 575 27 46 356 391 412 592 547 639 604 5,564 -50.46 over 200 Ceat Shoppes Ampere 866 286 151 0 20 155 188 243 269 776 638 830 4,422 269 across India in an effort Ather 285 369 294 4 92 157 114 243 247 278 359 530 2,972 29.78 to deliver quick, seamless Revolt 314 155 114 0 0 101 111 271 82 211 452 244 2,055 328 customer issue resolution Benling India 0 5 20 0 15 33 37 53 87 70 87 660 1,067 0 and service. Pure EV 0 0 0 0 8 4 23 78 99 163 167 68 610 0 The tyre manufacturer Jitendra EV Tech 11 6 63 0 1 8 16 16 78 107 62 97 465 868 says customers can avail Avan Motors 29 22 9 0 0 1 1 1 6 4 5 13 91 -75.4 claim resolution and NDS 0 0 0 0 0 3 6 7 16 2 0 30 64 0 replacement within minutes Gemopai 0 0 0 0 0 0 0 0 0 22 10 20 52 0 through the on-spot Avon 0 0 0 0 0 0 0 0 0 0 0 45 45 0 claim resolution service. Bgauss 0 0 0 0 0 0 0 0 0 0 28 13 41 0 Additionally, through the Electrotherm 10 9 7 1 0 0 0 0 0 0 0 0 27 -90.9 warranty registration, Sabtek 0 0 0 0 0 0 1 0 0 2 2 2 7 0 customers can enjoy the Komaki 0 0 0 0 0 0 0 0 0 1 4 0 5 0 benefits of extended special Total 2,803 2,128 2,627 68 343 1,298 1,281 1,846 2,410 2,497 3,608 4,689 25,598 -5.97 warranty on the entire Ceat PCR/UVR range. The staff has been extensively trained By Nilesh Wadhwa sells only one model, the to handle customer issues Despite a very challenging Ather 450X,and is seeing and identify solutions to 2020, Hero Electric, increasing demand, even as enhance the experience of India’s largest electric two- it goes about expanding its the customer. CEAT Shoppes wheeler manufacturer, has retail network in the country. provide computerised wheel maintained its No. 1 status In terms of average sales alignment, balancing and in the high-speed e-two- for the 16 OEMs, November nitrogen inflation among a wheeler market. In 2020, and December 2020 saw host of services. total sales in this segment sales of high-speed electric Ceat Shoppes dealers are were 25,735 units, down two-wheelers clock 226 connected via a dealer app 5.4 percent YoY (CY20219: and 293 units respectively. that instantly gives claim 27,224) as per SMEV data. But, on the other hand, the resolution. This in turn Analysis of the sales data top four manufacturers empowers the dealers to of 16 high-speed electric reportedly had average inspect and provide claim two-wheeler OEMs for sales of 698 and 874 units disposition on the spot. CY2020 reveals that Hero respectively. According to Amit Tolani, Electric continued to retain One of the key challenges Chief Marketing Officer, its leadership position, with for the overall electric vehicle Ceat Tyres said, “We want sales of 8,111 units (-28.17%), industry in India has been our consumers to have a followed by Okinawa Analysis of the CY2020 SMEV data indicates that Hero Electric to meet the stringent norms hassle-free experience when Autotech with 5,564 units continued to retain its top position, with sales of 8,111 units. under the FAME II scheme it comes to tyre purchase. (-50.46%) and Ampere to be eligible for subsidies. When a customer purchases Electric at 4,422 units (269% network, partnerships as price-points. This includes phase-wise Ceat tyres, he is offered YoY). The top three electric well as B2B clients. The Bangalore-based Ather localisation of critical parts, unconditional warranty. To two-wheeler makers have a company, which has a Energy reportedly sold which has been a matter complement this, customers combined market share of 100,000 units-per-annum around 2,972 e-scooters, of debate, as the low sales can now walk into any of our around 71 percent. capacity plant in Ludhiana, compared to around volumes have impacted the 200 registered outlets and Hero Electric has manufactures a varied 2,290 units in CY2019. creation of a local supply get instant resolution in case benefited from its wide range of products at different The company currently chain. of any service issues.”

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News AD - Feb 10.indd 7 2/11/2021 10:04:34 AM ANALYSIS Toyota overtakes VW in 2020 as new challenges beckon With the pandemic wrecking havoc across global markets, both Toyota and Volkswagen would rather focus on the future. Other automakers likewise have their work cut out, says Murali Gopalan.

oyota has emerged the top carmaker Tof 2020 ahead of Volkswagen in a year where Covid-19 has dominated the headlines. Europe and the US have faced the brunt of the pandemic while Asia has recovered a lot more quickly in contrast. To that extent, Toyota ended Volkswagen’s the rankings may not be so extra sensitive to the topic THE BIG NUMBER relevant in what one would of emissions. five-year run as the world’s rightly term an abnormal With electric now biggest automaker by volume TOYOTA: 9.52 million units in 2020. At 9.52 million year. Further, Toyota has emerging the most VOLKSWAGEN: 9.30 million units units (-11% YoY), Toyota In CY2020, both carmakers’ sales were down compared constantly reiterated that fashionable word, diesel drove ahead of the German its goals have now changed is rapidly being relegated to 2019 — Toyota recorded an 11.3 percent drop while carmaker’s 9.30 million units Volkswagen’s numbers fell 15.2 percent. This has been to transforming into a to the sidelines across (-15% YoY). mobility player rather the continent with attributed to the slump in demand due to the ongoing than merely being in the Germany and France Covid-19 pandemic. rankings game. leading the way. This shift Toyota seems to have come off better, partly due to From Volkswagen’s has even prompted big the fact that markets such as Japan and Asia have been point of view likewise, the oil companies to have a comparatively less affected than VW’s main markets challenges are going to be rethink on the future of — Europe and the US. gargantuan this decade fossil fuels and focus more Demand for electric cars has risen, despite an overall as is the case with all on cleaner options going drop in demand, with Toyota saying the ratio of EVs it carmakers which are now forward. sold in 2020 grew to 23 percent of total sales from 20 in consolidation mode As for Toyota, it has percent in 2019. and take these headwinds also reiterated its focus head-on. To its credit, the on electrification where for now, its entry into as well as products in German carmaker has huge investments have India is a million-dollar the premium space. The bounced back strongly in been earmarked for the question since this will coming years will see the public perception since future. Additionally, it be the domain of Suzuki partnership deepen and 2015 when it was virtually is now leveraging new which has been the market retail strategies expand in decimated by the diesel partnerships to grow leader for decades now. Asia, LatAm and Eastern scandal and the relentless its presence in different While Toyota's Product swaps are already Europe. Likewise, the play backlash that followed. regions. For instance, goals have now underway with Toyota with could see Volkswagen has wisely Mazda is its ally for North changed to in the form of the Glanza some interesting dynamics put its past behind and is America and Suzuki for and Urban which emerge in the US. now getting on with the India and other emerging transforming already account for 50 In the case of VW, it job ahead which includes markets like Africa and into a mobility percent of its sales. will be focusing even huge investments in Latin America. Each of player rather Toyota has a formidable more aggressively on electrification as part of these alliances will also presence in Japan, North China which is its biggest its growth strategy. There work towards clean fuel than being in the America, Europe and and most important is no doubt that Tesla has options as well as new rankings game, ASEAN but needs to get a market beyond Europe. virtually redefined the platforms/products. Volkswagen fillip in India where Suzuki Electrification will see a template for the global Toyota’s other group has plugged will be its key growth huge thrust here which automobile industry, company, Daihatsu, will engine. In turn, it will is also logical given the especially in markets like have its work cut out in itself firmly into supply its Japanese partner way the country has Europe which are now the ASEAN region and, electrification. with the latest technologies surged ahead in this space.

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Analysis - Toyota and Volkswagem AD Febn 10.indd 8 2/11/2021 10:16:27 AM ANALYSIS

China clearly holds the advantage in electric and coupled with the fact that it is the world’s largest automobile market, VW as the leading brand here will quite naturally be keen to strengthen its presence further. Realising the importance of flexibility in its operations, the German carmaker has also reassigned responsibilities to other group brands in Toyota has a formidable presence in Japan, North America, Europe and ASEAN but needs to get a fillip in India where Suzuki will be its its portfolio. This is why key growth engine. It is seeing gains from the two Toyota-Suzuki products in India — the Glanza hatch and Urban Cruiser compact SUV. Skoda will manage the revival story in India, aptly named India 2.0, which will see competitively priced SUVs and cars emerge from a new platform. Two of them, the Skoda Kushaq and VW Taigun, will debut in the coming months and pave the way for more to follow. While Toyota and VW have their plans chalked out, the consolidation mantra has spread across ally key players in the Volkswagen will be focusing even more aggressively on China which is its biggest and most important market beyond Europe. Meanwhile, industry. It was only ’s India 2.0 growth strategy kicks off with the new Skoda Kushaq and VW Taigun SUVs to be launched later this year. some weeks ago when the newly merged entity some 3-5 years away. PSA is A section of industry rises to the challenge will of Groupe PSA and just about getting ready to analysts believe that become apparent in the Automobiles launch its Citroen innings Honda will likewise join course of this decade. (FCA), Stellantis, made its with the C5 Aircross from hands with another strong There was a time when debut in the bourses. Its its Chennai plant with ally in the form of an ruled the roost and CEO, , who more products to follow. equity alliance but this brands like GM and Ford has spearheaded PSA’s FCA has a sprawling facility remains in the realms of were the showpieces of the dramatic revival in recent in Pune where Tata Motors speculation for now. BMW world. Japan, likewise, was years is keen to keep the is the manufacturing ally. has constantly been touted another critical centre of story going with Stellantis. For Stellantis to function as an ideal partner while gravity while Europe had In recent times, as a single formidable rumours were doing the the big German and French and Vauxhall have also entity, some of these issues rounds of coming together brands. The scales have been added to the PSA relating to manufacturing with Nissan when its own tilted in recent years with kitty when these brands and sharing capacity will partnership with Renault the Koreans and Chinese were acquired from GM. have to be sorted out. was under strain over the now firing on all cylinders Stellantis, therefore, will The pandemic may have last couple of years. and only reinforcing the look at bigger growth in created a huge disruption In India, Honda has not need for other carmakers to Europe and the Americas for the automobile industry been able to create the consolidate. while capitalising on the but it has also given CEOs kind of impact it would Even as Toyota and brand strengths of PSA time to introspect and The top priority have liked. On the contrary, VW are the big two in the and FCA. Not everything plan out their strategies. it recently decided to numbers list of 2020, both is hunky-dory though Daimler, for instance, has for both would streamline operations by will be aware that there are — China remains a huge decided to break up its car be to have strong shutting down a plant near bigger challenges ahead. challenge for both brands and truck businesses for balance sheets Delhi and focusing on the The top priority would and it remains to be seen sharper focus and better other facility in Rajasthan. be to have strong balance how the proposed revival profitability. Renault will and not burn cash Honda is up against stiff sheets and not burn cash plan will work. ensure that it strengthens needlessly. This competition from a host needlessly. This is going to Likewise, in India, the its relationship with is going to be the of aggressive players be the decade which will impact of Stellantis will Nissan and Mitsubishi in decade which will including new entrants like separate the men from the be felt by way of new order to to cope with the MG Motor and Kia which boys. n platforms and products new realities of a rapidly separate the men means it has its work cut in lAnalysis: Daimler cars, though these could be still changing landscape. from the boys. the coming years. How it to go it alone, p28

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Analysis - Toyota and Volkswagem AD Febn 10.indd 9 2/11/2021 10:17:03 AM PASSENGER VEHICLES Why Maruti Suzuki isn’t betting on EVs yet The country’s largest passenger vehicle OEM sees electric vehicles as the future, but won’t bet on it yet. So, what is it relying on as the winning fuel strategy? Sumantra Bibhuti Barooah finds out.

Maruti Suzuki conducted tests but doesn't see business viability for EVs yet.

f everything had gone volume, without a practical, Shashank Srivastava: acquisition cost of EVs,” another area where the favourably and as sustainable large-scale "You can’t make a definitive he says. Maruti Suzuki, government needs to look Iper the original plan, project of EVs. And I think change to the environment which offers a ‘smart hybrid’ at to support, because a Maruti Suzuki would have that’s where the situation without a practical, sustainable system as a variant for some lot of these powertrain launched its first electric is at the moment in India.” large-scale project of EVs." of its models, is betting components are common vehicle (EV) in 2020. That Srivastava was speaking in on the hybrid technology between the plug-in hybrids hasn’t happened yet though a panel discussion to take proposition to facilitate a and EVs,” says Srivastava, EV development efforts by stock of the Indian auto smooth transition to fully while adding that the the OEM are learnt to be on. industry’s current status, electric vehicles. “I think hybridisation strategy and Even as some OEMs have hosted recently by Autocar the road to electrification, due government support launched EVs in the market, Professional. EVs in India will be through will help in localising big- volume player Maruti Though the business hybridisation. I think that’s EV-related technologies, Suzuki has a different view environment may not be and strategy. Shashank conducive for EVs today, Srivastava, executive Srivastava believes the director— marketing and industry will eventually sales, Maruti Suzuki, doesn’t migrate to EVs. “The see a case for introducing question is, how fast, how an EV yet because, “you soon? I think it all depends can’t make a definitive on the development of the change to the environment battery technology which Being the first OEM to offer factory-fitted CNG kits over 10 years ago, Maruti Suzuki currently without actually having the would help reduce the has an 87 percent share in the CNG vehicle market of 127,000 units (April 2020-January 2021).

