Saturday, January 16, 2010

Maruti Suzuki affects price hike effective Jan 16, 2010

Maruti Suzuki India has effected price increase of its car models but restricted that increase to less than one per cent. The hike has left models like recently launched Eeco, Swift (Petrol) and Gypsy models untouched. As claimed by the company the increase is to partly recover the increase in the input costs arising out of raw material costs over the past one year. For some models the increase in the costs are being absorbed by the company, in the light of market situation.

 

The price increase varies from 0.12 per cent (Ritz VDi) to 1.90 per cent (Dzire LXi). For the affected models, the average increase in prices is around 0.6 percent.

 

The diesel variants of Swift and Swift DZire will continue to be BS III compliant and not BSIV yet as claimed in some quarters. The introductory prices for the refreshed Estilo, which was introduced in August 2009, stand withdrawn. The new prices for Estilo variants increase by Rs 1,243/- to Rs 2,486/-.

 

All  the new price are effective 16th of January 2010.

 



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It is confirmed that small car Nano would be retailed in the US for around $ 5,000

The world's cheapest car, Tata Nano is expected to keep its claim by also being the cheapest in the US as well. PTI reports that the small car being showcased by the Tatas is expected to be retailed there at around US$ 500. It is being displayed at the Detroit Motor Show by Tata Technologies at its 'Better Innovation' event at the Detroit Science Center. Tata Motors' chairman, Ratan Tata while speaking at the Delhi Auto Expo had also confirmed that his company was working on a Nano variant for the American market.

Addressing a press conference at the Auto Expo, Ratan Tata, chairman of Tata Motors said, "We also recognise there is a market for the Nano not only in developing countries, but possibly in the developed countries. For the United States we need a car which has a larger engine and we need additional crash test modifications and we are in the process of doing it. We should be there in about three years."

It is to be mentioned that the Tata Nano was introduced at the Delhi Auto Show in January, 2008 and retails for about US$ 2,500 in India. The model on display in Detroit is owned by Tata Technologies and is on loan from its Center for Advanced Engineering and Design in Pune, India. "The innovative thinking that brought the Tata Nano to market is symbolic of what Tata Technologies has to offer the automotive industry," said Warren Harris, Tata Technologies' president and COO. "Tata Technologies was front-and-center in engineering and developing the Nano; working closely with Tata Motors and with a significant number of the Nano project suppliers."


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Commercial vehicle manufacturers upbeat on 2010

After delivering forgettable volumes in the last calendar year, most of the commercial vehiclemaking companies remain upbeat on 2010. This is primarily on account of multiple factors like JNNURM scheme, stimulus by the government, booming infrastructure sector and its allied industries, lenient financing, revival in the economy, new and world-class launches, to name a few.
 
While unveiling its models at the Auto Expo, companies like Tata Motors, Ashok Leyland, and Volvo (both truck and bus making divisions), and the new entrant Mahindra Navistar, are expecting a double digit growth on the back of  8 per cent GDP growth expected by the government. Furthermore, sales of trucks and buses, have gone up by 12.4 per cent in the first eight months to November of the current fiscal year from a 22 percent fall in 2008/09 and firms expect the momentum to get stronger.

Tata Motors, the largest commercial vehicle manufacturer in the country anticipates double-digit growth in sales in 2010-11. Addressing a press conference at the Auto Expo in New Delhi, Ravi Pisharody, president – Commercial Vehicles Business Unit, said that "Clearly we had a very robust period in the last few months. Apart from strong economic fundamentals, the demand had been helped by the availability of finance." He also stated, "The CV financing was available from February-March and the light commercial vehicle segment responded almost immediately. There was a pending demand for the LCVs, but being driven by entrepreneurs, the segment was waiting for liquidity to return to the market. The medium and heavy commercial vehicles took a little longer to pick up, but this was more because of macro-economic factors; the manufacturing and infrastructure sectors were yet to pick up. He also said that the manufacturing sector picked up in July-August and investments started flowing into the infrastructure sector, because of which sales in the medium and heavy truck segment were also picking up. "We see that continuing and we expect the commercial vehicle business to be strong over the next 12 months," said Pisharody.

