The domestic production of the two-wheeler segment dropped to about 1.83 crore in FY21 as against the production of about 2.10 crore in FY20, financial services credit rating company Infomerics Valuation and Rating said in a report.

According to the Industry Outlook Automobile Industry report, the Indian automobile industry is valued at more than INR 8 lakh crore. Its turnover contributes approximately 7.1 percent of overall GDP, 27 per cent of industrial GDP and 49 per cent of manufacturing GDP. 

With the pandemic causing havoc in the automobile industry, the numbers have plummeted in FY21 for both production and sales, compared to the figure in FY20.

The study said two-wheeler is the most significant contributor to the automobile sector. It contributes about four-fifth to the overall industry, followed by passenger vehicles, contributing approximately 13 per cent to the industry.

Following some positive steps from the government, the automobile industry emerged as the top sector during the first four months of FY2021-22 with a 23 per cent share of the total FDI equity inflow, the study pointed out. The reforms by the government in FDI policy, investment facilitation and improving ease of doing business are some of the reasons for the increased FDI inflow, it said.

Along with enhancing FDI, the government has floated INT 25,938 crore worth of new production-linked incentive (PLI) scheme for the auto sector. The PLI Scheme for Automobile and Auto Components Industry will lead to a new investment of more than INR 42,500 crore, incremental production of over INR 2.3 lakh crore for five years. It is also expected to create additional employment opportunities for more than 7.5 lakh jobs.

The government also extended the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric vehicle (FAME) scheme by two years to 31 March 2024. Besides, the Central government approved the INR 76,000 crore scheme to boost semiconductor and display manufacturing.

However, the study pointed some significant challenges for the industry in future. It said there was a mismatch between funds allocated and disbursed. The Union government has only disbursed about 10 per cent (about INR 820 crore) of the total subsidies out of INR 8,596 crore earmarked under the FAME-II scheme. EV makers pointed out that the aggressive localisation criteria for qualifying for FAME-II were a reason for the limited disbursal under the scheme. The semiconductor shortage has also been adversely affecting the industry. The automotive component industry, which had a turnover of INR 3.40 lakh crore (USD 45.9 billion) for the April 2020-March 2021 period, posted a de-growth of 3 per cent, compared with the turnover in the previous year.

The report said the restructuring of Ford’s Indian operations caused massive anxiety for dealers and customers. The future of about 170 Ford dealers with a combined investment of INR 2000 crore and about 40,000 employees is uncertain, the study pointed out.

Some foreign original equipment manufacturers (OEMs) who exited in the last four years include General Motors in 2017, MAN Trucks in 2018, United Motor Cycles in 2019 and Harley Davidson in 2020. Accordingly, the FADA sought to introduce legislation, viz., Automobile Dealers Protection Act, to create an enabling environment for automobile dealers. Industry body FADA also indicated that it was the worst festive season in the decade, with overall vehicle registrations falling 18 per cent in 2021 as against the festive season in 2020.

However, the report highlighted that the EV segment and the sector growth is optimistic and is also likely to get an impetus by the government’s series of incentives.

Besides, the report is not very optimistic about the overall industry in the short term due to the semiconductor shortage and infrastructure challenges on the EV front.

The industry faces challenges from other factors like triple-digit fuel prices and the sudden exit of big companies. The report suggested that the industry needs to work on the semiconductor issue and try to develop native capacities, adding that the government needs to work in tandem and consider reducing fuel prices. (MT)

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Hero MotoCorp, a leading two-wheeler manufacturer globally, has announced its official entry into the Republic of Italy. This expansion marks the company’s entry into its 49th international market.

Product distribution will be managed by Pelpi International, a large distributor that offers sales, service, and parts through a network of over 160 dealers. Initial distribution will focus on key cities with 36 dealers, with plans to expand to 54 touchpoints.

The three models available at launch are the Xpulse 200 4V, Xpulse 200 4V Pro and Hunk 440. Both models comply with E5+ and EU standards.

Hunk 440: This model enters the L3e−A2 performance category. Its engine delivers torque of 36.0 Nm at 4000 rpm and power of 27 BHP at 6000 rpm. It features dual-channel ABS with 320 mm front and 240 mm rear discs, USD Cartridge Forks by KYB, a full-digital TFT display and navigation. The Hunk 440 starts at EUR 3,990 (Incl. VAT) and is available in Twilight Blue and Phantom Black.

Xpulse 200 Family: The Xpulse 200 4V Pro has a 4-Valve head that produces 18.9 BHP and 17.35 Nm torque. It includes three ABS Modes (Road, Off-road, and Rally). It is equipped with a digital speedometer, inverted LCD Display, navigation, and LED Projector headlamps. The Xpulse 200 4V starts at EUR 2,990, and the Xpulse 200 4V Pro at EUR 3,190.

Hero MotoCorp will offer a standard 3-year warranty and an additional 2-year warranty as a launch offer, extending the total warranty to 5 years.

Sanjay Bhan, Executive Vice-President, Hero MotoCorp, said, "Entering Italy, the very heartland of two-wheeler culture, marks a defining milestone in Hero MotoCorp’s global expansion journey. We aim to redefine ‘The Future of Mobility’ at a global scale with next-gen smart mobility solutions that cater to diverse riding preferences. With products that reflect both the Explorer and Liberator spirit, we are inviting Italian riders to experience Limitless Freedom and Limitless Adventure every day. Our success in the Dakar Rally with Hero MotoSports is a testimony of our global engineering excellence and the innovation in products that we are bringing for Italy market."

