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Audio Interview: How AI Can Enhance Travel and Working Abroad: For Automotive Industry Professionals In this GlobalAutoIndustry.com "How AI Can Enhance Travel and Working Abroad: For ", Ron Hesse speaks with Allen Koski, President of Insured Nomads, the first insurtech in global benefits. Previously Allen was a Senior Vice President at and prior to that instrumental in the growth and development of in roles that ranged across . In the 11-minute Audio Interview, Koski discusses these questions:  What’s your story? What does Insured Nomads do for the ?  What is Artificial Intelligence for our audience?  How is AI going to affect the healthcare of our automotive audience?  How is AI going to direct our moves and deployments?  Are there any lessons we can learn from this last period of Covid and remote work? Also Listen:
Tesla vs Tata Motors: Elon Musk's USD 56 bn salary more than TaMo revenue shareholders recently approved CEO 's USD 56 billion remuneration package for the second time at a crucial annual shareholder meeting, following a prior invalidation by a Delaware court earlier this year. This eye-popping sum alone is more than the total revenue of , which sits at USD 52.44 billion (INR 4.38 lakh crore). Musk's compensation package not only outstrips Tata Motors but also surpasses the total revenues of other prominent Indian entities, including HPCL (USD 52.09 billion), SBI (USD 40.35 billion), Rajesh Exports (USD 37.48 billion), and TCS (USD 29.04 billion). However, it falls short of giants like Reliance Industries (RIL) at USD 108.62 billion, Life Insurance Corporation of India (LIC) at USD 96.10 billion, Indian Oil (IOC) at USD 93.84 billion, and Oil and Natural Gas Corporation (ONGC) at USD 77.54 billion. Analysts and investors speculate that approving Musk's remuneration package will mitigate the risk of him leaving the electric vehicle maker. Tesla's revenue and adjusted core profit were also milestones in Musk's USD 56 billion stock options package, with the highest revenue target being USD 175 billion cumulatively in four consecutive fiscal quarters. However, despite the vote of confidence from the Tesla board, the company faces challenges as its sales have been declining over recent quarters. Total revenues have fallen by 8.7% to USD 21,301 million compared to USD 23,329 million in the same quarter the previous year, according to data collected from the first quarter results of 2024. Year-to-date, Tesla's shares have declined nearly 25%, with a 32% plunge in the last year. In the United States, top-paid CEOs include Alphabet's Sundar Pichai with compensation of approximately USD 226 million in 2022, followed by Broadcom's Hock Tan with USD 161.83 million, and Apple's Tim Cook with USD 63.21 million. Tata Motors Financial Performance For FY24, Tata Motors reported record revenues of INR 4,37,900 crore (USD 52.44 billion), an all-time high EBITDA at INR 62,800 crore (USD 7.52 billion), and a net profit of INR 31,800 crore (USD 3.8 billion). In Q4 FY24, the revenue stood at INR 1.20 lakh crore, marking a 13.3% YoY increase, while the consolidated net profit for the quarter ended March 31, 2024, reached INR 17,529 crore, a 46% jump over the net profit of INR 12,033 crore reported in the year-ago period. In Q4FY24, the earnings before interest, taxes, depreciation, and amortisation (EBITDA) stood at INR 17,900 crore, up 26.6% YoY. On a year-to-date basis, have surged by 25%, while they have gained 74% in the past year.
Airbus fits electric truck with airliner cockpit to study safer taxiing is showing off an unusual vehicle - a truck fitted with basic airliner controls - that it hopes can demonstrate how will make airports safer as concern grows over a spate of jetliners colliding on the ground. The converted at , Europe's biggest technology event, can be driven normally, or the aircraft systems can be given control. Sensors keep track of warning lines and obstacles as onboard computers guide the vehicle to a specific location, accelerating and braking as needed. "These use cases are much more critical and complicated compared to those of the car industry," said Matthieu Gallas, head of at , the planemaker's innovation lab. "Copying and pasting technology already available on the market won't work." Airbus is at pains to avoid linking the research to specific accidents, but comparisons with January's fiery Tokyo collision between a landing A350 and a coast guard plane that appeared to have strayed onto the runway are inevitable. Airbus declined comment on the accident, which is being investigated. A separate investigation was launched last month after the wingtip of an empty jet collided with a stationary jet. In February, U.S. regulators said they would look into a collision between two planes at Boston Logan. Airbus hopes the vehicle crawling through a side alley of the Paris exhibition centre hosting the tech billionaires and startups of VivaTech shows how automation can help safely squeeze USD 100-million-plus jets through increasingly congested airports. HOPES Slow-speed ramp incidents are rarely fatal but represent a costly and growing headache for airlines, airports, insurers and passengers caught up in resulting delays. Airbus UpNext said it had teamed up with Israeli electric vehicle maker to build the hybrid research platform as part of its three-year "Optimate" project. The plane-truck will be tested at live airports and could pave the way for later tests on an A350-1000 aircraft. If successful, the project could result in changes to plane design, but getting novel systems certified is a daunting task. Regardless of what happens, pilots will remain in the loop, Gallas said. Airbus jets already use automation to limit pilot error, though the software is not autonomous, meaning it can only behave in a predictable way. Equipped with 3D-mapping LiDAR light sensors, the research vehicle could explore higher levels of automation later, though Airbus says it has no plans to introduce autonomy in jetliners. The potential for LiDAR is already in the spotlight after severe turbulence battered a Singapore jet this week, leaving one passenger dead of a suspected heart attack and dozens injured. Boeing began tests in 2018 and experts hope LiDAR will track unstable currents that elude radar. "LiDAR is 'the' technology," ex-auto executive Karim Mokaddem, head of Airbus commercial research and technology, told Reuters.
Tesla cuts prices in China for some Model Y versions Inc has cut prices in China for its and performance versions starting on Aug. 14, the company said in a notice on Monday. The car company dropped the starting prices of both models by 14,000 yuan (USD 1,934.58). The Model Y Long Range's starting price drops 4.5% to 299,900 yuan and the starting price of the Model Y Performance is now 349,900 yuan, down 3.8%. In the same announcement, Tesla also said it would offer insurance subsidies in China of 8,000 yuan for Model 3 buyers of entry-level, rear-wheel-drive versions of the Model 3 inventory vehicle between Aug. 14 and Sept. 30. Last month Tesla CEO said further price cuts were a possibility, even if it squeezed the automaker's margins. Tesla has slashed prices several times in the United States, China and other markets since late last year, and increased discounts and given other incentives to reduce inventory, trying to shield itself against competition and economic uncertainty. Sales of Tesla's China-made vehicles fell 31% in July from June, data from (CPCA) showed earlier this month, marking its first month-on-month decline since December. (USD 1 = 7.2367 yuan)
PM to release national logistics policy on Sep 17 New Delhi: Prime Minister Narendra Modi will release the on September 17, which is aimed at promoting seamless movement of goods across the country, said on Tuesday. The policy is expected to focus on several areas such as process re-engineering, digitisation, and . In 2020, the government, in the budget, had announced that it will soon release the national logistics policy. The move assumes significance as high impact competitiveness of in the international market. "On September 17, the prime minister is going to release the country's logistics policy," Goyal said here while addressing the members of the Board of Trade. The government has emphasised on the need to reduce logistics cost in the country from the current levels of 13-14 per cent of GDP. According to the commerce ministry, the sector is complex with more than 20 government agencies, 40 PGAs (Partner Government Agencies), 37 export promotion councils, 500 certifications, over 10,000 commodities, and USD 160 billion market size. It also involves 200 shipping agencies, 36 logistics services, 129 ICDs (Inland Container Depots), 168 CFSs (Container Freight Stations), 50 IT ecosystems, banks and insurance agencies. The sector provides livelihood to more than 22 million people and improving the sector will facilitate 10 per cent decrease in indirect logistics cost leading to the growth of 5 to 8 per cent in exports, the ministry had stated. As per estimates, the worth of Indian logistics market is over USD 200 billion.
Most small SUVs flunk updated insurance industry crash tests DETROIT - Most small SUVs flunked the latest done by the insurance industry, but oddly enough, they're just as safe as they were before. That's because the Insurance Institute for Highway Safety updated the test so it places more emphasis on keeping back-seat passengers safe. Only the Ford Escape and Volvo XC40 got the top "good" rating in this year's testing released Tuesday. The was rated "acceptable," while Audi's Q3, the Nissan Rogue and the Subaru Forester were "marginal." The remainder, the Buick Encore, Chevrolet Equinox, Honda CR-V and HR-V, Hyundai Tucson, Jeep Compass, Jeep Renegade, Mazda CX-5 and Mitsubishi Eclipse Cross got the bottom rating of "poor." IIHS President David Harkey said the test is being changed because vehicle structures, air bags and seat belts have made the SUVs safer for front-seat passengers than those in the back. Now, the risk of fatal injury is 46% higher for rear-seat passengers than drivers in the front, Harkey said. "Before we were just focused on how well the driver was protected," Harkey said. "It's not that the vehicle has become any less safe." The institute has a history of changing its widely watched tests in an effort to get automakers to make safety improvements, and Harkey says they normally respond to the changes. While safety belts restrain back-seat passengers, they're susceptible to head and neck injuries, and in many of the SUVs, the belts are relatively low tech and simply tighten up in a crash. Newer belts have sensors that determine a crash is imminent and they pull a passenger into the proper seating position before a crash, slowing the passenger's speed with the vehicle, Harkey said. After impact, they loosen a bit to prevent belts from rising off the pelvis and into the abdomen where they can cause severe internal injuries, he said. Some automakers already have put more sophisticated belts in their back seats, something that can be done without a big model update, Harkey said. "The industry has always been good about responding to tests that we have introduced," he said. "We expect they will do so in this case, and we expect they will be able to do so quickly." The institute used a crash dummy that represents a small woman or a 12-year-old child to test for injuries to rear-seat passengers, and Harkey says the dummy does a good job of showing risk to passengers of all sizes. When the IIHS introduced the moderate overlap front crash test in 1995, most vehicles were rated poor or marginal. Automakers responded with stronger structures and air bags to make front-seat riders safer, and all 15 small SUV models used to get good ratings. In the original moderate overlap test, a vehicle travels at 40 mph toward an aluminum barrier. About 40% of the vehicle's width hits the barrier on the driver's side. Some of the SUVs tested have more sophisticated rear safety belts, but the timing has to be worked out to function better in the
40% of the vehicle's width hits the barrier on the driver's side. Some of the SUVs tested have more sophisticated rear safety belts, but the timing has to be worked out to function better in the milliseconds before and after a crash, Harkey said. "Now they've got to go back and figure out are they firing at the right time?" he said. Small SUVs are the most popular new vehicles sold in the U.S. So far this year, compact and subcompact SUVs combined account for 23.4% of all new vehicle sales, according to Edmunds.com.
Renault India extends support to flood-hit TN customers New Delhi: In the wake of the devastating cyclone 'Michaung', has collaboratively joined hands with other OEMs to extend comprehensive support to its customers in the affected regions in Tamil Nadu. In conjunction with its dealerships, India has swiftly implemented a range of initiatives to alleviate the situation and assist those impacted by the floods, the company said. To ensure the safety of its customers and their vehicles, Renault India took proactive steps by sending out SMS alerts and app notifications, advising them on precautionary measures to safeguard their cars against potential damage. As part of its comprehensive support initiative, Renault is offering free-of-cost roadside assistance to help customers transport their vehicles to the nearest dealerships. The company has also pledged to reimburse the towing costs incurred by customers who independently arranged for their vehicle transportation. To prioritise the recovery of flood-affected vehicles throughout Tamil Nadu, Renault has deployed an additional fleet of 15 towing trucks. Recognising the urgency of the situation, the 24x7 helpline team at Renault has been reinforced with extra resources to handle the surge in request calls, ensuring that customers receive prompt and efficient assistance, the company said in a media release. Several other measures have also been taken including extended working hours of Renault authorised workshops for faster deliveries, arrangements for parts inventory to expedite repairs and collaboration with insurance companies for faster insurance settlement claims. Renault is committed to providing round the clock support to its customers in Tamil Nadu. , Vice President Sales Marketing at Renault India Private Limited (RIPL), said “During these hard times, Renault India, in solidarity with other OEMs, provides robust support to our customers affected by the Chennai floods. Our all-encompassing initiatives, spanning proactive communication and hands-on assistance, underscore our unwavering commitment to offering 24/7 aid to our customers in Tamil Nadu. Renault India will continue to remain vigilant, continuously monitoring the situation and adjusting our efforts to address the changing needs of the community and our customers. We stand united in these challenging times.” The measures put in place provide holistic support to customers from the service request to the helpline team, transportation of the vehicle to the workshop, the servicing itself to the post service processes. This ensures lack of delay and efficiency of process for the customers, the release said.
Price cap on Russian refined fuels set to disrupt trade The 's ban on imports of products, including and jet fuel, will disrupt global flows once it takes effect on Sunday and could hurt Moscow more than an embargo on crude oil. Although Western sanctions could force Russia to cut crude production and refining runs, which would further tighten global supplies, some analysts said the ban on products may ultimately have little impact on overall availability. "Barrels will get out and find a market, logistical challenge but not a supply challenge," senior research associate Ian Moore at global brokerage firm Bernstein. The bigger issue could be for Russia in finding alternative buyers as and , which have proved keen to snap up its discounted crude oil, have plenty of their own refining capacity and are exporters of fuel products. "While the ban would leave Russia with more crude to export, there may not be enough destinations to export the surplus to, and hence Russia may need to cut production by 5%-10%," said DBS Bank energy analyst Pei Hwa Ho. To try to compensate for an absence of European buyers, Russia ramped up diesel supplies to African and Mediterranean ports in January. But a lack of tankers to carry these products and a potential lack of demand could make it more challenging for Russia to divert refined fuels to third party markets. Europe has been turning to producers in Asia, the Middle East and the United States to diversify its sources of supply, but shipping will be costlier due to the longer sailing time. For now, supplies remain ample in Europe, which is heavily reliant on Russian diesel imports, as traders stocked up ahead of the Western restrictions. It is still unclear what the for refined products can be as their pricing, far more complex than for crude oil, is dictated by differences in quality, determined by levels of sulphur and metals. The EU has proposed a $100-per-barrel price cap on diesel and a $45 cap per barrel on discounted products such as fuel oil, but member states have yet to agree on those levels, with states aiming for a deal on Friday. Approved by the G7 wealthy nations, the European Commission and Australia, the products ban follows a similar measure they implemented on Dec. 5 barring the sale, insurance and transport of Russian crude oil unless sold below a $60 price cap. Also Read:
Drivers land better incentives in a crowded ride-hailing space Increasing competition in the ride-hailing space has resulted in better incentive structures for in the sector as platforms experiment with their business models or tweak the way they charge commissions from drivers. Swiggy-backed bike-taxi platform has introduced a subscription fee model for its driver partners on and autos, doing away with the old structure of commissions on rides, while California-headquartered inDrive is offering commission rates of 10-12% to its drivers in India, less than half of leading players and Ola’s 25-30% commission. Uber has also started tweaking its commission structure, decreasing its commission by 5-7 percentage points during peak hours to incentivise drivers to be on the roads, people aware of the matter said. ONDC-backed Namma Yatri operates on a software-as-a-service (SaaS) model, offering their services to auto drivers for a fee. For Rapido, the daily fee paid by driver partners ranges between INR 9 to INR 29, while Namma Yatri offers its services at INR 25 per day, or INR 3.5 per trip for up to ten rides, following which it is free. “Drivers have been opposing traditional commission structures put in place by platforms, given that a portion of their earnings was taken by the ride-hailing companies,” a senior executive at one of the large ride-hailing firms said on condition of anonymity. “The way these commissions are structured…how much money drivers receive in hand and how much goes away to the platforms create a poor perception for drivers, who think that they lose money to the platforms that bring them business,” the executive said. Drivers, who are essentially gig workers, have time and again been at loggerheads with larger players like Uber and Ola over the payouts. In 2018, Uber and Ola drivers protested across the country over reducing cash incentives that the platforms initially used to create supply. Crowded market Over the last few years, the ride-hailing sector – primarily a duopoly between Ola and Uber – has seen newer players emerge, competing for the same set of customers and drivers. In an interview with ET in February, Uber CEO acknowledged the growing competition in the space. “The Indian market is getting more competitive. It was a two-player market previously, now there are three-four players. There are many young upstarts. We have to make sure we’re on our toes,” he had said. The emergence of Rapido, and ONDC-backed players has pushed Uber to introduce measures to retain its supply. In November, ET reported that the company has rolled out the Uber Pro programme to give its drivers benefits such as area preference, discounted vehicle maintenance and motor insurance, as well as enhanced micro-credit offerings. Drivers become eligible for these benefits upon reaching certain milestones. During the programme’s pilot, the company witnessed a reduction in churn of drivers with the platform. Scaling up For the platforms operating on
for these benefits upon reaching certain milestones. During the programme’s pilot, the company witnessed a reduction in churn of drivers with the platform. Scaling up For the platforms operating on a SaaS model, industry insiders questioned the scalability of the offering even while acknowledging an improvement in gig workers’ stickiness on the platform. “The SaaS model works like a loyalty programme… Once the drivers buy in, they try to milk as much as possible out of that INR 25-30 they pay every day. It automatically increases their time spent on the platform,” a Bengaluru-based ride-hailing company executive said. “It’s an important top of the funnel to acquire these gig workers… Eventually the fee will see an increase in line with costs incurred to manage the software,” he said. “Through the commission model and the ride-based incentive structures, drivers don’t really operate on a gig system… Many of them end up driving for over 15-17 hours a day. But once they pay for a daily fee to get access to customers, they have a better visibility into their earnings after paying the fee,” the executive added. Even for Ola and Uber, showing fares upfront to drivers before they accept rides is a way of increasing transparency into what they would earn from every ride, industry officials said. “One of the key asks of gig workers is more information into what they’re earning… Being able to see the fare upfront is one of the ways to make that work,” an industry official said.
India's Russian oil import hits 12-month low but long-term appetite remains intact New Delhi: India's fell for a second straight month in January to its lowest in 12 months but the nation's insatiable appetite for Russian crude remains for the long term, according to data from energy cargo tracker and industry officials. Russia supplied 1.2 million barrels per day of crude oil to India in January, down from 1.32 million barrels in December and 1.62 million barrels in November 2023, according to data from energy cargo tracker . Russia however continues to remain India's top oil supplier, accounting for a little less than a quarter of 4.91 million barrels a day of oil that the world's third largest energy consumer imported in January. The decline in cargoes from Russia was made up by increased sourcing from Iraq, which supplied 1.1 million barrels per day (bpd) in January, up from 985,000 bpd in the previous month. Supplies from Saudi Arabia declined to 659,000 bpd from 668,000 bpd in December. India is more than 85 per cent dependent on imports for its needs of crude oil, which is converted into fuels such as petrol and diesel at refineries. Its appetite for Russian oil swelled ever since such oil started trading on discount as the West shunned it to punish Moscow for its invasion of Ukraine. According to Vortexa, an energy intelligence firm, India imported just 36,255 bpd of crude oil from Russia in December 2021 as compared to 1.05 million bpd from Iraq and 952,625 bpd from Saudi Arabia. There were no imports from Russia in the following two months but they resumed in March, soon after the Ukraine war broke out in late February. Imports from Russia soared to an all-time high of 2.1 million bpd in June last year, accounting for almost 40 per cent of all oil India imported. According to , Vortexa's head of APAC analysis, the reason for the fall in Russian crude oil import in last couple of months was the narrowing of Russian crude discounts versus Middle Eastern crude, recent US sanctions on shipowners carrying Russian crude above the price cap and rising tanker premiums as a result of the Red Sea attacks. Also, some state refiners rushed to fulfill term commitments with Middle Eastern suppliers, industry officials said adding the removal of sanctions on Venezuela has whetted the appetite of private Indian refiners to resume purchases from the South American supplier. Indian refiners started snapping up crude shipments from Venezuela after a three-year suspension in September 2020. These developments together have contributed to a slowdown in Russian purchases. Industry officials said the long-term demand for Russian crude oil remains intact. "A dip in one month and rise in another doesn't tell you the entire story. The fact remains that Indian companies will continue to buy Russian crude oil as long as they make economic sense," an official said. Indian state firms buy Russian crude oil on a delivered basis, meaning the supplier has to make
will continue to buy Russian crude oil as long as they make economic sense," an official said. Indian state firms buy Russian crude oil on a delivered basis, meaning the supplier has to make arrangements for shipping and the buyer pays only when oil is delivered at the receiving port. This is unlike sourcing from the Middle East where the buyer pays for shipping and insurance. "Till such time that the delivered cost of Russian crude oil is less attractive as compared to alternate sources, Indian refiners will buy," another official said. Trade sources and analysts also said that refiners are currently expressing increasing concerns about rising shipping costs and insurance. The US in December imposed sanctions on ships and vessel operators carrying Russian oil sold above the USD 60 a barrel cap set by the Group of Seven nations. Several tankers had to divert as banks and service providers were asked to ensure cargoes do not breach the price limit. (HPCL) chairman at an investor call last month said Russian oil made up for 30 per cent of all oil that the company imported and that the company has tied up supplies from Russia and other sources till mid-April. ( ) chairman at an earning call late last month stated that 40 per cent of all crude oil that the firm imported in December quarter came from Russia.