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PVs - Maruti Suzuki AD Feb 9.indd 10 2/11/2021 10:28:00 AM PASSENGER VEHICLES

and could also help India to be competitive as an export base for EVs.

ICE and EV price parity On the speed of the industry’s transition to EVs, a strong inflection point will be reached when the powertrain cost of an EV and an ICE vehicle will be at par. It is estimated that in USA, Europe, the cost of an ICE powertrain stands at $ 8,000-9,000 as against $16,000 for an favourable economics. While petrol is the mainstay ago. However, Maruti of petrol or CNG for a lion’s EV powertrain. With new Rising diesel and petrol of Maruti Suzuki's marketplay, Suzuki is “watching the share of the industry’s regulations, primarily prices are also making it the company believes situation” of the diesel PV customer base, Srivastava emission norms, pushing favourable for CNG-run hybridisation is the right route market, particularly in the believes “there may be up the cost of an ICE vehicle, vehicles. Srivastava points to go fully electric in India. SUV segment. The share of some people for whom and softening of battery out that during the April- diesel in the compact SUV economic logic is not a prices at the same time, the December 2020 period, market stands at around 30 criteria.” Most of such EV industry can expect a when the passenger vehicle percent, and a little higher in customers would be in the better drive in the coming market dipped by around the midsize SUV segment. A SUV and MPV segments. years. 17 percent, the CNG vehicle stark contrast to the diesel’s That’s where an upgraded Srivastava says, once segment posted a healthy market share figures of 0.5 version of Maruti Suzuki’s the parity is achieved, growth of 25 percent. to 2 percent in the other car four-cylinder 1.5-litre diesel “then there will be no real Among the players offering segments. PTI reported in engine would come handy. economic logic (to not shift CNG models, the bet on it December 2020 quoting The engine in its BS IV to EVs) because the running from Maruti would be more sources that Maruti Suzuki version was put in duty in cost of EVs is lesser”. With as the CNG variants also has initiated the process of the Ciaz and the Ertiga. governments increasingly have to make up for the upgrading its Manesar plant Maruti Suzuki’s fuel promoting EV adoption, volume gap created by the to churn out BS VI diesel strategy would revolve the case will get stronger for OEM’s exit from the diesel engines for the Vitara Brezza around petrol, CNG, hybrid EVs. However, the goalpost segment since April 1, 2020, SUV and the Ertiga MPV and diesel likely. Of them for the price parity seems the kick-off date for the to start with, by the festive CNG and hybrid will see to have moved. “About six BSVI emission regime. Till season of this year. If the some more focus, before years ago, the projection about two years ago, nearly re-entry happens it will be EVs enter the portfolio. The was that this point of a fourth of MAruti Suzuki’s in line with what the OEM’s key reason would be the inflection will be reached volumes came from diesel chairman R C Bhargava projected industry growth, in 2023. But today people variants of its models. As told Autocar Professional and its composition, till are saying that this point the industry witnesses on April 25, 2019, the day 2030. It is projected that by of inflection will reach five diminishing demand for he had announced the the turn of this decade, India or six years down the line,” diesel vehicles, Srivastava company’s decision to exit will be producing 70 million says Srivastava. The current says the CNG variants have the diesel vehicle market by cars, of which 63-64 million charging infrastructure managed to “almost” cover March 31, 2019. "It (presence will be ICE. “What do you network is also seen as the void in Maruti Suzuki’s in the diesel segment) do about those vehicles? Do a hurdle. And especially sales. “CNG is pretty good, will depend on customer you not do anything about for Maruti Suzuki, the EV and our extension of acceptability. It will be the emission? Yes, you do. So, game gets more challenging portfolio did help there. customer's choice, not the what is the solution? One of as the propensity to pay So, I would say more or The Futuro-e electric concept OEM's choice,” Bhargava course is alternate fuels, like the premium for tailpipe- less we have covered,” says at Auto Expo 2020 showcased had said then. CNG. Second is hybrid,” says emission-free vehicles Srivastava. During April a new design philosophy and Though the economics Srivastava. is much lower in its core 2020-January 2021, Maruti could spawn an SUV. for daily usage is in favour Under Maruti Suzuki’s segment of compact cars. Suzuki sold 110,350 CNG ‘Mission Green Million’ vehicles, which translates that it announced at Auto The alternate fuel bet into 11 percent of its total Expo 2020, the OEM had Critical volumes in the sales. CNG vehicle sales for shared its goal to sell a EV market and EVs from the company is expected million units of vehicles Maruti Suzuki both are still to touch 140,000 units in with green technologies some time away. So, what FY2021. Srivastava points within a couple of years. the PV market leader is out that the share of diesel Though an EV model or two betting on is the alternate in the overall PV market could be contributors, CNG fuel of CNG. That segment now stands at 17 percent, and hybrid will be the lead of the market is on the down from the peak of 70 drivers in the OEM’s drive rise, primarily because of percent around six years towards greener mobility.n

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PVs - Maruti Suzuki AD Feb 9.indd 11 2/11/2021 10:28:23 AM MOTORCYCLES Benelli to rev up its India portfolio with 250cc bikes With growing demand in the midsize motorcycle market, it’s no surprise that Benelli plans to introduce a new set of 250cc machines, says Sricharan R.

The sole Benelli which has made the shift to BS VI is the Imperiale 400. The company plans to upgrade Vikas Jhabak: “We are looking to increase the portfolio in 2021 its entire model line-up and the focus will primarily be on the 250 to 750cc motorcycle offerings. and there will be more bikes available in the 250cc segment."

he idiom ‘once bitten, Adishwar Auto Ride India Italian bikemaker, which the technology shift to twice shy’ does not (AARI) — a new company became part of the Qjian BS VI emissions and then Tapply to those who floated under the Mahavir Jiang (QJ) Group in 2005, the Covid-19 pandemic recognise the wrong(s) of umbrella for this venture. had a clear plan and vision in 2020 impacted the the past and are willing to The company, which has to achieve sales growth in company. Benelli India, correct the present and aim set up an assembly plant the domestic market, one which registered sales to make their future full for Benelli in Hyderabad, in which every global OEM of 199 units in October of sense. Benelli fits that assembles and imports a worth its salt wants to have 2020, clocked 103 percent description completely. range of Benelli bikes from a footprint. year-on-year growth. The century-old Italian Italy and South East Asia. There were some It aims to target a wide motorcycle manufacturer, This time around, the hurdles though. First, range of customers which had to shut shop in with new smaller cubic- India in 2018 due to the BENELLI'S GROWTH PLAN FOR THE MIDSIZE SEGMENT capacity engines and serious financial troubles l Benelli India’s short and medium-term focus is going to be in the midsize motorcycle plans to reintroduce its of its Indian partner, segment (250 to 750cc) existing line-up with BS VI resumed its India market l In 2021, it will re-introduce the Leoncino 250 and also expand the portfolio with upgradation. operations in August 2018 new products in the 250cc segment. Speaking to Autocar with the Hyderabad-based l There are plans to introduce the TRK 251 adventure motorcycle this year. Professional, Vikas Jhabak, Mahavir Group. Benelli l With the current level of localisation being only 15-20 percent, the company is managing director of India 2.0 was born as looking to increase local content which in turn will help reduce rates and increase Benelli India, said, “Benelli a strategic partnership competitiveness. India has made a lot of between Benelli QJ and progress over the past two

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Two-Wheelers - Benelli India AD Jan 24.indd 12 2/11/2021 11:58:15 AM MOTORCYCLES

with the touring segment this segment. When more set to increase after the people are interested, pandemic, Benelli’s TRK they will start looking for will also be introduced. comparisons and we have Following that, the TRK seen a huge increase in 251 adventure bike will enquiries. It is a positive also be made available in sign when more people 2021.” enter the segment and it will grow much bigger. Sales during the Also, Harley-Davidson’s pandemic exit from the Indian Like other two-wheeler market is a part of their OEMs, which saw a global restructuring. The massive reduction in pandemic has forced many showroom footfalls due to to restructure their plans. social distancing, a digital We are strongly committed platform has benefited to the market here and Benelli India. According to we will continue to grow. Jhabak, going digital has Our plans stay intact,” given a new charge to both confirmed Jhabak. sales and fresh enquiries The company is also and he points out that closely monitoring the the company is currently EV situation in India. seeing its monthly sale He stated, “It is nice to pre-Covid levels. October see the government 2020, with multiple being aggressive in this. Indian festivals in it, was a Globally, Benelli has an standout month. What has EV in its portfolio which also helped is the growing it has launched in some dealer network. countries. But, for the short Benelli has been slow term, we have not planned to make the shift to BS VI to bring this to the Indian mode and currently only market. Since we have this the Imperiale 400 is BS in our global portfolio it VI. However, the plan to will be easy for us to bring bring the rest of the model when it is suitable for the line-up to BS VI spec as market here.” soon as possible. “The year 2020 has been Increasing local different and difficult for content on the anvil all of us. We took steps to Benelli, which has an adjust to the new normal assembly operation and upped our game on here, still has plans to the digital front. More manufacture in India albeit customers now interact this depends on volumes. with us in the digital space. Now, with monthly sales Be it the social media or the on the upswing, the website, we have improved company is looking to our communication increase its localisation and customer connect. level. For the Imperiale Customers can book their 400, it sources parts from years. In 2018, we had He added, “Our focus Benelli bikes are currently bikes digitally and visit the Indian, foreign suppliers about eight dealers across in the short-term and assembled at a plant in dealer only to pick their and puts them together. the country. We now have medium-term is going to Hyderabad, which has an annual vehicle,” said Jhabak. “Setting up a facility is around 40 dealers and be in the midsize segment. capacity of 10,000 units.The Jhabak is appreciative still part of a long-term more are being added. We We will be focusing on 250 company imports CKD parts about the fact that the vision. As of now, we from Benelli plants in Italy and midsized bike market is started the transition to to 750cc motorcycles. In South East Asia. are concentrating on BS VI and it has been well 2021, we will re-introduce seeing new momentum, localising. The current received. Over the next our Leoncino 250 in what with Honda percentage is around few months, we will be BS VI guise. But it will entering the fray with its 15-20 percent and a increasing the portfolio not be the only 250cc H’ness 350 and midsized number of suppliers are with BS VI bikes. There bike. We are looking to motorcycle market leader now working with us. will be more new dealer increase the portfolio in Royal Enfield rolling out The plan is to work with expansions in 2021. We are 2021 and there will be the Meteor 350 recently. more of them and increase happy at the way we are more bikes available in “There has been a lot of the level of localisation,” progressing.” the 250cc segment. Also, positive momentum for said Jhabak. n

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Two-Wheelers - Benelli India AD Jan 24.indd 13 2/11/2021 11:58:37 AM BUDGET 2021 ANALYSIS India’s road to growth paved through infra in an era of scrappage The fine print of the annual Union Budget is often what decides whether it is a hit or a miss. Autocar Professional caught up with five industry veterans to analyse whether Finance Minister delivered on people’s expectations and industry’s needs. Sumana Sarkar reports. SUBHASH SIMHUDU

he Union Budget how good did the industry More than 13,000km of roads, Maruti Suzuki India the key aspects that stands 2021 was one of the consider the Budget to be? at a cost of Rs `3.3 lakh crore, l Tarun Garg, Director, out when you get down Tmost anticipated On Budget Day — has already been awarded Sales and Marketing, to a detailed analysis. The events, especially after a February 1 — Autocar under the Bharatmala Hyundai Motor India Finance Minister proposed washout year that 2020 Professional hosted a Pariyojana project of l Deepak Jain, President, a increase in capital was. The focus, quite webinar to engage with which 3,800km have been ACMA expenditure and “provided constructed. By March 2022, expectedly, was all about five industry heads at India another 8,500km would be Autocar Professional’s Rs 5.54 lakh crores which putting the economy in Auto Inc to understand the awarded and an additional Sumantra B Barooah is 34.5 percent more than reset mode. Just before longer-term implications. 11,000km of national highway moderated the discussion. the BE of 2020-21.” Sandeep announcing her proposal The panellists were: corridors completed. Singh, managing director for direct tax, the Finance l Sandeep Singh, SANDEEP SINGH: of Tata-Hitachi, says this Minister N Sitharaman MD, Tata-Hitachi ‘We are expanding “infrastructure allocation quoted the Tamil poet l Anuj Kathuria, product range, is a welcome move to Thiruvalluvar and said, “A COO — M&HCVs, introducing help the revival of auto king/ruler is the one who Ashok Leyland advanced tech to industry.” The Budget has creates and acquires wealth, l Shashank Srivastava, service demand.’ also provided big thrust protects and distributes Executive Director — The huge infrastructure to monetising assets to it for common good.” But Marketing and Sales, outlay is undeniably one of achieve the targets set by

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Union Budget Webinar - AD Feb 10.indd 14 2/11/2021 10:38:19 AM Tata Hitachi’s Sandeep Ashok Leyland’s Anuj Maruti Suzuki’s Shashank Hyundai Motor India’s ACMA’s Deepak Jain: Singh: “Infrastructure Kathuria: “Road infra and Srivastava: “We are looking Tarun Garg:“Scrappage Policy “The right innovations and allocation in the Union Budget other projects will also help forward to take advantage of will help improve overall jobs R&D will help companies to be 2021-22 is a welcome move demand. These will continue to rail infra spending and optimise and reduce pollution levels, more competitive. Emphasis on to help the revival of the provide a positive impact for correlation between economic apart from helping improve R&D is another good move in automotive industry.” the tipper segment.” growth and demand revival.” demand for new vehicles.” this direction.”