Ashok Leyland, the second-largest firm in this industry, said it would clock double-digit growth in 2010/11, after selling over 63,000 units in the current year to March, a third more than in 2008/09. 

Volvo Eicher Commercial Vehicle (VECV), a joint venture of Eicher Motors and Sweden's Volvo Group, Rs. 500 crore on enhancing its operations which includes capacity expansion, developing new engine technology and platforms, scaling its its distribution network, etc, as claimed by media reports, quoting company managing director and chief executive Siddhartha Lal who spoke at the tenth Auto Expo at New Delhi on Tuesday. VECV, which which currently rolls out 50,000 vehicles per annum, is aiming a monthly target of 1,000 vehicles from next year.  The company would invest a part of the money on developing new engine technology for its range of commercial vehicles and is aiming at 15-20 per cent share in the heavy-duty segment in five years with the launch of the VE series of trucks.  Lal also said that the company would expand production capacity and develop new engine technology for commercial vehicles as it planned to raise its production capacity to one lakh units per annum by 2015.


In a move to further strengthen the Volvo city bus experience and also re-iterate the company's stance on eco-efficiency, Volvo Buses has introduced the CNG bus for the Indian market. Developed on the strong technology and comfort of the Volvo city bus, this CNG variant is built in India for India by a highly experienced team of experts from Sweden and India.

 A senior official of the company said it is upbeat on domestic as well as the overseas markets. "We're looking at starting exports by the end of next year," said Akash Passey, managing director of Volvo Buses India Pvt. Ltd. The company plans to tap markets in West Asia and Africa. He added that the labour costs are usually 30-35 per cent lower in India than in developed countries and this alone would allow it to price its buses competitively. Volvo already exports buses to India's neighbours, Bangladesh and Sri Lanka, and has sent around 200 buses since it set up shop in India eight years ago. Initially, the company plans to start exporting multi-axle buses and pack in 53 seats, eight more than buses usually have. The extra seats allow fleet operators to recover fuel costs on an inter-city journey.

 
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Cooper Corp earmarks Rs. 300 crore for rolling out LCVs

Cooper Corporation, a pioneering company which built India's first diesel engine and a market leader in centrifugal castings, has said that it will be entering the light commercial vehicle segment and has  earmarked Rs 300 crore to set up a plant and expand facility in Maharashtra in next 18 months. Furthermore, he company has also started developing commercial vehicles with six different variants in 0.5-1.5 tonnes category.

"We are progressively integrating our capability to produce various kinds of modern engines and components, and the next step is to produce vehicles of our own," Cooper Corporation chairman and Managing Director Farrokh N. Cooper said at the 10th Auto Expo in New Delhi. He added, "We have a manufacturing facility at Satara in Maharashtra and at present we are constructing a vehicle plant in the same area. The capacity of the plant will be 20,000 units per year and the company would double its staff strength from the existing 2,000 people for rolling out the light commercial vehicles."  

Cooper Corporation Ltd., has recently announced the launch of India's first Euro IV compliant twin cylinder CRDI diesel engine in technical tie-up with Ricardo, UK. Ricardo is a leading provider of technology, product innovation, engineering solutions and strategic consulting to the world's automotive, transport and energy industries.  These engines are available in gas as well as diesel variants with HPs ranging from 26 to 340; the engines would find application worldwide in areas as diverse as gensets, agriculture, construction equipment, marine and automobiles. The company has also launched state-of-the-art new range of compact gensets of 15 to 25 KVA capacity using these same engines. 
 
Speaking on the occasion, Farrokh N. Cooper, said, "We are delighted to present India's first Euro IV compliant twin cylinder CRDI diesel engine as it validates our focus on technology & innovation. Our technology tie-up with Ricardo has added a global-class to these products and we are confident of a great success in market with these."  

Commenting on the launch and their tie-up with Cooper Corporation, Markus Doerr, managing director, Ricardo Strategic Consulting said, "It gives us immense pleasure to be present in India with such an experienced company such as Cooper Corporation. They show a strong understanding of technology and an excellence in engineering and manufacturing and we are looking forward to response of Indian market for these products."  

