Poonawalla Fincorp and IndusInd Bank Introduce New Co-Branded Credit Cardnickysharmasucks
The unveiling of the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card marks a notable milestone in the Indian financial landscape, showcasing a successful partnership between two leading institutions, Poonawalla Fincorp and IndusInd Bank. This co-branded credit card not only offers users a plethora of benefits but also reflects a commitment to innovation and adaptation. With a focus on providing value-driven and customer-centric solutions, this launch represents more than just a new product—it signifies a step towards redefining the banking experience for millions. Promising convenience, rewards, and a touch of luxury in everyday financial transactions, this collaboration aims to cater to the evolving needs of customers and set new standards in the industry.
Even tho Pi network is not listed on any exchange yet.
Buying/Selling or investing in pi network coins is highly possible through the help of vendors. You can buy from vendors[ buy directly from the pi network miners and resell it]. I will leave the telegram contact of my personal vendor.
@Pi_vendor_247
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
How to get verified on Coinbase Account?_.docxBuy bitget
t's important to note that buying verified Coinbase accounts is not recommended and may violate Coinbase's terms of service. Instead of searching to "buy verified Coinbase accounts," follow the proper steps to verify your own account to ensure compliance and security.
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
what is the best method to sell pi coins in 2024DOT TECH
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
how to sell pi coins in all Africa Countries.DOT TECH
Yes. You can sell your pi network for other cryptocurrencies like Bitcoin, usdt , Ethereum and other currencies And this is done easily with the help from a pi merchant.
What is a pi merchant ?
Since pi is not launched yet in any exchange. The only way you can sell right now is through merchants.
A verified Pi merchant is someone who buys pi network coins from miners and resell them to investors looking forward to hold massive quantities of pi coins before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
2. Table of Content
Executive Summary……………….….……..3
Advantage India…………………..….………4
Market Overview………………………….....6
Recent Trends and Strategies……....……13
Growth Drivers...……………………….......16
Opportunities…………….……….......….…23
Key Industry Associations........….………..28
Useful Information…………..………...……30
3. For updated information, please visit www.ibef.orgAuto components3
EXECUTIVE SUMMARY
Source: ACMA, Make in India, News Articles, ICRA, Crisil
• Over the last decade, the automotive components industry has registered a CAGR of 6.83 per cent and has
reached to US$ 51.20 billion in 2017-18 while exports have grown at a CAGR of 11.42 per cent to US$ 13.5
billion. Auto components production in 2018-19 to increase by 12-14 per cent due to robust growth in
domestic and export market.
Indian tyre industry expects a 7-9 per cent growth over FY19-23.
The capital expenditure by the domestic automotive component manufacture is expected at around Rs 24,000
crore (US$ 33.26 billion) over the FY19 and FY20.
Domestic auto component industry is expected to grow at 15 per cent in FY19.
Robust growth
The growth of global OEM sourcing from India & the increased indigenisation of global OEMs is turning the
country into a preferable designing and manufacturing base.
Rising indigenisation
The Indian auto-components industry is expected to register a turnover of US$ 100 billion by 2020 backed by
strong exports ranging between US$ 80-100 billion by 2026.
Increasing turnover
The auto-components industry accounted for 2.3 per cent of India’s Gross Domestic Product (GDP) in 2017-
18. During 2017-18, 1.5 million people directly and 1.5 million people indirectly were employed in the auto-
components industry.
Contribution to GDP and
employment
India is expected to become the 4th largest automobiles producer globally by 2020 after China, US & Japan.
The auto components industry is also expected to become the 3rd largest in the world by 2025.
Domestic automobile production increased with 30.92 million vehicles manufactured in the country in FY19.
Growing automobile
industry
The auto-components industry is expected to follow OEMs in adoption of electric vehicle technologies. The
global move towards electric vehicles will generate new opportunities for automotive suppliers. The mass
conversion to electric vehicles may generate a US$ 300 billion domestic market for EV batteries in India by
2030*.
Electric vehicles push
Note: OEM: Original Equipment Manufacturer, EV – Electric Vehicles, *As per NITI Aayog
5. For updated information, please visit www.ibef.orgAuto components5
ADVANTAGE INDIA
Growing working population & expanding
middle class are expected to remain key
demand drivers
India is the fourth largest automobile
market globally.