Cesare Gali, Managing Director, Pelpi International, said, “We are proud to champion Hero MotoCorp’s entry into Italy. Their global scale, product quality, and the unparalleled commitment of a 5-year warranty give us immense confidence. The Hunk 440 and Xpulse 200 fill crucial, highly competitive segments in Italy, offering a unique blend of technology and value that will resonate deeply with Italian consumers.”

Pelpi International will make the brand available with 36 dealerships across key cities.

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Chennai-headquartered mid-size motorcycle major Royal Enfield has further expanded its online presence on e-commerce platform Amazon India. The company is making available its entire range of 350cc motorcycles on the e-commerce platform.

The partnership aims to offer convenience in the purchasing process, in addition to payment options available on the platform. The purchase option is currently open to customers in five cities: Ahmedabad, Chennai, Hyderabad, New Delhi and Pune.

The range of 350cc models available includes the Classic 350, Bullet 350, Hunter 350, Goan Classic 350 and the new Meteor 350. These will be sold through a dedicated Royal Enfield brand store on Amazon India.

Delivery and aftersales service will be handled by the customer’s chosen Royal Enfield dealership in the city. The brand page also allows customers to buy genuine motorcycle accessories (GMAs), riding gear and merchandise.

Royal Enfield 350cc motorcycles are now available on two e-commerce platforms, reaching ten cities in India. They are sold through Amazon.in in Ahmedabad, Chennai, Hyderabad, New Delhi and Pune, and via Flipkart.com in Bengaluru, Gurugram, Kolkata, Lucknow and Mumbai.

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Aprilia Racing has achieved global success with the limited-edition RSV4 X-GP, announcing that all 30 units sold out in just fourteen days following its introduction at the Catalunya Grand Prix.

The company stated that the immediate sell-out confirms the strong international appeal of Aprilia's ‘X’ brand, which the company states is a reference point for exclusivity, innovation and pure performance.

Enthusiasts from markets including Europe, the United Arab Emirates, Australia, Malaysia and the United States secured the bikes, with booking requests reportedly exceeding availability during the presentation weekend itself.

The RSV4 X-GP was created by the Noale Racing Department to mark the 10^th anniversary of the RS-GP's debut in MotoGP, featuring the official MotoGP Team livery. It is the most powerful RSV4 ever built, boasting 238 HP for a mere 165 kg of weight, creating an ‘unprecedented riding experience.’

The bike introduces several track-focused innovations derived directly from the RS-GP prototype, notably becoming the first factory derivative bike in the world to feature leg and tail wings – aerodynamic solutions previously exclusive to the MotoGP machine. It also includes a structural carbon seat support.

Massimo Rivola, CEO, Aprilia Racing, said, “X confirms its status for Aprilia Racing as an exclusive and niche brand with enormous potential. Aprilia Racing is synonymous with innovation and it fills us with pride to see that, even at a strategic and product level, we have created an iconic brand and a new type of absolutely exclusive bike, conceived specifically for track enthusiasts.”

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Suzuki Motorcycle India, the two-wheeler subsidiary of Suzuki Motor Corporation, Japan, has introduced new colour line-up for the Suzuki Gixxer SF and Gixxer motorcycles.

The fully faired Suzuki Gixxer SF priced at INR 137,231 (ex-showroom Delhi) gets two new colours - Metallic Oort Gray + Pearl Mira Red and Glass Sparkle Black + Metallic Oort Gray. The company is also providing exchange benefits up to INR 5,000 and extended warranty at INR 1,999 or insurance benefits up to INR 7,000 as part of the festive sales offer.

On the other hand, the Suzuki Gixxer priced at INR 126,421 (ex-showroom Delhi) gets three new colours - Metallic Oort Gray + Pearl Mira Red, Glass Sparkle Black + Metallic Oort Gray and Metallic Triton Blue + Glass Sparkle Black. The company is offering exchange benefits up to INR 5,000 along with an extended warranty at INR 1,999 or alternatively insurance benefits up to INR 6,000.

The Suzuki Gixxer SF and Gixxer are powered by a 155 cc, BS-VI OBD-2 B-compliant single-cylinder engine equipped with Suzuki Eco Performance (SEP), delivering 13.6 PS of power and 13.8 Nm of torque. This engine has a proven track record, having set a national endurance record in the 150cc category.

Both motorcycles feature European-inspired styling, highlighted by a LED headlamp and tail lamp, a sporty dual-muffler and split seats. The motorcycles also get a Bluetooth-enabled multi-function digital console with the Suzuki Ride Connect application. Key safety and performance features include single-channel ABS, wide radial tyres and a 7-step adjustable mono-shock for handling across varied conditions.

Deepak Mutreja, Vice-President – Sales and Marketing, Suzuki Motorcycle India, said, “The fresh colours of Gixxer SF and Gixxer underline Suzuki’s commitment to blending style, performance and innovation while catering to the aspirations of young Indian riders. With these enhancements, the motorcycles reflect Suzuki’s engineering and design philosophy, combining sporty character with comfort for both everyday city rides and long-distance touring. Along with attractive purchase benefits and easy ownership options, the updated line-up adds to the festive excitement and strengthens the connect of the GIXXER brand with customers across the country.”

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