Govt panel finds defect in battery cells in almost all EV fires New Delhi: In what could put EV two-wheeler manufacturers in a tough spot, the preliminary findings from the government-constituted probe committee on electric vehicle (EV) fires have found issues with battery cells/design in nearly all of the electric two-wheeler (2W) fire incidents in the country. The committee was constituted last month in the wake of EV fires and battery blasts in e-scooters belonging to , , , , and . According to sources close to the development, the experts have found defects in battery cells as well as battery design in nearly all EV fires, including the deadly battery explosion in Telangana. An 80-year-old man was killed and two others injured when the battery of a Pure EV electric two-wheeler exploded in their house in Telangana's Nizamabad district. Sources said that the experts would now work individually with the to resolve respective battery issues in their vehicles. Ola Electric said in a statement to IANS that they have commissioned world-class agencies, "in addition to our own investigation, to perform an internal assessment on the root cause". "As per the preliminary assessment of these experts, it was likely an isolated thermal incident," the company said. Ola Electric has already voluntarily recalled 1,441 vehicles to conduct pre-emptive diagnostics and health checks on scooters in that specific batch. "Our battery pack already complies and is tested for AIS 156, the latest proposed standard for India, in addition to being compliant with the European standard ECE 136," the company added. Okinawa Autotech declined to comment on the development. The Delhi High Court this week issued notice to the Centre and the Delhi government on a plea seeking directions for mandatory insurance for electric two-wheelers. Apart from insurance coverage, the plea also sought to ensure reliable and long-lasting batteries in the vehicle by the manufacturers in a way to avoid overheating and fire accidents. Earlier, cautioning the EV manufacturers, Union Road Transport and Highways Minister Nitin Gadkari said that the government will soon issue quality-centric guidelines for electric vehicles. Gadkari warned EV makers last month that if any company is found negligent in their processes, "a heavy penalty will be imposed and a recall of all defective vehicles will also be ordered". "We have constituted an Expert Committee to inquire into these incidents and make recommendations on remedial steps. Based on the reports, we will issue necessary orders on the defaulting companies," he had said. In another tragic incident involving an electric two-wheeler, a 40-year-old man died in Andhra Pradesh's Vijayawada after a blast occurred in an e-scooter belonging to Boom Motors while being charged at home. The incident also left the Kotakonda Siva Kumar's wife and two daughters with severe burn injuries. To date, three Pure EV, one Ola, three Okinawa and 20 Jitendra EV scooters have
charged at home. The incident also left the Kotakonda Siva Kumar's wife and two daughters with severe burn injuries. To date, three Pure EV, one Ola, three Okinawa and 20 Jitendra EV scooters have caught fire in the country, raising burning questions about their safety. Several EV makers have recalled the faulty batches amid the heat. The Union Ministry of Road Transport and Highways has refuted media reports that claimed the government has asked electric two-wheeler manufacturers to refrain from launching any new products in the market in the wake of EV fires. Stressing that the government seeks to make EVs more popular among the masses, Gadkari had said the EV industry has just started. "We don't want to put a hurdle but safety is first and foremost priority," he noted. Also Read:
'Zero fatality corridor': Crash deaths down by 58.3% on Mumbai-Pune E-way since 2016, says report The " " initiative has led to a 58.3% reduction in on the since 2016 and 32% since 2022, according to a report. Describing the reduction as "unprecedented", the report stated that this marks a "significant stride towards a safer and more secure roadway". "Once infamous for recording 151 deaths in 2016, roughly three deaths every 2 km, compared to the 2016 national average of one death per 2 km, the expressway earned the distinction of being one of the deadliest expressways in the country," it stated. Since the launch of the "zero fatality corridor" initiative for the Mumbai-Pune Expressway (MPEW) in 2016, there has been a marked decline in road , stated the report on the project, a joint effort of the Maharashtra State Road Development Corporation (MSRDC), the Maharashtra Highway Police (HSP), the Maharashtra Motor Vehicle Department and the SaveLIFE Foundation. The initiative, it stated, focused on comprehensive interventions spanning the 5Es of Road Safety - Enactment, Engineering, Enforcement, Emergency Care and Engagement. The report stated that "as a result of these interventions, the Mumbai-Pune Expressway witnessed a 58.3% decline in road crash deaths from 151 fatalities in 2016 to 63 fatalities (from 56 fatal crashes) up until 31st December, 2023". "Every fatality on the expressway is a matter of grave concern for the MSRDC. We will leave no stone unturned to ensure we achieve zero deaths on this crucial link between Mumbai and Pune. The MSRDC has implemented various safety measures on the Mumbai-Pune Expressway and this has resulted in the elimination of various types of crashes like run-off crashes, object impact crashes, head-on crashes, and poor visibility related crashes," MSRDC Vice Chairman and Managing Director Dr Anil Kumar Gaikwad said. Effort to achieve zero fatalities on the expressway is ongoing and the MSRDC is fully committed to achieve this ambitious goal, the senior official said. The report, released by the SaveLIFE Foundation, highlighted that under the initiative, "hundreds of interventions" were undertaken across road engineering, traffic enforcement, trauma care and road-user engagement. More than 3,500 engineering issues were treated, traffic enforcement enhancement issues were enhanced, and emergency care and medical assistance on the expressway were strengthened, including increasing the number of ambulances, upgrading ambulances and training personnel in basic trauma life support, according to the report. Besides these, critical aspects of road safety were addressed and road users engaged through awareness campaigns, it stated. On the reduction in road crash fatalities on the MPEW, founder and CEO, SaveLIFE Foundation, Piyush Tewari, said, "This is the result of the multi-agency collaborative approach of the programme. The success seen on this expressway has encouraged authorities across India to replicate this
Piyush Tewari, said, "This is the result of the multi-agency collaborative approach of the programme. The success seen on this expressway has encouraged authorities across India to replicate this effort to save lives." "By scientifically understanding the causes of road crash fatalities, over 3,500 road engineering issues were fixed, enforcement was strengthened by police and RTOs, ambulance placement was optimised, and extensive campaigns were undertaken to educate road users commuting on the expressway," he said. "Most importantly, monthly reviews of the programme were undertaken by the MSRDC, the Maharashtra Highway Police and the along with SaveLIFE Foundation to ensure complete alignment and synergy in ensuring that lives can be saved," Tewari said. He said that the result is a testament to the fact that road crash fatalities can be significantly reduced across Maharashtra as well as the country by taking a concerted and coordinated approach to understanding and resolving road safety issues. The report stated the creation of a steering mechanism that convened all concerned agencies on a single platform was a "cornerstone of the initiative". The initiative also saw violations being effectively combated by employing a focused enforcement action plan, speed cameras and vehicle-activated speed signs. Speed traps on the MPEW have issued 13,16,512 challans since their installation in July 2020. In 2023 alone, 2,17,089 challans were issued, the report stated. Kishore Kumar Poludasu, the managing director and CEO, SBI General Insurance, which is supporting the initiative, said that "we have consistently undertaken initiatives with a focus on road safety, as it has been one of our key focus areas under our CSR projects". "Through our partnership with SaveLIFE Foundation on the 'Surakshit Sadakein, Surakshit Bharat' initiative, the project has resulted in a remarkable 58.3% reduction in road crash fatalities on Mumbai-Pune Expressway," Poludasu, asserting that road safety has always been of "utmost importance to us and we are committed towards making a significant impact on it".
Stop illegal bike taxis plying in city, RTO tells Uber The (RTO), Nagpur, has issued a show-cause notice to for illegally operating bike taxi services. Issuing a warning to terminate its licence for Nagpur city, the has asked the latter to stop the services immediately. Deputy regional transport officer Ravindra Bhuyar said, “Acknowledging show-cause notices issued by , the other two app-based aggregators — Ola and Rapido — have suspended their bike taxis. However, Uber continued the service stating it as package delivery vehicles, which too is illegal.” Now, the transport department has approached cyber cell of Nagpur city police to initiate action against the app-based aggregator for providing taxi bike services illegally, Bhuyar said. Despite no provision of bike taxis in Maharashtra Motor Vehicles Act, Uber and Ola had launched these services in Nagpur a couple of years ago. The service was being facilitated through the mobile application of both the aggregators. The app-based aggregators were using private motorcycles as commercial bikes, which was in violation of the Motor Vehicles Act, 1988, and also the guidelines framed for such aggregators. The regional transport authority of Nagpur city had permitted operation of only taxi cabs (four-wheelers). No permission was given for taxi bikes, said Bhuyar. TOI has been reporting about the illegal operation of bike taxis in the city. (both city and deputy RTO east office) have impounded more than 90 such bikes over the past couple of years and the action continues. The app-based aggregators had also reimbursed fines imposed by the transport department on bike taxi owners. “We have also written to the companies in this connection,” said Bhuyar. The transport department official said his office was flooded with complaints against bike taxis in the recent past. He urged citizens to refrain from using bike taxi services as these were illegal. “In case of an accident of bike taxis, passengers will not be eligible for any insurance compensation,” he said. Read More:
Murugappa plan to split group into 3 hits a bump A plan to divide the equally among three family groups that’s been over two years in the making has got stuck, said people with knowledge of the matter. The Chettiar family had been negotiating an amicable split of the diversified business empire with over USD 9 billion in revenue in FY23 after five generations of working together over more than a century, they said. The much-celebrated turnaround of within four years of its takeover by group company ( ) has become a key bone of contention among different family groups that make up the promoter group. Shares of four Murugappa group companies, including Wendt India and Shanti Gears, yielded over a 50% return in CY23. But it’s the meteoric 15-fold jump in the share price of CG Power after the TII buyout that has grabbed the spotlight. Another standout has been the performance of and Finance Co. Ltd, the group’s principal financial services arm, a listed company with over INR 1 lakh crore market value. The turbocharged value appreciation of a handful of group companies relative to others has led to serious differences among at least two of the three factions of the extended family. The argument is over how three equal groups can be carved out of the current corporate structure--collectively owned by seven branches of the Murugappa family through family holding company Ambadi Investment, which owns shares of various companies--without revising the terms of an older family agreement that has been in place for some time. ET could not independently verify the exact date of that agreement. Murugappa is ranked 10th in the 2024 Barclays Private Clients Hurun India Most Valuable Family Businesses. The 124-year-old group has close to 30 companies, a third of which are listed, spanning sugar, fertilisers, abrasives, bicycles, polymers, financial services and engineering. The family settlement was modelled on the lines of the TVS Group separation plan. Under this, the family faction that held the largest economic interest in each of the companies bought out the cross holdings of the other groups. The latest disagreement comes within a year of the settlement between Valli Arunachalam, the eldest daughter of the late MV Murugappan, and the rest of the family after a protracted feud, casting a shadow on the media-shy group. The Factions One faction is led by MA Arun Alagappan, executive chairman of Coromandel International, along with second cousin Arunachalam Vellayan, chairman emeritus of EID Parry. It’s questioning the price levels previously agreed upon for swapping or exchanging shares of listed group entities among family factions for an equitable three-way split following the surge in the stock prices of companies such as CG Power, its parent TII and even Cholamandalam Finance. Coromandel International, formerly Coromandel Fertilisers, is the second largest manufacturer and marketer of phosphatic fertiliser in India. All three companies are steered by
Cholamandalam Finance. Coromandel International, formerly Coromandel Fertilisers, is the second largest manufacturer and marketer of phosphatic fertiliser in India. All three companies are steered by Vellayan Subbiah, executive vice-chairman of TII, who is also chairman of Cholamandalam Investment. He and his second cousin Arun Murugappan, executive chairman of TII, regard any upward revision from the agreed share-swap price and formula unacceptable. Together they form the second group. Brothers MM Murugappan and M Muthaiah Venkatachalam constitute the third group. Between them they oversee Carborundum Universal Ltd, Cholamandalam MS General Insurance Co., Cholamandalam Financial Holdings and EID Parry as their chairmen. According to two group sources, the duo are also believed to be aligned to Vellayan Subbiah and Arun Murugappan. But this could not be independently verified. Typically, business families divide their businesses after independent valuations. Even if share swaps do not lead to an equal split, the gaps are bridged by cash payouts. Most Murugappa group watchers are of the view that Subbiah, a fourth-generation member of the family, is a star performer among the various family members. The former IIT Madras and University of Michigan alumnus is a McKinsey consultant-turned-entrepreneur. He’s largely credited with transforming fraud-hit CG Power into a growth engine after taking over, making it debt-free in FY22, much ahead of a five-year timeline. It has commenced building India’s first outsourced semiconductor testing facility. TII, the group’s engineering arm, has ventured into new areas such as green mobility and contract manufacturing for the pharmaceutical and medical segments as well as specialised chemistry solutions. Since taking over the leadership of the 70-year-old manufacturing flagship, Subbiah helped TII’s share price grow 13 times until June 2024. He also helped Cholamandalam Investment navigate its way out of turbulence after the global financial crisis and increased its market capitalisation 60 times over the course of his tenure. The group’s top three listed companies by market cap--Cholamandalam Investment, CG Power and TII–are all overseen by him. However, some group insiders insist Arun Alagappan, his father MA Alagappan and A Vellayan also played a major role in the turnaround of Cholamandalam Investment after the exit of DBS, Singapore. Despite repeated attempts, A Vellayan, Arun Alagappan and Arun Murugappan were unavailable for comment. A spokesperson for the group told ET it has no comment to make. “Vellayan Subbiah has turned around TII, CG Power and Chola. To seek a revision in share swap is a breach of an agreement,” said a family associate close to the faction on condition of anonymity as the negotiations are still in private domain. “It’s like punishing excellence.” Others working closely with the other camp are of the opinion that every branch of the family has at different points in history had a
are still in private domain. “It’s like punishing excellence.” Others working closely with the other camp are of the opinion that every branch of the family has at different points in history had a role to play in the success of each of the companies, especially the bigger ones. Earlier, all the family members were put in charge on a rotational basis as per the old family agreement. “TII, Chola Finance were not built by one or two family members,” said an executive known to the family for decades. “Their foundations were built on collective endeavours of all branches of the extended family and today they have scaled new heights only because of the solid groundwork that was done before. You cannot separate past from present.” Family Charter The Murugappa Group follows a family constitution. A council handles all family issues and resolves shareholder disputes. Since late 2020, the Murugappa Group has agreed to move to a corporate structure that separates management and ownership. The first leg of this transition has been largely completed with professional corporate boards, with only two family members in each, overseeing business decisions. Work on the ownership split could only start after the settlement with Valli Arunachalam, executives said. She had questioned the practice of Ambadi Investment board seats going only to male members of the family. She said six branches of the family were represented on the board, except hers. She sought a board seat to represent her family by virtue of its 8% ownership of the holding company. She remains a shareholder and part of the promoter group in various Murugappa entities. After the final separation of the various group companies among the three principal family groups, different holding structures and business trusts are expected to be created. “Over generations, the Murugappa empire has become a confederation of cousins,” said another senior executive close to the family. “The group is committed to certain traditional values, which include fair and equitable separation to ensure smooth management and business continuity."
Russia offers India help in leasing and building large-capacity ships to overcome G7's oil price cap Russia has welcomed India's decision to not support the announced by and its allies and offered it cooperation on leasing and building large-capacity ships to overcome the ban on insurance services and tanker chartering in the European Union and Britain to continue buying discounted oil. The offer came as Russian deputy prime minister Alexander Novak held a meeting with the Indian Ambassador to Moscow, Pavan Kapoor, on Friday. "The deputy prime minister welcomed India's decision not to support the price cap on , which was imposed on December 5 by the G7 countries and their allies," the Russian Foreign Ministry said in a statement. India's appetite for Russian oil has swelled ever since it started trading on discount as the West shunned it to punish Moscow for its invasion of Ukraine. Novak noted that even amid the energy crisis, Russia is responsibly fulfilling its contractual obligations for the supply of energy resources, diversifying energy exports to the countries in the East and South. To avoid dependency on the ban on insurance services and tanker chartering in the European Union and Britain, Novak offered India cooperation on leasing and building large-capacity ships, the statement said. The Indian government has been vehemently defending its oil trade with Russia, saying it has to source oil from where it is the cheapest. The imports in November were made ahead of a price cap agreed by the EU on Russian seaborne oil. But, the government has indicated that oil companies will continue to buy oil from Russia outside the price cap. External affairs minister S Jaishankar on December 7 told the Rajya Sabha that Indian refiners will continue to look for the best deals in the interest of the country. "We do not ask our companies to buy Russian oil. We ask our companies to buy oil (based on) what is the best option that they can get. Now, it depends on what the market throws up," he had said while replying to clarifications sought by MPs on his suo moto statement on foreign policy. The companies will go after sources that are more competitive, Jaishankar added. "Please do understand it's not just we buy oil from one country. We buy oil from multiple sources, but it is a sensible policy to go where we get the best deal in the interests of the Indian people, and that is exactly what we are trying to do," he said. The executive body of the European Union has asked its 27 member countries to cap the price of Russian oil at $60 a barrel as part of the West's attempt to squeeze Moscow's oil revenues and limit its ability to wage war in Ukraine while keeping global prices and supplies steady. From December 5, western shipping and insurance companies are prohibited from handling Russian oil sold above the price cap. However, ships loaded with Russian oil before December 5 and unloaded at their destination before January 19, will not be subject to the price
from handling Russian oil sold above the price cap. However, ships loaded with Russian oil before December 5 and unloaded at their destination before January 19, will not be subject to the price cap. A top government official said India can continue to buy Russian oil if it can send ships, cover insurance and devise a mode of payment. "The introduction of a price cap on Russian oil is an anti-market measure. It disrupts supply chains and could significantly complicate the situation in global energy markets," Novak said. "Such non-market mechanisms disrupt the international trading system as a whole and set a dangerous precedent in the energy market. As a result, the problem of energy poverty is being aggravated not only in the developing world, but also in the developed countries of Europe," Novak said. The two sides noted the record growth in trade between the two countries and expressed the desire to continue this interaction, increasing cooperation on trade in energy resources, such as oil, petroleum products, liquefied natural gas, coal and fertiliser. In 2021, bilateral trade between Russia and India increased by 46.5 per cent, exceeding $13.5 billion, the Russian Foreign Ministry statement said. In January-September 2022, trade exceeded the figure for all of last year, totalling $20.4 billion. Over the first eight months of 2022, Russian oil exports to India grew to 16.35 million tonnes. Deliveries of oil products and coal also increased. Meanwhile, Russia has for the second month in a row remained India's top oil supplier in November, surpassing traditional sellers Iraq and Saudi Arabia, according to data from energy cargo tracker Vortexa. Russia, which made up for just 0.2 per cent of all oil imported by India in the year to March 31, 2022, supplied 9,09,403 barrels per day (bpd) of crude oil to India in November, the Russian Foreign Ministry statement said. It now makes up for more than a fifth of India's oil supplies. Novak has also invited minister of petroleum and natural gas and housing and urban affairs of India Hardeep Singh Puri to take part in the international forum, Russian Energy Week 2023, which will be held from October 11-13 next year in Moscow. Also Read:
VinFast set to drive into India with locally assembled cars Vietnamese maker will enter the Indian market with locally assembled models, marking a shift from its earlier strategy of initially selling only imported EVs in the world's third-largest automobile market, said a person with knowledge of the plans. The revised approach follows a fast-tracked opening of the company's new factory in Tamil Nadu. The plant is likely to become operational by March 2025, 3 months ahead of schedule, the person said, asking not to be named. VinFast, the EV arm of Vietnam's biggest conglomerate , is expected to launch its first locally assembled car during the 2025 festive season. It is likely to sell its vehicles in the ?25-30 lakh range, placing them in the premium affordable segment of India's burgeoning market for EVs. The models are likely to have a range of 300-500 kilometres. VinFast's move to enter the Indian market through the completely knocked down (CKD) route will help the maker of VFe-34, VF6, VF7 car models save on high import duties and offer its products at competitive prices. India levies an import duty of 100% on imported car models having a CIF (cost, insurance, freight) value of more than USD 40,000 and 70% on imported models with a CIF value of less than USD 40,000. CKD kits attract 15% duty. "The local assembly of models gives greater confidence to suppliers, dealers, and the buyers. The company will rather use what it saves on duties in brand building and marketing. As the plant is expected to be ready in the first quarter of next calendar year, it makes sense to take the CKD instead of CBU (completely built unit) route," said the person cited above. A spokesperson at VinFast did not immediately respond to ET's queries. Though VinFast's Indian venture is not reliant on the Indian government's new EV policy announced on March 15, the company is keenly awaiting guidelines of the policy to decide on whether to avail the incentives, said the person cited earlier. The first meeting between EV companies and government officials to discuss the new EV policy took place on April 19. It was attended by a VinFast official, among other industry executives. The EV policy offers import duty concessions to automakers setting up manufacturing units in the country with a minimum investment of USD 500 million. Such companies will be allowed to import a limited number of cars - 8,000 units a year at a lower import duty of 15% on models costing at least USD 35,000 for five years from the date of issuance of the approval letter by the government. VinFast plans to invest over USD 500 million (INR 4,150 crore) over the next 5 years to build a 150,000-unit-a-year factory at , near Chennai. The 400-acre facility will employ 3,000-3,500 workers in the first phase, as per its memorandum of understanding with the Tamil Nadu government. VinFast is hoping that local assembly and competitive pricing will allow it to attain peak capacity of 50,000 units in the first year
its memorandum of understanding with the Tamil Nadu government. VinFast is hoping that local assembly and competitive pricing will allow it to attain peak capacity of 50,000 units in the first year of its operations. It envisages India's nascent electric car market to end the current calendar year with 150,000 units, up from 90,000 units in 2023. The company is likely to disclose plans for India at the Bharat Mobility Global Expo that is scheduled between January 17 and 22, 2025.