the National Infrastructure in FY2021 and 3,800km in advanced technology Kathuria, COO — M&HCVs, Pipeline. road construction has been to service demand and Ashok Leyland said, “The According to Singh, road completed in the first three requirement. We are also additional infrastructure construction has been one quarters of FY2021. The exporting advanced mining project outlay will help of the biggest demand total project outlay is for Rs equipment to other parts commercial vehicle players. drivers for companies like 535,000 crore. Overall, the of the world and looking to Tipper demand is very Tata-Hitachi. “The infra phase 1 of the Bharatmala increase capex to back new good and started picking up outlay will have a trickle- Pariyojana project envisages projects.” right from Q2 FY2021 and down impact for multiple construction of 34,800km is leading the pack. Road years, which will lead to of new highways and roads ANUJ KATHURIA: infra and other projects will sustainable demand for by December 2022. ‘We expect FY2022 also help demand. These the longer term. Road Singh believes that “water to be a good year for will continue to provide construction has been pipeline construction and the CV sector.’ a positive impact for the 3,800km thus far due to urban development can The Budget proposals tipper segment.” the Covid-led slowdown also help revive demand for brought maximum cheer The announcement of but is now catching up industry over the next 3-5 to the M&HCV segment.For the long-awaited Scrappage with 35km a day. We hope years.” FY2021, the government Policy is the other key to complete construction Tata-Hitachi is preparing has allocated Rs 102,000 highlight of the Budget. of 8,000-10,000km by itself comprehensively crore for MoRTH. The Though the finer details are end of this fiscal. That is to take on the potential allocations also cover NHAI awaited, Kathuria explained achievable.” The Ministry growth expected. Singh and National Highways and that the “Scrappage Policy of Road Transport and elaborated how Tata- Infrastructure Development will be voluntary in nature Highways' target of Hitachi is “expanding its Co for additional road rather than mandatory. 11,000km construction product range and bringing constructions. Anuj Vehicles more than 15 years PRESS INFORMATION BUREAU INFORMATION PRESS Scrappage Policy will give a fillip to new vehicle sales. The move is Finance Minister Nirmala Sitharaman’s Budget 2021 sends out a strong signal to Indian industry that also expected to take forward clean and green mobility initiatives. local manufacturing, driving economic growth coupled with significant capex is the need of the hour.

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Union Budget Webinar - AD Feb 10.indd 15 2/11/2021 1:34:01 PM BUDGET 2021 ANALYSIS

need a fitness certificate. CLEAN MOBILITY FUELS, INFRA PROJECTS GET A NEW CHARGE IN BUDGET 2021 Overall, this will help MAKING THE the industry, in line with GOVERNMENT’S discussions held thus far. intentions clear about This will put the circular pushing cleaner economy in motion and automotive fuels, create demand.” Finance Minister Nirmala But announcement of Sitharaman announced the policies and reforms multiple measures in is one aspect and their the Budget including actual execution is another. increasing CNG availability Kathuria explained the in 100 additional districts, correlation and seemed to expansion of metro rail be cautiously optimistic network and augmentation about the demand cycle of city bus services. heading north in future, Together, they should “In FY2018 and FY2019, help realise India's goal we had seen impetus on of moving away from infrastructure led by road polluting conventional construction. Tippers saw fuels such as petrol and the highest-ever demand

diesel and also account for AJIT DALVI with record volumes in the a substantial forex costs CNG going to be made available in 100 additional districts, giving a boost to eco-friendly motoring. CV segment. Mobilisation of During FY2020, India's the projects in FY2020 was crude oil import bill stood systems at much lesser hindered due to the IL&FS at $102 billion cost with the same crisis and lack of timely (Rs 743,488 crore). experience, convenience payment by contractors. If According to the and safety in Tier-2 cities mobilisation of the projects Finance Minister, 100 and peripheral areas of happens seamlessly, it will more districts will be Tier-1 cities, the minister help demand. Indications connected with the City added in her Budget are positive but will have to Gas Distribution (CGD) speech on February 1. wait and watch.” network by 2023. CNG, Likewise, a new scheme Though it is too early to which is part of CGD setup, worth Rs 18,000 crore will say if the downward spiral is dispensed through be launched to increase in the CV segment has CNG refuelling stations public bus transport hit the bottom, Kathuria for automobile usage. As services and deploy PPP acknowledged the green of November 2020, the models to enable private shoots thus far but also all-India CNG station parc sector players to finance, cautioned about the supply comprised 2,543 facilities. acquire, operate and chain constraints. “January However, there New technologies — MetroLite and MetroNeo — will provide metro maintain over 20,000 sales are very good, we've rail systems in Tier-2 cities and peripheral areas of Tier-1 cities. seems to be significant buses. seen growth on a month- geographical disparity in on-month basis. Certain the CNG station network to set up an independent 17,016km of natural gas Road Infrastructure challenges in the supply as nearly 76 percent are Gas Transport System pipelines; more are under Budget 2021-22 provides chain are there still. Input concentrated in Delhi, Operator (GTSO) to construction to complete an enhanced outlay of Rs material and cost pressures Gujarat (including Dadra & facilitate and coordinate the National Gas Grid. 1,18,101 crore for the are still there. But Q4 Nagar Haveli and Daman booking of common Ministry of Road Transport FY2021 is likely to be better & Diu), Uttar Pradesh and carrier capacity in all- Urban infrastructure and Highways, of which on a year-on-year basis. I Maharashtra. This has natural gas pipelines on Meanwhile, in an effort to Rs 1,08,230 crore is for expect FY2022 to be a good prevented increased CNG a non-discriminatory raise the share of public capital, the highest ever. year for the CV sector.” adoption in most parts open access basis. Gas transport in urban India, According to MoRTH of the country. CNG is pipelines are the most the government has statistics have it that SHASHANK 60 percent cheaper than cost effective and safest sought to expand metro 13,000km of roads, at a SRIVASTAVA: ‘It petrol and 45 percent mode of transportation rail connectivity apart cost of Rs 3.3 lakh crore, (Scrappage Policy) cheaper than diesel. of natural gas to end from augmentation of have already been awarded has got great Given the speedy rise users. Therefore, an city bus services. A total and 3,800km under the potential per se.’ in petrol-diesel prices, inter-connected National of 702km of conventional Bharatmala Pariyojana The Executive Director vehicle users are making a Gas Grid has long been metro are operational; project constructed. By — Marketing and Sales, shift to CNG, which is also envisaged to ensure the another 1,016km of March 2022, projects for Maruti Suzuki India, the gaining prominence as a adequate availability and metro and RRTS are under 8,500km will be awarded biggest car manufacturer preferred fuel for public equitable distribution construction in 27 cities. to complete an additional by market share in transportation. of natural gas in all Two new technologies — 11,000km of national India, too welcomed the Another key parts of the country. At MetroLite and MetroNeo highway corridors. announcement of the announcement is the move present, there are about — will provide metro rail SHAHKAR ABIDI Scrappage Policy but highlighted the need to

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Union Budget Webinar - AD Feb 10.indd 16 2/11/2021 10:39:55 AM wait for “finer details and expand use of domestic contours of the policy manufacturing. The right for proper analysis. It has innovations and R&D will got great potential per se help companies to be more but will have to await the competitive. Emphasis on details.” R&D is another good move In other key in this direction.” developments, the Finance Jain is of the opinion Minister has raised the that the renewed “focus agricultural credit target on infrastructure will have for FY2022 to Rs 16.5 a trickle-down positive lakh crore and reassured impact for multiple years further strengthening of altogether. The auto the minimum support ancillary and components price (MSP) system. That sector is a shining apart, she also announced example of how it can utilisation of the Rs 100,000 have a larger impact in the

crore infrastructure fund APM TERMINALS global value chain. With for the development of the right impetus from state Mandis. According “Inclusive Budget with the PLI Scheme, Indian to Srivastava, all these potential positive impact companies will be able to Budget proposals, especially on the auto industry. generate scale and global with respect to MSP, are a Overall improvement in the competitiveness.” positive in terms of revving economy will help demand However, the headwinds up demand for cars. He said, for PVs. The Scrappage have not eased completely. “Rural bounce-back after the Policy will help improve The ongoing disruption in pandemic has been much overall jobs and reduce the global supply chain of better. Increase in monsoon, pollution levels, apart from critical semiconductors is higher Kharif sowing, a helping improve demand an example, which is likely record Rabi crop last year for new vehicles.” to continue till the end and good Rabi sowing this According to Garg, “Rural of 2021. Jain said, “India’s year all bode well in terms demand has been driving share of semi-conductor of maintaining demand in the automobile industry consumption on a global rural areas. MSP decidedly in a post-Covid India. The basis is miniscule but puts more money in the Budget outlay puts more headwinds are still there. hands of consumers in the money in the hands of the Challenges for India Auto Inc DEEPAK JAIN: Container shortages (due rural areas. Urban demand is farmers and greater focus in 2021 will be the ongoing ‘Customs duty to export-import mismatch also picking up slowly.” on infra development disruption in the global supply indicates intent to in the past 10 months) He added that the will help maintain sales chain of semiconductors as expand domestic have led to a massive rise in well as container shortages “government spending in in the rural areas. Taking freight rates. Supply chain that have led to a massive rise manufacturing.’ railways is also a welcome initiatives to enhances sales in overall freight rates. Bringing in the component concerns will take a few move. Current freight as well as service in rural industry’s point of view, months to ease out.” transport via Railways is areas. January sales are up Deepak Jain, President, While the five panellists around 16-17 percent at the 24 percent (for Hyundai). ACMA said: “The message were of the consensus that moment but it is constantly The increased thrust by the is quite clear — Start-ups, the Scrappage Policy and moving up. We are looking government should help innovation and R&D outlays appropriate mobilisation forward to take advantage the overall economy.” need to be seen together. of the humungous of the rail infra spending and However, while there It signals a move towards infrastructure spend as also optimise the correlation were broad indicators more Atmanirbhar Bharat. allocated in the Union between economic growth about the government’s Customs duty (hike on Budget will help drive and demand revival.” intent on clean and green certain components) also India’s revival, it also mobility alternatives, indicates the intent to depends on how a battered TARUN GARG: there wasn’t any specific economy, contending with ‘Rural demand announcement with inflation-contributing driving the auto respect to the electric sky-high petrol and diesel industry in post- vehicle (EV) segment. But prices, massive job losses Covid India.’ Garg is not worried. He and an uncertain growth Bringing in a perspective highlighted that the “broad climate in view of the from the passenger plan is already in place. We ongoing countrywide Covid vehicle segment, that’s are confident about our vaccination programme, been seeing particularly plans for EVs going forward. will take things in its stride encouraging recovery, There are a lot of positive and bounce back before the Tarun Garg, director, Sales offshoots that indicates next Budget. n and Marketing, Hyundai the general direction of the l Analysis: Motor India, called the government, in terms of Atmanirbharta vs annual fiscal exercise an cleaner mobility.” Protectionism, p18

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Union Budget Webinar - AD Feb 10.indd 17 2/11/2021 1:35:15 PM ANALYSIS Atmanirbharta vs Protectionism By hiking import duty on some automotive components, Union Budget 2021 has clearly articulated the need for the Indian industry to aggressively go local. Can self-reliance go hand in hand with tariff barriers in a globalised world? After all, it is quite possible that other countries may follow suit and slam levies on products imported from India. Murali Gopalan delves into the issue.

ne of the messages that was driven Ohome constantly in Budget 2021 was the need to achieve Atmanirbharta, a term that has gained traction in recent months. This goal of self-reliance became literally a clarion call to industry since the time Chinese troops occupied Indian territory last year and brazenly continue to do so. With no solution in sight, the Centre quite rightly said that it was time for India to stand on its own feet, a clear reference to steering clear of all products from China. It also puts in context why the Union Budget 2021-2022 decided to impose higher import duty on some auto components with the clear idea of conveying to industry that it could

now focus on making GRAPHIC: PRALHAD KUSUMA them locally. From the Centre’s point of view, this notification. There continues to be a TAXING TIMES perhaps makes sense since One of the harsh realities lot of anxiety among the it has already identified to reckon with in the international community about l Union Budget 2021 hikes import duty on select the auto industry for its Indian context is that scale China. In this backdrop, India automotive components (see panel alongside). PLI (Production Linked still remains a challenge. would be quite right to assume l Clearly, the move is to encourage more local that it is assured of global While there are many manufacturing. Incentive) scheme which is support for now. intended to give a boost to ancillary suppliers who l However, this is expected to hit the costing structure domestic production. are second to none when it of some European car brands. Given this background, comes to quality and costs, l European car brands will have to pass it on to the nobody should have there is still some way to customer or bear the burden. any problems with go before they can breach l The Centre’s PLI (Production Linked Incentive) this duty hike except the frontier of economies scheme is intended to give auto industry a boost. that it is not going to of scale. Additionally, l Whether the import hurt hike is an interim move help those carmakers, component exports from remains to be seen. especially in the luxury India constitute only a Windscreen wipers and safety space, that import critical minuscule portion of glass among components on parts. These brands are global trade. which duty has been hiked. largely European and manufacturers will have Protectionism, no choice but to pass on but at what cost? the hike to their customers While Atmanirbhar is following the Budget welcome, it still remains