Reduction in excise duties in motor
vehicles sector to spur the demand for
auto components
India is emerging as global hub for auto
component sourcing
Relative to competitors, India is
geographically closer to key automotive
markets like the Middle East & Europe
In December 2018 India pitched to boost
its exports in auto components in the
market of China.
A cost-effective manufacturing base keeps
costs lower by 10-25 per cent relative to
operations in Europe & Latin America
Presence of a large pool of skilled &
semi-skilled workforce amidst a strong
educational system
Third largest steel producer globally hence
a cost advantage
In September 2015, Automotive Mission
Plan 2016-26 was unveiled which targets a
fourfold growth for the sector
Strong support for R&D & product
development by establishing NATRiP
centres
100 per cent FDI allowed under automatic
route for auto component sector
In January 2019, The Government of India
lowered the custom duty on import of parts
and components of electric vehicles to 10-
15 per cent.
ADVANTAGE
INDIA
Notes: NATRiP - National Automotive Testing and R&D Infrastructure Project, FY - Indian Financial Year (April to March), R&D – Research and Development
7. For updated information, please visit www.ibef.orgAuto components7
Auto Components
Pistons &
piston rings
Gears
Brake &
brake
assemblies
Headlights
Starter
motors
Sheet metal
parts
Power train
components
Clutches
Other panel
instruments
Other
equipment
Engine
valves &
parts
Wheels Brake linings
Halogen
bulbs
Spark plugs
Hydraulic
pneumatic
instruments
Fuel-injection
systems &
carburetors
Steering
systems
Shock
absorbers
Wiper
motors
Electric
Ignition
Systems
Fan belts
Cooling
systems &
parts
Axles Leaf springs
Dashboard
instruments
Flywheel
magnetos
Pressure die
castings
PRODUCT SEGMENTS
Source: ACMA
Engine Parts
Drive
transmission &
steering parts
Body and
chassis
Suspension &
braking parts
Equipment Electrical parts Others
8. For updated information, please visit www.ibef.orgAuto components8
ROBUST GROWTH
Revenues have risen at a CAGR of 6.83 per cent from US$ 26.44 billion in FY08 to US$ 51.20 billion in FY18.
Domestic OEM supplies contribute 55.97 per cent of the industry turnover followed by exports (26.20 per cent) and domestic aftermarket (17.82
per cent).
Exports of automobile components from India in FY18 stood at US$ 13.5 billion. As per Automobile Component Manufacturers Association
(ACMA) forecasts, automobile component exports from India are expected to reach US$ 80 billion by 2026. The Indian auto component industry
aims to achieve US$ 200 billion in revenues by 2026.
Auto-component production in 2018-19 is expected to increase 12-14 per cent in FY19, on the back of robust growth in domestic and export
markets.**
Source: ACMA
Aggregate turnover* (US$ billion)
26.44
24.09
29.23
41.31
42.68
39.69
35.00
38.41
39.05
43.55
51.20
0.00
10.00
20.00
30.00
40.00
50.00
60.00
FY08
FY09
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
CAGR 6.83%
Note: CAGR – Compound Annual Growth Rate, ** As per CRISIL Research, *Turnover data covers supplies to OEMs , aftermarket sales and exports, Exchange Rates as per on page 31,
Updated data is expected after September 2019.
55.97%
26.20%
17.82% OEM Supplies
Exports
Aftermarket
Share in turnover of auto components industry (FY18)
9. For updated information, please visit www.ibef.orgAuto components9
EXPORT GROWTH
Source: ACMA
34%
28%
25%
6%
5% 2%
Europe
North America
Asia
Latin America
Africa
CIS and Baltics
Value of auto component exports (US$ billion) Shares in exports by geography (FY18)
India’s exports of auto components increased at a CAGR of 11.42 per cent, during FY09-FY18, with the value of auto component exports
increasing from US$ 5.10 billion in FY09 to US$ 13.50 billion in FY18.
Europe accounted for a volume share of 34 per cent during FY18 in Indian auto component exports followed by North America and Asia with 28
and 25 per cent respectively in the same year.
Note: Exchange Rates as per on page 31, Updated data is expected after September 2019.