Michael Perschke, ex-Audi India MD, joins on the Board of Goldstone Technologies New Delhi: , founder-CEO of , on Saturday joined (GTL), as Director on the Board. He was also a Senior Director at , Managing Director at , and Director Steering of the at the . He has also worked for in Europe, and Mercedes- Benz in India and China. 's board appointment at Goldstone Technologies signifies transformative potential, exemplified by the collaborative venture 'ROǪIT' with Ǫuantron. Deepankar Tiwari, a Member of the Board of Directors of GTL, said, “We're excited to welcome Michael Perschke to the Goldstone Technologies board. His expertise in the electric vehicle industry and visionary leadership will greatly enhance our commitment to sustainable innovation. His appointment is a significant milestone in our journey toward pioneering eco-friendly mobility solutions and AI-driven advancements.” "I am honored to join Goldstone Technologies as a Director on the Board, further contributing to the transformation of Goldstone Technologies into an AI-driven technology powerhouse. Our focus will be on developing and supporting sustainable, zero-emission SaaS platforms and products that have the potential to reshape the industry," Perschke said. The Goldstone Technologies-Ǫuantron partnership, ROǪIT, introduces sustainable solutions to the logistics industry, meeting the pressing need for zero-emission transport. This collaboration includes a substantial double-digit million Euro investment over 36 months to develop an AI-driven, SaaS-based platform. This disruptive tool will serve as both a transactional and customer interface, aiding fleet performance measurement, GHG quota applications, Insurance as a Service and vehicle/fleet Analytics. Aligned with shared values, it taps into the anticipated USD 160 billion-270 billion global market for OEM agnostic Mobility as a Service (MaaS) Solutions by 2030, focusing on Europe, the USA, India, and the Middle East. Through this partnership, Goldstone Technologies takes a decisive stride in tackling the projected USD 70 billion fleet management market by 2032, aligned with the anticipated USD 320 billion global investments in the hydrogen economy markets by 2030.
Swiggy disbursed INR 102 crore in loans to delivery partners in last 12 months platform on Tuesday said that in the last 12 months, it has facilitated the disbursement of loans worth INR 102 crore, of which INR 10.1 crore was disbursed in November alone. Swiggy has partnered with Betterplace and to enable such loans. There is no limit to the number of loans delivery partners can apply for, provided they maintain a good repayment history. This has enabled delivery partners to take loans up to three times on average during their tenure with the platform, the company said. "Our loans initiative isn't just a programme, it's another way of looking out for our delivery partners. Personal emergencies, needs, and aspirations often need quick access to funds. We're glad that our delivery partners trust Swiggy for having their backs" , Head of Operations, at Swiggy, said in a statement. Swiggy has recently introduced the Hospicash policy in partnership with . This policy offers coverage to the delivery partner in situations such as death, partial or temporary disability and hospitalisation. The premium for this policy is set at a minimal 1 per cent of the loan amount. Swiggy also offers comprehensive support to educate and create awareness among its delivery partners about the Hospicash policy and the loan application process. New loan applicants receive guidance through informative messages, loan confirmation, and document support. The company also plans to educate those with reservations about loans. Additionally, a dedicated Central Insurance team alongside the Loan service and Insurance customer service team is available to address concerns or complaints, Swiggy mentioned.
Your connected car knows you. The tussle for that data's hitting high gear Where you go. What you pass. Where you stop. What you listen to. What you watch. Your good habits. Your bad habits. Companies in Europe and beyond are vying for control of the crown jewels of the : your vehicle's data. The contest is entering a pivotal phase as EU regulators look to hammer out the world's first laws for the ballooning industry around web-enabled vehicles, pitting carmakers against a coalition of insurers, leasing companies and repair shops. European Commission sources said the EU executive should launch an industry consultation on in-vehicle data this week which could lead to legislation later this year - the first of its kind globally. Many companies view data as the gold of the new wired world, though for some it's more akin to air or water. "If you don't have access to data in the future, eventually you'll be squeezed out," says Tim Albertsen, CEO of ALD, Societe Generale's car leasing division, which commands millions of vehicles. "You'll not be efficient, you'll not have the right services, you just can't operate at the end of the day." Car manufacturers, guarding their gatekeeper role in accessing data from their vehicles, have resisted specific regulations for in-vehicle data, saying that protecting consumers is paramount. "Europe's auto industry is committed to giving access to the data generated by the vehicles it produces," said a spokesperson for the European Automobile Manufacturers' Association (ACEA). "However, uncontrolled access to in-vehicle data poses major safety, (cyber) security, data protection and privacy threats." Yet the companies lined up against them say limiting or charging what they deem unfair amounts for access to in-vehicle data could kill off competition for carmakers who already operate their own leasing firms, car subscription services and repair shops. In some cases, they say carmakers are already restricting access to and charging independent repair shops more for access. "The manufacturers are in direct contact with the vehicle, so they get all the data," says Sylvia Gotzen, CEO of the International Federation of Automotive Aftermarket Distributors, or FIGIEFA, which is part of a broader alliance of repair shops and parts makers that employs 3.5 million people in Europe. "They get the full buffet and all we get is some crumbs." CARMAKERS: WE SHARE DATA Vehicle manufacturers have big plans for data. For example Stellantis, the world's No. 4 carmaker, expects to generate 20 billion euros ($22.4 billion) annually by 2030 from software products and subscription services. Such offerings are also central to General Motors' plan to double annual revenue to around $280 billion. Volkswagen said data is becoming the "key source of value creation and innovation", adding that customers have "full control" over it, citing vehicle security and customer sovereignty as its main focuses. BMW rejected suggestions it was withholding
of value creation and innovation", adding that customers have "full control" over it, citing vehicle security and customer sovereignty as its main focuses. BMW rejected suggestions it was withholding data. The German company said it can share nearly 100 data points with third parties if drivers requested it and could make more available if companies prove a real business need for them and a willingness to take responsibility for cybersecurity risks. Auto supplier groups like FIGIEFA say carmakers can access thousands of data points. A BMW spokesperson said the carmaker would like all sides to sit down with a mediator such as the European Commission and hammer out a list of data points that is acceptable to everyone. Stellantis CEO Carlos Tavares told reporters on Friday that the carmaker aggregated data, which cost money, and so needed to be paid for it. He cited, as an example, data that Stellantis sells to cities to measure how often anti-lock braking systems are engaged at junctions and gauge which are the most dangerous. "It is not only collecting the data, it is also about crunching the data in a way that is going to create value for somebody willing to pay for it," Tavares said. 'DATA IS ABSOLUTELY KEY' Yet other companies in the auto ecosystem, such as ALD, say they want the European Union to ensure a level playing field ALD, in the process of buying Dutch rival LeasePlan to give it a combined fleet of 3.5 million vehicles, has a car-sharing platform that needs to run diagnostics, read the odometer, check the fuel gauge and switch cars between users. It also offers an insurance product that lowers your premium based on good driving behaviour - monitoring how you accelerate and brake. "Access to data is absolutely key for us to provide the services we do today," CEO Albertsen said. To extract car data, ALD plugs a wireless "dongle" into the vehicle that transmits information to an in-house developed platform that it pays U.S. startup Vinli to operate. Carmakers running similar services get that data directly, putting ALD at a competitive disadvantage, Albertsen said. Stellantis, for instance, offers car sharing and rentals through its Free2Move unit. Volkswagen could take over rental company Europcar to take advantage of car sharing and subscription services. And most major carmakers have their own leasing units, like BMW's Alphabet and Mercedes-Benz's Athlon. ALD's Albertsen said major fleet customers were willing to pay for the data but that he wanted regulations to ensure ALD's car-sharing unit paid the same as, for instance, Stellantis charges its own Free2Move division. RISKS FOR REPAIR SHOPS Insurers and car repair shops say it is paramount that the EU let drivers choose who accesses their vehicles' data. "There is a need to regulate this, as you cannot leave this in the hands of car manufacturers," said Nicolas Jeanmart, industry group Insurance Europe's head of personal and general insurance. "It should be for each driver to decide
as you cannot leave this in the hands of car manufacturers," said Nicolas Jeanmart, industry group Insurance Europe's head of personal and general insurance. "It should be for each driver to decide what they want to do with their data." FIGIEFA's Gotzen said that would allow car owners to link their preferred repair shop to their car and have it run remote diagnostics if they had car trouble, instead of relying solely on the manufacturer's recommendations. "All of this is technically possible now, but we are hampered because car manufacturers prevent us from doing this," she said. She said FIGIEFA's members are willing to adopt carmakers' cybersecurity processes and requirements, but added cybersecurity could serve as an excuse for carmakers to restrict access. Richard Knubben, deputy director general of Leaseurope, which represents Europe's leasing and car rental firms, said the longer the EU took to legislate car data, the more independent repair shops are at risk of going out of business because they lack access to it. "By the time we get legislation we may already be stuck with an imbalance that we can't fix anymore," Knubben said. Also Read:
Tesla plans to slash production in its Shanghai plant in January plans to run a reduced production schedule at its plant in January, extending the reduced output it began this month into next year, according to an internal schedule reviewed by Reuters. Tesla will run production for 17 days in January between Jan. 3 to Jan. 19 and will stop electric vehicle output from Jan. 20 to Jan. 31 for an extended break for , according to the plan seen by Reuters. Tesla did not specify a reason for the production slowdown in its output plan. It was also not clear whether work would continue outside the assembly lines for the Model 3 and Model Y at the plant during the scheduled downtime. It has not been established practice for Tesla to shut down operations for an extended period for Chinese New Year. Tesla did not immediately respond to a request for comment from Reuters. Tesla suspended production at its Shanghai plant on Saturday, pulling forward an established plan to pause most work at the plant in the last week of December, Reuters has reported. Tesla's latest production cuts at Shanghai come amid a rising wave of infections after China stepped back from its zero-COVID policy earlier this month. That move has been welcomed by businesses although it has disrupted manufacturing operations outside Tesla. Like other automakers, Tesla has also faced a downturn in demand in China, the world's largest auto market. Earlier this month, Tesla offered an additional incentive for buyers taking possession of vehicles in December. The company has cut prices for Model 3 and Model Y cars by up to 9% in China, in addition to a subsidy for insurance costs. The Shanghai factory, the most important manufacturing hub for 's electric vehicle company, kept normal operations during the last week of December last year and took a three-day break for Chinese New Year. The Jan. 21 to Jan. 27 period in 2023 is a public holiday in China for Chinese New Year. Tesla's Shanghai plant, a complex that employs some 20,000 workers. accounted for more than half of Tesla's output in the first three quarters of 2022. Tesla has set a target for growth of 50% in output and electric vehicle deliveries in 2022. Analysts expect output to fall short of that goal at closer to about 45%, based on forecasts for the soon-to-end fourth quarter. Also Read:
Why auto companies are feeling lost this festive season India’s Motown is feeling a bit lost this festival season. Multiple long-term and short-term factors are giving it a bumpy ride, including policy adrift, the electric vehicle (EV) versus hybrid battle, muted consumer sentiments, Kerala flood, rising interest rates and a skewed market, thanks to the near-duopoly of Maruti-Hyundai. Amid muted sentiments, automakers are rolling out new models, freebies and discounts in the hope to woo buyers and push up sales. Globally, a completely different set of factors is setting the mood. While Detroit giants like Ford are figuring out a new strategy to survive and grow in a Tesla-led EV world, US-China tariff war in the Trump era is creating additional barriers for automakers. Expect many of those global rumblings to echo on Indian roads sometime soon, starting with Ford India. Ahead of the festival season, ET Magazine takes a look at some of the key themes that are playing out in Motown – in India and overseas. Launches, Freebies & Discounts The festive season in 2018 hasn’t started on a good note. Kerala floods washed out Onam festivities. Reports of floods from other parts of the country have also dampened the cheer. Nevertheless, India’s Motown is gearing up for the two months of festive sales (that include Navratra, Diwali and Ganesh Chaturthi), which contribute close to 30 per cent of the annual sales. The four months of August-November is expected to see 26 new launches, facelifts and model refresh. Last year, the figure was 17. Some of the big launches this time would be the new-generation models of Hyundai Santro, Ertiga, Honda CRV and Porsche Cayenne. Mahindra recently released the Marazzo. Wagon R would get a facelift, Ciaz would get an upgrade, and Ford Aspire and Mercedes C-Class would see special editions. Reportedly, is rolling out some special editions and is also offering its customers savings of up to Rs 50,000. Hyundai is offering its new Grand i10 and new Xcent at a special price with additional benefits of Rs 25,000-90,000 in the form of cash discounts, exchange bonus, etc. Nissan’s Datsun has launched a limited edition redi-GO at a special price. Nissan’s Terrano comes with benefits of Rs 1 lakh. Toyota Corolla is offering discounts of up to Rs 1 lakh. In July, passenger vehicle sales dipped 2.7 per cent and in August by 2.46 per cent. Market leaders Maruti and Hyundai also saw a dip, which is unusual. Dealers say customer enquiries and footfalls have been lower this season and inventory build-up hovers around 40-60 days now, against the usual 21 days. Beyond these reasons, two structural factors are hurting dealers. One, with Maruti and Hyundai lording over close to 70 per cent of the market share, dealerships are becoming unviable for other carmakers. The other problem is easier to fix. In India, market share is calculated on the basis of factory dispatches rather than dealership sales. Consequently, original equipment makers
for other carmakers. The other problem is easier to fix. In India, market share is calculated on the basis of factory dispatches rather than dealership sales. Consequently, original equipment makers follow a push, rather than pull, strategy. This increases dealer inventory and working capital needs. It is time Motown fixes this anomaly. Split Wide Open MOVE-Global Mobility Summit — which was organised early this month by the NITI Aayog, inaugurated by Prime Minister Narendra Modi and attended by auto industry veterans from India and overseas — created a lot of buzz. Amid talks of electrification, renewable energy thrust and jobs, there was a simmering issue that didn’t make headlines but was felt by the attendees. Motown is a divided world these days due to some key policy issues. A battle is on between the proponents of EVs (led by companies like M&M, Tata Motors) versus those batting for hybrid or alternative fuel (led by hybridfocused Japanese car makers like Toyota who prefer a technology-agnostic policy). A seasoned auto industry executive says he hasn’t seen a house so divided in his lifetime. Some likened it to the factionalist GSM-CDMA war that played out in the telecom industry in the early 2000s between cell phone operators like Airtel and wireless in local loop players like Reliance. The rift was out in the open again when the government recently cleared a policy allowing imports of up to 2,500 completely built units without any roadworthiness certificate in India. The move was cheered by MNCs like Toyota and Nissan but opposed by industry body Manufacturers. Entry & Exits It is hard to do business in India. But it is harder to ignore it. So entry and exits in India’s Motown is an evergreen guessing game. After GM who? Last May, when General Motors exited India, ET Magazine looked under the hood to understand the road ahead. Then, VW, Ford Motors, FCA, Skoda, Nissan were some of the top contenders on the exit list. Today, VW’s 2.0 India project has overhauled operations to let Skoda take the lead. Nissan India is hurting badly. The buzz is that M&M is buying a 51 per cent stake in Ford India. With losses of Rs 4,662 crore in FY17, Ford India has had a bumpy ride. Headwinds at the headquarters have not helped much. Amid a stock slide and Moody’s downgrade from Baa2 to Baa3, its CEO Jim Hackett is rolling out a recast plan. In the meantime, more automakers are readying their India plans, including Korean Kia Motors (part of Hyundai Group), Chinese MG Motors (part of SAIC) and the French PSA group. Kia will debut around April 2019. MG Motors, that acquired GM’s Halol plant, will launch vehicles in 2019. PSA Group is partnering CK Birla’s HMFCL. Costly Cover For those stretching their finances to buy new cars this festival, prepare for a rise in the initial outgo. From September, buyers of new vehicles will have to shell out more money, as an insurance policy released by the government has mandated that car and two-wheeler buyers must
in the initial outgo. From September, buyers of new vehicles will have to shell out more money, as an insurance policy released by the government has mandated that car and two-wheeler buyers must also purchase a three-year and five-year insurance cover, respectively , instead of an annual cover like now. Earlier, insurance renewal was yearly and often owners of old, depreciated vehicles either skipped it or took a third party coverage that was inadequate. The Insurance Regulatory and Development Authority of India directive to this effect came after a recent Supreme Court order aimed at improving insurance coverage in the country. US-China Trade War The global automobile industry is feeling the heat of the high-pitched US-China tariff battle. US carmakers are the worst affected, taking hits from both sides. A new report by the Centre of Automotive Research warns that the automobile industry will be seriously impacted by the ongoing battle. It estimates that sales in the US could dive by up to 2 million units, leading to job losses of over 7 lakh in the US, and a $62 billion hit to its gross domestic product. The cost of spares and components, sourced mostly from China, will also rise. Europe isn’t getting away unscathed. Its factories saw the slowest growth in manufacturing in two years, even as export orders failed to rise for the first time since 2013. China is not looking good either, as muted consumer sentiments have led to car sales dropping for a third month in August. TaMo’s Comeback JLR’s flagging global sales is hurting Tata Motors (TaMo) but the company has reasons to cheer in India. After struggling to get a grip on India amid a lot of bad news, TaMo can now look at the festive season with new fervour. Sales have been promising and its models seem to be getting traction. TaMo is closing its gap with M&M, India’s third largest car company by market share. In April-August, according to SIAM, TaMo was just 1,313 units shy of M&M in the passenger vehicle segment. TaMo , riding high on models such as compact SUV Nexon and hatchback Tiago, sold 98,702 units in the period to occupy the fourth slot. Top-Deck Reshuffle It may just be a coincidence. This year has seen some unexpected top-deck reshuffles — Jnaneswar Sen, sales & marketing head of Honda Cars India, quit in March. In July, Nissan Group’s MD Jerome Saigot resigned, the third senior-level exit in a little over a year. Honda Cars AVP Rakesh Sidana left in June. In August, Hyundai’s sales & marketing director Rakesh Srivastava resigned. While not all executive movements might not be unusual, poor business performance was the reason in at least some cases. India has been a tough market for auto MNCs. The country has about 16 carmakers; eight of them have a market share of under 2 per cent and the top two have close to 70 per cent. Meanwhile, market leader Maruti Suzuki rolled out a “routine” management reshuffle in summer, which some industry sources say is not so routine. Oversight
and the top two have close to 70 per cent. Meanwhile, market leader Maruti Suzuki rolled out a “routine” management reshuffle in summer, which some industry sources say is not so routine. Oversight has been made tighter, with Japanese executives shadowing their Indian counterparts at even the mid-level and in many new functions like rural marketing. Two hypothesis were overheard: One, Suzuki is preparing for a tighter embrace with . Two, with Suzuki exiting most markets, including China, the lucrative Indian market is getting a sharper focus. Bet on Made in India Starting with Hyundai in the 1990s, car exports from India have been an important business weapon for auto majors. Companies such as Ford, Nissan, VW and GM, among others, looked at India as an export hub, and hence set up large capacities. Exports helped them boost plant capacity utilisation here and gain economies of scale in a price-sensitive market like India. Unlike Hyundai, however, not all of them have been successful in their export strategy. In April-August, Hyundai emerged as India’s top car exporter at 71,645 units, followed by Ford India (65,176), Maruti Suzuki (46,198), GM (34,981) and VW (30,238). Amid the US-China tariff war and India moving to Euro VI emission norms by 2020, optimists are hoping car exports from India will get a fresh boost soon. Already, carmakers like Mercedes-Benz and BMW are looking at ways to export to markets such as the US. Germans vs Tesla As Elon Musk stumbles in his game, the Germans are readying their arsenal to lead the EV wave. In the US, Tesla’s stock was hammered as Musk made headlines for all the wrong reasons — from grappling with “production hell”, “delivery logistics hell” to drinking whisky and smoking cannabis during a radio talk show. The rise of Tesla with its premium EV offering affected Germans the most. Mercedes-maker Daimler, BMW and VW’s Audi together control 80 per cent of the premium car market globally. Their glamour has paled in the face of the trailblazing Musk and Tesla’s battery-powered, zeroemission EVs. Early this month, the three German carmakers said their first all-electric SUVs would be unveiled in two years — Audi’s E-Tron, BMW’s iNext, Mercedes EQC and Porsche’s electric coupe Mission E. The trio will invest 40 billion euros in the next three years in battery powered vehicles.
