AVL is the world’s largest independent company for development, simulation and testing in the automotive industry and in other sectors. As a global technology leader, AVL provides concepts, solutions and methodologies in the fields of e-mobility ADAS and autonomous driving, vehicle integration, digitalisation, virtualisation, big data and much more.

In an interview with Sharad P Matade, Urs Gerspach, Executive Vice President of Test Systems and Global Operations, Instrumentation and Test Systems at AVL, shares his thoughts on the growth enablers and the company’s capabilities to cater to a wide range of demand in the automotive testing business.

What is the impact of the Covid pandemic on AVL’s testing business?

There is an impact, no doubt about it. The effect was much stronger last year; the customers constantly postponed their decisions about the orders of lab projects. However, this year, we are seeing a sudden improvement in the situation. In the first quarter of this year, we received massive orders of over 180 test systems for battery test labs. The situation is improving very fast, and the investments are being released by the OEMs. Until last year, the trends were not clear. Now we see a fast and strong growth of the passenger car industry towards electrification business. We are also witnessing the growing focus on fuel cells in the commercial truck segment. AVL is very well on track regarding its turnover and our margins for this year.

What is the reason for the increased demand of battery test labs?

In the past, many OEMs bought their battery cells from cell manufacturers like Panasonic, LG, CATL etc. and used these third party cells to build their own batteries. Several passenger car OEMs changed their strategy and decided to develop their own battery cells. Increased range, reduced charging time and lower costs are important key factors to convince customers to buy electric cars. Not just the development of the battery, but the combination of Battery, Inverter, E-Motor and Charging Infrastructure is important to develop a successful electric car. For this development, you need new test equipment such as battery cell cyclers, conditioning systems, climate chambers, automation and lab management software. The entire car is tested on High Voltage Powertrain Test Beds and Chassis Dynos where AVL has been the market leader for many years.

Europe is gearing up for Euro-7. What is it? How will it influence the testing business?

EU-7 will set stricter limits for CO2 and particle emissions. We expect PM10 (particulate matter with a size of 10 μm) will be introduced for Euro-7 and we have therefore developed measurement systems which can measure PM10.

It is also important to measure the CO2 emissions of combustion engines as precisely as possible. It is not just about compliance with environmental standards, but also about fuel consumption. We also deliver Portable Emission Measurement (PEM) systems for measuring emissions in real-time conditions on the street. While driving the car under real conditions, you might not execute a certified test run under predefined environmental conditions, therefore, other emissions will occur that need to be measured and analysed. AVL offers a wide range of in-vehicle measurement systems and software to determine what is actually coming out of the exhaust - in real driving conditions.

But there will also be a focus on non-exhaust emissions, particularly brake dust. Electric vehicles don’t emit exhaust emissions, but there is still brake and tyre dust. We have developed entire test systems to test real brakes under real-time conditions.

What would be the significant growth drivers in the traditional combustion engine business for AVL testing divisions?

As mentioned, the Euro-7 regulation will be one of the main drivers for AVL in the future. Besides all the other technologies like ADAS, every engine will be partly electrified either as a pure Hybrid, Plug In- or mild Hybrid. The technology of an Integrated Combustion Engine (ICE) can also be used to run with pure hydrogen. AVL is developing several engines for various customers that convert existing ICE technologies in new concepts.

We are also working on measurement technologies for synthetic fuel. AVL is working closely with Formula One teams as they will soon run their engines with synthetic fuels.

AVL has played a significant role in the development of the diesel engine in Europe. However, many OEMs are talking about discontinuing diesel engine vehicles in the near future. Do you see this as a challenge?

This trend will not have a great impact on our testing division. It will have a larger influence on the powertrain development division for diesel engines. If you take a look at the share of electrified cars in Europe - especially in Germany - they only account for 10 percent of the total vehicles; the remaining share of cars are still powered by combustion engines.

The combustion engine will still remain relevant for a while. However, increasingly in the form of a hybrid powertrain. AVL is therefore converting existing test beds for the car manufacturers so that they can be used to test hybrid vehicles. There are several customers who request pure electrical test benches. Some of our customers come to us with the requirement to completely convert existing combustion engine test fields to electrification test systems.

