Mahindra & Mahindra forms Joint Venture with Kinetic Motors

One of India's leading automotive companies, Mahindra & Mahindra Ltd., announced that the acquisition of business assets of Pune-based Kinetic Motor Company Ltd. has been approved.


The acquisition will be done through a new company to be formed. The consideration for the acquisition is a sum of Rs. 110 crores (subject to closing due diligence) plus 20 percent stake to KMCL in the new company. M&M will hold the balance 80 per cent of the equity.

The deal will enable Mahindra to design and market a range of scooters, value engineered motorcycles and high-end motorcycles for the Indian and global markets, helping it establish a robust, end-to-end two-wheeler business in every segment of the industry.

BMW's Shifting Strategy

(BMW's)Bavarian Motor Works is embarking on the biggest product expansion in its history in a bid to increase sales of its premium autos by 40% -- to 1.4 million cars -- in 2008. In July, BMW's linchpin luxury sedan, the 5 Series, hits the market, showcasing the German carmaker's latest high-tech innovations.





Chief Executive Helmut Panke, a nuclear physicist by training who's passionate about cars, took charge a year ago. The 56-year-old CEO started his career as a consultant for McKinsey in Germany and has clocked 20 years with BMW (BMW ). A former chief financial officer who also worked as head of BMW North America in 1993-95, is determined to make sure the expansion drive doesn't undercut BMW's historically high margins.

Tata's Nano moves to overseas with Fiat

According to Chairman Ratan Tata, Tata Motors Ltd is open to Italy's Fiat SpA helping to sell the most awaited Nano model overseas,

Tata Motors plans to launch the Nano later this year, priced at about $2,500. "We have held talks about the Nano being marketed in markets where Fiat has already a strong presence. I am open to consider a partnership," Mr. Ratan Tata told a news conference at a forum promoting cooperation between Italian and Indian companies.


Fiat has a joint venture with Tata to manufacture and distribute cars, engines and commercial vehicles.
Ratan Tata also said the Tata group was in talks with Italian defence and aerospace company Finmeccanica SpA about supplying helicopter parts.

In a statement of Fiat Chairman Luca Cordero di Montezemolo, "the company was in talks with Tata about making buses and trucks.

The head of Fiat's Iveco truck unit told an Italian newspaper in May he expected to resume talks with Tata on possible accords after the India partner completed its acquisition of Jaguar and Land Rover.

Mercedes E-class for BMW 5 Series

In response to introduction of New BMW 5 Series in India, Mercedes -Benz India has decided to revamp its executive luxury segment car, the E-class. To cope up with the changing times and cater to increasing demands of the market, Mercedes-Benz recently rolled out two new Eclass variants and further extended its product range with the all-new E230 (petrol) and E220 CDI (diesel) models.


According to Dr. Wilfried Aulbur, "The E-Class has sold more than 10,000 units in India since its introduction in 1995. Now the product becomes even more enticing with introduction of the new Bi-Xenon headlamps in the exterior coupled with a 3-way Memory package and electrically adjustable steering wheel, all of which are now standard with the vehicle (oh how we love competition). The two new engines will further add to the popularity of the E-Class."

New BMW 5 Series in India

German car manufacturing company BMW introduces new variants of its 5 Series sedan priced in the range of Rs 36,90,000 and Rs 46,80,000 as it looks to strengthen its presence in the country. BMW 520d, 530d and 530d the new variants, highline powered by diesel engines and are additions to its existing petro variants BMW 525i and BMW 530i.


"The BMW 5 Series is in the luxury Business Class car segment, and it is our goal to continue providing our customers in India with the highest standards of all-round quality, safety, and perfection to ensure the highest levels of comfort and luxury", BMW India President Peter Kronschnabl said.

Three new i-series cars from Hyundai

Following the success of its i10, Hyundai Motor India plans to launch its bigger siblings in India. The largest exporter of cars from India, will launch at least three new cars under its i-series for the domestic as well as the overseas market.
The next in line is i20, which will be coming in October while the other two variants—i30 and i40—will come to India in the next few years. These new cars will come as new launches or replacement for the existing products. Hyundai is also finalising its entry into the D-segment with the Avante sedan.

8th Generation Accord in India by HONDA

Honda Siel Cars India on Tuesday announced the launch of its 8th Generation Honda Accord in India. The new Honda Accord will be available in three types - Accord 2.4, Accord 2.4 Elegance and Accord 2.4 Inspire.

The price of the vehicles start from Rs 16.49 lakh (ex-showroom Delhi) and go up to Rs 18.14 lakh.


Redesigned with larger wheel base advanced and powerful engine the length and the width of the Accord has been increased by 80 mm and 25 mm.

The heart of the Honda Accord is the advanced 2.4l i-VTEC engine that delivers a power of 180 PS which is more than the outgoing Accord.

The fuel efficiency of the car has been improved by 8% and the engine meets Euro IV emission limits.

The new Accord is E10 (10% ethanol and 90% unleaded petrol) compatible.

The Honda Accord is the only car in its segment to be equipped with a five-speed automatic transmission and manual transmission with a unique 'paddle shift' option which could be operated using F1-racing inspired paddle switches.

The chassis and body of the car have been renewed by introduction of the latest Honda technology to achieve best in class handling. Together with variable gear ratio steering the new Accord becomes quicker and more agile despite its big size.