How free-wheeling Texas became the self-driving trucking industry's promised land FORT WORTH, Texas - For companies working to make self-driving trucks a near-term reality, all roads lead to Texas. Vast highways, a booming freight market and, crucially, the least restrictive laws governing autonomous vehicles (AVs) in the United States have turned Texas into the industry's most desired location. Several companies, including and , plan to deploy fully on Texas' interstates next year, moving away from current testing that includes back-up safety drivers behind the wheel. While some limited driverless tests with 18-wheelers have taken place in Arizona, a launch in Texas would mark the first commercial use. Alphabet's Waymo Via and box truck startup Gatik which counts Wal-Mart as a customer, are setting up hubs there in preparation. Companies have poured billions of dollars into developing the technology they say will increase road safety and alleviate truck driver shortages. The self-driving truck industry in the U.S. is expected to rapidly grow over the next decade, with analysts estimating its size at between $250 billion and $400 billion by 2030. Darran Anderson, director of innovation at the Texas Department of Transportation (TxDOT), said the state has decided to pursue a collaborative approach with the industry. But safety advocates are worried. "Rushing this technology to market using regular drivers as beta testers in real-world driving conditions puts potentially everyone at risk," said Ware Wendel, executive director of consumer advocate Texas Watch. The Texas Department of Public Safety, which regulates AVs, did not respond to a request for comment. Texas in 2017 passed its autonomous vehicle bill https:capitol.texas.gov85Rpdf3NTJMFo Waymo, Aurora, TuSimple and Gatik said they are in constant contact with Texas state and local officials. "The state is not being laissez-faire about the operation of these vehicles, they have to comply with traffic laws," TxDOT's Anderson said. The state created an industry task force with some 200 members, including AV companies, automakers, researchers and regulators, with the goal of preparing Texas for self-driving vehicles. The industry has been lobbying other states such as Kansas, Oklahoma and Pennsylvania to copy this approach. "It's a well-structured model and approach for other states to adopt," said Richard Steiner, Gatik's policy chief. Kansas signed its own bill into law last month. The governor's office could not be reached for comment. Carnegie Mellon engineering professor Phil Koopman, who tracks AV regulation, opposed bills in Kansas and Pennsylvania. "Even if (the companies) have the best of intentions, they face unimaginable economic pressure to cut corners," he said. Greg Winfree, agency director of Texas A&M University's Transportation Institute, said he saw no indication companies were rolling out their technology irresponsibly. Winfree, also part of the state-led AV task force, is now
of Texas A&M University's Transportation Institute, said he saw no indication companies were rolling out their technology irresponsibly. Winfree, also part of the state-led AV task force, is now working on campaigns to inform Texans about the technology that will soon be among them. "We need to get to a point where seeing a self-driving vehicle is not a cause for alarm, or photo taking and filming," he said.
Chinese EV-makers rush in and upend a country's entire auto market Ma Haiyang and eight of his colleagues arrived in Thailand a year ago to establish the first overseas operation for , an electric vehicle maker from China. They had no office, no factory, no local employees and, basically, no clue. The Aion team set up shop in a Bangkok hotel, commandeering conference rooms and holding meetings in the lobby. They had a long list of things to do: Find office space, recruit dealers and devise a business strategy. The team worked around the clock and, 74 days after arriving in Thailand, sold its first electric vehicle. "The window of opportunity for Chinese new energy vehicles going overseas will be relatively short," said Ma, general manager at Aion for Southeast Asia, using China's preferred phrase for fully electric and gas-electric hybrid vehicles. "This is why we wanted to hurry up," he added. Chinese electric vehicle manufacturers such as Aion are stampeding into overseas markets. Thailand is one of the first countries to experience the sudden influx of China's automobile brands, and is confronting how their ambition and competitiveness are reshaping its car industry. The arrival of is evident everywhere in Thailand. Billboards are blanketed with advertisements for Chinese cars. Land prices are soaring because so many Chinese firms are building car factories. The fast changes in the Thai auto market also show how Chinese companies are leaping ahead of their global rivals in Japan, which has shunned EVs, and the United States, where Tesla dominates the sector. Last year, sales of popular Japanese brands such as Nissan, and Mitsubishi plummeted as consumers bought new electric cars from Chinese manufacturers instead. Dealers that had worked with Japanese and American automakers for decades were now turning over showrooms to make way for Chinese vehicles. Amid an increasingly crowded field, Chinese brands are slashing prices on electric vehicles. The overseas push is the next phase in Beijing's long-term strategy to focus on new energy vehicles and upend the balance of power in the automobile industry. After years of government support for the sector, Chinese manufacturers are adept at mass-producing electric vehicles. They have established dependable supply chains, while working out the kinks to reduce prices. That international push has been met with tariffs in two major auto markets to prevent a glut of Chinese vehicles from crushing homegrown competitors. Last month, the European Union said it would impose tariffs of up to 38% on electric vehicles imported from China into the bloc. A month earlier, the United States quadrupled tariffs on EVs built in China. Thailand is small by comparison, but it is the biggest market in Southeast Asia. Known as the "Detroit of Asia," it serves as a regional manufacturing hub. Its proximity and strong trade ties to China also allow Chinese cars to be imported quickly and inexpensively. "It's a beachhead
as the "Detroit of Asia," it serves as a regional manufacturing hub. Its proximity and strong trade ties to China also allow Chinese cars to be imported quickly and inexpensively. "It's a beachhead market," said Tu Le, a managing director of the consultancy Sino Auto Insights. "It suits a lot of Chinese brands because of the lower price point." In a market once considered a Japanese stronghold, a changing of the guard is already happening. Japanese automobile brands accounted for 86% of new car sales in 2022. That figure dropped to 75% last year, with China's , Great Wall Motor and SAIC Motor grabbing significant market share. In 2021, Thailand said it wanted electric vehicles to account for 30% of its automobile production by the end of the decade, an ambitious goal that seems unattainable without Chinese companies. Its government also put in place subsidies and tax breaks to spur demand. A weak Thai economy has contributed to a significant decline in overall car sales this year. Electric vehicle sales have slowed a lot but are still up 50% over last year. Chinese automakers have responded by cutting prices, leaving some competitors worried about a race to the bottom. Chong Baoyu, general manager of Great Wall Motor in the Thailand unit, said an all-out price war would "kill the industry" because customers would hold off on buying a vehicle, expecting prices to fall further. "The price cut is a short-term solution but not long-term," he said. Four years ago, Great Wall Motor acquired General Motors' factories as part of a retreat by the American carmaker. In May, with the EU tariffs on China looming, Great Wall Motor announced that it would close its regional headquarters in Munich, citing an "increasingly challenging European electric vehicle market." The company plans to continue operating in Europe, Chong said, but the prospect of tariffs makes Thailand an even more important market for Chinese brands. Six Chinese electric vehicle companies are already selling cars in Thailand, and three more entrants are coming this year. BYD, Aion, Great Wall, Hozon Auto's Neta and Chery are among those that have opened or are building factories in Thailand. "When the Chinese see an opportunity, they just go," Wirat Tatsaringkansakul, deputy secretary-general of the Thailand Board of Investment, said at an automotive conference for Chinese suppliers last month. Japan's dominance over Thailand's automotive industry dates to the 1960s when Nissan Motor and its local partner, Siam Motors, opened the country's first car factory. Japan's support helped establish the , which owns the privately held Siam Motors, as the first family of Thailand's car industry. But even within the Phornprapha family, alliances are shifting. Pratarnwong Phornprapha and Pratarnporn Phornprapha, the grandchildren of Siam Motors' founder, control Rever Automotive, which is the exclusive distributor for BYD cars in Thailand. BYD, China's leading EV company, competes directly with Siam
the grandchildren of Siam Motors' founder, control Rever Automotive, which is the exclusive distributor for BYD cars in Thailand. BYD, China's leading EV company, competes directly with Siam Motors' longtime partner, Nissan. BYD sold more cars in Thailand than Nissan did last year, even though the Chinese automaker had only three models available. Pratarnwong Phornprapha, who is Rever's chief executive, and Pratarnporn Phornprapha, his sister and vice chief executive, said their company was completely separate from Siam Motors, which is run by their uncle and cousin. This month, BYD said it had acquired a 20% stake in Rever for an undisclosed sum. In less than two years, Rever has opened 110 showrooms across the country, with the goal of another 50 by the end of 2024. Pratarnwong Phornprapha said there had been no tension within the family, because Rever was focused on electric vehicles and Siam Motors made traditional cars. "For now, I don't think there is any conflict," he said. The Phornprapha siblings said one of the biggest challenges they faced was to assuage concerns about the reliability of Chinese automobiles -- especially because Japanese brands are held in high regard. "I'd be lying if I said it wasn't a hurdle when we started," Phornprapha said. "Chinese products, 10 years ago, aren't what we see today." V Group Cars, a dealer network with 44 showrooms, said a majority of its locations sold only Chinese brands. The dealer network stopped working with Suzuki. It converted Mazda, Mitsubishi and Ford Motor showrooms into sales locations for Aion, Neta, Chery's Omoda and Jaecoo brands, and Zeekr. Aion, in its first year in Thailand, has opened 41 showrooms and started production at a new factory this month. It has announced plans to open a plant in Indonesia and start selling its cars in nine countries across Southeast Asia. Last month, Phanthakan Wongsa and his wife bought an Aion Y Plus sport utility vehicle at a showroom in Bangkok. They own a gasoline-powered Suzuki but wanted an energy-efficient car. Wongsa, 35, an engineer, paid around $25,000 after a government subsidy and a 20% price cut. On a recent afternoon at an Aion showroom in the eastern part of Bangkok, the company was offering a $25,000 package for the Y Plus that included an eight-year warranty, installation of a home charger and 12 months of insurance. V Group, the dealer network, had converted the showroom from a Mazda dealership last year. Mazda sales "plummeted in recent years," said Pananya Jira-alongkorn, vice president of V Group. Thai consumers were more interested in electric vehicles, she said, and Mazda had "none to offer." Aion adapted its Chinese cars for the local market, turning up the power of the air conditioning and strengthening the chassis for poor road conditions. On his desk at Aion's offices in a Bangkok high-rise, Ma displayed a miniature model ship that captures the spirit of Chinese automakers prospecting for customers. Written on the ship's
conditions. On his desk at Aion's offices in a Bangkok high-rise, Ma displayed a miniature model ship that captures the spirit of Chinese automakers prospecting for customers. Written on the ship's sails is a Chinese phrase: "Ride the wind, cleave the waves and return with a full load."
Castrol India reports second quarter results for 2023 New Delhi: has announced its results for the second quarter ended 30 June 2023. The Company follows the calendar year (January to December) for its financial reporting. For the quarter (2Q) from April to June 2023, the company registered revenue from operations at INR 1,334 crore, marking a growth of 7% compared to INR 1,242 Crores in 2Q 2022 (corresponding quarter in the previous year), and a growth of 3% from INR1,294 crore in 1Q 2023 (sequential quarter). for 2Q 2023 stood at INR 305 crore, a gain of 9% compared to INR 280 crore in 2Q 2022, and 6% higher than INR288 crore in 1Q 2023. This resulted in delivering strong performance in 1H ending on June 30, 2023. During this period, the company registered revenue from operations at INR 2,628 crore, achieving a growth of 6% compared to INR 2,477 crore in 1H 2022. Profit Before Tax for the period stood at INR 593 crore, marking a growth of 0.4% from INR 591 crore in 1H 2022. Sandeep Sangwan, Managing Director, Limited, said, “During the last quarter, we focused on achieving growth through increased volume. Despite challenges, we flourished, showcasing resilience and innovation in products and services. We expanded our portfolio by entering the auto care range and launching successful new products like CRB ESSENTIAL and SUV 5W30. Alliances with organisations such as strengthened our market position. Our success is attributed to a robust supply chain and customer-centric services. With confidence, we move ahead, expecting continued growth and impact into 2023-end.” Pursuant to its alliances with OEMs for supply of electric vehicle (EV) fluids, the company launched transmission fluids for the aftermarket earlier this year. Consumers can now buy the product on e-commerce platforms. “Additionally, we are conducting ASDC-certified EV readiness training to make car and bike mechanics in India EV-ready. Until now, we have trained 200 mechanics across India. In 3Q, we expect to quadruple this number,” he added. Sharing an outlook for the year ahead, Sangwan said, “Despite anticipated challenges in the business environment, we will remain focused on achieving growth and expanding market share. This involves introducing new products and investing in strengthening our brand. By the end of the first half, we've already established a network of over 5500 and 350 outlets. In the second half, we aim to reinforce our position in the aftersales service market, committed to enhancing our presence and providing exceptional service to our valued customers.” The Board of Directors of the company have declared an interim dividend of INR 3 per share, which will be paid on or before August 30, 2023, the company said in a media release.
Warren Buffett says Berkshire not planning to buy Occidental Petroleum said on Saturday that Inc is not planning to acquire but remains happy with its large investment in the oil company. Speaking at Berkshire's annual shareholder meeting, Buffett rejected speculation that Berkshire would buy Occidental after having accumulated a 23.6% stake. "We will not be making any offer for Occidental," Buffett said. "We have got the right management." Occidental did not immediately respond to a request for comment. Analysts and investors have said an acquisition could diversify Berkshire's , which includes several utilities, electricity distributors and renewable power projects. Berkshire started amassing shares of Houston-based Occidental in February 2022, around when Russia invaded Ukraine. Buffett has also had a close relationship with Occidental CEO , who has been slashing debt and returning money to shareholders since the company bought Anadarko Petroleum Corp in 2019. "Hollub is an extraordinary manager at Occidental," Buffett said. "We love having Vicki run it." Occidental and Chevron Corp, another large Berkshire holding, also have significant presences in the Permian Basin, an area in Texas and New Mexico that accounts for a significant amount of U.S. crude production. Berkshire ended March owning $21.6 billion of Chevron stock, though it appeared to sell about $6 billion in the first quarter, Edward Jones & Co analyst Jim Shanahan estimated. Until recently, Berkshire also owned $10 billion of Occidental preferred stock with an 8% dividend, which helped fund the Anadarko purchase, plus warrants to buy another $5 billion of common shares at $59.62 each. Berkshire said on Saturday that Occidental redeemed about $474 million of the preferred stock at a premium, which it had a right to do, reducing dividend payouts. Last August, Berkshire won U.S. Federal Energy Regulatory Commission permission to buy up to 50% of Occidental's common stock. It needed the authorization because it would have had exceeded the Federal Energy Regulatory Commission's 25% ownership limit had it exercised the warrants. Buffett, 92, has longed for another large acquisition for his Omaha, Nebraska-based conglomerate, whose dozens of businesses include Geico car insurance and the BNSF railroad. Berkshire had a 22.6% stake in BNSF before paying $26.5 billion for the remainder in 2010.
Volta Trucks to debut all-electric Volta Zero at ACT Expo in California has confirmed the US launch and first public display of the all-electric Volta Zero at the (ACT) Expo between May 1 and 4, as Volta Trucks further develops its launch plans for the US market. The ACT Expo takes place near Los Angeles in Anaheim, California, and is the world’s largest event dedicated to alternative-fuel commercial vehicles for vehicle manufacturers and commercial transport providers. Volta Trucks will present a Class 7 Volta Zero design-verification prototype on booth 6895. Volta Trucks executives and product experts will be on hand to discuss the all-electric truck, as well as the company’s ‘Truck as a Service’ subscription model, and vehicle charging. Volta Trucks in the US market The introduction of Volta Trucks’ all-electric commercial vehicles into North America will be led in 2023 by the Class 6 and Class 7 Volta Zero (equivalent to the existing European 16-ton truck), which will be available with an ambient or refrigerated cargo box. In late 2023, Volta Trucks will launch a US-based Driving Experience Program for fleet operators to evaluate a Pilot Fleet of Volta Zeros in real distribution environments to understand how the electric delivery trucks will integrate into their operations. A similar program is currently launching across six European countries. The Programme in the US will start on the west coast, ahead of a roll out of production vehicles expected in 2024. Purpose built for urban logistics The Volta Zero is the first purpose-built all-electric medium-duty truck specifically designed for urban logistics. The ground-up design of the Volta Zero uses an innovative compact eAxle, comprising the electric motor, transmission, and axle all in one unit, supplied by Michigan-based Accelera by Cummins, and high-voltage batteries located within the chassis rails – their safest possible location – from California-based Proterra. As a vehicle specifically designed for urban logistics, the Class 6 and Class 7 15-ton Volta Zero will offer a modular battery configuration to deliver a range of 95 - 125 miles – more than enough for downtown distribution routes. Designed for safer roads Commercial vehicles compose a small portion of city traffic but have historically been involved in a disproportionate number of accidents with vulnerable road users, including pedestrians and cyclists. Thanks to the electric powertrain that allowed the company’s designers to create a new vehicle concept from the ground up, the Volta Zero has been designed with a glasshouse-style cab with a 220-degree direct view around the vehicle, for blind-spot reduction, and a lower, center-mounted driving position that enables eye-level connection with all road users. The driver enters and exits the vehicle on either side, always onto the sidewalk for their own safety, and through sliding rather than swinging doors, to also ensure the safety of passing cyclists. All Volta Zeros benefit from
the vehicle on either side, always onto the sidewalk for their own safety, and through sliding rather than swinging doors, to also ensure the safety of passing cyclists. All Volta Zeros benefit from the same world-class safety standards, as well as zero-tailpipe emission powertrains, eliminating not only CO2 emissions but also harmful particulates that diminish local air quality and contribute to health issues. The Class 6 and Class 7 Volta Zero introduction is scheduled to be closely followed by a Class-5 vehicle of 19,500 lb. and a Class-6 truck of 26,000 lb., equivalent to the European 7.5- and 12-ton vehicles, in 2026. Class-5 and 6 Volta Zeros, revealed in April 2022, will bear a close visual relationship to the Class 7 vehicle. The Class-5 and 6 trucks will be very similar to each other from the front, with the Class-6 vehicle having a longer chassis and body, and a second set of rear wheels and tires to accommodate the increased vehicle payload. Volta Trucks understands the complexities that fleet operators face with the transition to electrification. In response, the company offers its innovative ‘Truck as a Service’ proposition, which accelerates the adoption of by delivering a frictionless and hassle-free way to electrify fleets, while de-risking the migration for Fleet Operators. Truck as a Service supports every step of the electrification migration by offering a single, affordable, monthly fee that funds the use of an all-electric Volta Zero vehicle, and all of its servicing, maintenance, finance, insurance and training requirements, maximizing the operational efficiency of the vehicle. Using the same approach as it has adopted in Europe, Volta Trucks will develop its own US-based ‘Volta Trucks Hubs’ for vehicle service and maintenance. Hubs will be located close to its customers’ own logistics centers to maximize uptime and convenience. The company will also develop an extensive network of Certified Service Partner facilities to increase the geographic coverage of service and maintenance outlets. Ahead of participation at ACT Expo, Chief Executive Officer of Volta Trucks, Essa Al-Saleh, said, “I’m delighted to be able to show the all-electric Volta Zero in the important US market, at ACT Expo in California. We’re building on the key learnings from our European launch, where we’ve developed at speed and scale, with a deep understanding of our customers’ needs, to accelerate the transition to electric commercial vehicles and help decarbonise city centres. The US faces the same safety and sustainability issues we are addressing in Europe and is a significant market opportunity for us. This marks the start of our journey in the US, and we are excited to bring road-certified vehicles for US customers to evaluate later this year.”
EVRE upgrades its EV hubs with fast charging ecosystem, other amenities New Delhi: electric vehicle (EV) charging Infratech will enable all its 52 EV charging hubs with . The upgrade will enable the charging hubs with AC chargers (3.3 KW IndustrialT and CCS) for all its consumers including EV fleets and retail customers, the company said. The charging hubs can charge up to 80 EVs simultaneously. They will also provide single-window access to all the services through ., the company said in a media release. The advanced EVRE hubs will operate fully with cloud-based technology that will be capable of dynamic load management creating a one-stop-shop for all the requirements of an EV driver. The digitally-managed hubs will be equipped with solar-based as well, the company said. Krishna K Jasti, co-Founder & CEO, EVRE, said, “We aim to provide a one-stop charging solution for both commercial fleet owners and retail customers, offering them a seamless experience at a one-stop-shop. The idea is to create a smart and integrated base for both B2B and B2C networks in the country that will be much more than just a charging stop.” “Contributing with an intelligent framework and world-class manufacturing of smart hardware, EVRE is developing a robust charging infrastructure in the country to satiate the demand across cities with its technologically-enhanced hubs,” he added. The company added that for the convenience of EV fleets, it has enabled an always-connected aggregator with a one-web dashboard that provides features such as telematics for complete real-time monitoring, smart keys-management as well as automated systems for ensuring the safety of the vehicles. Additionally, the EVRE hubs will provide a hassle-free charging experience for every EV user with installed amenities such as smart parking and charging points, eat and charge facility, retiring rooms especially for the comfort of last-mile delivery fleets and vehicle servicing. Moreover, the charging network will also authorize insurance coverage against hazards to driver-users operating the charging stations. Also Read:
We are living in a golden age of supply chain innovation: Uber Freight’s Lior Ron Logistics moves the global economy in the 21st century, says Lior Ron, Co-Founder and Head, . “It is more than 10% of the global GDP. It is a $4-trillion global market, with almost $1 trillion in the United States. Each one of us is ordering more and we expect it to arrive at our doorstep faster and faster. This is literally the biggest industry moving the economy yet it is under so much pressure,” he said, while speaking recently at the virtually held . Talking on how small businesses played a pivotal role in the logistics industry, Ron said equipping such businesses with the right was of utmost importance. “We now have 1.7 million truck drivers on the platform as it is so easy to use. This is the largest profession in the United States and globally. For us, it is all about how we can equalise the playing field for the smaller players and what kind of technology can allow them to compete better.” Ron was bullish about the opportunities available in this industry because of technology and called it a “golden age” for entrepreneurs in the logistics space. “There are 3x-5x more registrations of truck drivers entering the market in the past 12 months than any other time in history,” he said. This despite the truck-driver profession not being an optimal one as they would be away from the family for at least 250 nights a year, sleeping at truck stops and facing other problems. It is important for businesses and truck drivers to understand cash flow and all other aspects so that they can stay ahead of the curve and resolve problems as soon as possible. Ron said the company has extended services and know-how to them to help in this process. “We have helped them with credit cards and a bank account so that they can manage the cash efficiently. But they also need to manage their taxes, fuel expenses as well as insurance. If anyone thinks in terms of , this is the industry because there are 3 million of such businesses who are smart, adopting technology and hungry for innovation,” he said. Addressing a question on the importance of hiring key talent, Ron said the company has added over 100 engineers to the team over the past 12 months. “We have expanded our footprint from just San Francisco to hiring engineers, tech talent, data scientists and designers in Chicago, Dallas, Seattle and New York. So, there has been a lot of success so far but also we have a lot of appetite and love to adore a team,” he stated. Talking about how the various waves have been unpredictable, Ron said the post-pandemic era would give us unique insights into consumer behaviour. “We are living in interesting times. How consumers actually act and behave and move between goods and services will be seen. But it is getting better as peak supply is much more than before. It is easier with the demand but there is still a lot of volatility. It is going to get better towards the end of this year but it is
But it is getting better as peak supply is much more than before. It is easier with the demand but there is still a lot of volatility. It is going to get better towards the end of this year but it is still going to be an unknown territory. Technology can play a very important role.” Delving more on the , Ron said it was an exciting time in terms of the vast opportunities that lie ahead. “We are living in a golden age of supply chain innovation. More enterprises and startups are going into this industry because they see the massive market size,” he added. Global supply chains have been under severe pressure in the aftermath of the pandemic with freight rates soaring, material shortages crimping industries and labour unavailability posing a key challenge.