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Analysis - Atmanirbharta and Protectionism AD Feb 8.indd 18 2/11/2021 10:46:56 AM BUDGET 2021 Atmanirbharta vs Protectionism By hiking import duty on some automotive components, Union Budget 2021 has clearly articulated the need for the Indian industry to aggressively go local. Can self-reliance go hand in hand with tariff barriers in a globalised world? After all, it is quite possible that other countries may follow suit and slam levies on products imported from India. Murali Gopalan delves into the issue.

must keep pace. . . for this to happen, no country can put a clamp on imports. In a globalised world, countries need to participate actively in trade since this is the best solution from the viewpoint of competencies and costs. After all, says another executive, it is not as if India can do everything on its own and should import wherever necessary. It was in Autocar Professional’s recent anniversary issue where a section of top CEOs made it clear that making Indian manufacturing competitive by raising tariffs “is a short-term view though this may be needed at times to ensure a level playing field”. Perhaps, this is what the Centre had in mind while hiking import duties for select products — how

work in progress and will AUTO COMPONENTS ON WHICH DUTIES HAVE BEEN HIKED IN UNION BUDGET 2021 be a good five years before the PLI scheme starts Items ACMA Description Import Duty New rate of showing results. Should Import Duty protectionism therefore be Toughened (tempered) safety glass Interiors (non-electronic) 10% 15% the way forward? “Clearly not! India needs to be Bullet-proof glass Interiors (non-electronic) 10% 15% competitive instead,” says Safety glass for vehicles Consumables & miscellaneous 10% 15% a senior executive of an Other glass Interiors (non-electronic) 10% 15% automotive company. In Glass compressors: Turbocharger Engine components 7.50% 15% his view, protectionism Parts of electric lighting or signalling equipment, will only breed inefficiency windscreen wipers, defrosters and demisters Electrical & Electronics 7.50% 15% within the system and discourage innovation. Ignition wiring sets and other wiring sets Electrical & Electronics 7.50% 15% Further, no country can Other: Frames and forks and parts thereof Body / Chassis / Body-in-White 10% 15% afford to do this and still Other (vehicle parts) Body / Chassis / Body-in-White 10% 15% hope to survive in the Other (hub, hub brakes and vehicle parts) Body / Chassis / Body-in-White 10% 15% long run. Brakes, including coaster braking hubs and Industry leaders hub brakes and parts thereof Suspension & Braking 10% 15% also agree that for Pedals and crank-gear and parts thereof Drive Transmission & Steering 10% 15% manufacturing to grow, it is critical that exports Other (vehicle parts) Suspension & Braking 10% 15%

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Analysis - Atmanirbharta and Protectionism AD Feb 8.indd 19 2/11/2021 1:32:12 PM ANALYSIS

automakers cope with this added levy will be clearer in the coming months when the added burden is passed on to the customer. Some interim protection will doubtless help the case of local manufacturing to become competitive but this can only continue for a particular period of time. “By raising tariffs, you are not making manufacturing competitive but only making the product expensive to the end- consumer. By raising import tariffs, you can never increase exports because you are not building competitiveness in the industry,” a CEO had cautioned in a recent interview. The underlying message is that India just cannot give a cold shoulder to imports since there will be issues on quality if everything is made locally. At one level, the auto industry will have reason to feel pleased since a host of OEMs and suppliers have worked relentlessly over the years to achieve high levels of localisation. Frugal engineering has, in fact, become a fashionable term and immediately synonymous with India especially with products like the which caught the imagination of the world. The fact that it did not do as well as expected is not the point here — the Nano was a great lesson on the economics of costing, especially in a price-sensitive market like India. While Maruti Suzuki continues to be the leader in this department, other companies like manufacturing hub, Component makers expect that it will only make their on to the end-user. Either Renault implemented this especially for compact cars the Production Linked Incentive products more expensive. way, they will be at a lesson for the Kwid and and SUVs. To that extent, scheme should bring the right How quickly they disadvantage — the choice other products that have there should be no issues way forward for localisation manage to find locally is to burn a hole in their followed. with the Budget's move and manufacturing. produced alternatives and balance sheet or risk losing It is also no secret to give a further boost get back on track is the market share. that automakers are to localisation by way million-dollar question. The auto industry unanimous in their of higher import duties. Till that happens, they has been going through view that India is the Yet, for those companies will either have to absorb turbulent times lately best bet for them as a impacted by this move, the price hikes or pass it thanks to the pandemic

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Analysis - Atmanirbharta and Protectionism AD Feb 8.indd 20 2/11/2021 10:49:36 AM BUDGET 2021

to be the aggressor. Yet, carmakers across the world cannot ignore China and will continue to invest there simply because it is the world’s largest producer of automobiles with over 30 million units annually. Hence, even while India continues its Atmanirbhar focus and encourages local industry to grow and flourish, there is always a time lag to be considered before this becomes a reality. There are many other issues that need fixing right now especially when it comes to the health of small scale units that have borne the brunt of Covid-19. The Union Budget has been welcomed by industry for its pragmatic approach in greater government spending but time will tell if this is enough to help Automakers are unanimous those units that have their in their view that India is backs to the wall. the best bet for them as a Giving priority to local manufacturing hub, especially industry is something that for compact cars and SUVs. nobody will disagree with. Countries like South Korea and the economic and Japan are often touted slowdown prior to as examples of nationalism that. In the meantime, where consumers are manufacturers have loyal to home-grown earmarked big investments products. India is right to for BS VI, which kicked go down this route too in last April but were and infuse a fierce sense subsumed by Covid-19 and of loyalty across its vast the national lockdown that population. The challenge followed. is to balance out this quest Even while there is while still being an active some buoyancy back in member of global trade — the market, companies protectionism can only be are still in wait-and-watch a short-term solution. mode since they are aware Union Budget 2021 has of the reality of job losses some positive news for and salary cuts. This is why the automotive industry nobody is celebrating yet on the vehicle scrappage and would rather see how policy, which was long this quarter goes by before overdue and will hopefully they are ready to pop the see some old trucks and champagne. The coming most cities. A batch of export-ready not likely to take a softer cars go off the roads. This months will indicate if For now, there is still a Renault Tribers at Chennai stance as US President will ensure that the real personal mobility options lot of anxiety among the Port. While Atmanirbharta is a especially when over half- benefits of clean air will will still be sought after and international community noble objective, the challenge a-million lives have been percolate down to all cities demand for cars and two- about China and its for India Auto Inc will be to lost due to the pandemic. and towns. This is a decade wheelers continues perceived role in the balance out this quest while In this backdrop, India of huge mobility challenges still being an active member to grow. Not everyone spread of the virus. Donald of global trade. would be quite right to where India’s strengths is sure especially with Trump was unsparing assume that it is assured can be leveraged by the infections on the wane and in his criticism while his of global support for now world: the key is to ensure public transport back in successor Joe Biden is also even as China continues consistency in policy. n

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Analysis - Atmanirbharta and Protectionism AD Feb 8.indd 21 2/11/2021 10:51:39 AM FUTURE MOBILITY.indd 16 2/16/2021 9:42:42 AM FUTURE MOBILITY.indd 17 2/16/2021 9:42:42 AM INTERVIEW PHOTOGRAPHY: OMKAR DHAS PHOTOGRAPHY:

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Interview - Farrokh Cooper AD feb 10.indd 24 2/11/2021 10:56:00 AM INTERVIEW Farrokh Cooper : 'India lacks in nothing.' The Chairman and Managing Director of the Satara-based Cooper Corporation explains why he supports Atmanirbhar Bharat where the Centre is working towards self-reliance. He also believes that India has enough and more to offer and tells Murali Gopalan that there is really no reason to go in for needless imports.

Make in India. Engine block arrokh Cooper makes rolled out for them. castings for Bajaj Auto no bones about the As Cooper puts it, as part motorcycles at Cooper Ffact that he is a diehard of its effort to encourage Corporation's plant. advocate of Atmanirbhar investments, the Centre Bharat. To the Chairman has reduced the taxation and Managing Director of rate for these companies the Satara-based Cooper which is “lower than what Corporation, this is an they pay” back home. The absolute imperative for objective, doubtless to add, India. From his point of view, is to generate employment, MNCs setting up shop in support auto ancillaries India should really not be and develop the overall complaining too much since ecosystem. the red carpet is literally “If you come into India

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Interview - Farrokh Cooper AD feb 10.indd 25 2/11/2021 1:29:28 PM INTERVIEW

Cooper Corporation, which began manufacture of its first Indian-made all-iron plough in 1921 at Satara, Maharashtra, today makes gensets, engines and engine components for Indian and global OEMs. Its manufacturing processes are continuously updated to comply with the latest global standards and customer specifications.

enjoying these benefits and even that that is a maybe,” well as China from here then start importing the same emphasises Cooper. in Satara,” he says. The components, which can be He then cites the example underlying message is that made here, from China to of his own company whose Cooper Corporation is not compete unfairly with Indian main income is from the losing anything in the process manufacturers, I think that US. “Our main competitors since all commodities — be is wrong,” reiterates Cooper. are two Chinese liner it steel or aluminium — are This is particularly galling at a manufacturers and our marked at international time when there is “massive business growth has come prices for all countries. unemployment” in the nation from America switching “The problem in India and the overall “damage over from China to buy from is that professionals have is still to be recovered” Cooper Corp,” he elaborates. become complacent and lazy following the pandemic. From his point of view, without exerting themselves. “These international it is a “myth to say China is They are just too smug,” he companies should declare cheap” since what companies upon in this conversation but says, while adding for good what is not possible to make essentially do is import emphasises it once again for measure that “we are too in India but they don't want components here, assemble good measure. democratic and that is our to do that. They want to look them at half the price and “Today if you open a problem”. after their balance sheets, compete. “They don't bother factory anywhere, do you To back this statement, buy cheap stuff and then about quality or aftersales. know the subsidies the Cooper cites the example of sell it in the country,” says an Which specific area is India government gives you? an international carmaker obviously irked Cooper. lacking in for scale. . . let them TIME TO RESET THE They are enormous, be it which could not sell in In his view, this is pinpoint,” he asks. MNC MINDSET FOR in any part of the country, India “since they did not completely unacceptable Clearly warming up to MAKE IN INDIA and they then go head over understand the market”. On especially when they get the topic, Cooper goes on to l In Farrokh Cooper’s view, heels to support you. If the other hand, this company everything on a platter, say that while “I can’t give MNCs are given a red- there is a deficit in capacity “used Indian infrastructure” right from lower taxes to you names”, there are many carpet welcome in India. somewhere, is it so difficult to export. “Is that the reason infrastructure which they MNC engine manufacturers l It is, hence, only natural to work it out?” wonders the we gave them permission?” haven't paid for. coming to India, making that they source their CMD. he demands to know. (engines) here but importing requirements from within. He makes it quite clear that All these MNCs, continues Championing Make In India from China. “Let them name l By importing instead, the Atmanirbharta mission is Cooper, should be asked what The 76-year-old CMD also the component that they there is really no a move in the right direction is not available here: ”Can’t does not buy the argument cannot get in India. . . they reciprocity shown for to support industries and someone give you a cylinder that imports happen because just can’t. Everything is India’s gesture. tackle the problem of massive head or crankshaft?” In his some of the products / available here at the same l Cooper believes that unemployment. And for opinion, the Centre should technologies are simply not international price,” he says. this cannot continue those who do not go the hold talks with them, sit available in India. “When you According to him, this any longer. extra mile, Cooper says the across the table and check go into high technologies, attitude only reflects “a l The Centre should instead solution lies in “trying to out what is lacking. “Banks what is it that you cannot question of laziness”. They ask these companies what exert” and do something have so much liquidity and produce here? You can may have to give some is lacking in India. more concrete. are willing to lend. It is only make a crankshaft, cast iron, tooling costs, find a vendor l He is absolutely certain “There is a MNC car lethargy,” he says. steel and everything possible. and so on. “They don't want that everything is available company abroad which buys According to Cooper, the Electronics is the only thing to do that,” insists Cooper. here and it’s time for a liners from me. They have other likely reason is that where maybe we could He then brings up the point mindset change. a factory in China and we these MNCs may have signed have a challenge and which he has already dwelt supply liners to Europe as up with Chinese suppliers is

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Interview - Farrokh Cooper AD feb 10.indd 26 2/11/2021 10:57:55 AM INTERVIEW