5.10
3.99
6.65
8.91
9.68
10.16
11.21
10.83
10.90
13.500.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
16.00
FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18
CAGR 11.42%
10. For updated information, please visit www.ibef.orgAuto components10
AFTERMARKET GROWTH
Source: ACMA
21%
18%
18%
15%
14%
8%
3%3%
Drive Transmission and
Steering
Engine Components
Electricals
Suspension and Braking
Consumables and
Miscellaneous
Cooling Systems
Rubber Components
Electronic Components
Value of aftermarket turnover (US$ billion) Product –wise share in aftermarket turnover (FY18)
India’s auto components aftermarket contributed 17.82 per cent of the total industry turnover in FY18.
Turnover of the aftermarket has increased at a CAGR of 9.67 per cent from US$ 5.80 billion in FY13 to US$ 9.20 billion in FY18.
The ‘Driving Transmission and Steering’ product category accounted for the largest part of the aftermarket at 21 per cent, followed by ‘Engine
Components’ and ‘Electricals’ at 18 per cent each and ‘Suspension and Braking’ at 15 per cent.
Note: Exchange Rates as per page 31, Updated data is expected after September 2019
5.80
5.90
6.50
6.80
8.40
9.20
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
9.00
10.00
FY13 FY14 FY15 FY16 FY17 FY18
CAGR 9.67%
11. For updated information, please visit www.ibef.orgAuto components11
SHARES IN PRODUCTION AND SUPPLY
Source: ACMA
Auto component supply to OEMs (FY18)
79.61%
13.79%
3.08%
3.51%
Two Wheelers
Passenger Vehicle
Commercial Vehicle
Three Wheelers
Domestic market share by segment (FY18) (No. of units)
Production of Two Wheelers, Passenger Vehicles, Commercial Vehicles and Three Wheelers reached 23.15 million, 4.01 million, 0.89 million,
and 1.02 million in 2017-18.
Passenger vehicles had the highest share of total auto component supplies to Original Equipment Manufacturers (OEMs) in 2017-18, followed
by two wheelers and Light Commercial Vehicles (LCV).
43%
23%
10%
13%
6%
3% 2%
Passenger Vehicle
Two wheelers
Medium and heavy
commercial vehicles
Light commercial
vehicles
Tractors
Three wheelers
Construction earth
moving equipments
Note: Updated data is expected after September 2019
12. For updated information, please visit www.ibef.orgAuto components12
Pistons – Goetze, Shriram Pistons & Rings, India Pistons, Anand I-Power Ltd.
Engine Valves – Rane Engine Valves, Shriram Pistons & Rings, SSV Valves
Carburetors – Ucal Fuel Systems & Spaco Carburetors & Escorts Auto Components
Diesel-based fuel-injection systems – Mico, Delphi-TVS Diesel System & Tata Cummins
Steering Systems – Sona Koyo Steering Systems, Rane NSK Steering Systems & Rane TRW Systems
Gears – Bharat Gears, Gajra Bevel Gears, ZF Steering Gear (India) Ltd, Eicher, Graziano Trasmissioni & SlAP
Gears India
Clutch – Clutch Auto, Ceekay Daikin, Amalgamations Repco, Luk Clutches
Driveshafts – GKN Driveshafts, Spicer India Private Ltd., Delphi & Sona Koyo Steering Systems
Brake Systems – Brakes India, Kalyani Brakes, Mando India Ltd. & Automotive Axles
Brake Lining – Rane Brake Lining, Sundaram Brake Lining, Hindustan Composites & Allied Nippon
Leaf Springs – Jamna Auto & Jai Parabolic
Shock Absorbers – Gabriel India, Delphi, Mando India Ltd. & Munjal Showa
Headlights – Lumax, Autolite & Phoenix Lamps
Dashboard – Premiere Instruments & Controls
Sheet metal parts – Jay Bharat Maruti, Omax Auto and JBM Tools
Lucas TVS, Denso, Delco Remy Electricals & Nippon Electricals are key players in this segment
MAJOR PLAYERS BY SEGMENT
Equipment
Suspension &
braking parts
Transmission &
steering parts
Engine & engine
parts
Electrical
Source: Media sources, Aranca research
Note: OEM means Original Equipment Manufacturer
14. For updated information, please visit www.ibef.orgAuto components14
Major global OEMs have made India a
component sourcing hub for their global
operations
Several global Tier-I suppliers have also
announced plans to increase
procurement from their Indian
subsidiaries
India is also emerging as a sourcing hub
for engine components, with OEMs
increasingly setting up engine
manufacturing units in the country
For companies like Ford, Fiat, Suzuki &
General Motors, India has established
itself as a global hub for small engines
Varroc Lighting Systems (VLS) is
supplying the complete exterior lighting
solutions for Tesla Model S sedan and
the Tesla Model X crossover.