Popular Vehicles IPO subscribed 45% on day two of offer The initial share sale of Limited got subscribed 45% on the second day of subscription on Wednesday. The INR 601.55 crore-Initial Public Offer ( ) received bids for 65,31,800 shares against 1,44,15,110 shares on offer, as per NSE data. The portion for (RIIs) attracted 77% subscription while the non-institutional investors part got subscribed 20%. The IPO has a fresh issue of up to INR 250 crore and an offer for sale of up to 1,19,17,075 equity shares. The price range for the Kochi-based company's offer is INR 280-295 a share. On Monday, Popular Vehicles and Services said it has garnered INR 180.17 crore from anchor investors. Proceeds of the fresh issue will be used for debt payment and general corporate purposes. Popular Vehicles and Services is a leading diversified automotive dealership in the country with a presence across the automotive retail value chain, including the sale of new passenger and commercial vehicles, services and repairs, spare parts distribution, sale of pre-owned passenger vehicles, and facilitation of the sale of third-party financial and insurance products. It operates passenger vehicle dealerships of , Honda, and JLR and the commercial vehicle dealership of . ICICI Securities, Nuvama Wealth Management (formerly known as Edelweiss Securities Ltd) and Centrum Capital are the managers to the offer. The equity shares of the company will be listed on the BSE and NSE.
Minda Corp exits Pricol with 15% stake sale, rakes in INR 260 cr profit After almost a year of investing in Ltd, Minda Corporation exited the maker by selling its entire 15.7% stake through the open market on Wednesday. sold 1,91,22,458 shares of Pricol at an average price of INR 345 apiece for approximately INR 660 crore, according to bulk deals data on the exchanges. In February last year, Minda Corp acquired a 15.7% stake in Pricol, at INR 208.98 a share, for INR 400 crore. Within a year, Minda Corp made a profit of approximately INR 260 crore on its investment. In fact last year, the company sought approval from the Competition Commission of India (CCI) to acquire a 24.5% stake in Pricol. However, Pricol filed an objection with the competition watchdog against Minda Corp’s planned acquisition. Pricol is Minda Corp’s largest rival in the two-wheeler instrument cluster business. “This is merely a financial investment without providing the company any special rights in Pricol other than the rights as a shareholder," Minda Corp had then said. Despite such a big sell-off, shares of Pricol ended positive due to strong institutional buying. The stock closed 0.7% higher at INR 370.75 on the National Stock Exchange, whereas closed up 4.3% at INR 400.65. Goldman Sachs, Nomura India, Fidelity Funds, Aditya Birla Sun Life Insurance, ICICI Prudential MF, and Tata MF bought shares of the company through separate deals. ICICI Prudential MF was the biggest buyer of 37,45,000 shares, representing 3% stake for INR 125 crore. Goldman Sachs bought 14,90,024 shares for INR 51.2 crore, Aditya Birla Sun Life purchased 30,30,000 shares for INR 104 crore, Fidelity Funds acquired 30,70,947 shares for INR 105 crore, and Nomura India picked up 30,97,900 shares worth INR 106 crore.
GC&C Italy, Pirelli, and Aon agree on new insurance solution (GC&C) Italy, , and have signed an agreement on an innovative solution linked to the Sustainable Development Goals (SDGs) of the , taking up a further challenge in the ESG sphere, aimed at enhancing risk quality for stakeholders. The insurance solution, developed with the support of Aon, by Pirelli and Generali, global sustainability leaders in their respective sectors, is based on Pirelli achieving specific targets aligned to SDGs 3 and 8 (“ Good Health and Well Being ” and “ Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all ”). These targets relate to product and occupational health and safety matters. The key performance indicators (KPIs) to be measured will primarily target employee training, maintenance of quality, health, safety and environmental certifications (ISO9001, 16949, ISO45001 and ISO14001). Additionally, specific accreditations of certain Pirelli R&D laboratories and tyre performance in terms of wet grip will be assessed. Among the KPIs included in the agreement is the affirmation of Pirelli’s position as one of the leading companies in the Dow Jones Sustainability Index. With this project, Pirelli, Generali GC&C Italy, and Aon, each guided by their analyses, continue together in an innovative manner their journey in support of the (SDGs), which were established in 2015 with a target for 2030. The initiative, part of a multi-year partnership between Pirelli, Generali GC&C Italy and Aon, currently covers the policies led by Generali concerning Italian Employers Liability, as well as the Recall and General Liability policies. Franco Franzoso, Head of Generali GC&C Italy, said, “The insurance solution devised with Pirelli and AON represents one of Generali’s initiatives aimed at incorporating ESG components into its policies. GC&C Italy has long been dedicated to integrating sustainability into its business operations and processes, developing solutions that positively impact the environmental and social sphere. In addition to our support for risk prevention and mitigation, we have set more challenging goals aligned with the UN SDGs, demonstrating our Company's commitment to fostering a healthy, resilient and sustainable society. The agreement with Pirelli is a significant milestone along GC&C Italy’s journey as a Responsible Insurer, contributing to the ongoing transition toward sustainability.” Vincenzo De Cesaris, Pirelli Head of Finance, M&A and Risk Management, said, “The agreement with Generali GC&C Italy and Aon underscores Pirelli's ability to integrate a responsible approach into all its business activities, including Risk Management, and represents a pivotal step in the company's strategic sustainability journey. Aligned with the UN Sustainable Development Goals guidelines, this project strives for continuous improvement of employee and product-related health and safety initiatives”. Marco Dubini
journey. Aligned with the UN Sustainable Development Goals guidelines, this project strives for continuous improvement of employee and product-related health and safety initiatives”. Marco Dubini Daccò, Executive Chairman of Aon S.p.A . , said, “We are pride in collaborating with Pirelli and Generali GC&C Italy to develop this innovative solution. The agreement involves several insurance programmes, mostly international ones, introducing ambitious sustainability targets. Through this initiative, the three companies aim to make a meaningful contribution to safeguarding individuals, while increasingly prioritizing social and environmental issues within their business”.
Six Sense Mobility raises seed round from Piper Serica VC company has successfully raised INR 6 crore in a seed round from , an angel investment firm in Mumbai. Previously, the company had received funding from Saurabh Nayyar of Docbel Group. The funds will be utilized to expand the team, enhance production capacity, and advance research and development in vehicle safety technologies. Six Sense Mobility, founded by Sumit Roy, Kapil Rao, and Narendra Kumar Verma, has rapidly progressed from the R&D phase to commercializing its indigenous technology. Their tech spans the entire value chain from design and development to manufacturing. The company serves multiple clients in the automotive sector, covering 2-wheelers, 3-wheelers, and large commercial vehicles in both electric vehicle (EV) and internal combustion engine (IC) domains. “We are about 1.5 years old but have made great progress in bringing our technology from the R&D phase to commercialization while keeping it entirely indigenous and controlling the entire value chain of the tech, from design and development to manufacturing. We already have multiple clients in the automotive domain, which include 2-wheelers, 3-wheelers, and even large commercial vehicles in both EV and IC engine domains,” stated Sumit Roy, founder of Six Sense Mobility. The startup aims to scale rapidly in India and international markets, with the connected cars market projected to grow from USD 75 billion to USD 165 billion by 2029. Six Sense Mobility is positioned to contribute significantly to India's evolving mobility and transportation sector, aligning with the government's implementation of new technologies. The company's technology has multiple applications in automotive safety, security, and maintenance. Their crash detection system can identify collisions, measure impact, and dispatch emergency SOS services by triangulating the accident's exact location. This rapid response capability can save lives. Six Sense’s advanced tracking and immobilization technology interacts with various satellites, including the USA's GPS, China's BeiDou, Russia's GLONASS, and India's NAVIC launched by ISRO. This ensures precise tracking and remote immobilization, enhancing asset security. The company's diagnostics and analytics system employs AI and machine learning to remotely diagnose vehicle issues with high accuracy and predict potential future malfunctions. "Six Sense is one of the few companies in the telematics space that is 5G-ready with a very strong customer traction. Satellite-based tolling system, connected cars, efficient logistics, pay as you go insurance all require strong telemetry technology and Six Sense devices are already seeing strong adoption across these customers. We at are excited to back this deep-tech company having a great founding team and a strong customer traction,” said Ajay Modi, Director of Investments at Piper Serica Angel Fund. Six Sense Mobility's commitment to enhancing vehicle safety through
having a great founding team and a strong customer traction,” said Ajay Modi, Director of Investments at Piper Serica Angel Fund. Six Sense Mobility's commitment to enhancing vehicle safety through advanced technology sets it apart in the smart mobility sector. The recent investment by Piper Serica VC underscores the company's potential for growth and innovation.
CNH Industrial's striking Wisconsin workers to vote down offer: Union By Bianca Flowers at a plant in are expected to vote against ratifying the latest contract offer from the construction and maker, possibly extending an eight-month long strike, a union representative said on Wednesday. Local members of the (UAW) union will vote on Saturday on the proposed contract. In May, over 1,000 union members in Racine, Wisconsin, and Burlington, Iowa, walked off their equipment-making jobs after a six-year contract expired at both facilities. UAW local union president in Racine, Yasin Mahdi, where roughly 700 of the striking workers are based, told Reuters that despite prolonged bargaining negotiations, CNH Industrial ( ) has barely budged on demands from members for better working conditions and a bump in wages amid rising inflation. It was not immediately clear how CNHI's striking workers in Iowa will vote. A Burlington union representative could not be immediately reached for comment. CNHI declined to comment. The company has upped its initial wage increase offer from 18.5% over the course of three years for non-trade skilled workers, but has fallen short in other areas, including increasing costs for health insurance premiums that would take effect after this year, Mahdi said. "When you factor in how much insurance is going to go up versus wages, you're losing money," he added. The length of the CNHI strike is unusual and well beyond the two-month average in the , said Robert Bruno, a labor and employment professor at the University of Illinois Urbana-Champaign. With a tightening labor market, union workers in the industrial sector for companies such as and Deere & Co. have gone on strike in recent years. "What we're seeing is union members rejecting contracts at a higher rate and the end result is that they do much better," he said. Also Read:
Ashok Leyland introduces ‘Sarathi Suraksha Policy’ for drivers New Delhi: , the Indian flagship of the Hinduja Group and one of the country’s leading , Monday launched ‘ ,’ a comprehensive insurance policy for safeguarding the driver community. The "Sarathi Suraksha Policy" provides coverage of up to INR 10 lakh per chassis for accidental death, permanent and partial disability. This policy covers other aspects such as accidental hospitalization and special education bonus for children, the company said. Effective from June 1, 2024, this insurance policy applies to all Intermediate Commercial trucks (ICV), Haulage, and Long Haulage trucks invoiced to customers, at no additional cost. The 'Sarathi Suraksha Policy' is classified as an "Unnamed GPA (Group Personal Accident) Policy," which covers any driver operating an Ashok Leyland vehicle, providing comprehensive protection for the drivers, the company said in a media release. Shenu Agarwal, Managing Director & CEO of Ashok Leyland, said, "At Ashok Leyland, we deeply value the contributions of our drivers to the logistics and transportation sectors. The 'Sarathi Suraksha Policy' is a testament to our dedication to their safety, security and well-being. This initiative not only underscores our commitment to our drivers but also aligns with our broader vision of fostering a safe and supportive ecosystem for all our stakeholders." Sanjeev Kumar, President, MHCV, Ashok Leyland, said, "Ashok Leyland demonstrates its steadfast commitment to the welfare of our drivers by introducing the ‘Sarathi Suraksha Policy.’ We recognize the importance of the driver community, and with this insurance coverage, we hope to improve their quality of life further.” Ashok Leyland continues to set industry standards by prioritizing the interests and welfare of the driver community, cementing its position as one of the leaders in the commercial vehicle market. The ‘Sarathi Suraksha Policy’ showcases Ashok Leyland's commitment to the health and welfare of drivers who form the cornerstone of the transport sector, contributing to its growth and development, the release added.
Analysis: Glencore coal deal shows power of fossil fuels - even on their way out Glencore's deal to buy ' steelmaking coal unit shows how cheap fossil fuels can be a lucrative option for companies - for a decade or two at least - even as they are phased out in favour of renewable energy. Western companies may be loathe to search for new sources of coal or build new mines, but investors say coal still has a powerful role to play in the coming years since it can be used to feed the needs of the global shift to cleaner energy. Demand for coal - driven by Asia - remains strong, lifting prices. Coking coal is emerging as a top option for companies to make a foray into, as it is used to make steel, an important component in large infrastructure and renewable projects. The world's largest miner , for example, also decided this year to hold on to its higher-quality coking coal assets, after a 2020 review of its wider coal portfolio prompted the sale of some mines. By buying Teck's coking coal business, Glencore will create a coal powerhouse that analysts say should generate between $5 billion and $6 billion a year in free cash flow. The company is already one of the world's biggest listed producers of thermal coal, with an output of around 110 million tonnes a year, and also has its own coking coal assets. Among the most polluting fossil fuels, thermal coal is used to produce electricity and is being phased out as part of a global transition to clean energy sources. Glencore CEO reiterated the company's commitment to phasing out its thermal coal assets over time, but said he believes demand for both thermal and coking coal will continue to be strong for years to come. Mining investors agree. "The world economy benefits from cheap energy. However you are going to get that energy: coal, natural gas...that cheap carbon energy helps to build economically viable renewable energy, otherwise renewable energy starts to look expensive," said , portfolio manager at Old Mutual. "With a reasonable lifespan, up to 30 years, (these companies) are saying they are not going to go through a major exploration drive or build new mines, but will be investing for safe and productive production, and then harvesting these assets for cash with everything going back to shareholders, it is going to be a big capital return story," he added. COKING As Western banks and insurers stand by pledges to restrict lending and insurance coverage to the sector over climate change concerns, expansion of coal mines is unlikely. Still, global demand for coal reached an all-time high of 8.3 billion tonnes in 2022, half of which came from China, the (IEA) said. Coking coal prices rose this year to above $300 a tonne due to tight supply and optimism that the global economy will avoid a deep recession. Thermal coal prices stand at around $120 a tonne, after surging to a record high above $400 last year as countries desperately sought alternatives to Russian gas after the start of the war in
Thermal coal prices stand at around $120 a tonne, after surging to a record high above $400 last year as countries desperately sought alternatives to Russian gas after the start of the war in Ukraine. "Asia is not going to stop burning coal any time," said an investor at a natural resources fund, adding that the company will find a way to make money off the assets even after they are spun off. Glencore said it would spin off the combined coking coal and thermal coal assets within two years of the deal's closing and eventually list those assets in New York, with secondary listings in Toronto and Johannesburg. "Coking coal is unique so it won't go away... Teck has been one of our most profitable investments," said , co-founder of investment firm , calling Teck's steelmaking business a "prized asset".
From war to business to economy, why NavIC is the tech for a rising India The story of , India's homegrown GPS alternative, is the story of how India changed from a country that depended on others for its crucial needs to the one that is confident of creating a place of its own in the global power hierarchy. With Apple agreeing to incorporate NavIC, or Navigation with Indian Constellation, in its latest iPhone15 smartphones, India has taken an important step towards ‘atmanirbharta’, replacing the GPS (Global Positioning System) of the US which smartphone makers in India mostly use. Now India is making it mandatory for both smartphone and auto makers to use NavIC. The desi GPS: From war to business When Pakistani troops took positions in Kargil in 1999, one of the first things the Indian military sought was the global positioning system data for the region. The space-based navigation system maintained by the US government would have provided vital information, but the US denied it to India. A need for an indigenous satellite navigation system was felt earlier, but the Kargil experience made India realise its importance. Amid increasingly shifting geopolitical realities, it is crucial for India to be self-reliant in satellite navigation. But not just war, where satellite navigation helps track enemy location and movement as well as guide precision weapons, a desi GPS helps economy and business too in a significant way. A big push to the economy Not very long back, when large swathes of India were out of the formal economy, developing India's own satellite navigation system was a luxury. As the economy formalises and integrates, now a desi GPS becomes critical for growth. It can help businesses improve efficiencies, cut costs and find new solutions. NavIC is essentially a communication system, much needed when businesses aim to increase reach and penetration and an increasingly interlinked economy needs better coordination. The most critical civilian use of NavIC will be in India's ambitious project to fasttrack the economy with improved logistics. As India builds highways at a breathless speed and is also putting in place a multimodal national transport system including dedicated freight corridors, NavIC will be of great use as it can track goods and vehicles, increasing speed and efficiency. The logistics cost in India is 13% of the GDP, compared to 8% in the rest of the world. This makes Indian exports less competitive as well as raising prices of domestic goods. The government has chalked out an ambitious plan to bridge the gap with global logistics cost. An indigenously developed navigation system will help better tracking, bring down costs and improve efficiencies. For example, something as simple as route planning can jack up costs when it lacks efficiency. Effective route planning can ensure that goods reach the destination on time; the fuel and driver costs are minimal; truck utilisation improves; and there is less vehicle wear and tear.
efficiency. Effective route planning can ensure that goods reach the destination on time; the fuel and driver costs are minimal; truck utilisation improves; and there is less vehicle wear and tear. All these factors contribute to the success or failure of a logistics operation. A desi GPS, which is better for Indian conditions than other GPS and will also cost less, can ensure a seamless logistics system. Better route optimisation can be achieved with NavIC. Currently, the designed maps, such as Google Maps, are just route planners, Arpit Sharma, Senior Manager- Technology Research and Advisory, Aranca, wrote in TOI, but NavIC would help with better optimization and route suggestions. This would also provide new use cases for developing route optimizer apps that would: Optimize road utilization and evenly distribute traffic; and differentiate cargo traffic of trucks from consumer fleet traffic of cars, buses, rickshaws, and bikes. Indian and global automakers and truck and bus manufacturers and GPS chip makers would have to revamp the technical specification of their offerings to accommodate NavIC. The government is planning to mandate chips embedded with NavIC for the automotive industry. Accord Software Systems, a local startup, has incorporated NavIC in the design of its integrated circuit which is being used to produce a 28 nanometer chip that is now being sold to companies in the Indian automotive sector. Soon, trucks and other commercial vehicles will come equipped with NavIC. Other uses With better positional accuracy and lower subscription cost, NavIC will be useful for home delivery as well as ride-hailing services. At present, these businesses use GPS. NavIC will bring down costs and increase efficiencies. General delivery businesses will also gain from using NavIC for the same reasons. NavIC could present new use cases for navigation-based gaming apps (similar to PokemonGo, Pikmin Bloom, Marvel’s Avengers, etc.) in India, Arpit Sharma wrote in TOI. It can also help auto insurance companies to track vehicles they have mortgaged, advertising companies to develop better location-sensitive advertisements, and the travel and tourism industry to create location-based use cases such as improving guests’ experience by making the tour more informative and interactive. NavIC will also help India's drone industry grow and become more efficient, especially drone delivery businesses The NavIC edge NavIC has limited coverage against the GPS developed by the US, EU, Russia and China. However, it is interoperable with all of them. Since mobile handset-makers will have to integrate it at the processor level, this will bump up costs, but not by much. US semiconductor MNC Qualcomm has been supporting NavIC in a select line of smartphone chips since 2019. The main difference is the serviceable area covered by these systems. GPS caters to users across the globe and its satellites circle the earth twice a day, while NavIC is currently for use in India and
main difference is the serviceable area covered by these systems. GPS caters to users across the globe and its satellites circle the earth twice a day, while NavIC is currently for use in India and adjacent areas. The government aims to expand the coverage from regional to global to ensure availability of NavIC signal in any part of the world. Like GPS, there are three more navigation systems that have global coverage - Galileo from the European Union, Russia-owned GLONASS and China's Beidou. QZSS, operated by Japan, is another regional navigation system covering the Asia-Oceania region, with a focus on Japan. While NavIC is as good as other GPS in accuracy, it is more suitable for Indian terrain and has better performance since it's focused on India and neighbouring areas alone. It also works better in India's tropical climate than other GPS.