DOWN MEMORY LANE WITH FARROKH COOPER IT WAS NEARLY six years ago when this writer spent a day with Farrokh Cooper in Satara and listened to his interesting story. The CMD of Cooper Corporation drove down memory lane. . . back to 1968 when he was looking forward to a future in farming after having graduated with a degree in agriculture. However, life had other plans for him. A huge tragedy occurred In 1922, Cooper Engineering built India’s first diesel engine when his brother was in association with Keighly and Duncan Stratton. involved in a road accident and the young to cater to their requirements lockdown, MG and Kia get Farrokh was entrusted across the world. Hence, if market share? They haven't with the responsibility of they were to rock the boat grumbled. Kia, an unknown taking care of the family and opt for Indian suppliers, brand, is already making enterprise in Satara. the reverberations could waves,” he says. “I have been baptised be felt for their other global By the end of the day, adds by fire. My mother was plants. Cooper, nobody should lose widowed before I was born “If Supplier A has signed up sight of the fact that huge and after my brother’s Cooper said. the first Prime Minister for parts in India, Europe and resources are going into the accident, I looked after The company’s key of Bombay Presidency the US but given the ditch border where the present him, his son and my products are diesel well before the Congress here in India, the company standoff is happening and mother,” Cooper had told engines and cylinder liners entered the picture. concerned could lose its “it must be costing a bomb”. this writer during the as well as other engine “I do not see anything as contracts everywhere (with He believes everyone should visit. It was clear that he parts like crankshafts, a challenge, provided you the Chinese),” he explains. ask themselves if this is an had no regrets about this cylinder heads/blocks and do not limit your thinking. This is the “spider’s web” in important issue or not and unexpected professional flywheels. If you challenge your own which they are trapped and the time has come for all detour while ensuring that Automotive is a key assumptions, you always it is, therefore, important for Indians to do some serious the company grew from part of the business find new opportunities,” the Centre to ask why these introspection. strength to strength. along with generator he said. parts are being imported and “We have to decide Help also came from sets — the engines are Clearly, his heart is in not bought in India instead. if we want to be wishy- two towering industrialists, used for marine and farm Satara which has been “There is no reason to washy. We are not going SL Kirloskar and Lalchand applications. home to the family for buy any parts from China for protectionism. On the Hirachand, who taught It was also during this so long. This attachment . . . these MNCs have signed contrary, we are bleeding the young lad how to work interview when interesting extends to the workforce up for supplies worldwide. on the border, spending his way around in the new facts emerged on the too. “The attrition levels This becomes a drawback huge resources and there world of engines. “In life, family tree. While Satara are insignificant because to Indian suppliers,” says is no solution in sight,” says you have to count your was the starting point for my people cannot find Cooper. He also wonders why Cooper. Hence, this boils blessings but carry your the Cooper Corp story way another mad manager like there is this constant fuss down to a specific issue and is cross. The more you count back in 1922, Farrokh is me,” quipped the good- about low demand in India. not about “suggesting barriers your blessings, the lighter the third generation in the natured Cooper. “How come in a Corona-virus on global trade”. your cross will be,” family. His grandfather was MURALI GOPALAN

The industry veteran is Cooper Corporation even clearly upset with the way though two months were things are panning out lost because of the lockdown. right now and believes it is Since the company employs important to ask if “we going only locals from Satara, it to take this lying down” did not face the problem especially during these of the exodus of migrant difficult times. “Industry workers. Medicos were also should rally around and we summoned from nearby Stamp of heavy mettle. should show that we are Pune to handle cases of Cooper Corporation has unhappy,” he says. infection. “We are expanding been at its manufacturing On a happier note, and business is growing by 20 best for 100 years now. business has been brisk for percent,” signs off Cooper. n

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Interview - Farrokh Cooper AD feb 10.indd 27 2/11/2021 10:57:13 AM ANALYSIS Split wide open: Daimler cars, trucks to go it alone With Daimler announcing its intent to spin off its truck businesses and create a new Mercedes-Benz identity for cars, there will be a host of new challenges and opportunities to reckon with. The move could also have some interesting implications for India, says Murali Gopalan.

While Mercedes-Benz will be the world’s pre-eminent luxury car business, Daimler Truck will accelerate its path towards zero emissions as the world’s largest truck and bus producer and technology leader.

la Kallenius is clearly for the German auto brand. PARTNERS IN PROGRESS a man on a mission. The latest salvo fired by l Daimler hopes to wrap up the exercise by the end of this year. Since the time he Kallenius involves splitting O l In the process, there will be a clear divide between the B2B and B2C units. took over as Chairman of Daimler AG’s car and truck l The luxury quotient in Mercedes-Benz will be pursued more aggressively. the Board of Management of businesses as part of an l Electrification will be another big frontier for cars while hydrogen will be a key Daimler and Mercedes-Benz effort to focus better in a mover for trucks. from his hugely charismatic decade of new mobility l In India, Mercedes has been around longer than BharatBenz, the truck brand. predecessor, , challenges and disruptions. Daimler R&D is the other key entity that caters to the needs of the two other two years ago, he has been Going forward, Daimler l companies. charting out a new course Truck as the new hived-off

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Analysis - Daimler AD Feb 8.indd 28 2/12/2021 11:38:13 AM ANALYSIS

entity will be a standalone business unit while the car business will be quite appropriately rechristened Mercedes-Benz. This is pretty much on the lines of what Volkswagen had done in 2018 when it hived off its commercial vehicle business as a new entity, Traton which has in its kitty Scania and MAN. The company has also tied up with , a Toyota Group company, for opportunities in electric mobility as well as extending its footprint in Asia. More recently, Traton has also announced its intent to acquire Navistar of the US and spread its wings in North America. Daimler, likewise, sees great merit in going the same way especially when this means unlocking value to shareholders and going that the entire experience Since the time he took over while snapping up Daewoo the intended goals would flat out in building the turned out to be eminently as Chairman of the Board of and then getting into a deep not be achieved. Chrysler business of both cars and forgettable for both Management of Daimler and alliance with Fiat. Renault, continued to skate on thin trucks. Kallenius recently companies. Mercedes-Benz two years ago, likewise, had acquired ice till Fiat took it over while outlined a vision statement Daimler was then on a Ola Kallenius has been charting Nissan and was on its way Daimler shed its stakes in out a new course for the which involved honing the roll and followed up this German brand. to a historic partnership that Hyundai and Mitsubishi position of Mercedes as merger with acquiring has lasted to this day despite and has consolidated its a luxury brand. The time stakes globally in Hyundai recent upheavals. base since then. for trucks has also come and Mitsubishi. This was In the case of Daimler, With the recent where key brands in the par for the course across the the Chrysler marriage went announcement, it is clear stable such as Fuso and global auto industry with horribly wrong and the that the company is now Freightliner will now be part General Motors holding two parted ways after it gearing up for its next of a new portfolio. stakes in Suzuki and became crystal clear that phase of growth. On the It makes tremendous sense from the viewpoint of segregating the B2B and B2C part of Daimler’s business units. The automaker has reiterated that it needs to focus on electric in a big way for the Mercedes brand while hydrogen will be one of the key growth drivers for its trucks. It is likely that some key alliances could be forged within these individual units, considering that consolidation is the name of the game going forward. This is perhaps the biggest step by Daimler in two decades since the time it made global headlines on the merger with Chrysler in the late 1990s. At that point in time, it seemed a heady concoction which Mercedes-Benz is aggressively targeting leadership in electric drives and vehicle software. The consistent electrification of the entire promised the moon except product portfolio is a key element of the luxury carmaker's strategic ‘Ambition 2039’ and a prerequisite on the way to CO2 neutrality.

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Analysis - Daimler AD Feb 8.indd 29 2/11/2021 11:06:58 AM ANALYSIS

face of it, there should be Mercedes has been Mercedes-Benz began Daimler India Commercial Additionally, with fewer no cribs among the investor rebooting its strategy manufacturing cars in India Vehicles (DICV) as it layers now to reckon with community since this will constantly to woo younger in 2009. At 20,000 units set about operating in a in the hierarchy, decision allow each of the businesses buyers into its fold and has per annum, it has the largest competitive system where making will be faster and to grow and flourish in more recently been focusing capacity for any luxury Tata Motors and Ashok the Indian management carmaker in the country and is Leyland were the two big may also aspire to play a the coming years. The on digital in a big way. sharply increasing its focus on Mercedes-Benz brand will The breakthrough in localisation. players. bigger role in leadership now get a further leg-up big volumes, in order to To its credit, BharatBenz verticals across Asia. with electrification opening be even comparable to a has made a mark in the While this is welcome new frontiers both in market like China, is still medium and heavy news, it also means that Europe and across the world some years away given the segment, where it is now there will be greater while Daimler Trucks can obvious difference in per acknowledged as a serious pressure on business to consolidate its position in capita income levels but participant in an arena grow more rapidly where markets like North America Mercedes-Benz still remains where the two big Indian the role of India to the and Asia. a strong aspirational brand. brands have dominated overall global kitty is more The recent move to split the for many years. From than significant. While a What’s in it for India? business will doubtless give Daimler’s point of view, the solo Daimler Truck entity What does this mean for more avenues for resources country has also emerged will bring in more flexibility India where both brands are and growth prospects but as a key export hub for both to the overall business present? Mercedes-Benz clearly, from the viewpoint components and vehicles model, it may also come was the earlier entrant when of numbers, China and which are shipped to many with its own share of it first set up shop in the Europe are far ahead. countries. challenges where different mid-1990s and had Tata In the case of trucks, the Below right: Tata Motors (then India’s competencies in units across the world will Motors (then Telco) as an BharatBenz brand is well Telco) manufactured its first quality and cost are being be seeking greater capital ally. As in the case of most established even while it commercial vehicle in 1954. tapped to the optimal outlays. The truck bore the Mercedes extent possible and to Further, the commercial joint ventures in India, it followed Mercedes-Benz a logo as Tata had a technical was only a matter of time good decade later. From the collaboration with Daimler that extent it will be a key vehicle industry is a before the local partner start, the aggressive intent Benz, which ended in 1969. part of the new strategy barometer of the economy called it quits to focus on its was made clear within Below: Daimler India CV's where Daimler Truck will and things have been quite own business ( the top management at plant in , Chennai. be a standalone business. challenging in India in in this case) while Mercedes went on its own. Over the years, it has emerged as the strongest luxury brand in India and is comfortably ahead of other competitors in this space even while volumes reflect the realities of an economy like India. During this journey, speculation was rife along the way that Daimler would contemplate bringing Chrysler products to India (this was the honeymoon period when the divorce was still sometime away) but this did not happen.

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Analysis - Daimler AD Feb 8.indd 30 2/11/2021 11:07:19 AM ANALYSIS

2021 OPENS TO BIG-TICKET ANNOUNCEMENTS FROM EUROPE THIS HAS BEEN a year of some big- ticket announcements emanating from Europe. January 14 saw Luca de Meo, CEO of Renault, unveil a new strategic roadmap — Renaulution — which focuses more on value rather than volumes as part of its core messaging. Then came Carlos Tavares In India, Daimler's R&D setup in Bangalore will continue to work who had a detailed press with both Mercedes and BharatBenz, optimisng group synergies. conference five days after the Renault meet. This On January 14, Renault CEO Luca de Meo unveiled a new recent times even before is now a key engine hub. was to usher in Stellantis, strategic roadmap — Renaulution — for the French automaker. Covid-19 when there In India, the other the newly merged entity was a serious downturn significant entity for of Groupe PSA and Fiat happening. With the Union Daimler is its R&D setup Chrysler Automobiles. Budget 2021, there is in Bangalore which will After these two big-ticket greater optimism thanks to continue to work with both January events came Ola infrastructure investments Mercedes and BharatBenz. Kallenius on February 3 to coupled with a scrappage The three group companies announce the demarcation policy but the key is to keep do a fair deal of networking of Daimler’s car and truck the growth momentum where best practices are businesses. going. discussed and imbibed — After a tumultuous This is where BharatBenz there is no reason to believe 2020 where the pandemic and other truck makers that this will not continue ravaged the world and will be keeping their going forward especially in continues to do so, it fingers crossed. Further, a market like India where is a relief to have the January 19: PSA CEO Carlos Feb 3: Ola Kallenius confirms there could be other synergies are critical. momentum back in the Tavares (and FCA chairman John demarcation of Daimler’s opportunities in buses For now, the actual automotive system. Elkann) announced Stellantis. car and truck businesses. even while popular opinion rollout of the new business Clearly, manufacturers suggests that people would model is still many months are keen to get going and host of new technologies, Daihatsu for the ASEAN be paranoid about using away but work will have face the new world order which will involve huge region. In the US, General public transport. Yet, in a already started in earnest at after Covid-19. There are investments. This is where Motors has wound up scenario where job losses headquarters in Germany. way too many challenges pooling in competencies operations in a host of and pay cuts have been the Going forward, key ahead which need to be makes more sense which is countries (including India) order of the day, it would countries like India will also dealt with and business why Tavares is so gung-ho and will focus only on be unrealistic to expect see their top managements cannot come to a halt even about Stellantis and de the Americas and China. everyone to be able to keep pace with the new while the pandemic is still Meo wants to strengthen Ford has exited Brazil afford a bike or car. Buses structure and push the raging in Europe and the the Renault-Nissan and will look for new will still be preferred, envelope with more US. bonding. growth opportunities in especially with Covid dynamic strategies. Each of the CEOs is As for Kallenius, he has Europe and the US with infections on the wane. Both Mercedes-Benz and keen to take his company taken a big step in dividing Volkswagen. Clearly, DICV has shown BharatBenz will be keen to forward in a decade where the businesses and urging The list is growing tremendous aggression leverage the opportunities uncertainty continues each to live up to its real and there will be more during its India stint thus and become more nimble to loom large. After a potential. Mercedes-Benz permutations and far, especially when viewed to keep pace with the turbulent era of Donald will, therefore, need to combinations going in the context of other demands of tomorrow. Trump, industry will be constantly raise the bar forward. If Covid-19 was MNCs, such as MAN Truck This may see some new looking to a period of in the luxury game while the biggest disruptor which exited in 2018. The partnerships also emerging greater sobriety with Joe Daimler Trucks must, of 2020, the remainder other CV brand of the VW in areas like fuels — , Biden as US President. likewise, consolidate its of the decade will be Group — Scania — has had for instance, has joined There is still a great standing in key markets. equally challenging for little to show either in its hands with Daimler Truck degree of uncertainty with Observers believe the automotive industry, India innings which makes for fuel cells. It may be Brexit while public opinion that this is going to be a where traditional brands the BharatBenz script unrealistic to expect this continues to be divided particularly challenging are reinventing themselves more impressive. Volvo, to be replicated in India about China. decade where only the to be able to take on a the other prominent global overnight where hydrogen In this backdrop, strongest will survive. In formidable challenger truck brand, has been in an is still sometime away automakers need to Japan, Toyota has forged like Tesla Motors. These alliance with but there could be some reckon with the realities alliances with Mazda and are exciting times for sure. for some years now where interesting surprises along of electrification and a Suzuki while leveraging MURALI GOPALAN its plant in the way. n

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Analysis - Daimler AD Feb 8.indd 31 2/11/2021 11:08:13 AM INTERVIEW

Nishant Arya: 'The Scrappage Policy will give a fillip to both the CV and logistics industries.' The New Delhi-based JBM Group has businesses across the automotive value chain with dedicated verticals for components, buses, EVs and EV aggregates, charging infra, AI and renewables. Executive Director Nishant Arya spoke to Mayank Dhingra about the impact of the Union Budget 2021 on the CV industry, import duty on certain auto parts, India’s EV market and more. Excerpts.

