Trends: Smart manufacturing

Insurance: Tyred or just tired?

Witnessing manufacturing modernisation since Maruti Udyog began producing cars in collaboration with Suzuki of Japan at Gurgaon in 1984, the Indian auto industry landscape has drastically changed. Opening up to automation with the installation of some of the best robots available at Kuka, ABB and others, the auto industry has left no stone unturned. Such has been the fervor that Tal, a Tata Motors company, launched a robot called Brabo in 2018 to make manufacturing processes involving the application of sealants, picking and placing of parts, welding and vision inspection reliable and easy to perform. Made with an eye on manufacturing process the world over, the Brabo was tested in over 50 work streams and has so far found use in sectors like lighting, aerospace, software, electronics, plastics, education and logistics sectors apart from the auto industry. Coming from an auto maker that installed 300 Kuka robots to automate the assembly of Sumo and Safari at its Pune plant in 2009, the Brabo has seen many rounds of development and application-preparedness since its launch.                

Smart manufacturing trend

Highlighting the smart manufacturing trend, the TAL Brabo robot with payloads of two and 10 kilos has also found favour with companies in Europe and other places. Highlighting the prowess of Artificial Intelligence (AI) and Internet of Things (IoT), the robot is an example of the fast-changing manufacturing canvas. Producing about 1,286 engines per day, the Igatpuri plant of Mahindra & Mahindra became India's first carbon-neutral manufacturing facility by adopting smart manufacturing practices under Industry 4.0 in 2019. It invested in energy efficient technologies among others. It invested in recycling of water and other waste. It invested in solar panels to power some of its processes in the plant. An industry source expressed that the rapidly changing business environment the world over is providing impetus to smart manufacturing. It is driving efficiency enhancements and collaborations, he added. Emphasising on efficiency enhancements and collaborative efforts as key smart manufacturing drivers, an industry expert stated that technologies like AI, Industrial Internet of Things (IIoT), automation, big data and 5G are the biggest triggers. They are touching every aspect of manufacturing, from sourcing of raw materials to final inspection, he quipped.  

 

Industry 4.0

As companies like Lincode (it has collaborated with Switzerland-based Global Automotive Alliance), specialising in AI-powered visual inspection with multiple patent-pending defect detection capabilities, find more and more takers in India, the smart manufacturing shift is continuing to take place despite disruptions. It has, in fact, gained speed in India with the race to successfully accomplish BS VI transition in the last few years. A source in the auto industry mentioned that BS VI transition led to manufacturers upping their global ambitions. Vinay Raghunath, Partner and Leader, Automotive Sector, EY India, averred in a report that automotive shop floors are evolving and adopting digital technologies. This, he added, is happening amid challenges like slowdown in demand, non-availability of labour, concerns on health and safety management on the shop floor. Witnessing disruptions relating to ROI among other factors, as Raghunath has informed, the Indian auto industry has been an early adopter of digital manufacturing techniques.  

Working to dial higher efficiency, expertise and superior productivity, the Indian auto industry has been overhauling existing assembly lines, erecting new ones and extensively re-evaluating its manufacturing processes and practices in view of smart manufacturing, especially from an automotive value chain point of view. Taking to Industry 4.0, it is leveraging AI and IoT-based manufacturing technologies to automate further – to engage in machine-to-machine communication (M2M) such that there is self-monitoring as well as self-diagnosing. Taking to Industry 4.0 to tackle unanticipated disruptions like the Covid-19 pandemic, which has put well-oiled supply chains and production lines to the test and made it painfully clear that they in their current form are not as agile or resilient as expected, the auto industry is shifting to smart manufacturing in a big way. It is exploring and experimenting; it is finding new ways. It is doing so as it absorbs a significant change in technologies and products like electrification and EVs.

 

Operator 4.0 and hyper-intelligence

Investing heavily in data analytics infrastructure and capabilities, the auto industry is leveraging opportunities to digitally transform itself. It is defining the boundaries of physics for data-driven model. It is focusing on digital skills development. It is supporting the rise of Operator 4.0. Taking to collaborative robots that coexist with humans in a workplace, it is transforming its ways of manufacturing significantly. Drawing attention to the semi-conductor shortage and how the auto industry was affected despite using only 10 percent of the production, Vipin Sondhi, Managing Director, Ashok Leyland, explained that the rapidly changing consumer psyche is dictating a move to a completely different technological aspect. Emphasising on material technology, he said smart manufacturing is about digitising and achieving cost competitiveness. It was some two to three years ago that the Chennai-based CV maker began implementing smart manufacturing technologies to mitigate challenges. It took to modernising and digitising existing workplaces to address quality issues that are difficult for human beings to detect and acquire made-to-order or mass customisation capabilities. It took to equipping itself with an ability to expand and contract in tandem with the market conditions even as it took to modularisation of product lines.  