NOTABLE TRENDS
Increased investments in R&D
operations & laboratories, which are
being set up to conduct activities such
as analysis, simulation & engineering
animations
The growth of global OEM sourcing
from India & the increased
indigenisation of global OEMs is
turning the country into a preferred
designing & manufacturing base
ACT established to offer technical
services to ACMA members for
enhancing process & quality abilities
through various cluster programmes
Faurecia, a global automotive
equipment leader, has partnered with
Indian Institute of Science (IISc) to
develop new technologies and
solutions in three areas viz. online air
quality monitoring, data analysis and
algorithms for driver behaviour and
artificial intelligence for industrial
design.
Improving product-development
capabilities
As of August 2018, Rico Auto Industries
is soon going to sign a Joint Venture (JV)
deal with HZ Manufacturing to produce
automatic transmission for scooters.
In July 2018, air-compressor
manufacturer Elgi Equipments acquired
Pulford Air and Gas based in Sydney,
Australia. The acquisition will help the
company to expand its global footprint
and help in achieving its mission of
becoming a leading player in the global
air-compressor market by 2027.
National Company Law Tribunal (NCLT)
approved the amalgamation of INA
Bearings India and LuK India on
September 7, 2018.
Mahindra CIE Automotive, auto
component firm has decided to acquire
Aurangabad Electricals Ltd (AEL) through
acquisition of 100 per cent equity shares
for a value of Rs 875.60 Crore (US$
121.36 million)
Inorganic route to expansion
Source: Aranca Research
Global components sourcing hub
Note: OEM means Original Equipment Manufacturer ACT - ACMA Centre for Technology
15. For updated information, please visit www.ibef.orgAuto components15
STRATEGIES ADOPTED
Many Indian firms
specialising in only
one product market
or segment & are
looking forward to
diversify
horizontally in other
segments like 2-
wheelers,
passenger cars or
commercial
vehicles.
They are stepping
up their product
development
capabilities in order
to have the best
chance of capturing
growth opportunity.
Diversification
India’s projected
production is
around 8.7 million
passenger
vehicles per year
by 2020 (with most
of them being
compact cars)
Many MNC’s like
Ford, Hyundai,
Toyota & GM are
launching new
vehicle models
due to their earlier
success in the
Indian market.
Capacity
Looking at the opportunity many
global suppliers for example Bosch
Chassis Systems, Tenneco and
Faurecia have established R&D
facilities in India to adapt global
designs & develop new products
Increasing investments in R&D also
assists companies in setting up
laboratories, new facilities to
conduct analysis, simulation &
engineering animations.
In August 2018, JK Tyre and
Industries Ltd inaugurated its state-
of-the art global technology centre in
Mysore. Research at the centre will
focus on various aspects of tyre
technology including coming up with
advanced laboratory predictors for
tyre performance and recognising
key inputs for life prediction of
rubber products.
R&D facilities
Source: Make in India, Media Sources
New strategies
Both Indian & global manufacturers
are investing in new capacities &
newer programmes, in order to get
long term advantage
As markets in North, West & South
are getting saturated, components
makers are now focusing on
untapped market like the Northeast
region of the country.
Varroc Engineering, India’s second
largest auto-components producer,
is aiming to attract business from
sales of electric vehicle components
such as electronics, motors and
battery management system.
Samvardhana Motherson
International Limited (SAMIL)
announced its joint venture
partnership with Hamakyorex Co. to
exploit the expected increase in
automotive market.
17. For updated information, please visit www.ibef.orgAuto components17
GROWTH DRIVERS
GROWTH
DRIVERS
Competitive advantages facilitating
emergence of outsourcing hub
Technological shift; focus on R&D
Supply-side drivers
Establishing special auto parks & virtual
SEZs for auto components
Lower excise duty on specific parts of
hybrid vehicles
Policies such as Automotive Mission
Plan 2016-26, Faster Adoption &
Manufacturing of Electric Hybrid
Vehicles (FAME, April, 2015), NMEM
2020, likely to infuse growth in the auto
component sector of the country.