The Scrappage Policy has electric buses under the finally been announced. PPP model. Something How do you assess this like that would give a huge move and since JBM boost to the CV space — both Group is in the commercial commercial and passenger- vehicle business, what carrying vehicles. While the sort of demand do you fine print of the policy is anticipate? yet to come out, subsidies The Scrappage Policy, would definitely expedite the specifically on the process. commercial vehicle side, In India, we have about would give a boost to the 1.7-1.8 million buses and our sector and therefore, people average bus-to-people ratio are viewing it positively. is around one per thousand, These are primarily BS-II and which is far lower compared BS-III vehicles which would to 10 per thousand in some be moving out of the roads countries. So, we need and thus reducing vehicular to significantly improve At the Auto Expo 2020, JBM touched upon this aspect What is your take on the pollution as well. this density and also the launched 9m and 12m variants in the Union Budget? hike in import duty on There will be a thrust challenge is to modernise of the Eco-Life electric bus Fuel prices are irrespective certain auto parts? Is towards the M&HCV and these buses running on older which can travel 125-150km of the Budget, which need this a good way to push HCV segments. I expect there technology and improve on a single charge. to be rationalised as we localisation? to be substantial purchasing their load-carrying capacities. move forward and I think it I would say it’s a mixed bag. in the coming financial year, The new (Scrappage Policy) should be done in the coming We need to give momentum thereby giving a much- policy will definitely start quarters. The government to the local industry as we needed fillip to the sector. It addressing these issues piece is also seemingly trying also have a big manufacturing would also give a boost to the by piece. to gauge how it can make GDP target for the next logistics sector as the cost of people move towards electric four-to-five years and the logistics will go down with a Have you done an analysis vehicles as the total cost of auto industry will be leading new fleet. The cost of older as to which states or cities ownership (TCO) in EVs is far from the front. On the other vehicles is higher and we are going to emerge with lesser compared to fossil fuel- hand, it also impacts the were seeing companies trying the highest demand of powered vehicles. global competitiveness of to increase their Opex to these vehicles? While the Budget doesn’t the industry if one is looking save their Capex. So, we will It would really depend on the govern fuel prices, the uptick to export. If the products are see logistics costs becoming budget of individual States; in alternate fuels is also going not export-worthy in terms of more competitive as we that clarity would be coming to be a deciding factor in quality or pricing, it becomes move forward. up in the next couple of determining the demand for quite difficult to capture months. It would definitely conventional fuels. So, I feel those markets. Do you feel incentivising bring about a big change in that fuel prices are likely to go So, striking a right the customer would be the passenger-carrying CVs down in the coming quarters balance is what is important key for the successful and that would be a crucial 'The Scrappage with the government taking and I believe what the execution of this policy? point for the turnaround of Policy will also financial prudence in mind. government had done in the Some benefits with respect the sector. benefit the Whether they go down as case of EVs with the phased to incentivising would be logistics sector substantially as people want manufacturing programme welcome like what the Fuel prices in India are on them to, will depend upon (PMP), here also they could government has done in the the boil. Do you think the as a new fleet will various economic factors as have done something case of procuring 20,000 government could have reduce costs.' well as the global energy mix. similar as they were perhaps

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Interview - Nishant Arya JBM Group Jan 10.indd 32 2/11/2021 11:13:24 AM INTERVIEW

observing some dumping. So, I personally see the hike in duty on certain components as a mixed bag.

There is a 50 percent reduction on the duty levied on steel as well. How do you see this move? It would definitely help the steel prices to melt down a bit as there was a big supply- demand gap, not only in the automotive segment but also in other sectors like infrastructure and road construction. There was a big challenge in terms of competitiveness. Different engineering, procurement and construction players and manufacturing companies like ours had taken up and were feeling a huge impact. So, it was necessary to curb the prices in one way or the other. Therefore, I feel a reduction in import duty is the right way of managing the situation in the short-term as many domestic players would have come to the verge of collapsing.

Have you done any feasibility analysis as to the net impact of a simultaneous duty hike as well as reduction? It would depend upon component to component and vehicle to vehicle as different OEMs have different strategies of localisation and import. At the same time, they are also seeing certain raw materials are having a poor availability and manufacturing capacity in India at the moment. So, duty hike and strategies are independent of each other as for every individual company, there may not be a whole- sum game. At the OEM level, they could see how it would nullify the net impact, but not 'The Union Budget 2021 focuses in all cases. We haven’t done on the right areas like health any detailed analysis as of yet and infrastructure to ensure because the detailed impact comes a few weeks later. competitiveness as well as create demand in the market.' The industry has also been asking for GST rationalisation on

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Interview - Nishant Arya JBM Group Jan 10.indd 33 2/11/2021 11:13:57 AM

INTERVIEW

auto components for a product or technology. JBM's City-Life (left) and vehicles. Do you think this building / new product long time but it wasn’t Having said that, I Skoo-Life range of CNG- segment deserved more development given the addressed in this Budget personally feel that the powered buses designed for than what is being offered? growth potential of the EV either. What do you have R&D fund would definitely intra-city applications. The I really don’t think there is segment? to say about this? institutionalise development company has recently bagged any ambiguity on the EV We have already earmarked an order to supply 700 BS and engineering activities in front with current incentive While it is definitely VI CNG buses to the Delhi Rs 500 crore of capital important for the industry India in a big way, but how it Transport Corporation. schemes such as the PLI on expansion from FY2021 from the perspective of is rolled out and how people the battery development, through to FY2023 for our improved liquidity for are incentivised to utilise this PMP on component electric vehicle facilities component players, in the fund, would be most crucial. localisation and FAME-II on in terms of technology given scenario, I didn’t see it the EV product front being upgradation, R&D, skilling, coming as it is a big revenue Is skilling also a big area of rightfully there. capacity, manpower and source for the government. concern for a company like Simultaneously, the also establishing the whole Most consumers are more or yours as it is already into government has covered ecosystem and executing less used to these rates, so it the EV market? the area of charging projects in the electric vehicle doesn’t make sense for the Skilling is the bedrock of infrastructure as well as rolled space. government to amend it. creating a successful industry out an EV R&D fund with the The hike in prices of in any area, especially when department of science and Are you also looking BS-VI vehicles could we are seeing an upcoming technology (DST). So, there at setting up charging have been balanced by growth sector in New Energy is a lot of clarity and focus infrastructure for the JBM such rationalisation, but I with EVs and biofuel. There already by the government electric buses? personally think that it is a are no prior skills available from all sides. Charging infrastructure far-fetched focus area and and people from associated is an integral part of the there are many other critical sectors such as energy, What is your outlook for ecosystem and we follow points for the government to automotive and railways are growth of the EV market a different approach in ponder upon and consider at trying to come into the in India? different cases. In some areas, this juncture. EV space. Moreover, There is very good we are collaborating with engineers with AI (artificial opportunity in the EV space other players and in others Is local development going intelligence) and ML currently and companies we are doing it ourselves. to take precedence over (machine learning) which are able to work on While there is no fixed global research for Indian backgrounds and those with the TCO with respect to formula, it depends upon companies? How do you knowledge of low / high the vehicle and battery the city demographics and see the Rs 50,000 crore voltage, power electronics technology, vehicle health geographic requirements. Budget allocation for R&D? and semiconductors are also management systems and There is no one way as coming into this area. remote location solutions, What is your overall both will co-exist for Therefore, a lot of cross- are all moving towards the opinion about the Union many companies but sectoral learning is currently direction of positive growth Budget 2021? the percentage of local happening and it is in the in the EV segment as we go I would say that the Budget development will definitely process of evolution. So, the forward. is in a positive direction and increase. For JBM also we fund will work as a catalyst In the FAME-II subsidy focused on creating demand have a mix — we are doing to ensure that the right also, more than 40 percent in the market and ensuring local development in many set of talent is available, has been allocated to electric competitiveness and areas catering to global otherwise it would become buses, which clearly shows focusing on the right areas markets. Wherever we see very difficult if the industry 'How the R&D that the government is really like health, transportation, that the demand in India is choked for the right set of fund is rolled out keen on promoting mass energy and infrastructure. is not so significant, there people because of lack of an and how people clean transportation and So, all growth engines of the we rely upon different JVs institutionalised process. are incentivised benefiting the masses. economy have been taken in and partners to avoid going focus and the government through the entire cycle of The Finance Minister did to utilise it would Is JBM aligning its has tried to address all stratas fresh development of a new not touch upon electric be most crucial.' investments in capacity of the society. n

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Interview - Nishant Arya JBM Group Jan 10.indd 35 2/11/2021 11:14:26 AM INTERVIEW

EXCLUSIVE Asim Hussain: 'QuantumScape’s battery tech is capable of lasting hundreds of thousands of miles.' California-based QuantumScape claims its solid-state batteries with lithium-metal anodes achieve 80 percent charge in less than 15 minutes. The company, which has a JV with Volkswagen for battery supplies and counts the likes of Bill Gates among its backers, saw 2019 Nobel Prize (Chemistry) winner Dr Stanley Whittingham validate its tech. In an exclusive interview, Chief Marketing Officer Asim Hussain details the firm's plans, future roadmap and partnerships. An interview by Nilesh Wadhwa.

QuantumScape aims to redefine the frontier of battery tech with its solid-state batteries and lithium-metal anodes.

What is the genesis of develop and commercialise time last December . before finalising on the QuantumScape and how better EV batteries. The QuantumScape solid-state lithium-metal has the progress been? We quickly arrived at the battery architecture will batteries? Our co-founder and CEO, decision that the solid-state address fundamental We examined numerous Jagdeep Singh, bought a lithium battery would be issues that are holding back chemistries and materials and Tesla Roadster in the late the best technology for 'Our investors widespread adoption of high- their various combinations 2000s. That got him thinking the step change in battery share a common energy density solid-state across millions of tests in about how to overcome the performance we were trying batteries for EVs, including order to find the right solid- limitations of battery life and to achieve. After 10 years goal: to try and charge time (current density), state separator material performance to make EVs of hard work with some of electrify the cycle life, safety and operating to make the solid-state more practical and attractive the best battery scientists transportation temperature. lithium-metal architecture. for masses. He began working and engineers in the world, sector to reduce This enables our battery with other technical experts we achieved significant What were the different technology to utilise a solid- at Stanford and founded breakthrough that we shared greenhouse gases battery chemistries state separator paired with QuantumScape in 2010 to with the world for the first and pollution.' that were looked into a lithium-metal anode. The

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Interview - QuantumScape AD Feb 7.indd 36 2/11/2021 3:38:28 PM INTERVIEW

Founder and CEO Jagdeep Singh began working with other experts at Stanford and The QuantumScape lab. There are around 200 staff currently working at QuantumScape founded QuantumScape in 2010 to develop and commercialise better EV batteries. and the initial investment in the company thus far is over $300 million (Rs 2,220 crore).

battery as manufactured will reduce GHGs and pollution. battery or alternative solid- chemistry and architecture be anode-free in a discharged They understand that in order state approaches are capable and now have to focus on state and require no lithium for mass-market adoption of of delivering. In addition, the engineering aspects of besides what is present in the EVs, critical improvements our battery technology is manufacturing multi-layer cathode as the lithium-metal in battery performance capable of lasting hundreds cells and EV battery packs at anode will form in-situ when is required. Based on ‘Our battery of thousands of miles, and automotive scale. charged. this, they recognised that is designed to operate at a QuantumScape’s solid-state technology is wide range of temperatures, Are there any other How big is the lithium-metal batteries have designed to increasing the durability of battery chemistries that QuantumScape team and the potential to provide the operate at a current EV batteries. you are looking at which how much investment performance levels to be may disrupt the market? has already gone competitive with internal wide range of What are the challenges We are fully focused on towards developing this combustion engines to temperatures, to accelerate the solid-state as the best option technology? accelerate the transition to increasing development time for your for better performing EV There are around 200 EVs. the durability solid-state batteries? batteries. We are confident staff currently working at With any new technology, that it is the best option QuantumScape and we have Do you think the global EV of current EV there are challenges. We for making necessary invested over $300 million market will continue to batteries.’ have developed the battery improvements but expect (Rs 2,220 crore) till date. look at lithium-ion battery technology to mature and QuantumScape has not switch to some other received overwhelming alternatives? response from the likes The global EV market will of Bill Gates -backed grow at a rapid pace as only Breakthrough Energy about two percent of vehicles Ventures, Volkswagen, are electric today. There Qatar’s sovereign wealth will probably be multiple fund, Stanford University battery technologies for and Continental. What different applications as were the key factors that the EV transition occurs. helped convince these We believe that we have a organisations? compelling opportunity to We cannot speak for them make a big impact in the EV but would suggest that our market as our technology investors share a common enables a 15-minute charge to goal to try and electrify the 80 percent capacity — faster QuantumScape is likely to start production of solid-state batteries from 2025 and it has a partnership transportation sector to than either a conventional with Volkswagen. Their JV aims to enable an industrial level of production of solid-state batteries.