The product line-up of Cooper Corporation includes Engines, Automobiles, Cylinder Liners, Cylinder Heads & Cylinder Blocks, Crankshafts, Valve Seat Inserts, Flywheels & Pulleys. It is also one of the leading suppliers of centrifugally cast products which include Cylinder Head Castings, Crank Case, Radiator Tank, Valve Lifter Guide, Adaptor Ring Gear, Pulley Fan, Connecting Rod, Bearing Housing, Cam Bearing and Diaphragm, Cover for Original Equipment Manufacturers (OEMs).  

Cooper Corporation's ceaseless commitment to quality, service and product innovation has consistently kept pace with the changing market needs worldwide. The company's rapid strides in the global market bear testimony to this fact. Cooper Corporation's sales have been growing phenomenally with sales rising from Rs. 87 crore in 2005-06 to Rs. 174 crore in 2008-09. The estimated sales for 2009-10 are Rs. 205 crore. 

Cooper is a market leader in centrifugal castings and has consistently delivered high quality castings for over 75 years. The Cooper commitment to quality and service is it's driving force since inception and something which has enabled the company to scale new heights. The Cooper Group comprises of three companies, spread across a total built-up area of 6,939.97 square meters. Cooper employs over 1600 people comprising engineers, quality control personnel, workmen and administrative staff recruited from the leading educational and technical institutions following a rigorous induction process that strikes a judicious blend of academic expertise and professional exposure.  


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Wabco-TVS expects 10 per cent growth during 2010-11

Auto components maker, Wabco-TVS, has said it is looking for a 10 per cent sales growth during 2010-11 due to the introducion of new products in the Indian market. Participating at its first major industry event since becoming a subsidiary of WABCO in June 2009, WABCO-TVS is presenting pioneering engineering along with its expanded product portfolio. It includes advanced braking systems, innovative active and electronic control systems for commercial vehicles, and improved products and systems for air suspension in passenger cars. WABCO-TVS is also showcasing industry-leading driveline control systems for trucks and buses such as OptiDrive™ automated manual transmission systems, a finalist for the 2010 Automotive News PACE™ Awards, the industry's benchmark for innovation. The company, which produces breaking systems, suspensions, stability and transmission control units for the Indian market, plans to introduce more products.

"Recovery in Indian auto industry was quick from slowdown due to stimulus packages. Next fiscal looks brighter and we are expecting a positive outlook. Moreover, we will be introducing new products in coming months," Wabco-TVS Whole Time Director P Kaniappan said at the 10th Auto Expo in New Delhi. The company is expecting to close the current fiscal on a positive note from last year's Rs 446 crore sales, he added. "As financial recovery has already started, we are hoping for an over 10 per cent growth during the next financial year," Kaniappan said. "By April, we will launch compressors for new engine platforms and will introduce a new transmission system, called opti-drive, by the end of this year," Kaniappan said. These new products are expected to contribute significantly to the company's revenue, he added.

Talking about the Auto Expo he said, " Auto Expo marks another milestone in the growth and global expansion of WABCO-TVS as we move beyond conventional braking and significantly extend our product offering into advanced braking, sophisticated air suspension, electronic vehicle controls, and innovative driveline control systems," said P. Kaniappan, Director, WABCO-TVS (India) Ltd. "We are passionate about helping our customers to advance vehicle and road safety, increase vehicle efficiency and environmental sustainability, improve driver effectiveness, and reduce overall vehicle operating costs."

"Given Auto Expo's comprehensive and record number of exhibitors and visitors , WABCO-TVS expects to meet in India with a widening global group of customers, partners and other industry players as we demonstrate our passion for growth," said Leon Liu, WABCO president, Asia Pacific. "We are also committed to further leverage the well anchored leading position of WABCO-TVS in the local market with WABCO's outstanding capabilities and global network as we maximise value for customers in India and internationally."