Vehicle sales in May hold on to green; but PVs, 2Ws far below previous records: SIAM New Delhi: Automobile wholesales in May 2022 were up 245% to 1,532,809 units in May 2022 and the year-on-year sales were in green across the segments, according to the latest data by the ( ). In May 2021, the industry recorded total wholesales of 444,131 units. Total domestic sales for the month include , two-wheelers, three-wheelers and quadricycles. However, the total domestic sales were still lower than May 2019 numbers, when the industry clocked 2,004,137 units. Passenger vehicles during May 2022 were up 185% to 251,052 units as against 88,045 units in the corresponding month of last year. This includes sales of 124,060 units of passenger cars, 116,256 utility vehicles and 10,736 units of vans in May 2022. The SIAM data does not include sales from BMW, Mercedes, Tata Motors & Volvo Auto. Rajesh Menon, Director General, SIAM said, “Sales of Two-Wheelers and Three-Wheelers continue to remain sluggish in the month of May 2022, as they are even below of what it was 9 years and 14 years ago, respectively. Sales of Passenger Vehicle segment are also still below 2018 level.” “Recent Government interventions would help in easing of the supply side challenges, but second hike in repo-rates by RBI and increase in 3rd Party Insurance Rates, could become more challenging for the customers, thereby impacting demand,” he said. Total two wheeler domestic sales stood at 1,253,187 units in May 2022 as compared to 354,824 units in May last year. This includes sales of 819,940 motorcycles, 398,099 scooters and 35,148 units of mopeds. Three wheeler sales during the month also increased to 28,542 units in the month under review, up from 1,262 units in May last year. As per SIAM, the total production of passenger vehicles, , two wheelers, and quadricycle in May 2022 was 1,965,541 units.
Ford CEO says EV prices may not drop to ICE vehicle levels until 2035 The cost to make electric vehicles may not drop to the level for gas-powered cars until after 2030 when the process becomes simpler and less labor-intensive, Motor Co Chief Executive Jim Farley said on Wednesday. At an investor conference, Farley said that, for many automakers, EVs will remain more costly than their internal combustion engine counterparts until the second and third generation models go into production later in this decade. Analysts have predicted that EV cost parity could come as soon as 2025. Between 2030 and 2035, Farley added, much of the industry's EV cost savings will come from "dramatically lower labor content" because the vehicles will be simpler to build with fewer parts, and will be fitted with smaller batteries that use cheaper materials. He also predicted the industry could realize lower distribution costs from selling EVs online, as well as higher revenue from new software-driven digital services. Farley said Ford's software services business has 600,000 subscribers, triple the number a year ago. That includes 200,000 retail customers paying for the company's Blue Cruise driver assistance system and 400,000 Ford Pro commercial customers paying for a range of services including fleet management, EV charging, dynamic routing and more. As the company expands its ability to harvest data from vehicles and drivers, Ford could follow other automakers, including Tesla Inc and General Motors Co, in offering insurance, he said. Asked about the potential for industry-wide consolidation over the next five years, Farley instead predicted an "acceleration of cooperation," citing such deals as Ford's recent agreement to use Tesla's supercharger network for its future EVs. "Cooperation is essential," he said, especially for companies that may not have the resources to build out a full EV ecosystem.
BikeWo appoints 25 dealers, unveils 15 multi-brand EV dealership stores pan India New Delhi: Hyderabad-headquartered today launched its flagship multi-brand electric two-wheeler dealerships pan India, starting with Telangana and . As a part of this, the company today has appointed 25 dealers and unveiled 15 dealership stores located in Hyderabad, Kurnool, Gadwal, Rajamumdhry, Nellore and Tanuku. Among some of the renowned e-2W EV brands that BikeWo has partnered with for EV display and sales in its showrooms include Hayasa, , , , Ekotejas and , among others. BikeWo is the only company that has acquired exclusive rights to sell the electric-2Ws of Hayasa and EV Minda in Andhra Pradesh and Telangana. By the end of 2022, the company plans to open at least 140 stores across Andhra Pradesh and Telangana and expand to another 5-6 more states in 2023, while appointing another 500+ dealers by the same year-end. Whereas by 2026, it aims to cross 2,000+ dealerships spread nationwide in over 20+ states. Speaking on the occasion, Vidhyasagar Reddy, Co-Founder, BikeWo said, “Through our dealerships’ expansion, Bikewo ultimately aspires to be the distribution arm for all EV brands in India to provide 360-degree solution to customers, which include choice of various brands and models under one roof, charging station, servicing infrastructure, accessories and spares, vehicle finance, warranty and insurance, etc.” Traditionally in the past only one brand’s vehicles used to be sold by a showroom, but nowadays with the growing demand in EV 2 wheeler industry and with the presence of over 300+ OEMs in India, it has become almost a solutions,impossible for all OEMs to have a profitable and scalable distribution network. Besides, today the customer is overwhelmed with the large number of options available on what to buy and which brand to buy. “We at Bikewo will be attempting to fill these two needs and solve both these problems through our stores,” added Vidhyasagar Reddy. Also Read:
GrowthCap Ventures invests in Advance Mobility New Delhi: , an early-stage venture capital firm, has made its maiden investment in . The investment signals GrowthCap Ventures' commitment to fostering innovation and driving growth within the rapidly evolving mobility industry. This strategic investment signifies GrowthCap Ventures' commitment to nurturing innovative startups in the fintech and mobility sectors, leveraging 's extensive experience and network in the financial services, payments, and insurance ecosystems to drive growth and innovation, the company said in a media release. Advance Mobility, an innovative ridesharing mobility startup, is redefining scalable fleet operations on the Uber platform. The startup is committed to overcoming prevalent challenges in the mobility ecosystem, offering solutions that benefit market players, customers, and drivers alike. Pratekk Agarwaal, founder and general partner at GrowthCap Ventures, said, “As India's infrastructure and transportation sectors undergo significant transformations, fueled by the government's robust initiatives and investments, the potential for innovative mobility solutions is unprecedented. The Union Minister of Road Transport and Highways, Shri Nitin Gadkari, has initiated several projects that are set to revolutionise India's mobility landscape. Advance Mobility, with its unique combination of finance, technology, and an enhanced mobility solution, is perfectly positioned to lead this transformation. We are thrilled to support their journey.”
Magma HDI General Insurance develops specialised insurance cover for EV batteries The Poonawalla Group-owned is offering electric vehicle owners a ‘ ’ cover that protects against any damage to the battery. The company has launched this cover because prevailing insurance offerings are primarily tailored for internal combustion engine (ICE) vehicles, resulting in coverage limitations for EV and HEV owners. These vehicles use different components and technologies necessitating specialized insurance solutions. "We believe this product will help alleviate concerns related to battery insurance, instilling confidence and peace of mind among both current and prospective EVshort circuit causing loss or damage to the battery, Electric Motor, and HEV system , an entity jointly held by Adar Poonawalla (90%) and Rising Sun Holdings Pvt Ltd (10%), holds 74.6% in Magma HDI. The company became part of the group after the Poonawallas acquired Magma Fincorp which has been consequently renamed as Poonawalla Fincorp. HDI is a German Insurance company which entered India through a joint venture with Magma.
Rupee plummets vs dollar, RBI seen smoothening volatility NEW DELHI: The slumped against the US dollar on Wednesday as a fresh surge in global crude oil prices deepened concerns about a wider domestic current account deficit as well as upside risks to inflation, given that India is a huge importer of the commodity. With the concerns on the macro-economic front also driving Indian equities lower, the partially convertible rupee opened 0.6 per cent lower versus the US dollar at 75.82$1 the previous day, came within touching distance of the 76$1. Global crude oil prices rose on Wednesday as sanctions on Russian banks following Moscow's invasion of Ukraine hampered trade finance for crude shipments and some traders opted to avoid Russian supplies in an already tight market. Brent crude futures climbed $3.55, or 3.4 per cent, to $108.52 a barrel at 0135 GMT. US West Texas Intermediate (WTI) crude futures were up $3.75, or 3.6 per cent, to $107.16, after peaking at $107.55 in early trade. The global risk aversion sparked by the escalation of the military conflict in Ukraine led to a global strengthening of safe haven assets such as the US dollar. Consequently, emerging market currencies such as India took a beating. The US dollar index, which measures the greenback against six major rival currencies, was last at 97.42 as against 96.54 at the end of the previous week. While sentiment for the rupee took a turn for the worse, dealers said that the domestic currency would likely be supported around the 75.8040 levels while exporters can sell between 75.70 to 76.00 levels,” Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors, said. Also Read:
No 48-hour rule on reporting vehicle theft: Consumer forum No rule mandates that the theft of a vehicle should be reported by its to the within 48 hours of the incident, a city consumer court said after hearing the plea of a 52-year-old man whose scooter was stolen. The insurer had refused to compensate him, alleging that he had faked the theft to make unlawful gain from the firm. The court ordered the insurance company to settle the claim made by the vehicle owner — Nagarabhavi resident Pundarikaksha K — and also pay him INR 10,000 for making false accusations against an innocent customer. Pundarikaksha purchased a Honda Dio on March 3, 2012 and opted for an insurance cover for it with United India Insurance Company Limited on October 04, 2021, with validity extending till October 3, 2022. The vehicle was valued at INR 19,000 at the time. Exactly a month after this, the man’s scooter, parked outside his house, was stolen by unidentified persons. With the pandemic situation persisting, Pundarikaksha searched for his scooter in many places before approaching Chandra Layout police, who registered an FIR on on November 14, 2021. The Bengalurean then approached the insurer’s representatives over phone and registered his case, filing a claim of INR 19,000. But much to his shock, the firm replied accusing him of orchestrating the theft drama and claiming that he was resorting to fraudulent methods to gain the insurance sum for his 2012-model scooter. Unfair trade practices Enraged by the accusation, Pundarikaksha approached the Bengaluru Urban district consumer disputes redressal commission in Shantinagar with a complaint against the manager of United India Insurance Company, Nrupathunga Road, for unfair trade practices and accusations. Pundarikaksha’s lawyer presented his case while the attorney who appeared on behalf of the insurance firm stated that the customer had failed to report the vehicle theft to the insurer within 48 hours, as per company rules. In their verdict pronounced on October 10, 2023, the judges of the consumer court questioned the insurer on the so-called rule mandating theft intimation within 48 hours. There is no documentary evidence of this claim and the terms and conditions of the insurance company don’t mention this, the forum observed. Moreover, Bengaluru police had issued a non-traceable report on Pundarikaksha’s vehicle theft complaint and FIR. Therefore, accusing him of faking such claims and denying him his rightful insurance sum was unfair, the judges said. The ruled that United India Insurance Company must pay the claim amount of INR 19,000, aside from a compensation of INR 5,000 and an additional INR 5,000 towards the complainant’s court expenses.
Bengaluru traffic cops plan to end manual vehicle checks In good news for vehicle users, Bengaluru city traffic cops are preparing to do away with manual interception of motorists for violations and document verification, reports Niranjan Kaggere. According to the (Traffic) M A Saleem, cops will for violations through their city-wide network of surveillance cameras 24X7 and send notices to the violators' doorstep. Currently, 35,000 challans are issued every day. Failing to respond to such notices by the (BTP) may end up in the offending vehicles losing their fitness certificate (for yellow-board) or annual renewal of motor insurance for whiteboard vehicles. Though city police chiefs often said vehicles will be checked for their documents only if they are caught violating the law, the practice of flagging down motorists has been continuing in several areas. Gearing up to implement (ITMS) on city roads by January, BTP officials will focus more on smart surveillance and motorists' compliance with the notices. Saleem told TOI, "The FC of any commercial vehicle has to be renewed every year. All whiteboard vehicles must renew their annual motor insurance. We will share the data on traffic violations dues with RTOs and insurance firms for strict compliance with the decision. Vehicles with pending violations will not be allowed to renew FC or insurance. Motorists must pay for the violations if they are keen on running again. Otherwise, we will initiate legal proceedings against such vehicle owners under the ." Currently, traffic cops are generating 35,000 challans for violations daily. However, motorists' compliance with notices is not up to the desired levels, forcing the authorities to manually intercept vehicles. "When the government took up ITMS, we envisaged eliminating manual checking. But poor compliance by citizens forced cops to manually track offenders. Armed with FC and insurance checks now, we hope this will be resolved. We are also in talks with insurance firms. If they fail to respond, we may have to pursue the legislation route by amending the MV Act to rein them in," Saleem explained. Also Read:
Indian consumer prioritizes experience over vehicle cost: 2023 Global Automotive Consumer Study New Delhi: In India, despite fears of inflation, consumers are opting to pay a premium for their next vehicle. Vehicle buyers in the INR 10 lakh–25 lakh price range accounted for approximately 47%. For INR 10 lakh and below, these were 28%. About 57% of intenders were willing to purchase (EVs) between INR 10 lakh and 25 lakh, and 20% in the range of INR 10 lakh and below, according to Deloitte’s 2023 (GACS). There is a clear shift in an Indian consumer’s buying pattern, where the average consumer is prioritizing experience over cost. Traditionally, the Indian consumer has been cost conscious, and cost vs. mileage has been the most important parameter for vehicle purchase. The average consumer considers key factors, such as product quality (62%), vehicle features (48%), and brand image (46%, when switching from one brand to another. For a better experience and preferred choice of vehicle, around 55% of consumers were willing to accept a longer delivery time (up to 4–12 weeks). This opens the door to a more "build-to-order" retail paradigm. With favorable policies on climate change and self-reliance, consumer interest in EVs is growing as they look to lower their operating costs. The top three reasons for purchasing an EV included "low fuel costs’, ‘better driving experience’, and ‘less maintenance’. However, the availability of charging infrastructure, concerns regarding battery safety, and the price premium required to access EV technology are the challenges that remain. Rajeev Singh, partner and automotive sector leader at , said, "Our consumer study indicates the rising demand and expectation of the Indian consumer, who is not just cost conscious any more but is considering more than one pragmatic way of having mobility. This allows them to balance operating costs, and experience through technology (37 percent) while making sustainable choices. As India sets newer trends, the need of the hour will be for (OEMs) and ecosystem stakeholders to work in cohesion and bring innovative business models that bridge the gap of infrastructural challenges with the power of digital technology." The other key emerging trends 1.Half of the surveyed consumers (49%) prefer to pay for the connected vehicle features and technology upfront as part of the purchase price. This represents a challenge for OEMs looking to build new revenue streams via monthly digital subscription services. 2.OEMs are looking to offer in-house insurance products, signaling a significant disruption for the traditional value chain. About 82 percent of consumers were interested in purchasing insurance directly from the , citing "convenience" and "cost savings" over their current provider. Consumers have shown their trust in their servicing dealer (36%) and the manufacturer (32%), signalling the importance of these stakeholders in the customer relationship. 3.Safety is a key priority for India.
have shown their trust in their servicing dealer (36%) and the manufacturer (32%), signalling the importance of these stakeholders in the customer relationship. 3.Safety is a key priority for India. Consumers are willing to share data and/or vehicle or operational data with the manufacturer or a third party to receive the necessary updates for a safer and better driving experience. About 85% of consumers preferred getting updates on safer routes, and 84% preferred getting maintenance updates and vehicle health reporting or alerts along with updates to improve road safety and prevent potential collisions. 4.New vehicle vs. used car trend Per the study, 37% of consumers want access to with the latest technology or features; 22% purchase them due to reliability; and 20% choose a car due to the manufacturer's warranty. While opting for a used car, 33 percent of consumers preferred it due to cheaper car insurance, and 31 percent preferred it due to more value for money. 5.Across all age groups, consumers prefer to pay for public EV charging via payment apps on their smartphones, signalling the need for an easy-to-use digital payment tool. Also Read:
Sitharaman urges private sector to leverage new opportunities and invest in India New Delhi: Finance Minister on Saturday urged the private sector to increase leveraging on the opportunities created by the high capital expenditure by the government. Referring to the Union Budget 2022-23 focus on increasing the capital expenditure, Sitharaman said, "the strategy has two goals; one to support the economic revival and recovery as we build the infrastructure of the 21st century for a modern India and the other to gain from the multiplier effect and crowd in private investments." Urging the private sector to support the virtuous cycle of growth and to invest, she said that investment opportunities abound. The Government has extended the benefit of lower corporate tax rate to new manufacturing units by one more year, till March 2024. There are many sunrise sectors where India has taken the lead, such as vaccines, genomics, space, atomic energy etc. India has proven its prowess in adoption of digital and the start-ups are an enabling force for innovation and new ideas. "The corporate sector should not lose this opportunity for higher growth," Sitharaman said at a post-budget interaction organised by the industry body CII. Speaking on the issue of rural distress, she explained that the same was being addressed in multiple ways. The budget has enabled access to tractors and other farm equipment through rentals as well as making credit available. The Government has ensured the availability of nutrients and fertilisers at affordable prices, despite the increase in global prices. Multiple welfare schemes have provided support for housing, cooking gas, electricity, healthcare etc. Responding to the lower allocation to as compared to the revised estimates of last year, she clarified that the budget allocation this year has been pegged at the allocation last year, and as the scheme is a demand-driven scheme, the higher allocation would be provided as per the demand. Responding to industry suggestions, the Finance Minister acknowledged the need to be watchful of the increases in interest rates in developed countries and the high commodity prices. She welcomed the industry's suggestion of a regular dialogue on some of these external challenges. On the privatization of the two public sector banks and one general insurance company, as suggested in last year's Budget, she said that the Government is committed to taking forward the announced privatisations. Also Read:
BPCL seeks extra Gulf oil, fearing Russian supply hit: Source State-run Indian refiner Bharat Petroleum Corp. is seeking extra oil from Middle Eastern producers for April, fearing Western sanctions against Russia could hit deliveries of Urals crude, a source familiar with the matter said. , India second-biggest state refiner, on an average buys two million barrels of Russian Urals every month on a delivered basis, where the seller arranges for insurance of the cargo and ships. The oil is processed at BPCL's 310,000 barrels per day (bpd) Kochi refinery in southern India. BPCL has booked one million barrels of Urals for loading in March and three million in April. Traders are willing to meet the existing commitments, but have told BPCL they will not quote for supplies in future months, the source said, adding: "No one knows how the situation will pan out in April, so BPCL wants to be prepared." Russia's invasion of Ukraine, which Moscow calls a "special operation," was met with widespread condemnation and an array of sanctions by Western countries. The United States and its allies have targeted Russia's central bank, top businesses, oligarchs and officials, including President Vladimir Putin himself. The source said Gulf producers had not committed to additional supplies for BPCL, as allocations for April loading are due to be finalised next week. BPCL also intends to draw from its inventories to make up for any shortfall of Russian oil, the source said. The company did not respond to an email seeking comment. On Monday, (IOC), the country's top refiner, said it would accept Russian oil and Kazakhstan's CPC blend only on a delivered basis due to insurance risks. IOC last week bought Russian oil in a tender after a two-year gap. India's top lender State has told clients it won't handle trade relating to sanctioned entities in any currency. Also Read:
Strong competition coming Tesla way with budget segment electric cars New Delhi: Within a couple of years, will face strong competition from traditional automakers like , and , which released their ambitious plans last year, a new report said on Monday. Though it will be difficult for them to overtake Tesla sales any time soon, Tesla will witness a reduction in its share across major markets, according to Counterpoint Research. "The reason behind this is the price band in which Tesla operates. It mostly operates in the high-to-premium price band, whereas the traditional OEMs are planning to launch vehicles in the budget segment," research associate Abhik Mukherjee said. The rising cost of a few key raw materials and inflationary impact on production have pushed Tesla to increase its vehicle prices worldwide a couple of times. "This might play against the sentiment of new customers, which will, in turn, affect the next quarter's financials," he added. In the first quarter of 2022, Tesla reported record revenue of $18.8 billion and grew its deliveries. During Q1 2022, the company delivered more than 300,000 units of vehicles, an increase of 68 per cent (YoY). Tesla has also started deliveries to car rental service provider Hertz against its huge 100,000-vehicle order, which is also a reason for high vehicle production and delivery during the quarter. "The urge to achieve L4 autonomy by the end of 2023 and to roll out robotaxis by early 2025 can be a major reason for Tesla's big R&D spend. Besides, Tesla could also be conducting research on developing new battery chemistry," Mukherjee added. The soaring prices of some key battery components like nickel and lithium have put the auto OEMs in a spot. "Most EV makers around the globe have been forced to raise prices by a few thousand dollars to cope with the rising prices of battery-related raw materials," the report noted. After Tesla's Shanghai plant became operational, the company's sales boomed globally, especially in China. In 2021, China remained its top market followed by the US and Europe. Apart from vehicle sales, Tesla has a strong network of charging stations and insurance services. Till Q1 2022, Tesla had 3,724 superchargers and 33,657 supercharger connectors worldwide. Keeping parity with vehicle sales and revenue growth, Tesla's gross profit during Q1 2022 reached $5.4 billion.