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Interview - QuantumScape AD Feb 7.indd 37 2/11/2021 11:21:22 AM

AD.inddSUB.indd 16 16 10/12/202029-01-2021 4:21:01 15:41:50 PM INTERVIEW

30 SECONDS ON . . . QUANTUMSCAPE'S TECHNOLOGY QUANTUMSCAPE’S TEAM of scientists have worked over the past decade to create the next generation of battery technology: solid-state batteries with lithium-metal anodes. With processes and materials protected by over 200 patents and applications, QuantumScape’s proprietary solid-state separator replaces the Conventional Li-ion batteries use liquid electrolytic solution. organic separator used in The electrolyte allows current flow between anode and cathode. conventional cells, enabling the elimination of the carbon or carbon/silicon anode and the realisation of an ‘anode-

VOLKSWAGEN less’ architecture, with zero Dr Stanley Whittingham, co-inventor of the lithium-ion battery excess lithium. and 2019 Nobel Prize winner (Chemistry): “If QuantumScape In such an architecture, can get this technology into mass production, it holds the an anode of pure metallic potential to transform the industry.” lithium is formed in-situ when the finished cell is other battery tech to advance complexity and challenges charged, rather than when too. Between EVs and other involved to create a the cell is produced. Unlike applications that are crucially breakthrough in battery conventional lithium-ion QuantumScape’s solid-state separator replaces the conventional important to addressing the performance. He recently batteries or some other organic separator. This enables ‘anode-less’ architecture. climate crisis, we expect to said, “The hardest part solid-state designs, this see multiple technologies about making a working architecture delivers advancing, gradually solid-state battery is the high energy density while optimising for specific need to simultaneously enabling lower material applications as electrification meet the requirements of costs and simplified expands across sectors. high energy density (1,000 manufacturing. Wh/L), fast charge (i.e., high Beyond its ability to Does your early current density), long cycle function at high rates of partnership and life (greater than 800 cycles), power while delivering commitment to and wide temperature-range high energy density, other provide batteries to the operation. This data shows key characteristics of Volkswagen Group by QuantumScape’s cells meet QuantumScape’s solid- 2025 deter other all of these requirements, state lithium-metal battery QuantumScape's architecture delivers high energy density while enabling lower material costs and simplified manufacturing. potential customers? something that has never technology include: Volkswagen has been a before been reported. If lHigher energy density: In cells, the battery technology percent capacity retention. tremendous partner for us QuantumScape can get addition to eliminating the is designed to last hundreds lLow-temperature and we expect to have our this technology into mass carbon or carbon/silicon of thousands of miles of operation: QuantumScape’s batteries in their vehicles first. production, it holds the anode, QuantumScape’s driving. Alternative solid- solid-state separator is We still expect many other potential to transform the solid-state design further state approaches with a designed to operate at a automakers to be interested industry.” increases energy density lithium metal anode typically wide range of temperatures, in partnering with us to adopt because it uses no excess have not demonstrated the and it has been tested our technology and that may Will you be open to lithium on the anode. ability to work reliably at to -30 degrees Celsius, also happen in the future. working or sharing your Some previous attempts close to room temperatures temperatures that render tech with other companies at solid-state batteries (30 deg Celsius) with zero some other solid-state How does a testimonial by to help mass production? used a lithium foil or other excess lithium at high designs inoperable. Dr Stanley Whittingham, We are already working deposited-lithium anode, current densities (>3mAh/ the co-inventor of the with Volkswagen in a which reduces energy cm2) for more than a few lSafety: QuantumScape’s lithium-ion battery and joint venture to scale our density. hundred cycles, and result solid-state separator winner of the 2019 Nobel manufacturing capabilities. in a short-circuit or capacity is noncombustible and Prize in Chemistry, help We expect that there will be lLong life: Because loss before the life target is isolates the anode from the QuantumScape’s cause? numerous opportunities it eliminates the side met. Recent tests show that cathode even at very high We are very proud to have to collaborate with reaction between the QuantumScape’s battery temperatures — much higher Dr Stanley Whittingham partners and customers liquid electrolyte and the technology is capable than conventional organic validate our technology as we commercialise our carbon in the anode of of running for over 800 separators used in lithium- as someone who truly technology and begin the conventional lithium-ion cycles with greater than 80 ion batteries. understands the technical mass production process. n

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Interview - QuantumScape AD Feb 7.indd 39 2/11/2021 11:22:53 AM BY INVITATION

THREE LAYERS: THE AUTOMOTIVE INDUSTRY’S RADICAL FUTURE STRUCTURE By Daniel Barel, Co-Founder and CEO, REE Automotive

REE’s innovative tech enables fully-flat and modular EV platforms that can carry more passengers, cargo and batteries as compared to conventional electric or IC vehicles.

WHEN HENRY FORD first built cars, production of REE Co-founder and CEO believes that the automotive everything happened under one roof because there industry is headed towards a new structure, 'three-layer wasn’t an alternative. Demand for the Model T was so concept' to offer customised vehicle-specific solutions. high that Ford concentrated solely on building that service provider. For example, when Amazon or DHL vehicle, famously stating “A customer can have a car deliver parcels, the logo on the side of the vehicle painted any colour he wants as long as it's black.” makes the service provider’s brand more powerful than The automotive supply chain was born because Ford the makers of the vehicle. realised that to grow, you have to outsource. Some years Some OEMs are also finding it difficult to later, Toyota established Just-In-Time (JIT) moving the design for the future as the shift is happening automotive supply chain forward again. Now, decades so fast. Before, they were able to forecast later, the industry is undergoing another seismic change. 10-15 years, and design platforms to suit Whereas OEMs follow a traditional outsourcing — but they now run a big risk of being process for ICE cars, the electric vehicle (EV) supply left behind, with new mobility players chain is far more disruptive. This means, with the global emerging rapidly. With the traditional shift in mobility taking place, brands that once resided model of OEM, Tier 1 and Tier 2 with the OEM on a physical vehicle, are moving to the outdated, a new structure is required.

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Guest Column - Dnaiel Barel REE Auto AD - Feb 7.indd 40 2/12/2021 11:39:42 AM GUEST COLUMN

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The three-layers concept REEcorner (top left) integrates provide their customers with a revolutionary product. REE, the pioneering e-mobility technology company, all drivetrain, powertrain, Our REEcorner disruptive technology integrates all believes that the automotive industry is headed towards suspension and steering drivetrain, suspension and steering components into a new structure, what I term ‘The three-layers concept’. components into wheel arch, the arch of the wheel — a by-wire control system that We’ve spent many years thinking about this new enabling the REEboard, a enables a totally flat EV platform offering more room fully flat and modular electric structure and believe that the automotive industry will chassis. REE platform provides for passengers, cargo and batteries. Our EV platforms evolve and can be roughly delineated into three layers, customers full design freedom are modular and scalable and support any cabin design. including: to create the broadest range of The smart mobility platforms are geared to serve as the EV and autonomous vehicles. underpinning for the second and third layers, enabling l First Layer — EV Platform Provider: the developer of any application and service. the EV chassis — the blank canvas on which services and ‘NOT ONE The future of e-mobility will see changes in who is applications will be run on. participating in each layer, an increase in the degree of COMPANY, AS interactions between layers and the emergence of new l Second Layer — Service Provider: The developer and LARGE AND AS partnerships will be required to meet the challenges operator of the service (for instance, Amazon or DHL). INFLUENTIAL AS IT this new model presents. The more seamlessly systems MAY BE, CAN LEAD can interact across layers by respective experts in each, l Third Layer — Data Provider: The provider of the ALL THREE LAYERS. the greater value that can be provided to the end user; communication, cloud computing and cyber security that multidimensional data analysis will provide insights and this new world vitally needs. NEW MOBILITY recommendations for operational parameters such as ENTRANTS MUST route optimisation, preventative maintenance AI, battery Ultimately, all the layers will operate as one to provide CONCENTRATE management, insurance, and aftersales services to mission-specific vehicles tailored to customers’ exact ON ONE LAYER TO achieve efficiencies and improvements we would never needs and requirements. PROVIDE THEIR have previously imagined. History tells us that the pioneers who are first to Henry Ford’s approach to manufacturing made him conquer these markets will be the next giants — but the CUSTOMERS WITH a true pioneer. But if once the motto was 'any colour key is focus. Not one company, as large and as influential A REVOLUTIONARY car as long as it is black', then REE Automotive’s future as it may be, can lead all three layers. New mobility PRODUCT.’ vision is more 'You can have any vehicle you like. No entrants must concentrate on one layer in order to matter what the colour'. n

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Guest Column - Dnaiel Barel REE Auto AD - Feb 7.indd 41 2/11/2021 11:30:23 AM E-MOBILITY Earth Energy EV: aiming to be a disruptive force Mumbai-based start-up, which launched three EVs — a scooter and two motorcycles — on February 3 and also has an e-LCV in the pipeline, is eyeing volumes with mass-market affordable B2C and B2B products. Nilesh Wadhwa has the details on how it plans to win the volume game in the EV market.

ecurity is mostly a team of 27 individuals superstition. It does working at its Mumbai Snot exist in nature, R&D and batch production nor do the children of men facility. as a whole experience The company held it. Avoiding danger is no a closed-door event safer in the long run than on January 26, 2021, outright exposure. Life is for potential investors, either a daring adventure customers, dealers, or nothing,” said Helen and distributors, where Keller, an American it showcased three author, disability rights electric vehicles — advocate, political activist EvolveR, EvolveZ cruiser and lecturer. It's a quote motorcycles and Glyde+ which quite resonates e-scooter. The products the thoughts of a start-up were virtually launched entrepreneur. on February 3, at Rs Like the IT boom in 142,000, Rs 130,000 and the 1990s and 2000s, Rs 92,000 respectively. All the electric vehicle the products come with (EV) industry in India a five-inch TFT screen and worldwide are as standard, Bluetooth- seeing massive interest connectivity, one-button from governments, service menu among other entrepreneurs and also features. increasingly consumers. Speaking about these, Not a day goes by without Shenghani says Earth some EV news, local or Energy EV is in “a very international, making the different genre with headlines. On February 3, our offerings and is not it was the turn of Mumbai- directly competing with based Earth Energy EV, a any start-ups head-on. Earth Energy EV’s first products are the EvolveR and EvolveZ electric cruisers and Glyde+ e-scooter start-up founded in 2017 We believe that the priced at Rs 142,000, Rs 130,000 and Rs 92,000 respectively. More products are in the offing. by Rushi Shenghani, to upcoming launches from make news. other OEMs will definitely EARTH ENERGY: TARGETING THE MASS MARKET Shenghani says the idea be a challenge, but the of the start-up was born market is big enough and l By using a modular platform, Earth Energy EV says it has been able to achieve 28% cost during his college days filled with a multitude of reduction in new product development. with “a team focusing on consumers with various l Tie-ups with Tier 1 and 2 suppliers enables 96 percent localisation and in turn eligibility for hybrid drives for buying patterns. Our the FAME II subsidy. electric two-wheelers, agile approach towards l The EvolveR, EvolveZ cruiser e-motorcycles and Glyde+ e-scooter come with a five-inch which later evolved innovation and the TFT screen as standard, Bluetooth-connectivity and one-button service menu. to making India’s first ability to push across live l The start-up aims to expand manufacturing capacity at its plant in Vasai, on the outskirts of electric cruiser motorcycle updates to the vehicles Mumbai, from the existing 12,000 units to 65,000 units per annum. enables us to redefine our (originally planned for l Has seven dealerships in Mumbai, plans to have 45 dealerships across India by end-2021. launch the same year).” At offerings compared to the l Claims the smart two-wheelers will require just bi-annual maintenance for first two years. present, the company has competition.”