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Tata Technologies displays small car Nano for first time at 2010 Detroit Motor Show

Tata Technologies displayed its small car Nano for the first time in North America in Detroit on January 14. Tata Technologies, with regional headquarters in Novi, Michigan, played a key role in engineering the Nano and plans to display its end-to-end vehicle engineering and design capabilities to the entire auto industry,  customers and guests at its 'Better Innovation' event at the Detroit Science Center.

The Tata Nano was introduced at the Delhi Auto Show in January, 2009 and retails for about US$ 2,500 in India. The model on display in Detroit is owned by Tata Technologies and is on loan from its Center for Advanced Engineering and Design in Pune, India.

"The innovative thinking that brought the Tata Nano to market is symbolic of what Tata Technologies has to offer the automotive industry," said Warren Harris, Tata Technologies' President and COO. "Tata Technologies was front-and-center in engineering and developing the Nano; working closely with Tata Motors and with a significant number of the Nano project suppliers."
 
Tata Technologies contributed to more than 18 patents on the Nano project, according to Kevin Fisher, Tata Technologies head – Global Delivery. "Our work on the Nano is part of a sweeping wave of change within the automotive industry – the use of truly global engineering resources," he added.

Tata Technologies was involved from concept to launch on the Nano project, working on the concept, advanced engineering, body-in-white, interior, exterior and even playing a role in the innovative approach taken to manufacturing.

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Tata Technologies displays small car Nano for first time at 2010 Detroit Motor ShowSocialTwist Tell-a-Friend

Delphi-TVS targtes turnover of Rs. 1,000 crore by 2013



Delphi-TVS, the joint-venture company between the U.S.-based automotive component major Delphi and the TVS group, has told reporters that it is looking to earn Rs. 1,000 crore in three years. With most of the car makers in India planning to manufacture diesel variants even for small cars, Delphi-TVS Diesel Systems expects a huge growth for such systems.

"In the current fiscal (2009-10), we are expecting revenues worth Rs. 500 crore and are also looking to double it to Rs.1,000 crore within three years," Delphi-TVS managing director T.K. Balaji told reporters at the Auto Expo. He added, "We have already invested about 80 per cent of that amount and will invest the remaining about Rs.75 crore this year," Balaji said.

 Furthermore, the JV firm, which makes fuel injection systems and rotary pumps for cars and trucks, is investing Rs. 350 crore to build a plant near Chennai to make common rail systems for diesel engines. Delphi which owns 52 per cent in the JV, said that India was a fast growing auto market and its is working on next generation systems that meet eco-friendly emission standards. The 'common rail system' is designed to enhance fuel economy and performance in 'high speed direct injection' (HSDI) diesel engines while meeting the stringent   Bharat Stage emission norms. The company will have three new products to offer the Indian automotive market: the 'light duty CRS' targeted at cars and SUVs, the 'medium duty CRS' for commercial vehicles and the UPCR (a unit pump based CRS) specifically designed as a cost effective technology for small engine four and three wheelers.

It is to be mentioned that Delphi-TVS has three manufacturing plants: two plants located at Mannur and Oragadam near Chennai and one plant at Pant Nagar in Uttarakhand. Its customers include Tata Motors, Mahindra & Mahindra, Hindustan Motors, Ford Motor Company, Maruti Udyog and Perkins.

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Bloomberg UTV, Autocar Awards 2010 presented in Mumbai

The Bloomberg UTV- Autocar Awards 2010 which were presented by HDFC Bank on January 15th 2010 in Mumbai had most of the industry stalwarts attending the show. The special guest for the evening was Formula 1 racing champion Narain Karthikeyan while the chief guest of the function was Minister of State for Road, Transport & Highways Sri. R.P. N. Singh.

The list of categories and their winners were: Car of the year- Tata Nano; Bike of the year - Bajaj Pulsar 135 4v; Best Variant of the year - Skoda Laura; Best Driver's Car - BMW Z4; Technology & Innovation Award - BMW 7-series; Green Award - Mercedes E-class Blue Efficiency; Car Advertisement of the year FIAT Linea (Father- Son); Import Bike of the year - Honda CB1000R ; Best Design & Styling - Fiat Punto; Best Value for Money Car - Tata Indigo Manza; Manufacturer of the year - Maruti Udyog; Luxury Car of the Year - Mercedes E-class; Luxury SUV of the year - Audi Q5; SUV of the year - Toyota Fortuner; Saloon Car of the Year - Chevrolet Cruze; Premium Hatchback of the year - Maruti Ritz ; Small Car of the Year - Tata Nano ; Viewer's choice, Car of the Year – Toyota Fortuner; Viewer's choice, Bike of the Year – Bajaj Pulsar 135 4v.

