After terming India’s import duty barriers high for some time, US President Donald Trump has expressed that 2 April 2025 will be remembered as the day the American industry was reborn as his government announced a broad new tariff policy that imposes at least a 10 percent duty on nearly all imports from certain countries. In the case of India, the policy speaks of 26 percent ‘discounted' reciprocal tariffs. The tariff on China, on the other hand, is 34 percent. 

Aimed at protecting American farmers and ranchers, according to Trump, the broad-based tariff policy is also being termed as ‘national emergency’ driven in view of the ongoing trade deficits, which hit a record USD 1.2 trillion in 2024.

The German auto industry has reacted to the US policy by stating that it 'will only create losers'. While the Asian stock markets have shrunk in response to the announcement, the Indian Ministry of Commerce is analysing the impact of the 26 percent ‘discounted’ tariff announcement. 
Mentioning in its statement that it understands the intent of the US administration to boost domestic manufacturing and address trade imbalances, the Indian auto components apex body ACMA (Automotive Component Manufacturers Association of India) has said that autos and auto parts as well as steel and aluminium articles are already subject to Section 232 tariffs at 25 percent announced earlier by the US President’s order on 26 March 2025. A detailed list of auto components that will be subject to 25 percent import tariff is awaited, it mentioned.

Shraddha Suri Marwah, President, ACMA and CMD, Subros Ltd, averred, “ACMA remains hopeful that the ongoing bilateral negotiations between the Indian and U.S. governments will lead to a balanced resolution that benefits both economies. We believe that the strong trade relationship between India and the United States, especially in the auto components sector, will encourage continued dialogue to mitigate the impacts of these measures. ACMA is committed to engaging with all stakeholders to ensure the long-term interests of the Indian auto component industry.”

Saurabh Agarwal, Partner and Automotive Tax Leader, EY India, observed, "With US automotive tariffs rising, India's electric vehicle sector has a prime opportunity to capture a larger share of the US market, especially in the budget car segment.” He drew attention to the fact that China's 2023 auto and component exports to the US stood at US$17.99 billion whereas India's were only US$2.1 billion in 2024, highlighting the potential for growth. “To accelerate this, the government should enhance the PLI scheme by including more auto components, opening it to new players, and extending it by two years,” he added. 

Mrunmayee Jogalekar, Auto and FMCG Research Analyst, Asit C Mehta Investment Interrmediates Ltd, expressed, “Certain sectors such as auto and auto ancillary, which are already subject to a separate 25 percent tariff announced in March are exempt to the levy of reciprocal tariffs. This means no additional tariffs will be imposed on this sector.”
Stating that other exempted segments include copper, pharmaceuticals, semiconductors, critical minerals and energy products, she informed,

“Since import duties apply to all trading partners, the extent of impact will vary across sectors and countries based on competitive advantages.” “For the Indian auto component industry, which derives around 30 percent of its revenue from exports, with 30 percent of that coming from the US, this could result in a potential hit on sales or profit margins,” she added. 

In FY2024, ACMA reported that India exported USS$ 6.79 billion worth of auto components to the US. It imported only USS 1.4 billion, resulting in a substantial trade surplus in India's favour. 

Against the backdrop of the broader tariff policy that speaks of a 26 percent duty of Indian exports to US, the discussion between Indian and the US regarding the bilateral trade agreement will assume importance as well as urgency. For US automotive companies to find their way to the Indian market despite their near cult status – the likes of Harley Davidson and Tesla – will only mean facing a competition that is stiffer than expected and a customer mindset that is far different from how it is in the US. 

Srikumar Krishnamurthy, Senior Vice-President & Co-Group Head, Corporate Ratings, ICRA, said, "The US Government has imposed a 25 percent tariff on passenger vehicles (sedans, sport utility vehicles, crossover utility vehicles, minivans and cargo vans) and light trucks (collectively referred to as automobiles), which come into effect from 3 April  2025. As the PV exports from India to the USA represent less than 1 percent of the total PV exports, the tariff imposition of the tariff does not have any material impact on the Automotive OEMs. The scenario is however different for auto components. On 12 March 2025, a 25 percent tariff was imposed on all aluminium and steel components being imported into the US. Subsequent to this, on 26 March 2025, a 25 percent tariff was imposed on other key auto parts as well (including engines, transmissions, powertrain components and key electrical parts except those under USMCA), with processes to expand tariffs on additional parts, if necessary. The effective date is pending but is expected to be no later than 3 May 2025. Auto components have not featured in the latest set of additional tariff announcements that has been made on 2 April 2025. India’s auto components exports accounted for around 29 percent of industry revenues in FY2024. Of this, about 27 percent went to the US. While the situation is evolving, the recent tariff related development and the consequent inflationary pressures and slowdown in demand in the US could have a negative impact on revenue and earnings for component exporters (in the affected product categories) over the next few months. Nevertheless, with higher tariffs being levied on other competing nations, this could also create long-term opportunities for the exporters. Exporters dependent on the US are also trying to diversify their revenue base across other geographies (including Asia). Measures to improve value addition, diversification into non-auto segments and cost-optimisation strategies are also being worked upon to reduce the potential impact on margins.