Between electric vehicles and hybrid vehicles, which one holds more promise in India in the near term and the long term?

I believe, in countries where the electricity network is not yet fully developed, hybrid cars will provide more flexibility, combining the possibility to run with fuel for an overland trip and electrified within the city.

In India, two-wheelers might have a faster increase in electrification similar to the development in China. ICE engines might keep dominating for a while, especially for the commercial vehicle. The introduction of pure battery electric vehicles mainly depends on how fast India is able to provide the necessary high-voltage charging infrastructure.

What about the AVL Tech Centre in India?

Our Tech Centre in India is one of our strongest Competence Centre for turnkey projects. AVL India is a very strong and reliable partner when it comes to planning of entire test fields including plant facilities. In the field of Powertrain Development, our India Tech Centre focuses on all three technologies – ICE, electrification and hybridisation – equally in all segments. AVL is an engineering company assisting customers with all types of mobility technologies. We recently got one of the first orders for fuel cell test systems from an Indian customer. So there is something exciting happening in our Tech Centre in India.

What about the revenues? How much does your testing division contribute to the whole company?

In 2020, the company generated a turnover of EUR 1.7 billion, of which 12 percent was invested in R&D activities. The testing division contributes with around 50 percent of the turnover.

What are the challenges in the business?

One of the biggest challenges is definitely to cover the growing bandwidth of technologies. A couple of years ago, we were only talking about ICE vehicles. Today, we are talking about ICE vehicles, hybrid vehicles, electric vehicles, batteries, ADAS and autonomous driving, digitalisation, cybersecurity and big data. AVL has built comprehensive competences to accelerate the vision of smart and connected mobility.

If you are an engineer, you have a wide range of technologies to specialise in. So one of the challenges is to find the right engineers to work on these different technologies.

What is the latest on safety by AVL?

One of the issues that is yet to gain the industry’s attention is fire safety in electric vehicles. AVL has been associated with fire marshals in Europe. Fire brigades realised an increase in accidents with Battery Electric Vehicles (BEV). Not only accidents but also burning BEVs in parking garages are a big challenge. These vehicles are very difficult to extinguish due to the chemistry of the lithium-ion battery.

AVL has developed a firefighting system which can extinguish a lithium-ion battery fire on the testbed or for fire brigade usage. It is a unique patented system that runs on liquids such as water or gases like nitrogen to extinguish battery fires. We conducted a couple of test series with hybrid batteries. A burning battery with 18 metres of flame height and temperatures of up to 1,500 degrees Celsius could be extinguished in one minute. (MT)

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Mumbai-headquartered engineering major Greaves Cotton has incorporated a wholly-owned subsidiary, Greaves International Trading FZE (GITFZE), in Dubai, United Arab Emirates. The subsidiary will function as a hub for trading and distribution, aiming to increase the company’s presence in the Middle East and Africa.

The subsidiary will manage business development, customer engagement, technical support, channel partnerships, aftermarket services and supply chain coordination. Its portfolio will include diesel engines, gensets and powertrain solutions.

Greaves International Trading FZE  will initially target GCC markets, including the UAE, Saudi Arabia, Qatar, Oman, Kuwait and Bahrain, with subsequent expansion planned for the Levant and Africa.

Parag Satpute, MD & Group CEO, Greaves Cotton, said, “International Business is a key growth driver for Greaves and a core pillar of our GREAVES.NEXT strategy. In line with our strategic roadmap, its contribution increased from 9 percent to 13 percent in FY2026. The establishment of Greaves International Trading FZE marks a significant step in strengthening our presence across the Middle East and Africa. It enhances our ability to respond with agility to market needs, deepen customer engagement and deliver reliable, future-ready solutions. This is a focused move towards expanding our global footprint and driving sustained, long-term growth.”

The establishment of GITFZE is part of the company's strategy to scale its footprint and export capabilities.

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Stellantis, one of the leading automotive groups, has announced appointments within its Enlarged Europe organisation, effective 1 July 2026.