Automating its cab panel pressing plant at Hosur in 2019, which increased the output by up to 66 percent, Ashok Leyland has been one of the many automotive OEMs globally that are investing in hyper-intelligent automation. A confluence of AI and Robotic Process Automation (RPA), hyper-intelligent automation is redefining not just Industry 4.0 but also Operator 4.0. It is facing challenges like the high initial acquisition cost in terms of tools, but that isn’t worrying players involved like Tata Consultancy Services, Wipro, Mitsubishi Electric Corporation, Catalytic Inc and Infosys Limited among others. Estimated to grow at a CAGR of 18.9 percent as manufacturers strive to reduce energy consumption, up quality and reliability, and control costs through predictability and data-driven unique insights, hyper-intelligent automation is turning out to be yet another finer aspect of smart manufacturing. It is proving to be a big enabler for automating repetitive tasks – to enhance efficiencies, to take to cloud computing to ensure significantly more flexibility and to achieve scalability and the ability to collaborate and reduce costs.

Increasing visibility, predictability and enhancing control on operations and inventory, hyper-intelligent automation is aiding effective decision-making. Supported by development of new technologies such as 5G, which according to a domain expert, promises the need for speed and flexibility along with the capability to eliminate network instability or downtime, hyper-intelligent automation is helping automotive suppliers like Rane Madras Limited to make efficiency, reliability and cost control gains. In 2018, the company adopted automated solutions of Mistubishi Electric Corporation for its new plant in Gujarat. It led to a significant decrease in energy consumption. Aiding smart manufacturing, technologies like hyper-intelligent automation and 5G are helping the auto industry to achieve resilience and immunity against future uncertainties. They are helping to integrate Information Technology (IT) systems used for data-centric computing with Operational Technology (OT) systems – for data readiness and cyber security, and for the development of digital talent. Technologies like hyper-intelligent automation and 5G are helping to develop cross-functional profiles like engineering-manufacturing, manufacturing-maintenance and safety-security.

                                  

Tackling disruptions and smart working environment

Looking at productivity gains, emerging competition and risk aversity in the globalised world as per the EY report, the auto industry is taking to smart manufacturing to achieve significant technology transformations like electromobility as well. Apart from the creation of a smart working environment, it is also looking at the use of new materials, new process guidelines and practices. With health also becoming a disruptive factor in recent times, the auto industry is looking at automation in processes like inbound logistics, production planning, sourcing, press shop, body shop, paint shop, quality control and outbound logistics through data visualisation. With sensors and analytics shaping up, the smart working environment in a factory is coming to include AI-based alerts and fully automated work floors. This is increasingly getting compounded by data collection, historical data and high-quality extensive data mining. Helping to guarantee ROI, smart manufacturing is helping to lower the ‘takt’ time. It is also ironically undermining the involvement of humans on the shop floor.   

Reducing the cost of computation, storage and connectivity, smart manufacturing is coming of age with plummeting prices of sensors, 3D printers and robots. Empowering cloud-based manufacturing techniques and a gradual increase in the understanding of emerging technologies, smart manufacturing is providing an advantage in terms of the ability to respond to market changes quickly. Taking to develop a new light-duty truck platform with export ambitions and flexibility in terms of left-hand drive and right-hand drive orientation, VE Commercial Vehicles Ltd took to automating its welding line with robots at its Pithampur plant. It also took to robotising its windshield pasting station among others. Experiencing quality, consistency, efficiency and cost gains, the CV maker is also known to have reduced the takt time and energy consumption. As global ambitions and modularity strike in view of the ability to explore new export markets with a cost competitive BS VI product, the auto industry in India is using embedded sensors, RFID and GPS etc. for smart tracking. It is using smart manufacturing technologies to monitor parameters like temperature, pressure, vibration, machine rpm and flow rate.