The government is going to come out
with a National Automotive Policy for
boosting the growth of India’s
automotive sector.
In December 2018, the government
notified norms under which preference
shall be provided by all government
procurement entities to indigenously
manufactured auto components.
Government of India announced a
National Mission on Transformative
Mobility and Battery Storage which
would be a year phased manufacturing
programme (PMP) till 2024
Policy support
Robust growth in domestic automotive
industry
Increasing investment in road
infrastructure
Growth in the working population &
middle class income to drive the market
Demand-side drivers
Source: Aranca Research
Note: NMEM – National Mission For Electric Mobility
18. For updated information, please visit www.ibef.orgAuto components18
GROWTH IN THE AUTOMOBILES SECTOR
Vehicle production in India (thousand units)
4,010
895
24,169
10,000
2,350
30,231
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
Passenger
Vehicles
Commercial
Vehicles
2 & 3 Wheelers
FY18 FY21E
Vehicle Production (in number of units)
2,06,47,611
2,15,00,165
2,33,58,047
2,40,16,068
2,53,29,383
2,90,73,892
3,09,15,420
-
50,00,000
1,00,00,000
1,50,00,000
2,00,00,000
2,50,00,000
3,00,00,000
3,50,00,000
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
2018-19^
Vehicles, vehicle parts and transport equipment loan
outstanding# (US$ billion)
11.76
12.89
16.44
13.38
13.85
13.67
13.80
14.39
12.99
-
2.00
4.00
6.00
8.00
10.00
12.00
14.00
16.00
18.00
FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19*
Source: ACMA, Reserve Bank of India, Aranca Research, SIAM
Note: (E) – Estimate; #Loan outstanding at the end of financial year, FY19* - up to June 2018, 2018-19 ^- up to February 2019
19. For updated information, please visit www.ibef.orgAuto components19
INDIA IS POISED TO EMERGE AS AN OUTSOURCING
HUB
Hyundai plans to source gasoline and diesel engines from its Indian manufacturing operations for its domestic &
global operations.
The company is also planning to invest US$ 300 million for a new engine plant & metal pressing shop in India & is also in
plans to open its 2nd manufacturing plant in Rajasthan.
As of January 2018, the company is considering adding a third production line with a capacity of 50,000 units a year at its
plant in Tamil Nadu.
Ford expanded its retail distribution network of genuine parts in Gujarat, Daman & Diu & Silvassa.
Ford is currently working on a small – capacity petrol engine called Dragon which is estimated to be ready by 2016 – 17. The
Detroit – based company is planning to produce 1.5 million units a year globally, 400,000 of which will be produced in India.
In March 2018, Ford Motors signed five MoUs with Mahindra and Mahindra (M&M) to jointly develop new SUVs and small
electric vehicle. The partnership will leverage Ford’s global reach and expertise and M&Ms presence in the Indian market.
The company has an export base for certain key engine components in India.
As of April 2018, the company has decided to invest Rs 8 billion (US$ 124.13 million) in India to introduce new products in the
market and improve efficiency at its existing plants.
The company plans to launch a new model and upgrade 18 existing ones in 2018-19.
Toyota Kirloskar Motor disclosed its fully integrated cloud based telematics service for Indian market, by the name Toyota
Connect.
Toyota India under a new joint venture initiated production of diesel engines at Jigani Industrial Area.
Source: Respective Company Websites, News Articles
20. For updated information, please visit www.ibef.orgAuto components20
FAVOURABLE POLICY MEASURES AIDING GROWTH
Automatic approval for 100 per cent foreign equity investment in auto component manufacturing facilities.
Manufacturing & imports are exempt from licensing & approvals.
Auto Policy 2002
Set up at a total cost of US$ 388.5 million to enable the industry to adopt & implement global performance
standards.
Focus on providing low-cost manufacturing & product development solutions.
NATRiP
Created a US$ 200 million fund to modernise the auto components industry by providing an interest subsidy
on loans & investment in new plants & equipment.
Provided export benefits to intermediate suppliers of auto components against the Duty Free Replenishment
Certificate (DFRC).
Dept. of Heavy Industries
& Public Enterprises
AMP 2026 targets a 4-fold growth in the automobiles sector in India which includes the manufacturers of
automobiles, auto components & tractor industry over the next 10 years.
