Tata Enters The Auto X-Prize
By Edward NiedermeyerMay 16, 2008 - 369 Views
Tata Motors has become the first major automaker to enter the 70-team field competing for the Automotive X-Prize. Having recently announced the development of the world's cheapest car and the purchase of Jaguar and Land Rover, taking on a bunch of guys who would probably be happier at the 24 hours of LeMons the uncanny X-Prize is probably just another day's work for Ratan Tata's lads. Of course, credit where credit's due: Tata is not signing up to lap Altamount in a Big Lebowski-themed Grand Torino. According to the requisite press release, Tata will be fielding an EV for the two-passenger, 200-mile range "Alternative" class, and a "Dominant" (serial?) Electric Hybrid in the four-wheel, four-passenger, 200-mile range "Mainstream" class. To win either category, Tata's entries must achieve a minimum 100 mpg, finish the race in first place, and meet numerous other requirements. Sure, as the only major automaker (thus far) to enter the competition, Tata may have a technological leg up on some of its rag-tag competitors. But, as the only team competing with a "win on Sunday, sell on Monday" strategy, Tata also has the most to lose.
Posted in Technology | India | Electric Vehicles | News Blog | one comment 
Renault/Nissan/Bajaj to Build Nano-Fighter
By Edward NiedermeyerMay 12, 2008 - 705 Views
The Detroit News, internationalists that they are, report that Renault/Nissan is entering into a joint venture with India's Bajaj motors to take on the ultra-cheap Tata Nano (a.k.a. the one lahk car). Bajaj will own fifty percent of the joint venture, with Renault and Nissan splitting the rest. Together, they'll build a new factory in Chakan, India, Starting in 2011, the facility should eventually bang-out some 400k entry-level rides per year, heading for both the Indian and Chinese new car markets. No details are available about the powertrain or standard equipment (wheels? side mirrors? doors?). Whether this sudden craze for inexpensive mass market motors becomes a cash cow or a money pit remains to be seen; the challenge represents one of Nissan/Renault's most ambitious international projects. Still, Renault found plenty of karma with their first forray at the bottom of the market with the [formerly Dacia] Logan. The Indian version, built with Mahindra and Mahindra was a big hit for all concerned. The Iranians also build a version, but that's a story for another day.
Posted in India | Future Vehicles | News Blog | 13 comments
Man the Lifeboats! GM’s Going All-Out Overseas
By Frank WilliamsMay 1, 2008 - 1,498 Views
In the quarterly conference call to offer excuses discuss the latest financial report– the one where GM lost $3.5b in Q1– CFO Ray Young reassured someone that GM has no plans to kill any of their eight North American brands in North America. Advertising Age [sub] reports he's standing behind the recent reorganization that divvied-up the brands amongst four marketing chiefs. Young called it it "the right way to go." However, the CFO termed their North American operation's losses last quarter as "unacceptable." (Yeah! Someone should be fired! Oh wait…) GM's North American market share is now down to 21.7 percent, compared to 22.5 percent a year ago. In the global market, The General's share dropped 0.5 percent to 12.5 percent. Without North America's numbers, their share went up 0.1 percent to 9.6 percent. So, instead of addressing the problems at GMNA, the General will "beef up" its overseas activities and put "our foot on the accelerator… and jam it through to the floor" in emerging markets like Russia and India. They'll probably succeed, too. After all, it's a lot easier to peddle utility grade beef to someone who's starving than to discerning diners in the restaurant district.
Posted in India | Industry | Overseas | Media | News Blog | 14 comments
Tata and Pininfarina Sitting in a Tree
By Edward NiedermeyerApril 28, 2008 - 1,391 Views
The Times of London reports that Indian automaker (and Jaguar and Land Rover's new Daddy) Tata Motors will develop an Indian design and manufacturing center in Pune with iconic Italian design house Pininfarina. Tata will also "participate" in Pinin's $100m capital increase (a.k.a. bailout) this summer. The Times notes that Pininfarina's controlling family could be about to unload as much as 55 percent of the Italian firm's stock, opening the possibility of a complete Tata takeover. With ties already close between Tata and Fiat, a joint ownership scenario is also possible. In case you haven't guessed where all this is headed, Tata has set aside $1b for the development of new Jaguar models. Tata and Pinin are already hashing-out the next gen Jags, with an F-Type roadster rumored to lead the way.
Posted in India | News Blog | 3 comments
IT Firm Satyam Developing Mood-Sensing Car Stereo
By Edward NiedermeyerApril 23, 2008 - 1,863 Views
In yet another technological answer to a question nobody is asking, Indian IT firm Satyam is developing an in-car entertainment/connectivity platform which will choose your music for you based on a proprietary "mood sensing" technology. The development is part of Satyam's "dot auto" initiative, which combines GPS navigation with internet access, video conferencing, social networking, electronic money transfer as well as other applications which have no business in an automobile. The wildest promise by far of the hardware-software development is the "mood-sensing" stereo, which will respond to the number of passengers and the destination input into the navigation system. Satyam R&D chief Venkatesh Chandrasekaran says that, for example, "the system would detect if a driver had passengers and was heading downtown, and perhaps cue up some party music. On the other hand, if the driver is on his own, the system will not cue up 'sad, moody music.'" Because who wants to drive by themselves while listening to "Everybody Hurts?" Chandrasekaran expects the system to be market-ready in 16 months, and the company is already talking with potential customers in the auto and broadband fields. We look forward to hearing our stereo sing "A Bicycle Built For Two" in a pathetically diminishing voice as we pull out its memory chips out sometime in the next few years.