Image for representative purpose only.

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Mahindra Tractors, the leading tractor brand in India and a key entity within the Mahindra Group, has inaugurated a vibrant new brand campaign specifically for the Punjab market. The initiative, titled ‘Duniya Vich Ikko Lalkaar’, was formally launched at a Chandigarh event, headlined by the release of a high-energy music video named ‘Oh Ho Ho Ho’. This contemporary track is a reimagination of Sukhbir Singh’s iconic 1999 hit, ‘Ishq Tera Tadpave’.

The newly released video is a cinematic tour across Punjab, designed to visually represent the scale, advanced technology and robust power of Mahindra’s agricultural machinery. It features prominent artists, including the celebrated ‘Prince of Bhangra’, Sukhbir Singh, alongside rapper and director Parmish Verma. This launch serves as the initial phase of a larger, multi-platform campaign intended to resonate with local audiences by celebrating regional pride and a forward-looking mindset.

At its core, the campaign aims to honour the ambitious and entrepreneurial character of Punjab’s populace while underscoring the brand’s substantial legacy and deep ties to the region. The initiative recognises Punjab’s status as a globally significant agrarian hub and seeks to reinforce the trust that Mahindra has cultivated with local farmers through decades of collaborative growth and mutual progress.

This enduring relationship has allowed Mahindra to stay attuned to the evolving agricultural demands of the state. The company’s commitment to innovation is exemplified by its award-winning tractor platforms, including the NOVO, ARJUN and YUVO TECH+ series. These machines are specifically engineered to provide the power, performance and durability necessary to support the highly progressive farming economy prevalent across Punjab.

Parikshit Ghosh, Sr Vice President & Head – Marketing & National Business Operations, Mahindra Tractors, said, “Mahindra Tractors is a global brand born in India, trusted by farmers across markets and recognised for its power, technology and performance. Through Duniya Vich Ikko Lalkaar, we are celebrating the shared spirit of ambition, confidence and global influence that defines both Mahindra Tractors and Punjabi music. This is an expression of our global offerings, bringing together culture and creativity to connect with audiences in a way that is contemporary and unmistakably Punjabi.”

Sukhbir Singh said, "Growing up, Mahindra Tractors was a common sight on farms, and over the years I have watched this brand become a global success story while staying deeply connected to Indian farming. This journey of Mahindra Tractors resonates strongly with me personally. I am delighted to collaborate with this powerful brand on Duniya Vich Ikko Lalkaar. It was exciting to recreate my song with these campaign lyrics that celebrate the passion, pride and global influence that both Punjab and Mahindra Tractors share."

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The Ministry of Road Transport and Highways has issued a draft notification proposing amendments to the Central Motor Vehicles Rules, 1989, to introduce Vehicle-to-Vehicle (V2V) communication systems in motor vehicles across India.

Under the proposed regulatory schedule, vehicles in categories L, M and N manufactured on or after 1 October 2027 that are fitted with V2V hardware must comply with Automotive Industry Standard 230 (AIS-230). Compliance and mandatory installation of V2V communication systems conforming to AIS-230 will be required for all manufactured vehicles in categories L, M and N from 1 October 2028.

V2V systems enable vehicles to exchange data regarding speed, position, direction and acceleration. The technology provides alerts for safety scenarios including emergency braking, forward collision risks, lane changes and approaching emergency vehicles beyond line-of-sight visibility, acting alongside Advanced Driver Assistance Systems (ADAS).

The technical framework operates on Cellular Vehicle-to-Everything (C-V2X) technology utilising the 5.875 GHz to 5.925 GHz frequency spectrum. The Department of Telecommunications exempted this frequency band from licensing requirements via notification G.S.R. 466(E) on 10 June 2026, following recommendations from a dedicated Intelligent Transportation Systems task force.

The AIS-230 standard was finalised following the 56th meeting of the Central Motor Vehicles Rules Technical Standing Committee on 7 May 2026. The standard defines requirements for factory-installed On-Board Units, covering radio performance, receiver sensitivity, Global Navigation Satellite System positioning accuracy, electromagnetic compatibility, cybersecurity provisions and power supply operations. The framework also supports safety alerts including Emergency Brake Alert, Forward Collision Warning, Wrong-way Driving and Emergency Vehicle Alert.