CCPA directs Amazon, other e-tailers to delist car seat belt alarm stopper clips Consumer protection regulator CCPA has directed 5 e-commerce companies, including and , to permanently delist all car stopper clips as the product stops the alarm beep when not wearing seat belts, thus compromising passengers' safety. After investigating the matter, the Central Consumer Protection Authority (CCPA) directed Amazon, Flipkart, Snapdeal, Shopclues and Meesho to "permanently'' delist all car seat belt alarm stopper clips and associated motor vehicle components which compromise the safety of passengers and the public. As a result, 13,118 car seat belt alarm stopper clips have been removed from the five e-commerce platforms. While Amazon has delisted 8,095 such clips , Flipkart has delisted 4,000-5,000, Meesho 21 and Snapdeal and Shopclues one each, the regulator said in a statement. CCPA passed orders against the five e-commerce players for violation of consumer rights and unfair trade practice under the , 2019, it said. CCPA said it took cognizance of the issue of the sale of car seat belt alarm stopper clips and "found that said clips were being blatantly sold on several e-commerce platforms in an easy-to-access manner resulting in direct violation of Consumer Protection Act, 2019 and pose a high risk to the valuable life of the consumers." It was also found during the proceedings that some sellers were selling the clips under the garb of bottle openers or cigarette lighter, etc, it added. The regulator further said using car seat belt alarm stopper clips can also be a hurdle for consumers seeking to claim amounts in cases of policies, wherein an insurance company may deny the claim by citing the negligence of the claimant for using such clips. On the other hand, using a seat belt acts as a restraint that allows the airbag to provide proper cushion and not hit the passengers at full force which also works as a protective shield in case of collisions, it said. That apart, CCPA has written letters to the chief secretaries and district collectors requesting them to take appropriate action as per law, against the manufacture or sale of such clips to prevent loss of life or severe injury to consumers. The regulator has also issued an advisory to e-commerce entities, industry associations and voluntary consumer bodies to ensure such products are not manufactured and sold in the market. CCPA investigated the matter following a letter from the and Highways ( ) which flagged the issue of blatant sale of such clips and requested for an action against errant vendors/online platforms. MoRTH said the rule 138 of Central Motor Vehicles Rules 1989 makes it mandatory to wear seat belts. However, online sales of such items that compromise passengers' safety by stopping the alarm beep when not wearing seat belts can be unsafe and dangerous to the life and safety of consumers. The action taken in the present cases assumes significance given that as per the latest report
alarm beep when not wearing seat belts can be unsafe and dangerous to the life and safety of consumers. The action taken in the present cases assumes significance given that as per the latest report published by MoRTH, more than 16,000 persons were killed in road accidents in 2021 due to not wearing seat belts, of which 8,438 were drivers and the remaining 7,959 were passengers. Moreover, approximately 39,231 persons were injured out of which 16,416 were drivers and 22,818 were passengers. The report further said that persons in the age group of 18-45 accounted for more than one-third of victims in road accidents, CCPA added.
Oil extends gains after news of EU's Russian oil ban proposal edged higher at the start of Asian trade on Thursday, extending gains from the previous session, after the European Union proposed new sanctions against Russia that included an embargo on crude oil in six months. rose 22 cents to $110.36 a barrel by 0:02 GMT. rose 15 cents to $107.96 a barrel. Both benchmarks rose over $5 a barrel on Wednesday. The proposal, which was announced by European Commission President Ursula von der Leyen and needs unanimous backing by the 27 EU countries to take effect, includes phasing out supplies of Russian crude oil in six months and refined products by the end of 2022. It also proposes to ban in a month's time all shipping, brokerage, insurance and financing services offered by EU companies for the transport of Russian oil. However, the EU faces the task of finding alternatives when energy prices have surged as it imports some 3.5 million barrels of Russian oil and oil products every day and also depends on Moscow's gas supplies. A handful of eastern EU countries are concerned that the halt would not allow them enough time to adapt. Market participants awaited a meeting on Thursday of the Organization of the Petroleum Exporting Countries and allied producers, known as OPEC+. The group is expected to agree to raise production targets by 432,000 barrels per day (bpd) for June, four OPEC+ delegates told Reuters, sticking to plans for a gradual ramp-up of monthly production. In the United States, crude stocks rose modestly last week, according to the U.S. Energy Information Administration. Stocks were up 1.2 million barrels as the United States released more barrels from its strategic reserves.
Allianz warns against car ship fire risk Frankfurt -Fires on are increasingly the source of major losses, said in a study published Tuesday. "Fires on board large vessels remain the top issue for the shipping industry," said Rahul Khanna, the head of maritime risk consulting at Allianz's industrial division AGCS. The phenomenon was increasingly an issue for "car carriers and ro-ro vessels" where vehicles are driven on and off the ship, Khanna said. The assessment comes after sank off the coast of the Azores in the Atlantic Ocean at the beginning of March after catching fire. On board the Felicity Ace were around 4,000 vehicles from the German group , including over a thousand Porsches, together worth "an estimated $400 million to $500 million", according to the report. The sheer size of modern cargo ships was a factor behind the increase in incidents over recent years, the insurance group said. The vessels, which can carry up to 8,000 vehicles, were dependent on "complex" pre-departure calculations to ensure stability at sea. In addition, "fires on board large vessels can spread quickly and be particularly difficult to control," Allianz said. These often started in the hold and could be "caused by malfunctions or short circuits in vehicles". Commercial pressure on crews to reduce turnaround times in port had also led to costly mistakes. Among the vehicles on the Felicity Ace were a number of battery-powered cars, an increasing concern for the sector. in electric vehicles "could potentially ignite if damaged" and were susceptible to movements in rough seas, the report said. The increased fire risk could require "changes to vessel design" and special training for crews to fight outbreaks.
Exide Industries Q3 results: PAT rises 2.3% YoY to INR 203 cr Battery maker on Wednesday reported 2.3% increase in consolidated profit after tax at INR 202.69 crore for the third quarter ended December 31, 2023. The company had posted a consolidated profit after tax (PAT) of INR 198.14 crore in the same quarter last fiscal, said in a regulatory filing. Revenue from operations in the quarter under review was at INR 3,979.83 crore as compared to INR 3,538.5 crore in the year-ago period. Total expenses were higher at INR 3,724.3 crore as against INR 3,286.36 crore in the same quarter a year ago, the company said. "Demand was positive in both automotive and industrial divisions, and we achieved healthy growth in our key end-customer markets. However, EB/TOA margin was marginally lower than the same quarter in the previous year mainly on account of input cost inflation," Exide Industries MD & CEO, Subir Chakraborty said. In the automotive division, the last few months have seen an uptrend in demand in both OEM and replacement markets. The uptick is broad-based, with most end-user markets showing signs of demand recovery, the company said. Exide further said the Industrial division is benefiting from large investments which are giving strong impetus to sectors such as BFSI (Banking, financial services and insurance), renewables, telecom, infrastructure such as power and railways. On the outlook, Chakraborty said," We are optimistic about the future and are witnessing signs of demand pick-up across key verticals. Input cost inflationary pressures have started easing, which coupled with our cost optimisation initiatives is expected to support margins." The company will continue to focus on delivering healthy sales growth and improvement in profitability levels in the near-to-medium term, he added. The lithium-ion cell manufacturing project is progressing as per scheduled timelines. Design and construction works are on track, Chakraborty said, adding "we are focusing on the on-boarding of customers on the one hand and securing strong raw material supply-chain linkages on the other".
LG Energy Solution opens books for South Korea's largest IPO at up to $10.8 bln HONG KONG - Korean battery maker has opened the books to investors to raise up to $10.8 billion in the country's largest initial public offering (IPO), according to a term sheet seen by Reuters. The shares will be sold in a price range of 257,000 won to 300,000 won ($216.19-$252.36) apiece to raise between $9.2 billion and $10.8 billion, the term sheet showed. The IPO will beat the previous South Korean record held by Samsung Life Insurance's 4.9 trillion won ($4.12 billion) offering in 2010. LG Energy Solution (LGES) will be valued at $51 billion to $59 billion. The company said on Monday it was continuing to "execute remaining processes to launch a successful IPO". Cash raised will be mostly used to expand the company's current production facilities and debt repayment, according to the term sheet. LGES is 's wholly owned battery subsidiary and supplies Tesla Inc, General Motor Co and Hyundai Motor Co, among others. The company will sell 34 million primary shares and its parent company will sell 8.5 million secondary shares in the IPO. Demand from investors is expected to be high with the pricing, due to be finalised on Jan. 14, already likely to be at the top of the range, according to sources Reuters spoke to last month. LGES will start trading on the KOSPI on Jan. 27. Institutional shareholders will be allotted 55% to 75% of the shares on offer, depending on the retail subscription and employee share ownership plans take up rates, the term sheet said. RED HOT The IPO extends the red hot run of Korea's deals market over the past year. There was $17.7 billion raised in 2021 IPOs, easily eclipsing the previous record of $7.6 billion in 2020. A roadshow between management and investors will start Monday and run until Jan. 11, the day before books close, the term sheet showed. Investor appetite to buy stock is expected to be closely tied to the booming demand for in major markets around the world. Global EV sales, estimated at 2.5 million vehicles in 2020, are forecast to grow more than 12-fold to 31.1 million by 2030 and account for nearly a third of new vehicle sales, according to consulting firm Deloitte. ($1 = 1,188.7400 won)
Hyundai, Kia offer software upgrade to 8.3 mln U.S. vehicles to prevent thefts and will offer software upgrades to 8.3 million U.S. vehicles to help curb increasing car thefts using a method popularized on TikTok and other social media channels, the Korean automakers said on Monday. TikTok videos showing how to steal cars made from 2015 to 2019 without and immobilizing anti-theft devices has spread nationwide. This had led to at least 14 reported crashes and eight fatalities," the National Highway Traffic Safety Administration ( ) said. The free upgrade will be offered for 3.8 million Hyundai and 4.5 million Kia vehicles in the United States, the automakers and NHTSA said. The software "updates the theft alarm software logic to extend the length of the alarm sound from 30 seconds to one minute and requires the key to be in the ignition switch to turn the vehicle on," NHTSA said. TikTok did not immediately respond to a request for comment. USA Today reported last month that two major insurance companies had stopped offering new policies for Hyundai and Kia vehicles at high risk of theft. Many 2015-19 model year Hyundai and affiliate Kia vehicles have no electronic immobilizers, which prevent break-ins and bypassing the ignition. The feature is standard on nearly all vehicles made by other manufacturers during that period. U.S. theft claims in 2022 were nearly twice as common for Hyundai and Kia vehicles compared with all other manufacturers among 2015-2019 vehicles, Insurance Institute for Highway Safetydata show. The group said after the Korean-car thefts, which began in 2021, got significant social media attention in Wisconsin and then spread, overall claims on Hyundai and Kia thefts per insured vehicle year soared to more than 30 times the 2019 level. Hyundai will also provide customers with a window sticker alerting would-be thieves that the vehicle is equipped with anti-theft protection. The initial Hyundai upgrade will cover more than 1 million 2017-2020 , 2015-2019 Sonata and 2020-2021 model year vehicles. The software upgrade is scheduled to be available by June for vehicles that remain eligible. Kia said started notifying owners about the upgrade and anticipates making it available to most owners over the next few months. The automakers have provided more than 26,000 steering wheel locks since November 2022 to 77 law enforcement agencies in 12 states. Kia said it also continues "to make steering wheel locks available at no cost through interested local law enforcement agencies," subject to supply. All Hyundai vehicles produced since November 2021 are equipped with an engine immobilizer as standard equipment. Also Read:
Surging auto insurance rates squeeze drivers, fuel inflation rose 2.6% in March and are up 22% from a year ago. Premium costs have been marching steadily higher since 2022, even as at the consumer level steadily cooled from its 9.1% peak in the middle of that year. Consumers have had some relief as the rate of cost increases for food and energy, two key components of most budgets, has eased greatly. But auto insurance and have become a sticking point for consumers and the Federal Reserve in its battle to rein inflation back to its goal of 2%. Typically, individuals would see a noticeable increase in their premiums because of speeding tickets and other moving violations. Adding new drivers or a general increase in claims in the area were other reasons. But the persistent rise in rates over the last two years has been far more sweeping. New vehicle prices starting spiking during the pandemic, mainly because of a worldwide shortage of computer chips amid production cuts and supply chain bottlenecks. Dealers spent much of 2021 with few or no cars in stock. Car price increases eased heading into 2024, with the average at USD 47,338 in January, down from a peak of USD 48,516 in late 2022, according to Edmunds.com. Higher value for cars, along with more advanced technology and intricate parts, has raised the overall cost of repairs. Overall maintenance and repair costs jumped 8.2% in March from a year ago, according to the U.S. Bureau of Labor Statistics. That's eased a bit over the last year. The rate of increase was as high as 14.2% in early 2023. "The severity is really the thing that has influenced rates more over the last two years than anything," said Greg Smolan, vice president of insurance operations at AAA Northeast. "A fender bender in the past didn't have all the sensors and cameras." Higher overall auto prices and auto repair costs prompted insurers to start raising premiums as overall car values jumped. Price increases for insurance rates, like many other increases from food to clothing, have been sticky and are less likely to drop at the same rate as broader inflation, if at all. That has been beneficial for insurers who have seen profits surge. Wall Street is expecting bigger leaps in 2024. "Our sole concentration last year was to get the right rate," said Progressive CEO Tricia Griffith, during a fourth-quarter earnings conference call. "We feel like we're in a really great position now." Progressive's profit jumped 50% and its revenue surged nearly 18% to USD 62.1 billion in 2023. Wall Street expects its profit to skyrocket nearly 80% in 2024 on a 14% jump in revenue. Allstate reported a modest profit in 2023 after reporting a loss a year earlier. Wall Street expects its profit to surge 13-fold as revenue rises 10% to USD 62.9 billion in 2024. "Companies are getting a lot closer to rate adequacy now," Smolan said. "I think you'll see some flattening out of the real large increases." The process of obtaining auto insurance can be
in 2024. "Companies are getting a lot closer to rate adequacy now," Smolan said. "I think you'll see some flattening out of the real large increases." The process of obtaining auto insurance can be confusing and overwhelming, considering the differing mix of requirements in each state, extra options and the confusing industry and legal jargon used by insurers. The first step for many should be gaining a better understanding about auto insurance, according to the Insurance Information Institute. Consumers should shop around by getting at least three different quotes and from different types of insurance companies. Also, comparing costs before buying a car could help give consumers a better sense of the true cost of owning a specific car. Premiums are based in part on a car's price, along with prospective repair costs and safety data. Deductibles could be a major factor in determining monthly premium costs. That's the amount of money that a driver is responsible for paying toward a claim. Higher deductibles usually mean lower premiums. Bundling multiple policies under one insurer could come with a discount. This is common for homeowners using the same company for their home and auto policies. There may also be discounts for insuring more than one vehicle under the same company. Defensive driving courses also help give drivers discounts on insurance. The timing and standards vary by state, but courses are usually offered in-person and online. Companies including Progressive and Geico often offer multi-year discounts for taking such a course. They can usually steer policy holders toward reputable companies offering the course and certificate.
Russia oil discount to India shrinks to USD 4, delivery charges remain opaque The steep discounts on crude oil that gorged on since the Ukraine war, have plunged but the shipping rates charged by Russia-arranged entities continues to remain 'opaque' and higher than normal, sources said. Russia bills Indian refiners at a price shade less than the USD 60 per barrel price cap imposed by the West but charges anything between USD 11 to USD 19 per barrel, twice the normal rate, for delivery from the Baltic and Black Sea to the west coast, three sources with knowledge of the matter said. The USD 11-19 per barrel shipping costs from the Russian ports to India - some of it on the 100+ tankers reportedly acquired by Russian actors for a shadow fleet - are higher than rates for comparable distances, such as a voyage from the Persian Gulf to . Following Moscow's invasion of Ukraine in February last year, Russian oil was sanctioned and shunned by European buyers and some in Asia, such as Japan. This led to Russian Urals crude being traded at a discount to Brent crude (the global benchmark). The discount on Russian Urals grade has however narrowed from levels of around USD 30 a barrel in the middle of last year to closer to USD 4 per barrel, sources said. Indian refiners, who convert crude oil extracted from below ground into finished products such as petrol and diesel, are now the biggest buyers of Russian oil as Chinese imports have maxed out due to a massive electrification of vehicles and demand issues in a shaky economy. Indian refiners ramped up purchases from less than 2% of their entire buys in pre-Ukraine war times to 44% to capture the discounted oil. But these discounts have been shrinking as companies such as government-controlled entities like (IOC), Hindustan Petroleum Corporation Ltd, (BPCL), and HPCL-Mittal Energy Ltd as well as private refiners and continue to negotiate deals with Russia separately. The discounts could have been higher if state controlled units, who account for roughly 60% of the 2 million barrels per day of Russian oil flowing into India, negotiated together, sources said. "Chinese demand has maxed out and Europe is not buying any seaborne crude from Russia. So India remains the only destination with increasing appetite. And if they (refiners) negotiated together, bigger discounts could have been extracted," a source said. Consider this, IOC is the only company to have entered into a term or fixed volume deal. Other refiners continue to buy on a tender basis. Before Russia's invasion of Ukraine in February last year, India was a minor importer of Russian crude, with purchases of about 44,500 barrels per day (bpd) in the 12 months to February 2022. India's purchases of seaborne crude from Russia have surpassed those by China a couple of months back. Sources said Indian refiners buy crude oil from Russia on a delivered basis, putting the onus on Moscow to arrange for shipping and insurance. While the invoicing for oil is at or
of months back. Sources said Indian refiners buy crude oil from Russia on a delivered basis, putting the onus on Moscow to arrange for shipping and insurance. While the invoicing for oil is at or a shade less than USD 60 per barrel, the shipping and insurance rate billed is as per quotes Russia gets from three not-so-well-known agencies which cannot be independently evaluated and remain opaque, they said. The actual sale price of Urals crude is about USD 70-75 per barrel, channelling a large portion of Russian oil revenues to the three shadow agencies, they said. The G7 imposed a USD 60 per barrel price cap on Russian oil beginning December 2022 to try to limit Moscow's ability to finance its war in Ukraine. The price cap meant that companies based in coalition countries to continue providing maritime services for the transport of oil only if that oil is sold at or below the price cap level. Companies based in coalition countries have historically accounted for around 90 % of the market for relevant maritime insurance products and reinsurance. So to get ships and insurance, Russia prices oil in the invoice at USD 60 or less and bills the buyers for shipping and insurance based on quotes it gets from the three agencies, sources said. Until 2022, the Baltic Exchange, a London shipping industry clearinghouse, was quoting two standardised indicators, TD6 and TD17, serving as benchmarks for shipping costs. But since late 2022, Russian crude is no longer sold in Rotterdam and Augusta and Baltic Exchange has stopped listing TD17 and has modified the TD6 indicator, so it is not necessarily applicable to Russian cargoes. Also, additional tankers are booked on a time charter basis, which also makes the cost of a single voyage non-transparent. These tankers are not booked through Baltic Exchange shipping brokers, so a dearth of information on the actual costs, they added. The proportion of Russian oil-loaded ships insured in the EU, G7 or Norway was 46.3% in May compared to 78% in February last year. These countries also continue to provide tankers to ship Russian oil. More than 28 % of oil tankers that moved Russian oil came from the EU, G7 or Norway in May 2023, down from 58% in the pre-war era. UAE-registered tankers make up 37% (13.4% in pre-war era) and 12.3% come from China including Hong Kong. Origin of the remaining 22% is not known.
Govt to sell up to 1.5% stake in ONGC to raise INR 3,000 cr New Delhi: The government will this week sell up to 1.5 % of its stake in the country's top oil and gas producer to raise about INR 3,000 crore. The Offer For Sale (OFS) by the government will be open on March 30 and 31, (ONGC) said in a stock exchange filing on Tuesday. "The promoter (the government) proposes to sell up to 94,352,094 equity shares of the company, (representing 0.75 % of the total paid-up equity share capital of the company) on March 30, 2022 (to non-retail investors) and on March 31, 2022 (to retail investors) with an option to additionally sell 94,352,094 equity shares (in case of oversubscription)," it said. The floor price for the OFS has been set at INR 159 per share. This price is at a 7 % discount to the INR 171.05 stock closing price of ONGC on the on Tuesday. The government owns a 60.41 % stake in ONGC which produces half of India's oil and gas. In the OFS, a minimum of 25 % of the shares are reserved for mutual funds and insurance companies while 10 % earmarked for retail investors. Retail investors are defined as an individual investor who bids for not more than 2 lakh shares. ONGC employees can apply for equity shares worth up to INR 5 lakh each, the filing said, adding that 0.075 % of equity shares sold in the OFS would be offered to eligible employees at the cut-off price. Also Read:
Hyundai Motor, Kia EVs receive top ratings in major global crash safety tests (EV) models produced by South Korea's and have received top ratings in major , the automakers said on Sunday. According to the companies, five and Kia EV models utilising the E-GMP, Hyundai Motor Group's proprietary EV platform, achieved the highest rating of five stars in the European New Car Assessment Programme, reports Yonhap news agency. The models are the Genesis GV60, Hyundai's Ioniq 5 and Ioniq 6, and Kia's EV6 and EV9. The same models also received top-tier ratings in crash evaluations conducted by the Insurance Institute for Highway Safety (IIHS) in the United States. The GV60, Ioniq 5, Ioniq 6 and EV6 were awarded the prestigious Top Safety Pick (TSP) Plus rating, while the EV9 earned the Top Safety Pick rating, indicating high levels of safety. In last year's IIHS crash evaluations, 20 Hyundai Motor Group vehicles achieved TSP or higher ratings, marking the highest number among global automotive groups. The recently launched Kia EV3, which also utilizes the E-GMP platform, has not yet undergone safety evaluations in Europe and the U.S. "Hyundai Motor Group will continue to invest significant efforts in research and development to ensure the highest level of safety for passengers in all aspects," a group official said. Meanwhile, in South Korea are pushing forward with their new electric vehicle launch schedules despite public concerns over EV safety, with key players actively campaigning to debunk unsubstantiated myths surrounding safe charging practices. The latest fears surrounding EVs began after a spontaneous fire that began in a parked Mercedes-Benz EV wiped out an entire underground parking garage inside an apartment complex in Incheon, 27 kms west of Seoul, while damaging over 100 cars. Hyundai Motor and Kia said that their EV batteries are designed to be safe even when charged to 100 per cent, with the internal battery management system monitoring and controlling any issues that may arise.