Posted in India | Gizmology | News Blog | 2 comments
How Do You Say “The Indians are coming” in French?
By Martin Schwoerer- 1,989 Views
Yesterday the Indian auto parts maker Argentum Motors said it intends to gain a majority interest in the sickly French auto body maker Heuliez. They're in discussions to release Heuliez from the French equivalent of Chapter 11. In operation since 1920, Heuliez has built some respectable cars including the current Opel Tigra, the Peugeot 206CC, the Citroen XM station wagon, and the Peugeot 407 Macarena and Dacia Logan Edelweiss concepts. Argentum's acquisition illustrates the contrasting strategies between Indian and Chinese automotive companies. The Chinese prefer organic growth, and would rather develop/steal their own car-making knowledge. Indians companies, staffed as they are with cosmopolitan managers, seem to be more intent on expansion through buying foreign companies.
Automobilewoche (German language site) »
Posted in India | Industry | News Blog | 9 comments
Honda To Take On Scion With New Brand
By Jonny LiebermanApril 21, 2008 - 4,987 Views
If I were Toyota, I'd be shaking in my boots right about now. Sure, Scion seemed like a good idea few years back when ToMoCo realized its buyers' median age was seeping into Buick territory. Being charitable, one could call Toyota's youth brand an interesting experiment. Being honest, Scion is schizophrenic. And the kids ain't buying. And now they have some soon-to-be serious competition. Autoweek is reporting that Honda is launching a new "sub-brand" called Li Nian, which apparently means "subject" in Chinese. You're looking at an unnamed concept built off the global City/Fit platform in conjunction with Honda's Chinese partner Guangzhou Honda. The new brand will launch first in emerging markets (China, India) before eventually showing-up here in the States. Getting back to Toyota being frightened — kids might actually enjoy driving a sporty, inexpensive Fit-derivative– as opposed to a de-contented, lousy to drive Corolla hand-me-down. Li Nians should start rolling into dealerships near the guy that took your job in 2010. [There's that date again…]
Posted in India | China | Future Vehicles | News Blog | 18 comments
Indian Auto Industry Set To Quintuple
By Edward NiedermeyerApril 14, 2008 - 2,656 Views
India's auto industry currently accounts for five percent of the country's rapidly-expanding Gross Domestic Product (GDP). According to the Economic Times of India, the government has set the sector a new goal: quintupling its size by 2016 (the red-hot Indian economy is set to merely double in the same period). By then, the auto industry should be a $150b+ segment, making up ten percent of India's GDP. The Times says economic liberalization– allowing unrestricted Foreign Direct Investment (FDI) and removing foreign currency neutralization and export obligations– has been the key to India's automotive boom. India currently builds 11m vehicles per year. Prime Minister Manmohan Singh sees the car biz as ambassadors for "Brand India;" he's courting a further $35b - $40b in FDI for the industry. That's 16m Tata Nanos, in case you're wondering.
Posted in India | Industry | News Blog | 5 comments
Alfa In Platform-Sharing Talks With Tata
By Edward NiedermeyerApril 10, 2008 - 2,893 Views
The ties between Tata Motors and Fiat are plentiful; Ratan Tata sits on Fiat's board, and the two firms run several joint manufacturing ventures in India. And with Tata's recent purchase of Jaguar and Land Rover comes an opportunity for Fiat's performance brand Alfa Romeo to piggyback on Jaguar's existing rear wheel-drive sedan architecture. Fiat development boss Harald Wester tells Auto Motor und Sport that the two firms are already discussing details of the possible platform share. "We have diverse worldwide cooperations with Tata," said Wester, "because of this, it makes sense for us to seek opportunities with Jaguar and Land Rover. Naturally, a properly-dimensioned rear-wheel drive platform would serve Alfa well, and we're working on that. But there are more options. One alternative is developing a unique platform for Maserati, Alfa and Lancia. Another is that Maserati would get a unique platform, while the other two brands would share with a partner (Jaguar)." A Jaguar XF in a sharp Italian suit with Alfa badges could be exactly what the brand needs when it launches stateside in 2010, while platform-sharing would help Jaguar improve its profitability.
Posted in India | Future Vehicles | Industry | News Blog | 5 comments
Indian Industry Group Seeks Duty On Chinese Cars
By Edward NiedermeyerApril 8, 2008 - 2,595 Views
The Hindu Times reports that the Society of Indian Automobile Manufacturers and TATA Motors have asked the Indian government to slap a 35 percent duty on Chinese goods. The duty's proponents argue that Beijing's enforced yuan-to-dollar parity has given Chinese manufacturers up to 30 percent advantage on exports. The proposed duty will supposedly level the playing field. Of course, what's bad for Indian manufacturers is good for Indian consumers. But protective tariffs have become a worryingly commonplace phenomenon in the Asian auto biz. Once one country gives its industry a small advantage, it tends to create a protective tariff arms race and from China and Korea to Malaysia and Indonesia, everyone is jumping in on the action. If India further legitimizes the practice, there will be few remaining incentives for fair competition in the fastest growing auto markets in the world.
Posted in India | Taxes | China | News Blog | 10 comments
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