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.

Comments (0)

ADD COMMENT

Link Copied!

Tata Motors Passenger Vehicles has marked FY2026 as a pivotal year of transformation, emerging as an independent, pure-play personal mobility company following the successful demerger of its Commercial Vehicles business.

With Tata Motors split, the company renamed Tata Motors Passenger Vehicles, a move Chairman N Chandrasekaran described as ‘more than a structural milestone’ that positions it to build a differentiated, future-ready enterprise with a strong presence in India and a global footprint through Jaguar Land Rover.

In his address at the company’s 81st AGM on 8 July 2026, Chandrasekaran highlighted resilient performance amid global headwinds, including supply chain disruptions and geopolitical tensions in West Asia, as well as a temporary production pause at JLR due to a cyber incident. Despite these challenges, the India passenger vehicles business delivered robust results.

The domestic PV business achieved record sales of approximately 642,000 vehicles in FY2026, representing 15.3 percent growth – nearly double the industry average. India business revenue reached a record INR 584.65 billion, up 20.7 percent YoY, with EBITDA margins holding steady at around 7 percent and profit before tax (before exceptional items) rising approximately 33 percent. The company maintained a strong balance sheet with a net cash position of INR671 billion.

Over the past six years, the business has grown nearly 5x in volume and 6x in revenue, swinging from significant cash burn to a free cash flow surplus while elevating its market position from 4.8 percent share in FY2020 to 14.2 percent in Q1 FY2027, securing the No. 2 rank in the Indian passenger vehicle market. The company has sustained EV market leadership for seven consecutive years and surpassed 300,000 cumulative electric vehicle sales.

Chandrasekaran emphasised the success of the multi-powertrain strategy, noting strong demand for models such as the Nexon and Punch, the reintroduction of the iconic Sierra and outperformance in CNG vehicles. The company also re-entered the South African market as part of its international expansion.

Looking ahead, Tata Motors Passenger Vehicles has set clear ambitions for the decade to FY2031. The company aims to grow the business 10x, scaling to over 1.2 million annual sales, achieving 20 percent market share and attaining double-digit EBITDA margins. Plans include the launch of 6 new nameplates and more than 20 product refreshes, with EVs expected to contribute over 30 percent of sales volumes.

On the JLR front, despite a 21 percent revenue decline to GBP 22,911 million due to external disruptions, the business demonstrated operational resilience and progress on next-generation models.

A leadership transition saw PB Balaji take over as CEO. For the year ahead, JLR is focusing on modern luxury, North American growth and customer personalisation, supported by new vehicle launches.

On a consolidated basis, the company reported revenue of INR 3,355 billion and PBT (before exceptional items) of INR 25.19 billion.

Beyond financials, the company continues to advance sustainability and community initiatives, reaching over 1.8 million citizens through CSR efforts and aligning with the Tata Group’s Project Aalingana to achieve Net Zero by 2040, with electrification central to its strategy.

Chandrasekaran concluded with confidence for FY2027, citing a strong product pipeline, enhanced collaboration between TMPVL and JLR – including the new facility in Panapakkam, Tamil Nadu – and greater use of digital technologies and AI.

“Our ambition remains clear. To build trusted, aspirational and globally competitive mobility brands that connect meaningfully with customers,” he concluded.

Comments (0)

ADD COMMENT

Link Copied!

Electric vehicle fleet company Hala Mobility has announced the promotion of Shivam Agarwal to the position of Chief Business Officer (CBO). In his new role, Agarwal will lead the company’s commercial strategy, including enterprise partnerships, business growth, market expansion and customer success as it continues to scale its operations.

Agarwal has been part of Hala Mobility's leadership team, having previously led business development, enterprise sales and network expansion. His work has contributed to the company’s growth from its early stages to its current position within the EV mobility sector.

Shrikanth Reddy, Founder & CEO, Hala Mobility, said, "Shivam has been one of the key architects of Hala's growth journey. His deep understanding of customers, strong execution capabilities, and ability to build long-term strategic partnerships have contributed significantly to where we are today. As we enter our next phase of expansion, his leadership will be critical in scaling our commercial operations, deepening enterprise relationships, and building new growth opportunities while staying true to our focus on sustainable and profitable growth."