The awards jury consisted of Dilip Chhabria (India's leading Car Designer), Manwendra Singh (India's leading Automobile Historian) Hormazd Sorabjee (Editor, Autocar India) Shapur Kotwal (Deputy Editor, Autocar India) Renuka Kirpalani (Editor, Autocar Show), Rajeev Khanna (former Rally Driver) and Naren Kumar (6-times National Champion). Speaking on the awards, Mr. MK Anand, CEO, Bloomberg UTV, said "The Autocar Awards honour unmatched excellence in the automobile industry. The awards are awarded after a meticulous selection procedure by some of the best names in the country."

Upping the entertainment quotient for the evening was renowned musician Raghu Dixit and his band, The Raghu Dixit Project. The Raghu Dixit Project is one of India's foremost bands in its genre. Raghu's music was a seamless amalgamation of Indian ethnic music and styles from different parts of the world.

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Ashok Leyland to build a new bus platform

Ashok Leyland, which recently had a new truck platform release at the Auto Expo in New Delhi has announced that it is now working on a new bus platform, which will offer a higher level of comfort and safety in public transportation. The flagship company of the Hinduja Group , Ashok Leyland is also holding discussions with certain agencies for orders of this product and is targeting government bodies, NGOs and the defence forces as prospective customers. Its bus portfolio includes high-floor buses comprising the Viking & Cheetah series, vestibule and double-decker buses, semi-low-floor buses, and airport transfer air-conditioned coaches.

Incidentally, the company has also announced its plans t roll out hybrid buses. Powered by two 65 kW electric motors and sporting a three-litre CNG (compressed natural gas) engine to charge the batteries only, it translates into 20-30 per cent fuel savings.

The Hybus offers an ultra low entry at 390 mm and a noise-free engine and has also incorporated pedestrian safety features such as sound and light alerts, camera-assisted reversing aid, while it has been designed to absorb impact on collision. Additionally, the company also showcased the 'iBus2', a bus designed as a mobile communication centre to be used as a healthcare unit or as a security control room. In an MoU with Cisco, the company has outfitted the bus with high-speed connectivity to provide tactical capabilities to specific customers. The bus can act as a mobile healthcare unit where a doctor in a city can check a patient being treated in the bus in some remote village through video conferencing. On the other hand, it can be outfitted as a security control room, where agencies can monitor developments close to the crisis area and stay connected with the base all the time.

At the same time the company has said it needs incentives and other facilities for future-ready buses. "We have tied up with the Delhi Government to provide three such buses for the upcoming Commonwealth Games this year .With the initiatives being launched by the Government to improve urban public transport, we expect subsidies to be announced soon for hybrid vehicles," said a senior representative of the company on the sidelines of launching of unveiling the country's first plug-in CNG hybrid bus- Hybus- at the Auto Expo in New Delhi. He added, "Everybody is looking for a subsidy, which is important to drive the popularity of such products. It won't be long before the Government will look for clean technology under initiatives such as JNNURM. He also stated that the lithium ion batteries in the Hybus can be charged from a normal 220V home socket in about eight-nine hours.

"For Indian cities where CNG is available, the Hybus is the greenest option with high performance, enhanced fuel efficiency and low greenhouse emissions. It heightens both economic and ecological gains, said R. Seshasayee, managing Director, Ashok Leyland.