The company has announced that Santo Ficili has been appointed the CEO of the Maserati brand, while continuing his role as CEO of Alfa Romeo. In addition, Luca Napolitano has been appointed Head of Stellantis &You Sales and Services.

These appointments follow the departure of Jean-Philippe Imparato, who is leaving the company after 36 years.

Emanuele Cappellano, COO, Enlarged Europe & European Brands and Head of Stellantis Pro One, said, “I would like to extend my sincere thanks to Jean-Philippe for his unparalleled contribution to our Company, in which he spent his entire professional life. Jean-Philippe has been a true example of how to combine passion with business, inspiring people with his daily commitment and deep knowledge of the automotive industry. I congratulate on their appointments Santo and Luca, who are already fully operational within Maserati and Stellantis &You organisations and will ensure continuity in these key areas. Their experience and leadership will be crucial in this new stage of growth.”

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Tata Motors has entered into a memorandum of understanding with Castrol India to launch a pilot programme focused on establishing a circular economy for used engine oil. The initiative directly supports India’s Extended Producer Responsibility regulations while addressing the environmental challenges posed by lubricant waste.

The collaboration will create a structured and traceable system for the collection, storage and channelling of used oil originating from Tata Motors’ authorised service network. Operations for this pilot are specifically centred in Karnataka, targeting a longstanding gap in the responsible handling of this hazardous material.

Under the programme, Tata Motors’ service touchpoints in the state will function as designated collection hubs. Castrol India will leverage its technical expertise to oversee the delivery of the recovered oil to registered recyclers, ensuring rigorous quality control and traceability throughout the recycling chain.

This partnership extends the companies’ established relationship and reinforces their mutual dedication to sustainability. The pilot complements Tata Motors’ wider strategy of promoting alternative-energy vehicles while supporting Castrol India’s objective of integrating recycled content into its premium lubricant offerings.

Vikram Agrawal, Head – Spares and Non-Vehicle Business, Tata Motors Commercial Vehicles, said, “Responsible used-oil management is central to building a truly circular automotive ecosystem in India. The volume of used engine oil generated across India’s roads each year makes responsible collection and recycling a matter of significant environmental consequence. By partnering with Castrol India, we are creating a credible, scalable model that links responsible collection at our service touchpoints to high-quality re-refined output. This is a meaningful step in Tata Motors’ broader sustainability journey.”

Anoop Jindal, Vice President – B2B (OEM) Sales, Castrol India Limited, said, “Creating a circular economy for lubricants requires collaboration across the entire value chain. This association with Tata Motors marks our first OEM collaboration focused on building a structured ecosystem for responsible used-oil management in India. We are working to strengthen every link in the circularity chain, from collection and channelisation to recycling and reuse. Insights from our used-oil collection pilots in southern India have deepened our understanding of both the opportunities and challenges involved in scaling circularity. Together with Tata Motors’ extensive service network, this initiative can help create a more organised, traceable and scalable model for used-oil circularity in India.”

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French automotive major Renault Group has appointed Quitterie de Pelleport as General Secretary, effective from 1 July 2026. The new division will oversee Legal, Audit, Risk, Ethics & Compliance, Prevention and Protection, Sustainability, Strategic Partnerships, Defence activities and the Circular Economy unit ‘The Future Is Neutral’.

The company also announced the appointment of Sandra Gomez as Chief Product & Program Officer and Francois Lavernos as Chief Information & Digital Officer. Both will report to CEO Francois Provost, who will oversee strategy and the futuREady product plan.

Francois Provost, said, “Four months after the launch of our futuREady plan, we are continuing the transformation of Renault Group with a clear focus on simplification and speed of execution. The creation of the General Secretariat is a key lever to strengthen our governance and our capacity to deliver on our ambitions. This role will also contribute to the development of certain high-potential activities. I have every confidence in Quitterie to lead this strategic function. At the same time, we are simplifying the scope of product, programs and strategy to accelerate the strengthening of our vehicle range and technologies.”

Pelleport joined Renault Group in 2021 as Chief Legal Officer. Her career includes roles at Kramer Levin Naftalis & Frankel, DLA Piper, Rhodia and Solvay.

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