Shivam Agarwal, added, "Hala has always been driven by a simple belief - that sustainable mobility can transform both businesses and livelihoods at scale. I'm grateful for the trust the leadership team has placed in me and excited about the opportunity ahead. As EV adoption accelerates across India, we remain focused on building strong customer partnerships, expanding our ecosystem, and creating sustainable growth while delivering meaningful value to our enterprise partners, driver community, and the broader mobility ecosystem."

Hala Mobility operates a fleet of more than 15,000 electric vehicles across multiple cities in India, supporting over 100,000 gig workers. The company has integrated fleet operations, battery swapping, technology platforms, and financing into its business model. Looking forward, the company plans to expand its fleet to 32,000 vehicles and increase its presence to 13 cities.

Comments (0)

ADD COMMENT

Link Copied!

Sting Energy and Alan Walker have released the official video for ‘The Sting Within Me,’ an anthem inspired by the sounds of Formula 1. The track originated from an observation that Formula 1 engine sounds resemble the word ‘Sting,’ a concept that has since developed into a campaign across music and motorsport.

The video aims to translate the feelings of anticipation, tension, and celebration associated with a race weekend into a visual experience. It incorporates engine sounds and race-day atmospheres, following the track's live debut at the Barcelona Grand Prix.

Vandita Pandey, VP Marketing at PepsiCo, International Beverages, Hydration and Energy, said, “Few ideas get the chance to evolve the way this one has. What started as a fan observation became a global anthem – and now a video fans can experience. With the official video of ‘The Sting Within Me’, we’re bringing the sound, speed and emotion of Formula 1 to screen in a way fans can see, hear and feel. This story has always belonged to the fans and creators who made it bigger.”

Alan Walker, said, “When you're building a track from raw sounds, you start visualising it from day one. This track carries the rhythm and tension of race weekend, so the official video had to match that energy. Barcelona showed me what that emotion feels like live - this video is about bringing that same feeling to screens everywhere.”

Chandni Mehta, CEO, Kinnect Media, said, "This campaign was always about taking the energy of Formula 1 beyond race weekend and turning it into something fans could participate in. From music and creators to social storytelling and live experiences, every element was designed to bring audiences closer to the sport. The official video is the culmination of that journey – bringing the worlds of music, motorsport and fandom together in one shared experience.”

Comments (0)

ADD COMMENT

Link Copied!

American autonomous technology company May Mobility has announced the appointment of Balajee Kannan as Senior Vice-President of Autonomy Core Engineering, effective 29 June 2026.

Kannan will lead the development of autonomy capabilities, the scaling of vehicle deployments and the execution of the company’s ride-hail strategy.

He comes with over 25 years of experience in robotics and autonomous systems and previously served as the Vice-President of Autonomy at Motional, where he led programs for Level 4 driving. His career also includes roles at Argo AI, Amazon and GE.

In his new position, Kannan will manage autonomy performance, machine learning, perception, behaviour, mapping and localisation. He will work with Jacob Crossman, Senior Vice-President of Autonomy Engineering and CEO Dr Edwin Olson to oversee technical strategy.

“I’ve spent more than 25 years in robotics and autonomy, and believe this industry is now at a critical inflection point where breakthrough technology is meeting real-world scale. May Mobility stands out for its bold vision and passionate individuals dedicated to the mission, and I’m excited to help shape the next generation of autonomous systems alongside this team,” said Kannan.

Dr Edwin Olson, CEO and Founder, May Mobility, said, “Balajee is one of the most accomplished autonomy leaders in the industry, with a proven track record of turning breakthrough technologies into reliable, deployed systems. His technical expertise and leadership will be instrumental in preparing our autonomy system to scale to new markets globally.”

May Mobility has completed over 550,000 rides and 1.1 million autonomous miles in the U.S. and Japan. The company has also recently appointed Thomas Fennimore as Chief Financial Officer and Matthew Wood as Vice-President of Autonomy Verification & Validation.

Comments (0)

ADD COMMENT

Link Copied!