 

 

Smart flexibility

As part of a shift to smart manufacturing, automakers and suppliers are resorting to flexible manufacturing and AR-based solutions to upskill. They are, in view of the technologies like connected vehicles and EVs, stressing on re-aligning their traditional manufacturing setups with that of the future. Emphasising on quality, resource optimisation, streamlining of business processes and adoption of new emerging technologies, they are closely evaluating the advantages of solutions like digital twins and rapid prototyping using additive manufacturing offer. With ROI on their mind, they are embracing smart manufacturing to move up the value chain.

 

UK Chancellor Maintains Vehicle Excise Duty Exemption For Classic Cars

UK Chancellor Maintains Vehicle Excise Duty Exemption For Classic Cars

The UK's cherished classic car community can finally breathe a collective sigh of relief. The decisive action by Chancellor Rachel Reeves in the Autumn Budget to maintain the Vehicle Excise Duty (VED) exemption for vehicles over 40 years old has ended a prolonged period of uncertainty, securing a stable future for this vital sector. Mark Roper, Managing Director of Hagerty UK, welcomed this clarity, noting that the confirmed freeze on fuel duty further solidifies a supportive environment for owners. He underscores that this is a significant win for the GBP-7.3-billion industry that supports over 100,000 jobs and contributes GBP 3 billion annually to the UK economy, all while championing an inherently sustainable form of motoring.

This perspective on sustainability is reinforced by Dale Keller, CEO of the Historic & Classic Vehicles Alliance (HCVA), who affirms that the tax exemption logically aligns with environmental objectives. Classic vehicles, preserved as moving heritage, have a negligible lifecycle carbon footprint compared to new manufacturing and are driven infrequently. The original principle of the exemption remains valid, as applying a modern tax to these rarely used assets would be inequitable.

Alongside the VED news, the Chancellor confirmed the continuation of the MOT exemption for classic cars, though this will remain under review. On this point, Roper of Hagerty UK strikes a note of caution, observing that many within the industry advocate for an annual roadworthiness check. He notes that a great number of responsible classic owners voluntarily submit their vehicles for an MOT each year, valuing the independent assurance of safety and mechanical integrity it provides.

For Hagerty UK, as a specialist insurer deeply embedded in this world, the government’s affirmation is a powerful endorsement of the sector's cultural and economic value. Through its vibrant Clubhouse at Bicester Heritage and unique events like RADwood, Hagerty is actively fostering this passionate community. Similarly, the HCVA continues its mission to protect and promote the diverse ecosystem of specialists, restorers and businesses that form the backbone of this multi-billion-pound industry, ensuring its legacy for generations to come.

Mahindra Racing Extends Formula E Involvement With GEN4 Manufacturer Commitment

Mahindra Racing Extends Formula E Involvement With GEN4 Manufacturer Commitment

Mahindra Racing has solidified its long-term future in electric motorsport by confirming its manufacturer commitment to the GEN4 era of the ABB FIA Formula E World Championship, starting in 2026/27. This announcement, made during the unveiling of its new M12Electro race car in India, extends a relationship that began in 2013 when Mahindra stood as both a founding team and the first OEM to join the all-electric series.

The team's current trajectory underscores the significance of this pledge. Following a dramatic 18-month transformation under CEO and Team Principal Frederic Bertrand, Mahindra Racing has evolved from a backmarker into a consistent front-runner. This resurgence was powered by the redesigned M11Electro, in which drivers Nyck de Vries and Edoardo Mortara collectively secured five podium finishes in Season 11, catapulting the squad to a stellar fourth place in the world championship. The newly launched M12Electro is the intended vehicle to maintain this status as a top-five contender and a regular threat for podium positions in the forthcoming season.

The technical landscape for GEN4 promises to further electrify the sport. The next-generation cars will boast a peak race power of 450 kw, with a potent 600 kw available in ATTACK MODE to empower aggressive overtaking. Enhanced strategic possibilities will come from a race energy capacity of up to 55 kWh and a remarkable 700 kw of regenerative braking. In a continued commitment to sustainability, the GEN4 chassis will be produced from 100 percent recyclable materials and will feature two distinct aerodynamic configurations – high-downforce for qualifying and low-downforce for races – to optimise performance.