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E-Mobility - Earth Energy AD Feb 10.indd 42 2/11/2021 11:37:19 AM EARTH ENERGY EV

FAME II-ready with 96 percent localisation One of the crucial challenges for start-ups has been to develop relationships with established suppliers and have an ecosystem to support their growth. Shenghani reveals that Earth Energy EV has already established relationships and has tied up with leading Tier 1 and Tier 2 suppliers, which will enable 96 percent localisation for its products, which is one of the key criteria to be eligible for the FAME II subsidy. He said, “We have two major Tier 1 and Tier 2 OEMs of renowned auto companies among our investors who have reinvested in our ongoing rounds as well. We have raised couple of crores till date, over and above the intangible strategic non- cash investments from our partners in terms of development and tooling costs.” At present, the company has a manufacturing facility in Vasai, on the outskirts of Mumbai, with Pilot study and Rushi Shengani: “Our agile a production capacity of key learnings approach towards innovation 12,000 units per annum. Before venturing into its and the ability to push across live updates to the vehicles The plan is to expand own product development, enables us to redefine capacity to 65,000 units. the company conducted our offerings versus the When asked what a pilot study with competition.” differentiates Earth Energy seven prototypes over from other players and 250,000km and 200 how is it possible for the Chinese electric scooters company to be able to with eight dealers in launch a slew of products Gujarat. This exercise A 5-inch TFT screen in at one go, Shenghani helped the company the electric two-wheelers connects with the customer's replies, “Our modular develop an in-depth smartphone and delivers platform revolves around understanding about the additional features such as a common aluminium cast overall EV business. turn-by-turn navigation, trip monocoque chassis fixed Shenghani lists out history, music control and call with multiple structural the key learnings of the notification among others. members determining the pilot in two broad areas class of the vehicle. While — technological learnings the basic aluminium cast and sales, marketing and EARTH ENERGY'S NEW LAUNCHES is the same in the cruiser aftersales servicing. He Segment Name Peak Power Torque Battery and commuter bike, the says, it is “always beneficial Electric motorcycle EvolveR 12.5 kW 54 Nm 115Ah angle and the underseat to outsource non-critical members determine components — a non- Electric motorcycle EvolveZ 5.3kW 56 Nm 96Ah the class. All the drive critical component for you Electric scooter Glyde+ 2.4kW 26 Nm 52Ah architecture is housed in may actually be someone Electric LCV LoadEX* 28-36 kW NA Customised the common structure, else’s only business and *Payload capacity: 800kg; maximum payload: 1,100kg making it interoperable.” they can do it better and

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E-Mobility - Earth Energy AD Feb 10.indd 43 2/11/2021 11:37:49 AM E-MOBILITY

smart vehicles with very competent hardware designed and developed ground-up for the Indian consumer. The pricing of the scooters is going to be in the common high- speed scooter range with the features of a smart scooter (read Ather). Our vehicles boast accurate range prediction and fool- proof communication architecture. In terms of motorcycles, we are the only indigenous e-motorcycle company as of now in the market and India’s only electric cruiser motorcycle manufacturer. We are aiming to keep our EVs very focused cheaper than allocating our towards the mass adoption in-house resources. There as opposed to niche is no crime in learning from segments that hurts both the previous prototype the consumers and brand and even changing the image alike,” explained entire genre all together Shenghani while detailing to accommodate a major the retail strategy. technical advantage. In terms of timeline, Our adventure tourer Earth Energy EV will begin (e-motorcycle) got sales in select local markets converted into a cruiser to — West and South India, accommodate the market starting from Mumbai, fit results and dynamics Pune, Nashik, Alibaug, constraints with pricing Vadodara, Surat, Telangana with the Indian OEMs. and — through Getting vehicles on the select dealerships. While road for trials as soon as the e-scooter is expected possible while designing to enter commercial them is the best way to production in the first save time in the production week of February 2021, alignment phase.” the two motorcycles will For the second part enter production by end- he says, “Never trust March. The demo vehicles one distributor to keep have been available at the sales rolling in. They the company dealerships believe in the dump-and- from the first week of forget game where they February. To further enable make numerous dealers/ charging infrastructure, the MBOs to clear their stock connect with the customer Earth Energy EV plans to the premium route. In company says each dealer without worrying about than relying only on the launch a total of six EVs in fact, Earth Energy EV will install at least four return stock which is dealer. It is sad but true CY2021, including the three plans to launch a total of chargers (three slow and the ground reality. You that our low-speed scooter products that were showcased six EVs in this calendar one fast charge) to enable may be making a product customers still recognise it earlier this month and an year, including the three customers to benefit from upcoming e-LCV christened and you may love it but with ‘Batterywala scooter’ LoadEX (top). products that were the company’s network. eventually the sales will rather than the Earth showcased earlier this Earth Energy EV is be governed by margins. Energy Kruze.” month and an upcoming targeting sales of 12,000 Keeping the unit margins e-LCV christened LoadEX units in the first year. in check to accommodate Targeting B2C and among others. While most of the EV the dealers cut is of B2B customers alike “The vehicles we start-up stories have born utmost importance, in The young start-up launched on February 3 are in Karnataka, Tamil Nadu fact even more than your company is clear about in the light and heavy two- and NCR, this looks to production margins. It its target segment — wheeler segments (read be the first one from the is always a wise thing to mass-market appeal scooter and motorcycles). country’s financial capital. invest in making a brand over the glitter of going These are poised to be Over to EV buyers now. n

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E-Mobility - Earth Energy AD Feb 10.indd 44 2/11/2021 1:28:01 PM E-MOBILITY Zeon plugs into EV charging business Tiruppur-based Zeon Charging is focusing on growing its fast-charging footprint in South India first before it expands to other parts of the country. Sricharan R reports on the company's plans.

ven as the new eco- and MG’s ZS EV drawing friendly motoring buyers too, there is quite Edynamic of electric a buzz in the market. On vehicles (EVs) grows in January 11 came the news India, there continue to of the Tiruppur-based Zeon be challenges. Given the Charging inaugurating an current wallet-busting EV charging outlet, the first prices of petrol and diesel of many to come in the fuel, many motorists would state and targeted at four- like to buy an EV tomorrow, wheeled EV owners. if only they could solve The company opened the issue of convenient Tamil Nadu’s first 50 Kw charging. What if the EV DC fast charging station runs out of ‘juice’ en route on the Bangalore-Salem- — the vexing issue of ‘range Coimbatore-Kochi highway anxiety’ is the bugbear at Sankagiri, Salem, Tamil here, as it has been in many Nadu. The location, which developed countries. It’s no is approximately 136km different in India. from Coimbatore, 30km With the Central and from Salem, 228km from many state governments Bangalore, has an EV lounge offering incentives to for EV owners to relax while industry and EV buyers, their car is fast charged the EV and e-mobility story for their onward journey. in India is now gathering Apart from the lounge, this pace albeit more in the location has Sree Saravana two- and three-wheeler Bhavan a high quality Zeon Charging’s 50 KW CCS CHARGING AN ELECTRIC OPPORTUNITY / CHAdeMO DC fast public segments as compared to restaurant, coffee shop, l On January 11, Zeon installed a 50 kW DC passenger vehicles. Much ATM, retail outlets and charging stations at Salem, Tamil Nadu fast charging station on the Bangalore-Salem- of the news has been from clean toilets. Like a number Coimbatore-Kochi highway at Sankagiri. South India. The traditional of other EV infrastructure l Around 250 EVs have been charged, by two fast automotive hub of Tamil players including Tata chargers, over the past two months. Nadu, which is seeing Power, Zeon plans to install l The chargers are unmanned and customers have to considerable industrial fast chargers at convenient download an app which helps them to find chargers, activity in the new world locations throughout the check availability, make a reservation, and navigate of e-mobility, has hogged nation. All of Zeon’s to the charger’s location. all the headlines in the To know more about the chargers are l Zeon plans to install chargers at 16 locations in past month. This included company’s plans, Autocar Tamil Nadu including Krishnagiri, Vellore, Villupuram, the announcement of Professional spoke to KP unmanned and Trichy, Madurai and Karur. Ola Electric setting up a Karthikeyan, managing customers have to l Future plans include chargers in major cities in South 2-million-units-per-annum director, Zeon Charging. download an app, India and along the highways connecting these cities Rs 2,400 crore plant in “We have signed up four in the next six months. the state or established locations in Karnataka which details the e-scooter maker Ather to set up fast chargers at location, enables Energy’s new plant in places between Bangalore reservation and concentrate on strategic Nadu including Krishnagiri, going on stream. With the and Mysore. We are places between highways. Vellore, Villupuram, Trichy, game-changing Tata Nexon also setting up chargers EV charging, and Around 16 locations are Madurai, Karur. Connecting EV seeing surging demand in Kerala as we mostly also the payment. being planned in Tamil Bangalore to Pune,

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E-Mobility - Zeon Charging AD Jan 10.indd 45 2/11/2021 11:42:43 AM E-MOBILITY

Mangalore, Hyderabad are European markets like India’s best-selling EVs — Tata at home, it makes little we expected. And, we are in the pipeline too,” he says. Norway are much smaller Nexon EV, MG ZS EV and sense to set up charging getting customers on a daily All of Zeon’s chargers than India which comes Hyundai Kona — at the Zeon stations in fuel bunks. It basis. Also, EV adoption station. will be unmanned and with its own unique takes around 20-50 minutes has been higher. As of now, customers have to requirements as well as to charge a car and this between the two chargers download an app which highly cost-conscious depends on both the size of in Coimbatore and Salem, helps them to find chargers, consumers. the battery and the charger there were around 250 check their availability, According to Zeon they are charging with. sessions of charging in the make a reservation, and Charging’s Karthikeyan, This made the company first two months. The price navigate to reach the the EV charging market set up fast chargers at will keep on changing as the charger location. Once in India is evolving and strategic locations. Zeon current pricing is not final there, they can plug in their only a few players are says it has been working yet. Most of our capex has EV, initiate charging activity engaged in setting up the routes for six months been invested to bring more and pay through the app. infrastructure. There are before it inaugurated the chargers on the ground,” “We are trying to some government-funded first charging station at concludes Karthikeyan. strengthen our software chargers too. “The right Sankagiri, Salem. From a growth capability. We are trying to requirement of chargers and In the first phase, the perspective, Zeon will make it more customer- the number of cars in the company has invested have to move fast if it is friendly. All our chargers are market is not of the same Karthikeyan: “All our chargers around Rs 4 crore. It plans to make a mark in the EV being imported from the ratio. This brings in a huge are imported from the to complete the first phase charging infrastructure and Hungary. Netherlands and Hungary, opportunity,” he points out. We are also working with by the first quarter of 2021. industry. While the move and we are trying to make “It’s also a chicken-and- two domestic manufacturers Zeon also has plans to come to target expansion in them more suitable for the egg story. When a customer and have applied for FAME II up with a franchise model South India is a good one, Indian market. We are also buys an , the subsidy.” solution, where landowners speedy installation of the working with two domestic biggest issue is about and others can set up company’s fast chargers manufacturers and have charging it. Charge Point Zeon Charging recently charging stations. These across 16 locations will help applied for the FAME II Operators (CPO) will ask car opened Coimbatore’s first will be part of the Zeon increase ease of use to EV subsidy,” says Karthikeyan. manufacturers to sell more 25Kw DC fast charging station ecosystem too. owners as also provide cost- cars and they, in turn, ask which can charge EVs within “The response has benefit analysis of taking Chicken-and-egg story the CPO to set up charging 40 to 60 minutes. been much better than the business across India. n Electric vehicles and range stations. Somebody had to anxiety go hand in hand take the first step and we and the lack of a well- thought we would do that. established EV charging We are pretty clear that we infrastructure has, until would not be breaking even now, hampered greater or make money for the first and speedier adoption of two years. We are giving the eco-friendly vehicles. confidence in the market Some developed markets by setting up chargers,” says like Norway, where EVs are Karthikeyan. outselling fossil-fuelled To make sure that it is vehicles, are dotted with fast making a difference to the chargers on well-travelled e-mobility eco-system, Zeon routes negating range Charging says it is putting anxiety issues and making in a lot of thought on where e-mobility a pleasant to set up the chargers. As 70 experience. However, percent of EVs are charged

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E-Mobility - Zeon Charging AD Jan 10.indd 46 2/11/2021 12:40:06 PM RNIRNI registration registration No. No. MAHENG/2006/17345, MAHENG/2006/17345, Postal Postal Regn. Regn. No. MCE/117/2021-2023. No. MCE/117/2021-2023. Posted at Posted Mumbai at Patrika Mumbai Channel Patrika sorting Channel office sorting on 1st office & 2nd, 15thon 1st & 16th& 2nd, of every month. Publishing15th & 16th dates: of every 1st & month.15th of every Publishing month. dates: WPP License 1st & 15th No. MR/TECH/WPP-277/EAST/2021-2023.of every month. WPP License No. MR/TECH/WPP-277/EAST/2021-2023.

www.autocarpro.in 15 January 2021 Autocar Professional 47 15 November1515 October February 2020 2020 2021 Autocar Autocar Autocar Professional Professional Professional 55 63 47 intoreum.inddINDUCTOTHERM.inddad.inddAD.inddINDUCOTRUM.inddAD.indd 17 16 16 16 5 16 8/6/20206/30/202010/28/20209/28/20202/26/202028-01-2021 12:23:03 1:51:53 1:50:067:26:54 2:03:06 18:31:16 PMPM PM AD.inddAD.indd 1616 27-11-202030-12-2020 15:49:1809:33:17 AD.inddAD.inddINDUTOREM.inddAD.indd 16 1616 5 2/11/202110/12/20201/27/202011-11-2020 12:27:07 3:05:364:18:06 15:34:45 PMPM RNI registration No. MAHENG/2006/17345, Postal Regn. No. MCE/117/2021-2023. Posted at Mumbai Patrika Channel sorting office on 1st & 2nd, 15th & 16th of every month. Publishing dates: 1st & 15th of every month. WPP License No. MR/TECH/WPP-277/EAST/2021-2023.

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NMB MINEBEA INDIA PRIVATE LIMITED Head O ce: Level - 6, Regus, JMD Regent Square, M.G.Road, Gurgaon - 122002, , India. Tel: +91-124-488-3776, FAX: +91-124-471-2001 Chennai: Level - 2, Regus, ALTUS Block, Olympia Tech. Park, , Chennai - 600032, India. Tel: +91-44-4299 4215, Fax: +91-44-4299-4300 Pune: Level - 4, Regus, Prabhavee Tech Park, Baner, Pune - 411045, Maharashtra, India. Tel: +91-20-6723-5890, Fax: +91-20-6723-6161 www.minebea.co.in E-mail: [email protected]

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