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Maruti Suzuki to adopt 'Kaizen' to improve production processes

In its bid to meet limited capacity challenges at its existing plants, Maruti Suzuki has said that it will be adopting 'Kaizen' methodologies in its production processes that would help it to rationalize its assembly lines.
It is to be mentioned that the term term kaizen (Japanese for "improvement") is a Japanese word adopted into English referring to a philosophy or practices focusing on continuous improvement in manufacturing activities, business activities in general, and even life in general, depending on interpretation and usage. When used in the business sense and applied to the workplace, kaizen typically refers to activities that continually improve all functions of a business, from manufacturing to management and from the CEO to the assembly line workers. By improving standardised activities and processes, kaizen aims to eliminate waste (see lean manufacturing). Kaizen was first implemented in several Japanese businesses during the country's recovery after World War II and has since spread to businesses throughout the world.
I. V. Rao, managing executive officer, Engineering, Maruti Suzuki India Ltd (MSIL), said, "This will be a major milestone for the company and also brings new challenges as we could face some capacity constraints. By using the Japanese Kaizen production methodologies, we are working to bring about incremental gains in production at Gurgaon and Manesar plants." He added, "The Manesar plant is faced with serious capacity constraint. Therefore, we are in the process of further streamlining operations. However, we have no plans to add a third shift. We are actively considering expansion and a decision is likely by next fiscal. The company accounts for 54 per cent market share and we will continue to bring in new products to retain our hare," he said.

Meanwhile, the country's largest passenger car manufacturer is also planning to roll out brand centres across key metros in the country that will enable it to enahnce its brand salience. The company is looking to set up these centres (which are expected to occupy at least 44,000-45,000 square feet space) over the next 18-24 months. Financial Chronicle says that the company is on course to buying nearly 44,000 square feet space in Rajarhat, one of India's latest and fastest-growing planned new cities near Kolkata. "This concept is in an early stage and lot of changes may eventually happen. The brand centres are likely to showcase the best products from Maruti and Suzuki's stables. For instance, you could hope to see Hayabusa bikes in the brand centre besides the Maruti Eeco," a senior official was quoted as saying to FC, without disclosing any investment outlay for such centres.

In a separate media report, Maruti Suzuki has also revealed that it is looking to enhance its export base by entering into markets in the Middle East, South America, West Asia and Australia. "We are currently exporting our cars to the European countries but now we will start exploring new markets such as Africa, South America, the Middle East and Australia to boost our exports," a senior official told reporters in Chandigarh recently. The company has targeted to export 1.30 lakh cars by this fiscal end against 70,000 cars exported in 2008-09.

Talking about sales in the northern region, Maruti Suzuki said the company recorded 30 per cent growth in cars sales in Punjab, Himachal Pradesh, Haryana (excluding NCR), Jammu and Kashmir, Chandigarh during the first nine months till December 2009 against the national growth of 22.5 per cent. The company has sold 72,000 cars in the region [comprising Haryana (excluding NCR region), Punjab, Chandigarh, Himachal Pradesh and Jammu & Kashmir] during the period April-December 2009 as compared with 55,000 units it sold during the corresponding period of the previous year. "We are on an average selling 8,000 cars per month in these markets, which have grown by 30 per cent in April till December 2009," a senior Maruti official was quoted as saying to reporters.
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Nissan India to launch 370Z sports sedan on Jan 20, 2010

In its bid to provide more offerings to its Indian customers; Nissan Motor Company has decided to launch its new sports sedan named 370Z in India on 20th January this year.
Read more: Nissan India to launch 370Z sports sedan on Jan 20, 2010 - WheelsUnplugged Automobile Industry News Under Creative Commons License: Attribution
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Tata crossover utility vehicle Aria coulod be between Rs. 12.5 -14.5 lakh

The Tata Aria Crossover Utility Vehicle (CUV) which was showcased with much fanfare at the recent 10th Auto Expo in New Delhi will now be launched by the end of April.
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HM BS-IV compliant CNG LCV Winner rolled out for Delhi and NCR markets

Hindustan Motors has announced the launch of BS-IV compliant Winner 1.8 CNG LCV suitable for Delhi and NCR market. The vehicle has a 4 cylinder 1800cc engine, with 5 forward & 1 reverse gear that gives optimum fuel efficiency.

Read more: HM BS-IV compliant CNG LCV Winner rolled out for Delhi and NCR markets - WheelsUnplugged Automobile Industry News Under Creative Commons License: Attribution

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