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German steel and technology group Salzgitter has agreed to sell its subsidiary Klockner DESMA Elastomertechnik to German-French industrial group NAME & MAWI Partners S.A.S. (NMP). The transaction forms part of Salzgitter's corporate portfolio adjustments under its ‘Salzgitter AG 2030’ strategy.

The company has not disclosed the financial terms of the transaction, while the completion of the sale is expected in autumn 2026, subject to customary closing conditions.

Headquartered in Fridingen, Baden-Württemberg, Klockner DESMA Elastomertechnik operates within Salzgitter's Technology Business Unit. Founded in 1965, the company manufactures injection moulding machines for rubber and silicone products, employing more than 500 people globally. Its product scope includes mould systems, cold runner systems and automation equipment used across automotive manufacturing, power distribution, medical technology and infrastructure sectors.

Gunnar Groebler, CEO, Salzgitter, said, "The decision to sell Klockner DESMA Elastomertechnik follows a careful strategic review and forms part of the group’s consistent portfolio management.”

The idea is to advance the implementation of its 2030 Group strategy while creating long-term and sustainable prospects for its portfolio companies.

Groebler noted that Salzgitter is convinced Klockner DESMA Elastomertechnik will have ‘strong conditions for further development under its new owner, NMP.’

He concluded that the transaction ‘benefits both the company and its employees by providing a clear vision for the future.’

NMP, headquartered in Weil der Stadt, Germany, and Strasbourg, France, operates 10 companies with 500 employees across Germany, France, Switzerland and Slovakia. The group specialises in splitting, skiving and cutting machinery for materials used in the leather, rubber, footwear and packaging sectors.

Narith Meksavanh, CEO, NMP Group, said that group’s strategic focus on quality and customer service has supported steady growth over the past decade.

He added that NMP is seeking to ‘expand production capacity and strengthen its international sales network in order to meet growing customer demand.’

The acquisition serves both as an opportunity and a solution that will help NMP address industrial challenges by using the capabilities available at DESMA’s locations.

The combined operations further strengthens its market position, particularly in high-growth markets such as the United States, India and China.

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Hyundai Motor India Limited (HMIL) has facilitated a landmark achievement in accessible mobility through its ‘Samarth by Hyundai’ initiative. The company supported international para-athlete Chandeep Singh in completing a record-setting cross-country drive spanning over 7,000 kilometres. The expedition, undertaken in a specially modified Hyundai CRETA, saw Singh successfully traverse from Kashmir to Kanyakumari and back to the starting point.

This arduous journey stands as one of the longest transcontinental drives ever undertaken by a para-athlete in India. The customised vehicle proved instrumental as Singh traversed a vast array of challenging terrains and severe climatic conditions. His successful completion of the route not only demonstrated exceptional personal endurance but also served as a powerful testament to the principle that mobility solutions should enable all individuals to chase their goals without barriers.

Consequently, Singh’s feat has earned him a distinguished place in the Golden Book of Records. Beyond this personal victory, the expedition solidifies HMIL’s ongoing dedication to social progress and inclusive mobility. Through ‘Samarth by Hyundai,’ the company continues to champion interventions that improve accessibility, ensure equal opportunities, and empower persons with disabilities.

Virat Khullar, Head – Marketing, HMIL, said, “At Hyundai Motor India, we believe mobility is about empowering people and enabling possibilities. Through our ‘Samarth by Hyundai’ initiative, we are committed to creating a more inclusive and accessible ecosystem where every individual can dream bigger and achieve more. Chandeep Singh’s remarkable journey is a powerful testament to the indomitable human spirit, resilience and determination. We are honoured to have supported him in this historic achievement, which not only finds a place in the Golden Book of Records but also inspires millions across the country to redefine what is possible.”

Singh said, “Completing this 7,000+ km drive from Jammu to Kanyakumari and back, and securing a place in the Golden Book of Records, is a dream realised through years of relentless preparation, grit and belief. This journey was never just about setting a record; it was about showing every person that with determination, the right support and accessible technology, no destination is out of reach. The specially adapted Hyundai CRETA performed flawlessly across every terrain, truly becoming an extension of my body and spirit. I am deeply grateful to Samarth by Hyundai for believing in my vision and helping turn what seemed impossible into a reality for India. Furthermore, I am also grateful to Hyundai dealership network for their unwavering support throughout this remarkable journey.”

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