It is expected to generate an additional employment of 65 million.
Automotive Mission Plan
2016-26
(AMP 2026)
The scheme is aimed at incentivising all vehicle segments i.e. 2 Wheeler, 3 Wheeler Auto, Passenger 4
Wheeler Vehicle, Light Commercial Vehicles and Buses. It covers hybrid & electric technologies like Mild
Hybrid, Strong Hybrid, Plug in Hybrid & Battery Electric Vehicles. The scheme has been extended for six
months from September 2018 to March 2019.
The Government of India is in the process of coming up with FAME-II Scheme.
In February 2019, the Government of India approved the FAME-II scheme with a fund requirement of Rs
10,000 crore (US$ 1.39 billion) for FY20-22.
FAME Scheme
The Government of India reaffirms their commitment towards Electric Vehicles (EV) and their mission for 30
per cent electric mobility by 2030 in order to overcome India’s reliance on imported fossil fuels and gas, and
greatly boost sustainable energy in India.
The Department of Revenue also eased the import duty on lithium-ion cells.
Union Budget
2019–20
Source: SIAM, Make in India
Note: NATRiP - National Automotive Testing and R&D Infrastructure Project
21. For updated information, please visit www.ibef.orgAuto components21
INVESTMENTS HAVE BEEN RISING AT A FAST PACE
Source: ACMA, DIPP, News Articles
FDI inflow in automotive* sector from April 2000 to December 2018
stood at US$ 20.85 billion.
With the launch of “Make in India” initiative, the government is
expected to vitalise a substantial investment in the auto component
sector.
The capital expenditure by the domestic automotive component
manufacture is expected at around Rs 24,000 crore (US$ 33.26
billion) over the FY19 and FY20.
India’s Exide Industries formed a 75:25 joint venture with Leclanché
to manufacture lithium-ion (Li-ion) cells, modules and battery packs
in the state of Gujarat, the Li-ion cell production plant is said to be
operational by mid-2020
As of January,2019 Lite Auto Components Pvt Ltd, a part of
Hindustan Magnesium Products Pvt Ltd plans to invest Rs 500 crore
(US$ 69.30 million) to set up Magnesium-based manufacturing plant
in Andhra Pradesh.
Dhoot Transmission, maker of auto components acquired San
Electromec, a wire harness and control panel maker for an
undisclosed amount.
Maruti Suzuki India Ltd to start a manufacturing batteries in its car
manufacturing plant of Hansalpur by 2020.
In April 2019, Durr, a German automotive painting and sealing
company, entered into a partnership with Patvin to provide
automated painting solutions for two or three-wheelers and
agricultural machinery for the Indian markets.
Visakhapatnam port traffic (million tonnes)
0.83
1.54
1.52
2.57
2.68
1.61
2.09
2.09
5.93
20.85
0
5
10
15
20
FY01-FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19**
FY01-FY19**
FDI investments in automotive* sector in April 2000-December
2018 (US$ billion)
Note: * - Includes automobiles and auto-components, ** - Up to December 2018
22. For updated information, please visit www.ibef.orgAuto components22
KEY INVESTMENTS AND DEVELOPMENTS
Source: News articles, Government Websites, Aranca Research, Ministry of External Affairs, Govt. of India (ITP) Division
CEAT Ltd plans to reach at a production level of 17 million 2 wheeler tires, annually, 1 million Truck & Bus Radial
(TBR) tires & 6 million passenger car radial tires, annually.
The company plans to invest Rs 2,000 crore (US$ 277.20 million) in the next 3-5 years by setting up new
manufacturing plant in Chennai.
In October 2018, the company inaugurated its second largest manufacturing facility in the Asia Pacific region. The
company is planning to expand its product and technical offerings over the course of the next few years.
As of August 2018, Rico Auto Industries is developing plans to invest Rs 400 crore (US$ 57.00 million) in the next
three years.
As of December 2018, Kesoram Industries has decided to demerge its tyre business to unlock value and raise
capital for expansion. The restructuring will help the company to enter the high margin automotive radial tyre
business. As of February 2019, the company expects that the demerger of the business may be completed by July
2019.