Mahindra's ambition is to leverage this new regulatory chapter to build on its renewed momentum, chase incremental gains and establish itself as a confirmed championship contender against elite manufacturers like Porsche and Jaguar. This competitive platform also serves a broader purpose, aligning with the Mahindra Group’s sustainability initiatives. The team, the first in Formula E to earn the FIA’s Three-Star Sustainability Accreditation, has embarked on its ‘Planet Positive’ programme. This initiative is dedicated to driving positive impact in communities and economies, accelerating climate solutions and using the intersection of sport and technology as a catalyst for a better future.

R Velusamy, Chairman, Mahindra Racing, said, "Mahindra Racing has always been a symbol of our commitment to the Race to Road journey – where cutting-edge innovation on the track directly shapes the clean, intelligent and high-performance mobility solutions we deliver to customers. Formula E is a powerful platform for innovating new technology, giving us the ability to experiment, learn and advance electric powertrain efficiency, sustainable materials and software intelligence. As we step into the GEN4 era, our ambition only grows stronger. Continuing this journey till 2030 is a testament to our belief in the sport, in electrification and in India’s role in leading global sustainable mobility. We are proud to champion this future, and GEN4 represents an exciting new chapter for Mahindra Racing and the Mahindra Group.”

Frederic Bertrand, Team Principal, Mahindra Racing, said, “I’m delighted to share this announcement that Mahindra Racing will remain in Formula E as a manufacturer for the GEN4 era. As a team, we have been on a fantastic journey over the past two seasons. What we have built and achieved as a group has been exceptional, and with this announcement, we now have the platform to keep growing and developing and achieve even greater success in the future. None of this would be possible without our colleagues across the Mahindra Group. They have bought into the project and the vision, and we will keep working hard to not only make India proud but also showcase exactly why it has the potential to be a major player on the world stage in the automotive and technology industries. Their enthusiasm to ‘Scream Electric’ is hugely inspiring to the whole team, and we will continue to represent them with pride in this next exciting chapter of our Formula E story in the coming years.”

Jeff Dodds, CEO, Formula E, said, “We’re thrilled to confirm Mahindra’s long-term commitment to the GEN4 era of the ABB FIA Formula E World Championship. As one of our founding teams, Mahindra has been with us since the very beginning, consistently championing electric racing and innovation. Their bold vision for sustainable mobility and continued investment in advanced EV technology perfectly align with Formula E’s mission. Mahindra’s enduring presence not only strengthens our position in a key market but also reinforces Formula E’s role as a global platform for driving positive change. We’re excited to see what they’ll achieve in this next chapter of performance and progress.”

Marek Nawarecki, Senior Circuit Sport Director, FIA, said, “Following the GEN4 reveal and the really positive sentiment reported, we are pleased to announce Mahindra as the sixth manufacturer to commit to Formula E’s GEN4 era. This is testament to the relevance of the road map we are implementing in Formula E for OEMs. GEN4 underscores just how far the ABB FIA Formula E World Championship has come since 2014 and we are looking forward to continuing this journey with Mahindra as one of the founding teams and partners.”

Mahindra Charts Aggressive Decade Of Growth Across Auto, Farm, CV And Last-Mile Mobility Businesses

Mahindra Nu_Go

Mumbai-headquartered conglomerate Mahindra Group has unveiled an ambitious long-term roadmap across its core mobility and equipment businesses, detailing plans for accelerated growth in the automotive, farm equipment, commercial vehicle and last-mile mobility segments.

The strategy, presented at its Investor Day 2025, underscores the Group’s intent to leverage India’s expanding economy while deepening global market participation.

Mahindra expects its consolidated automotive business to grow 8x between FY2020 and FY2030, driven primarily by a stronger push in sports utility vehicles (SUVs) and light commercial vehicles (LCVs).

The company aims to become the world’s fastest-growing SUV brand. Its product strategy is rooted in new-age platforms such as INGLO and NU_IQ, enhanced digital architecture under MAIA and Adrenox, and continued investment in safety and performance.

At present, Mahindra holds more than 26 percent revenue share in India’s SUV segment as of the first half of FY2026. Strong consumer traction for models including the Thar, XUV700, XUV3XO and the Born Electric (BE) series is expected to support the company’s international expansion to right-hand-drive and left-hand-drive markets across Europe, Australia, Africa and other regions.