Most automated driving systems are lousy at making sure drivers pay attention, insurance group says Most electronic systems that take on some driving tasks for humans don't adequately make sure drivers are paying attention, and they don't issue strong enough warnings or take other actions to make drivers behave, according to an insurance industry study published Tuesday. Only one of 14 partially automated systems tested by the performed well enough to get an overall "acceptable" rating. Two others were rated "marginal," while the rest were rated "poor." No system received the top rating of "good." "Most of them don't include adequate measures to prevent misuse and keep drivers from losing focus on what's happening on the road," said IIHS President . The institute, Harkey said, came up with the new ratings to get automakers to follow standards, including how closely they watch drivers and how fast the cars issue warnings if drivers aren't paying attention. It also says it is trying to fill a "regulatory void" left by inaction on the systems from the U.S. National Highway Traffic Safety Administration. Harkey said the agency needs to do more to set standards for the systems, which are not able to drive vehicles themselves. The agency said Tuesday that it welcomes the IIHS research and will review the report. IIHS safety ratings are closely followed by automakers, which often make changes to comply with them. The 14 systems, which include several variations from single automakers, are among the most sophisticated now on the market, Harkey said. Only one of the systems, Teammate in the Lexus LS, earned the adequate rating. General Motors' Super Cruise in the GMC Sierra and Nissan's Pro-Pilot Assist with Navi-Link in the Ariya electric vehicle were rated marginal. Other systems from Nissan, Tesla, BMW, Ford, Genesis, Mercedes-Benz and Volvo were rated poor. Harkey said the driving systems initially were combinations of safety features such as automatic emergency braking, lane departure warnings, lane centering and blind-spot detection. But now they give drivers the chance to not pay attention for some period of time, raising safety risks, he said in an interview. "That's why the focus is on how do we make sure that the driver remains focused on the driving task," Harkey said. Some automakers, he said, market the systems in a way that drivers could think they are fully autonomous. "The one thing we do not want is for drivers to misinterpret what these things can or cannot do," he said. The systems, IIHS said, should be able to see if a driver's head or eyes are not directed on the road, and whether their hands are on the wheel or ready to grab it if necessary. The institute also said if a system doesn't see a driver's eyes on the road or hands aren't ready to steer, there should be audible and visual alerts within 10 seconds. Before 20 seconds, the system should add a third alert or start an emergency procedure to slow down the vehicle, the institute
to steer, there should be audible and visual alerts within 10 seconds. Before 20 seconds, the system should add a third alert or start an emergency procedure to slow down the vehicle, the institute said. Automakers should also make sure safety systems such as seat belts and automatic emergency braking are activated before the driving systems can be used, it said. None of the 14 systems met all the driver monitoring requirements in the test, but Ford's came close, the group said. Lexus' Teammate system and GM's Super Cruise met the warning requirements, while systems from Nissan and Tesla were close. Harkey said automakers already are responding to the tests and preparing changes, many of which can be accomplished with software updates. Toyota, which makes Lexus vehicles, said it considers IIHS ratings in setting up safety standards, while GM said the IIHS ratings are important. Nissan said it will work with the institute. Mercedes said the company said it takes the findings seriously, and it relies on the system collaborating with the driver, while Hyundai luxury brand Genesis said it is quickly improving its system, including the addition of an in-cabin camera. Volvo said it supports IIHS efforts to reduce misuse of driver assist systems BMW said it respects IIHS's efforts, but it differs philosophically about how systems should monitor drivers. One BMW system evaluated by IIHS is not intended for drivers to take their hands off the wheel and only considers input from steering wheel sensors. BMW tests have not found a clear advantage in turning on the driver monitoring camera, the company said. Another more sophisticated system intended for drivers to take hands off the steering wheel uses a camera to watch drivers, the company said. Ford said its Blue Cruise system monitors drivers and sends repeated warnings. The company said it disagrees with IIHS' findings but will consider its feedback in updates.
UAW workers to vote on CNH offer 8 months after strike began More than 1,000 striking will soon vote on an offer from the maker of construction and agricultural equipment for the first time since they walked off the job eight months ago. The union said this week that it decided to put the company's "upgraded last, best and final offer" to a vote, but the union didn't offer any details of what is included in it. Workers at the plants in Burlington, Iowa, and Racine, Wisconsin, rejected a three-year deal that included 18.5% raises at the start of the strike because of concerns that the proposed raises wouldn't cover soaring inflation and health insurance costs. The UAW union hasn't provided many updates on what CNH has offered since the strike began last May. Workers on the picket line in Burlington told Monday that they want to go back to work but only if they receive a fair contract. They expect to vote on this new deal Saturday. Company officials didn't immediately respond Tuesday to questions about their latest offer and the ongoing strike. CNH Industrial, which is based in the United Kingdom, has more than 37,000 employees worldwide. In its most-recent earnings report, CNH reported a profit of $559 million in the third quarter. That's up nearly 22% from the previous year's $460 million net income as it increased the prices of its tractors, backhoes and other equipment. The CNH strike is one of the longest ones over the past couple years as workers have increasingly demanded better pay and working conditions coming out of the pandemic. There have been a number of strikes, including a high profile monthlong strike involving 10,000 Deere & Co. workers, and several new unions have been established at Starbucks stores and although some locations have rejected unions. The secured 10% raises and improved benefits after their strike. Also Read:
Leasing model behind Europe's EV drive at risk of breakdown Low resale values for have pushed the that drive Europe's auto market to double prices over the last three years and some are threatening to quit the business altogether if regulators force them to go electric too fast, industry executives say. The jump in prices for electric car leases comes as cuts in for new EVs in key markets such as Germany are hitting sales and risks stalling Europe's electric transition, just when Brussels wants to step on the accelerator, the executives say. "If we were pushed very, very hard, that everything has to be electric too soon ... my shareholders will say 'we don't want to take the risk' and we'd be out of the market," said Tim Albertsen, CEO of Ayvens, one of Europe's largest auto leasing firms. "Let's be honest, without us, who will take the risk?" Ayvens, which is majority owned by French bank Societe Generale, has a fleet of 3.4 million cars, of which about 10% are EVs. Leasing companies play a pivotal role in Europe as 60% of new cars of all fuel types are leased, according to calculations by environmental group Transport & Environment based on data from market research firm Dataforce. When it comes to EVs, the proportion is estimated to be as high as 80%. According to data provided to Reuters by Dataforce, in the 16 European markets where it can identify fleet registrations - including Germany, Britain, France and Spain - 60% of new EVs go to corporate fleets and commercial buyers. Experts say those buyers almost exclusively use leases and about half of the remaining sales to private buyers are also leases. In markets with no EV subsidies for private buyers, the dominance of corporates is even more pronounced. In Britain and Belgium, for example, individuals accounted for just 23% and 8% of new EV purchases respectively in 2023, Dataforce said. The price of a lease is designed to account for the depreciation of a vehicle over the typical three-year lease period, based on estimated resale prices, or residual values. But if second-hand prices end up being lower than anticipated when the lease ends, leasing firms take a financial hit when they get the vehicle back. For various reasons - from Tesla's price cuts to concerns about charging infrastructure and battery life to the influx of more affordable Chinese EVs - second-hand electric car prices have been sliding in Europe since hitting a peak in October 2022. According to figures provided to Reuters by data firm Autovista, resale values for EVs in Germany in early July were 24% below pre-pandemic levels and 30% lower in Britain. That's in stark contrast to second-hand petrol models, which remained about 15% more expensive in both markets. "People have become more accepting of used EVs, but they've got to be cheap," said Gary Cambridge, a partner at used car dealer Cambridge Motors in London. "If they're expensive, people don't want them." Leasing companies approached by Reuters declined to give
to be cheap," said Gary Cambridge, a partner at used car dealer Cambridge Motors in London. "If they're expensive, people don't want them." Leasing companies approached by Reuters declined to give specific details about any losses on EV contracts from the slump in residual values. Signs of the electric pain have shown up in disclosures by some rental companies. Hertz has reported writedowns of about USD 150 million for the roughly 20,000 EVs it has been selling off at greatly reduced prices while Sixt said lower residual values for EVs cut its 2023 earnings by 40 million euros (USD 44 million). Bart Beckers, deputy CEO at Arval, the leasing company owned by French bank BNP Paribas, said losses from low EV resale values were currently limited in number, given EVs are only a small portion of their overall portfolio. "But the amounts are not insignificant," he told Reuters. "Like other leaders in the market ... (Arval) has been forced already to increase prices because of lower residual values." Like Ayvens, EVs only make up about 10% of Arval's fleet of 1.7 million vehicles. Some automakers have provided cash compensation to leasing companies for slumping EV values, industry executives say. Reuters reported in May that Tesla has offered discounts and other ways to mitigate losses to leasing companies, including Ayvens, though CEO Albertsen declined to say what they were. But the executives say leasing companies still bear the risk for EV resale values, which is why prices have climbed. Leasing firms approached by Reuters declined to give specifics about price rises for EVs as the subject is sensitive. In Germany, Europe's biggest auto market, data provided to Reuters by German think-tank CAR Center Automotive Research show that EV leases have jumped in the last three years. In August 2021, a lease for a 45,000 euro EV cost 284 euros per month, well below the 473 euros for an equivalent fossil-fuel model. Now, the cost for the EV has more than doubled to 621 euros while the fossil-fuel car has fallen to 468 euros. German EV sales fell 16.4% in the first half of 2024 after the government abruptly axed subsidies for consumers in December and that decline has hit the overall EU trend. Sales of fully in the EU rose to 14.6% of new car sales in 2023 from 6.1% in 2020 but that slipped to 14.4% in the first half as EV sales rose a tepid 1.3%. Albertsen at Ayvens said the company was now leasing EVs for longer than combustion-engine cars to reduce resale risks. It has also started to lease EVs out once or twice more "at a more affordable rate" and keep them in its portfolio longer, possibly up to eight years, he said. Such is the concern about potential losses, RVI Group, a company based in Stamford, Connecticut that offers insurance guaranteeing a specific residual value for an asset, opened an office in Europe last year to field coverage queries. Wei Fan, RVI's executive vice president for passenger vehicles, said he'd seen more requests from Europe in
value for an asset, opened an office in Europe last year to field coverage queries. Wei Fan, RVI's executive vice president for passenger vehicles, said he'd seen more requests from Europe in the past three years - all from leasing companies and banks - than in the previous 14 years worldwide. He said he expected EV price volatility to continue for the next five to 10 years as the electrification process plays out. Leasing firms say they are concerned, however, that an European Commission consultation on how to speed up EV adoption by corporate fleets could result in mandatory EV sales targets, as this would increase the resale risks they already face. "The larger the share of EVs in their portfolios becomes, the bigger this problem is going to be," said Richard Knubben, director general of Leaseurope, an umbrella body in Brussels that lobbies on behalf of car leasing and rental groups. The European Commission's "Greening corporate fleets" open public consultation, which included looking at possible measures to accelerate EV adoption, ended on July 8. Brussels-based Transport & Environment (T&E) wants the Commission to mandate that Europe's large corporate fleets and leasing companies go 100% electric by 2030. Stef Cornelis, T&E's electric fleets programme director, said forcing fleets to electrify would result in more used cars for consumers and speed up the EV transition. A Commission spokesperson said the consultation was meant to identify substantive market shortcomings that warrant action but was not geared at gauging support for any kind of initiative. The poor performance of Green and centrist parties in European elections in June has raised questions about the fate of the EU's 2035 ban on fossil-fuel cars, so it is uncertain whether the Commission would push for a 100% mandate. But leasing companies are taking the threat seriously. Leaseurope said an EV mandate would significantly damage leasing companies and Arval's Beckers says that, at a minimum, it would have to raise future lease rates further. "Simply put, prices would go up," he said. "That would discourage corporate fleets from continuing to lease." (USD 1 = 0.9154 euros)
India's new EV policy to help launch many eco-friendly premium-quality SUVs: VinFast Auto Vietnam's electric car maker on Monday said India's new policy that provides for companies setting up units in the country with a minimum investment of USD 500 million will allow it to introduce a wide variety of eco-friendly premium-quality at inclusive prices. The 's new electric vehicle (EV) scheme aims to drive large investments in manufacturing, create competencies and upskilling, set up a robust supply chain and offer consumers world-class, zero-tailpipe emission vehicles, CEO Pham Sanh Chau said in a statement. "This forward-looking policy helps us introduce a wide variety of smart, green, premium-quality SUVs, at inclusive prices, along with outstanding aftersales policies," he added. Chau further said, "With a long-term growth commitment in India, we have pledged an expenditure of USD 500 million, which includes the electric vehicle manufacturing facility in Tamil Nadu." In February this year, -- a major competitor to American EV had stated that it would invest INR 4,000 crore over the next five years in the initial phase, which will generate 3,500 jobs in the Tuticorin region. The plant will have a capacity to produce 1.50 lakh vehicles once it becomes operational. Ola Electric Founder and CEO Bhavish Aggarwal in a post on X, also lauded the new , saying it is a win for the Make in India initiative. "Great to see the Indian government's progressive decision to lower import duties on EVs for companies investing in India. This is a win for the #MakeInIndia initiative & strengthens our manufacturing ecosystem, propelling India towards a greener future. India will become the global EV hub of manufacturing and technology!," he wrote. Commenting on the policy, Society of Indian Automobile Manufacturers (Siam) President Vinod Aggarwal said a holistic view has been taken by the government of India in the best interests of the country. "The Indian automobile industry and members of Siam will adapt to this new policy and remain committed to bring new, innovative, and aspirational products and work towards developing a robust EV ecosystem in the country," he added. Last week, the government approved an EV policy, under which import duty concessions will be given to companies setting up manufacturing units in the country with a minimum investment of USD 500 million, a move aimed at attracting major global players like US-based . The companies that would set up manufacturing facilities for EV passenger cars will be allowed to import a limited number of cars at lower customs/import duty of 15 per cent on vehicles costing USD 35,000 and above for five years from the date of issuance of the approval letter by the government. At present, cars imported as completely built units attract customs duty ranging from 70-100 per cent, depending on the engine size and cost, insurance and freight value less or above USD 40,000. The policy seeks to promote India as a
built units attract customs duty ranging from 70-100 per cent, depending on the engine size and cost, insurance and freight value less or above USD 40,000. The policy seeks to promote India as a manufacturing destination for EVs and attract investment from reputed global EV manufacturers.
Indian shares tread water ahead of inflation data, earnings barrage Indian shares were muted on Monday as investors awaited , due later in the day, for clues on the central bank's interest rate trajectory and ahead of a slew of corporate earnings reports. The NSE Nifty 50 index was up 0.1% to 18,366 as of 0405 GMT, while the S&P BSE Sensex, which hit a record closing high on Friday, rose 0.19% to 61909.51. A Reuters poll showed economists expect retail price inflation slowed to 6.73% in October, due to weaker food price rises and a strong base year, but remained stubbornly above the Reserve Bank of India's 6% upper limit. In early trading, Nifty's IT and were among the top-performing sectors, gaining 0.9% and 1.6%, respectively. The pharma and indexes dropped nearly 1%. rose 7.3% on after reporting a surge in quarterly profit. More than 1,000 companies are scheduled to report results later in the day. These include low-cost carrier SpiceJet, drugmaker Biocon, tyre manufacturer as well as conglomerates . Foreign institutional investors bought a net of 39.58 billion Indian rupees (about $492 million) of equities on Friday, while domestic investors bought 6.16 billion rupees of shares, as per provisional data available with the National Stock Exchange. ($1 = 80.4770 Indian rupees) Also Read:
Russia to cut oil output by 500,000 bpd in March will cut by 500,000 barrels per day, or around 5% of output , in March, Deputy Prime Minister said on Friday, after the West imposed price caps on and oil products. The price of Brent crude rose on the news of the output cut from Russia, the world's second-largest oil exporter after Saudi Arabia, increasing by more than 2.5% on the day to $86.6 per barrel. "As of today, we are fully selling the entire volume of oil produced, however, as stated earlier, we will not sell oil to those who directly or indirectly adhere to the principles of the 'price cap'," Novak said in a statement. "In this regard, Russia will voluntarily reduce production by 500,000 barrels per day in March. This will contribute to the restoration of market relations." The Kremlin said on Friday that Russia had held talks with some members of the OPEC+ producers group regarding its decision to cut output. Novak said later that Russia had not held any formal consultations as the cuts were voluntary. Two OPEC+ delegates told Reuters that OPEC+ plans no action after Russia announced oil output cuts. As Russia navigates the maze of restrictions which the West has imposed in an attempt to choke off its revenue from oil, the production cut indicates that the price cap on Russian oil products has had some impact. The G7, the and Australia agreed to ban the use of Western-supplied maritime insurance, finance and brokering for seaborne Russian oil priced above $60 per barrel from Dec. 5 as part of Western sanctions on Moscow over the conflict in Ukraine. The EU also imposed a ban on purchases of Russian oil products and set price caps from Feb. 5. In turn, Russia has banned deals involving any application of the price cap mechanisms. The last big fall in Russian oil output was in April when it collapsed by nearly 9% following the introduction of Western sanctions over Ukraine. Since then, Russia has managed to set up logistic chains for its oil sales, mostly in Asia. Russia's decision to cut oil production was announced only nine days after an OPEC+ panel, in which Russia is a member, endorsed the oil producer group's current output policy, leaving production cuts agreed last year in place. "Russia believes that the 'price cap' mechanism in the sale of Russian oil and oil products is an interference in market relations and a continuation of the destructive energy policy of the countries of the collective West," Novak said. His spokesperson said later that the cuts will relate to crude oil only, without gas condensate, a type of light oil. Russia's oil output last year defied numerous predictions of a decline, rising by 2% to 535 million tonnes (10.7 million barrels per day) thanks to a jump in sales to Asia, especially, to India and China. However, following a raft of new sanctions from the West, Russia is facing more challenges in selling oil, a key source of revenue for the state budget, which posted a $25 billion deficit in January. Lower
following a raft of new sanctions from the West, Russia is facing more challenges in selling oil, a key source of revenue for the state budget, which posted a $25 billion deficit in January. Lower export volumes shrank Russia's current account surplus by 58.2% to $8 billion in January, squeezing Russia's capital buffers at a time when Moscow is ramping up budget spending. Also Read:
Russian oil price for India eased in September vs August: data The average landed price of for in September eased from August, according to Indian government data, indicating widening discounts. Spot discounts for in September started to widen as Indian refiners reduced purchases due to high prices and maintenance outages, Reuters reported in August. India bought Russian oil at an average price of about USD 81.7 per barrel, compared to about USD 86 per barrel in August, according to Reuters' calculations based on the latest data posted on the Indian Trade Ministry's website. Refiners in India mostly buy Russian oil on a delivered basis, with sellers arranging for shipping and insurance. India depends on imports to meet more than 80% of its overall oil needs and rarely bought Russian oil in the past due to high transportation costs. But it has become the biggest buyer of seaborne Russian crude as western nations shunned purchases from Moscow over its invasion of Ukraine in February 2022. The data does not specify freight, insurance and other charges paid by the refiners but the purchase price is significantly above the USD 60 per barrel price cap imposed by G7 nations. Russian oil has mostly traded above the price cap since mid-July, as discounts narrowed due to output cuts by producers, including Saudi Arabia and Russia. The average price paid by India for Russian oil in September was lower than for barrels from Iraq and Saudi Arabia, which averaged USD 83.56 and USD 96.16, respectively, the data showed. India imported about 1.42 million barrels per day (bpd) of Russian oil in September, down around 9% from August, while imports from Iraq rose by about 8% to 918,000 bpd, the data showed.
Formal job creation in India slows down in August: MoSPI Formal slowed down in August after remaining buoyant for the last four months across the Employees’ Provident Fund Organisation, the Employees’ State Insurance Corporation and the . The provisional payroll data released by the and programme implementation on Tuesday shows net new subscriber addition under fell by 7.1% in August at 1.69 million compared to 1.82 million in July, 1.83 million in June, 1.68 million in May and 1.53 million in April. ESIC also registered a decline of 8% in net subscriber addition in August at 1.46 million compared to 1.58 million in July, 1.56 million in June, 1.51 million in May and 1.28 million in April. Even the NPS witnessed a marginal dip of 0.71% at 65,543 as against 66,014 in July, 58,425 in June, 60,926 in May and 64,569 in April. Year-on-year comparison, however, shows an increase in formal jobs created this year compared to August 2021, which was the period of the abating second wave of the pandemic. Formal jobs created under the Employees’ Provident Fund Organisation in August this year were 14.4% higher compared to 1.48 million added in August 2021. Net new subscriber addition under ESIC in August this year is 10.5% more than 1.32 million new subscribers added in last August while NPS registered an increase of 16.3% as against 56,827 new enrollments in August 2021. Out of the total 1.69 million net subscribers added during the month, around 0.98 million new members have been enrolled under the social security cover of EPF & MP Act, 1952 for the first time, it said. Approximately 0.71 million net subscribers exited but re-joined EPFO by transferring their accumulations from previous PF account to the current PF account, instead of claiming for final withdrawal. As per the report, 1.18 million male subscribers were added to ESIC while 0.28 million female subscribers were added to ESIC in August. Under NPS, the highest number of subscribers added in August was at the state government level at 40,902 followed by the corporate sector at 15,502 and the least were added by the central government at 9,139. The report is based on the payroll data of new subscribers of various social security schemes run by ESIC, the Employees' Provident Fund Organisation (EPFO) and Pension Fund Regulatory and Development Authority (PFRDA). It has been releasing such data of these bodies since April 2018, covering the period starting from September 2017. The report said since the number of subscribers is from various sources, there are elements of overlap and the estimates are not additive. NSO also said the report gives different perspectives on the levels of employment in the formal sector and does not measure employment at a holistic level.

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