As of June 2018, Faurecia Interior Systems has started construction of its Rs 50 crore (US$ 7.46 million) instrument
panel plant. The greenfield plant is being set up over an area of 12 acres and Start of Production (SOP) will be
initiated from the third quarter of 2019.
Hitachi Automotive Systems has set up a new technical centre in Delhi in 2018 which will help the company grow in
the North India market. The company also plans to step-up its production in India by 2020.
In August 2018, the Board of Directors of Amara Raja Batteries approved setting up of a Rs 700 crore (US$ 99.74
million) greenfield automotive battery plant with a production capacity of 6.5 million units per annum. As of October
2018, the company decided to further enhance the capacity of the plant to 10.8 million units in phases.
As of December 2018, German automotive major Continental has planned investments of Rs 180 crore (US$ 25.65
million) for setting up a premium surface materials facility in Pune. The facility will have an initial capacity of five
million square metres and is expected to start production in 2020.
CEAT Ltd
IMI Precision
Engineering
Rico Auto Industries
Kesoram Industries
Faurecia Interior
Systems
Hitachi Automotive
Amara Raja Batteries
Continental
24. For updated information, please visit www.ibef.orgAuto components24
DOMESTIC AND EXPORTS MARKETS HOLD HUGE
POTENTIAL
39.05
43.55
51.20
115.00
0
20
40
60
80
100
120
140
FY16 FY17 FY18 FY21E
10.83 10.90
13.50
30.00
0
5
10
15
20
25
30
35
FY16 FY17 FY18 FY21E
Source: ACMA
Note: E – Estimate, Updated data is expected after September 2019
Domestic Market Potential (US$ billion) Export Market Potential (US$ billion)
The domestic market is expected to account for 71 per cent of
total sales by 2021 with a total market size of US$ 115 billion.
Exports will account for as much as 26 per cent of the market by
2021.
25. For updated information, please visit www.ibef.orgAuto components25
MARKET POTENTIAL BALANCED ACROSS PRODUCT
TYPES
Source: ACMA, News Sources
Note: 2020E – Estimated value for 2020 by ACMA
16%
11%
8%
18%
16%
32%
Transmission and Steering
Parts
Suspension and Braking
Parts
Interior
Engine & Exhaust
Electronics and Electrical
Body & Structure
Domestic market potential by components (2020E) Export market potential by components (2020E)
Both domestic & export markets are almost similar in terms of potential share by different product types. For example, Engine & Exhaust
components, along with Body & Structural parts, are expected to make up 50 per cent potential domestic sales as well as exports in 2020
Transmission, Steering components, Electronics & Electrical parts are likely to be the other key products.
As of December, 2018 companies like Exide, Exicom, Amaron, Greenfuel Energy Solutions, Trontek, Coslight India, Napino Auto & Electronics,
Amara Raja Batteries, Trinity Energy Systems, Versatile Auto Components plan to make lithium-ion batteries to benefit from the wave of green
vehicles.
As of January 2019, BHEL and Libcoin are in talks to build a 1GWh lithium-ion battery plant in India which could be scaled up to 30GWh in due
course.
17.10%
10.70%
6.40%
25.60%
17.10%
23.10%
Transmission and Steering
Parts
Suspension and Braking
Parts
Interior
Engine & Exhaust
Electronics and Electrical
Body & Structure
26. For updated information, please visit www.ibef.orgAuto components26
OPPORTUNITIES IN ENGINEERING PRODUCTS
New technological changes in this segment include introduction of turbochargers & common rail systems
The trend of outsourcing may gain traction in this segment in the short to medium term
Engine & engine parts
Share of the replacement market in sub-segments such as clutches is likely to grow due to rising traffic
density
The entry of global players is expected to intensify competition in sub-segments such as gears & clutches
Transmission & steering
parts
The segment is estimated to witness high replacement demand, with players maintaining a diversified
customer base in the replacement & OEM segments besides the export market
The entry of global players is likely to intensify competition in sub-segments such as shock absorbers
Suspension & braking
parts
Companies operating in the replacement market are likely to focus on establishing a distribution network,
brand image, product portfolio & pricing policy
Equipment
As of March 2019, Tritium will soon be delivering fast charging technology for electric vehicles after the
company signed an MOU with Tata AutoComp Systems.
In January 2019, The Government of India lowered the custom duty on import of parts and components
of electric vehicles to 10 from 15 per cent.