Strengthening leadership in LCV segment

The LCV business, where Mahindra commands 54.1 percent volume share in vehicles under 3.5 tonnes (as of H1 FY2026), is set to be another pillar of growth. The product range has broadened through the Supro, MaXX and Veero platforms, including CNG and electric variants. The company is also preparing for wider adoption of lifestyle pickups, led by the upcoming Global Pik Up.

Mahindra’s LCV strategy emphasises best-in-class total cost of ownership, reduced downtime, enhanced comfort and technology integration, with the segment also targeted for eightfold revenue growth during the decade.

Farm business

Mahindra, the world’s largest tractor manufacturer by volume, has outlined plans for threefold revenue growth in its farm equipment division between FY2020 and FY2030.

The Indian tractor market has continued to shift towards higher horsepower models, particularly in the 40–50 HP range. Mahindra aims to consolidate share in this segment through newer platforms including Yuvo Tech+, Swaraj Protek and Next-Gen ranges. Improvements in crop profitability and a more favourable price environment for tractors are expected to support industry expansion.

Mechanisation levels in India remain uneven, with significant headroom in sowing, crop care and harvesting equipment. Mahindra is expanding its farm machinery portfolio while leveraging its extensive dealer network and manufacturing footprint. The division, already a business exceeding INR 10 billion, is poised for rapid scaling.

Mahindra continues to build presence in key global markets:

  • Brazil: 8 percent share in the sub-120 HP category, and about 20 percent in sub-50 HP
  • North America: more than 10 percent share in sub-20 HP; upcoming launches to deepen penetration
  • ASEAN: early progress with about 4 percent share in pilot territories

Electrification, autonomy, precision agriculture and pay-per-use technology services form the next frontier for Mahindra’s farm business.

Targeting Top-Three Position in ILCVs

Following the acquisition of SML Isuzu, Mahindra is advancing a strategy to be among the top-three player in India’s intermediate and light commercial vehicle (ILCV) market. The domestic CV industry is projected to grow from approximately INR 15,000 billion in FY2025 to nearly INR 20,000 billion by FY2031, supported by infrastructure development, logistics modernisation and GST-driven reforms.

Mahindra aims to expand its presence in ILCVs, while pursuing a selective play in the heavy commercial vehicle category. The strategy benefits from combined advantages across product development, sourcing, aggregates, telematics and network coverage. The company expects up to sixfold revenue growth in its CV business during the decade.

Last-Mile Mobility

Mahindra Last Mile Mobility (MLM) is shaping an aggressive electrification-led growth plan, targeting sixfold revenue expansion and a cumulative one million electric vehicles on the road by 2031. EV sales climbed to 78,678 units in FY2025, led by the Treo series, which remains India’s top-selling electric three-wheeler.

The division has:

  • Strengthened its engineering capabilities with a 400-member product development team
  • Commissioned a new state-of-the-art manufacturing plant in Telangana
  • Expanded production capacity two-fold
  • Developed proprietary battery, motor and telematics systems

The product roadmap includes advanced electric three-wheelers and electric four-wheelers tailored for last-mile applications, along with plans to expand exports to more than ten markets. Mahindra’s EV fleet has cumulatively saved over 300 million litres of fuel and prevented more than 185 kilo tonnes of carbon dioxide emissions.

Across all mobility segments, Mahindra’s plan is anchored in product leadership, technology integration, capital discipline and global expansion. A stronger focus on electrification, platform consolidation, digital interfaces, manufacturing efficiency and customer-centric service models is expected to underpin the Group’s growth trajectory.

Murugappa Group’s Former Chairman Arunachalam Vellayan Passes Away At 72

A Vellayan

Chennai-based conglomerate Murugappa Group has announced the passing of Arunachalam Vellayan (1953–2025) following an illness.

Vellayan was the Chairman Emeritus of Coromandel International and the Former Chairman of the Murugappa Group. He is survived by his wife, Lalitha Vellayan, his sons, Arun Vellayan and Narayanan Vellayan, and his grandchildren.

The Former Chairman dedicated several decades to the Group, providing strategic direction across its businesses. His approach to value creation helped strengthen and expand the Group, contributing to its reputation as a respected conglomerate.

He served on the Boards of various Murugappa Group companies, including as Chairman of Coromandel International and EID Parry.

Outside the Group, he served on the Boards of entities such as Kanoria Chemicals & Industries, EXIM Bank and Indian Overseas Bank.