Auto sector in India is switching gears at a good speed but there is no doubt that it needs higher speeds, very good and timely 'engine oil' of innovations to keep it run smoothly. This blog here is about the major trends in the present Auto sector on the roads...
This is an article below is from www.msn.com which speaks about
Ambassador to get a makeover
Kolkata: The first prototype of a new variant of the Ambassador, the flagship car of the C.K. Birla group-owned Hindustan Motors, will be out by this December, a senior company official said
'Our promise to introduce a new variant of Ambassador is very much on track and its prototype will come out this December. And by the first quarter of the next fiscal we will be able to launch the new variants,' the firm's managing director Manoj Jha told reporters after the inauguration of the Hindustan Motors pavilion at the second Regional Auto Show East.
'All the new variants of the Ambassador will be available with an engine size ranging between 1500 cc to 2000 cc,' he said
He also said in the previous fiscal, the company had sold 8,000 units of the Ambassador, while it expects the sales to cross 10,000 units this fiscal.
'The company is mulling options to manufacture a hatchback car in the coming months. However, the manufacture of the car will be based mainly on the feedback from customers and we will introduce a totally new variant of ambassador, the design of which is being done by a Pune based company,' Jha said.
Hindustan Motors, which had launched the diesel and CNG variants of its light commercial vehicle (LCV), Winner XD, will also manufacture two tonne payload capacity LCVs in the coming months.
'We are looking for a pan India presence with the introduction of the new variants. By next year we plan to double the number of dealers,' Jha said.
Brushing aside concerns over the Rs.70 crore debts that the company has already run up, Jha maintained that for a company of HM's size, the debt figure was 'nothing catastrophic'.
'If the current trend of increase in price of raw materials continues, HM will be forced to pass on the cost to the customers. In October this year, the company has already increased the price of its cars between Rs.2,000 and Rs 3,000,' added Jha.
Sougat Sen, senior director SIAM, said: 'The car makers were being hit by rising input prices. However, there has been no corresponding increase in the price of cars which made it all the more difficult for them to sustain it.'
The following article is also from www.msn.com.
'Tata Nano deserves a better chance'
Tata Motors is currently putting in place new measures to offer more safety for Nano. The company's managing director–India operations PM Telang in an interaction with FE’s Shweta Bhanot expresses discontent with the way Nano is perceived in the market and about the company's plans on Jaguar & Land Rover.
Are you content the way Nano is portrayed in the market?
I personally believe it deserves a better chance. It is a path-breaking vehicle and is going to do wonders for India. I would have been happy if the media was more supportive of this initiative. In many parts of the world, Nano is seen as a big threat. Any adverse comment picked up by international media can portray Nano, in their language, as a cheap vehicle in which safety is compromised. This is unfortunate. Nano meets all the safety standards of international expectations in terms of crash, safety and quality. We have gone overboard to overcome this stigma — compromise on safety. We have prepared the car for even the unusual circumstances by offering additional safety measures.
Has this in any way delayed your global plans for Nano? By when will the Nano be launched in Europe?
It will take more than a year for the Europe launch.
When are you planning to introduce 800 cc Nano?
We are currently working on an 800 cc diesel engine Nano and the plan is to share the engine between the Ace category of vehicles and the Nano. There is no time frame for the launch as yet.
Can you sketch out the plans of Tata Motors with Jaguar Land Rover (JLR) in phase II?
We like to keep the individuality of the acquired company alive and the best examples could be the Tata Hispano and Tata Daewoo. Our approach has been to look at areas of synergies to work together with the acquired companies. We will be undertaking the same approach with JLR and identify areas of synergies. We clearly see opportunities in overall workmanship, aesthetics and upgrading of our vehicles. JLR, on the other hand, can look at advantages of low engineering and component cost with us. The intention is to make sure that both the partners feel comfortable with the pace of progress. We are looking at possibilities of working together in India and the first such project will be the assembly of Freelander 2 early next year from our Pune plant. We have also looking at the possibility of joint engine development programme that suits requirements of both the partners. For our passenger vehicles requirements, we would like bigger size engine of something like 2 litre, while JLR is seriously looking at downsizing its engines to meet the CO2 emission standards. There will be common playing field somewhere in this area.
Your Korean venture, Tata Daewoo, has seen its profits more than halve in the September quarter over the last year. What have been the reasons for its bad performance?
Tata Daewoo is struggling with some challenges at its home front. One of the problems was that when Daewoo operations had collapsed, there were three wings of automobile including trucks which was taken over by Tata Motors, cars by General Motors and bus wing by another independent company. However, at that time all had decided to stay with Daewoo's sales company - Daewoo Motor Sales Corporation for marketing and distribution. This company has got into financial problem in the last few months and everyone decided to go independent. We have set up a new distribution company, a 100% subsidiary of Tata Daewoo Commercial Vehicles, to look into the marketing and distribution and therefore this transition has impacted the business.
Coming to the home front, your partnership with Fiat is seen to be going through some glitches including high dealer attrition. What is your view on it?
There is no rift with Fiat and we are committed to promote the Fiat brand. There are challenges as there has been legacy attached with the Fiat brand and it will be difficult to erase it so quickly. But we are working towards it. As far as dealer attrition is concerned, competition has increased and poaching will happen but it is not a matter of concern.
Do you see a need for a greenfield plant in the short to medium term?
We don't see a need for a greenfield plant today and the reason being we have already taken advance actions at our Lucknow and Jamshedpur plants. There is enough headroom to grow. It is only the Ace category of products that are facing capacity constraint and we feel that 2.5 lakh unit per annum capacity is not enough at Pantnagar plant in Uttarakhand. Therefore, we are increasing the capacity to 3 lakh units per annum through de-bottlenecking by the fourth quarter of this financial year. This will be the phase one. In the second phase, we plan to produce Ace family from our Dharward plant in Karnataka. We are setting up a full-fledged facility for Ace range of products there. Our studies show that 65% of the demand for Ace category of products comes from west and south region and this fits it well.
Source: Financial Express