Electrical
Metal part manufacturers are likely to benefit from rising demand for body & chassis, pressure die castings,
sheet metal parts, fan belts, hydraulic pneumatic instruments, mainly in 2 wheelers industry
The prominent companies in this business are constantly working towards expanding their customer base
Others
(Metal Parts)
Source: Make in India
Note: OEM means Original Equipment Manufacturer
27. For updated information, please visit www.ibef.orgAuto components27
Bosch inaugurated its 15th plant in November 2015, specialising in manufacturing power tools.
As of February 2018, Bosch has decided to invest Rs 500 – Rs 800 crore (US$ 77.58 – 124.13 million) over the next two years
(FY19 and FY20) to expand operations in India and increase R&D to develop products for the global market.
The company is planning to invest over Rs 1,800 crore (US$ 279.29 million), as of January 2018, for setting up of a new plant
in Andhra Pradesh. The new facility will help the company cater to growing demand for passenger vehicle tyres.
The foundation stone for the plant has been laid and construction of the plant is expected to start in the next 6 months and
production is expected to commence within 24 months.
Tata Auto Component Systems is setting up 5 auto component manufacturing plants in Sanand, Gujarat, at an investment of
US$ 62 million. It is also investing US$ 114 million for capacity addition in its Chakan plant in Maharashtra.
HELLA is building its second manufacturing plant in Gujarat with an estimated investment of US$ 5.36 million in the first phase.
NGK Technologies India Pvt Ltd., subsidiary of NGK Insulators, Ltd. was established to market automotive related & metal
components across India.
India’s TVS Group has acquired a 90 per cent stake in Universal Components UK Ltd for US$ 19.2 million, as part of its
expansion plans. Universal Components is a wholesale distributor of commercial vehicle parts. It has also signed a co-
operation agreement with BMW Motorrad to develop motorcycles below 500cc segment. Looking for new overseas markets.
Lucas TVS, a joint venture (JV) between Lucas UK and TVS, is going to introduce traction motors by 2019, which will cater to
the growing number of electric rickshaws and electric three-wheeler segments.
CAPACITY ADDITION PLANS OF KEY PLAYERS
Source: Respective Company websites, News articles, TechSci Research
31. For updated information, please visit www.ibef.orgAuto components31
GLOSSARY
ACMA: Automotive Component Manufacturers Association of India
CAGR: Compound Annual Growth Rate
FDI: Foreign Direct Investment
FY: Indian Financial Year (April to March)
(So FY12 implies April 2011 to March 2012)
GOI: Government of India
INR: Indian Rupee
OEM: Original Equipment Manufacturers
NATRiP: National Automotive Testing and R&D Infrastructure Project
SEZ: Special Economic Zone
US$: US Dollar
Wherever applicable, numbers have been rounded off to the nearest whole number
32. For updated information, please visit www.ibef.orgAuto components32
EXCHANGE RATES
Exchange Rates (Fiscal Year) Exchange Rates (Calendar Year)
Year INR INR Equivalent of one US$
2004–05 44.95
2005–06 44.28
2006–07 45.29
2007–08 40.24
2008–09 45.91
2009–10 47.42
2010–11 45.58
2011–12 47.95
2012–13 54.45
2013–14 60.50
2014-15 61.15
2015-16 65.46
2016-17 67.09
2017-18 64.45
2018-19 69.89
Year INR Equivalent of one US$
2005 44.11
2006 45.33
2007 41.29
2008 43.42
2009 48.35
2010 45.74
2011 46.67
2012 53.49
2013 58.63
2014 61.03
2015 64.15
2016 67.21
2017 65.12
2018 68.36
Source: Reserve Bank of India, Average for the year
33. For updated information, please visit www.ibef.orgAuto components33
DISCLAIMER
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This presentation is for information purposes only. While due care has been taken during the compilation of this presentation to ensure that the
information is accurate to the best of Aranca and IBEF’s knowledge and belief, the content is not to be construed in any manner whatsoever as a
substitute for professional advice.
Aranca and IBEF neither recommend nor endorse any specific products or services that may have been mentioned in this presentation and nor do
they assume any liability or responsibility for the outcome of decisions taken as a result of any reliance placed on this presentation.
Neither Aranca nor IBEF shall be liable for any direct or indirect damages that may arise due to any act or omission on the part of the user due to any
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