For safety the car has 6 air bags Advanced Compatibility Engineering (ACE) body and G-Force Controlled (G-CON) technology for enhanced safety of the vehicle occupants during a collision

The interior design includes 8 way power seat adjustments with lumbar support, tilt and telescopic steering wheels, an advanced audio system, with a central multi selector USB port.

Source : /economictimes.indiatimes.com

Hyundai Motor Ready to Sell Luxury Buses in India

Amidst of capturing the increasing opportunities of the Indian vehicle market, South Korea's Hyundai Motor Co., after hitting majorily to the car market, is now ready to pave its footprints in the India's Bus market. In a collaboration to the UK based auto parts maker, Caparo Group's Indian unit, Hyundai Motor Car is agreed to manufacture and sell high durable buses in the Indian market, in order to capture a share in one of the fastest growing India's commercial vehicle sector. Hyundai has entered into a 5 years agreement with the Caparo Group's Indian unit. Triggered by the India's commercial vehicle sector, which consists of around 2,90,000 units, having the total of 5,000 premium buses Hyundai Motor Co. is ready to enthrall the Indian automotive industry with its high end buses.

With an agreement with the Caparo Group's Indian unit, Hyundai will provide its parts and high tech technology for Aero buses and further assemblage of parts and later on sell of the buses will be completed in Caparo Group's Indian unit. To successfully implement its plans, Caparo Group will build a plant in the southern part of the India, Chennai. Sale of luxury buses are expected to get double by the 2010. To tap the unprecedented opportunities present in the Asia's fourth biggest economy, the plant is manufactured in close to the Hyunda's second Indian plant, with a production capacity of 1500 units in a year. Production is more likely to be started in early May 2009. In its initial stage of production, Hyundai is expecting to produce 5100 units in the Caparo's plant. Under the five year agreement, Hyundai will get US$4mn for technology transfer. Hyundai Motor Company has its commercial vehicle plants dissipated throughout the China, Vietnam, Indonesia, Malaysia, Iran and Russia. Sale of luxury buses are expecting to get double by the 2010. Sale of luxury buses are expecting to get double by the 2010. As per the figures released by the Society of Indian Automobile Manufacturers (SIAM), sale of buses and trucks have seen a soaring rise of 2.9% to 430,555 units during the months of April to February 2007-08.

In its first phase, company is looking out for a possible venture for tourists luxurious buses. These buses are mainly targeted to be used for tourism purposes. It is expected to reach out the number of 10,000 units in 2010. By overlooking on the surging requirements, demand for such high level buses are expecting to shoot up, as most of these buses are manufacturing by targeting the tourism markets. Indian tourism industry is booming at a great pace and travel agencies are supposed to be prime buyer of such luxury buses for their domestic and international tourists. Henceforth Hyundai is working on targeting these buses to the Indian tourism industry. Manufacturing of high level buses by Hyundai Motor Car can has been seen as comforting step as many state governments are fostering the public transportation system in throughout their urban and rural sectors.

By the end of 2007, Hyundai Motor Car stood on second rank in the Indian passenger car market. The company's future planning book includes entering into the top 10 rankings of the domestic commercial vehicle by 2010.

Auto Exhibitions in April 2008

Auto Mobil International (AMI 2008) (05-APR-08 to 13-APR-08)
Place of Exhibition : Leipzig Exhibition Centre, Leipzig, Sachsen, Germany

Amitec-Exhibition (05-APR-08 to 09-APR-08)
Place of Exhibition :Leipzig Exhibition Centre, Leipzig, Sachsen, Germany

Autotronics Taipei (09-APR-08 to 12-APR-08)
Place of Exhibition : Taipei World Trade Center, Taipei, Taiwan

Motorcycle Taiwan (09-APR-08 to 12-APR-08)
Place of Exhibition :Taipei World Trade Center, Taipei, Taiwan

Car+Sound Expo (10-APR-08 to 13-APR-08)
Place of Exhibition :Exhibition Centre Sinsheim, Sinsheim, Germany


Bike Asia (10-APR-08 to 13-APR-08)
Place of Exhibition :Singapore Expo, Singapore

Car Plast (15-APR-08 to 20-APR-08)
Place of Exhibition :Bratislava Exhibition Ground, Bratislava, Slovakia

Intermodellbau (16-APR-08 to 20-APR-08)
Place of Exhibition : Exhibition Centre Westfallenhalle Dortmund, Dortmund, Nordrhein-Westfalen, Germany

Thailand Auto Parts & Accessories (TAPA) (23-APR-08 to 27-APR-08)
Place of Exhibition : Bangkok International Trade & Exhibition Centre-BITEC, Bangkok, Krung Thep, Thailand

Automechanics Latvia (24-APR-08 to 27-APR-08)
Place of Exhibition : Riga International Exhibition Centre, Riga, Latvia

European Commission on Jaguar and Land Rover

The European Commission said on Saturday that it would rule on Tata Motors' takeover of Jaguar and Land Rover from Ford by the end of April after the Indian company notified the deal to Europe's top antitrust watchdog.

Tata said in the notification that the deal did not represent a "significant impediment to effective competition" because the companies' "combined market shares are small.

" Tata Motor's said on Wednesday it was buying the two British luxury icons Jaguar and Land Rover from ailing US carmaker Ford for 2.3 billion dollars (1.5 billion euros), vaulting the Indian company into the premium global car market.

The cash purchase, part of plans by India's top vehicle maker to expand its reach beyond Asia, capped months of talks with Ford Motor Co, which is selling the prestige brands to focus on turning around its North American operations after losing 15.3 billion dollars over the past two years.