Safety and emission reduction, though not paramount, are gaining traction in the Indian commercial vehicles space. Wabco India, which has been acquired by ZF, is bullish on the market which is being driven by regulations and trends. According to P Kaniappan, Managing Director, WABCO India Ltd, the new independent Commercial Vehicle Control Systems division with ZF will offer better value and service to the Indian customers in the local context. The company keeps focusing on bringing its global capabilities to cater to new regulations and demand for advanced driver assistance, braking, stability control, suspension, transmission automation and aerodynamics to improve safety, efficiency and connectivity of commercial vehicles.

ZF Friedrichshafen completed its USD 7 billion acquisition of commercial vehicle technology supplier Wabco Holdings amid the pandemic last year. The integration is still underway and is expected to finish in early 2022. As part of the process, the company’s initial focus was to ensure seamless business continuity with customers and to assure employees that the acquisition is another part of the business. “From day one, we had communication with all our employees, giving them the rationale and logic of this merger with the customer centricity approach for which we are known in India and globally,” said P Kaniappan, Managing Director, WABCO India Ltd.

The acquisition is expected to create a powerhouse in the commercial vehicle space, offering better value and service, catering to demand for safety, dynamics controls, air suspension systems, fuel efficiency, emission reduction, fleet management and connectivity.

Wabco, which will be the 10th division of the Germany-based technology company, will operate as the independent Commercial Vehicle Control Systems division within ZF.

“We are updating our customers on the integration process, which is taking place at a global level. The integration process is very structured and professionally aligned internally,” added Kaniappan.

Wabco is the leading global supplier of braking control systems and other advanced technologies that improve commercial vehicles’ safety, efficiency and connectivity. Wabco is present in India for more than 60 years. Powered by its vision for accident-free driving and greener transportation solutions, Wabco India provides industry-leading solutions in the autonomous, connected and electric (ACE) domains to the commercial vehicle industry in India.

Currently, Wabco India Limited is a world-class manufacturer and local market leader in advanced braking systems, conventional braking products and related air assisted technologies and systems in India. Headquartered in Chennai, Wabco India has five manufacturing facilities, an advanced technology development centre, a vehicle testing facility and a nationwide aftermarket distribution and services network. Wabco India is committed to the long-term success of its customers by leveraging Wabco’s robust global technology portfolio.

Though Kaniappan agrees that the integration would have been a smoother ride if the pandemics had not caused subsequent lockdowns, he said the employees’ safety and health have always been paramount for the company. “Yes, the focus could have been much more intense (on the integration), and the timeline could have been shorter. But by the time we started the integration, the pandemic was already affecting the world. So that’s the reason we had to stretch the integration deadline.”

Wabco is betting high on all its product range considering the new regulations related to safety, emission, fuel economy and total cost of ownership. According to Kaniappan, Wabco braking system will remain the main growth driver for the company. India has been traditionally the drum brake system market. However, with the growing emphasis on safety and new mobility, the Indian auto industry is slowly moving on to the air disc brake (ADB), which offers better safety, service, comfort and overall cost. The ADB offers a shorter stopping distance, consistent brake performance and very high mechanical efficiency. The prime advantage of ADB is in weight reduction; the single-piston allows to deliver the same performance with a significantly lower number of components, which in turn minimises parts failure. The company launched disc brake systems for the bus segment, mainly for the front axle. “Within our brake system, the company also aims to improve the efficiency of the braking system that consumes energy,” added Kaniappan.

He also added that the increased axle load norm demands improvement in the braking system. As a result, the company has upgraded all its braking system products to support the customers, which involves upsizing the compressors or optimising the size of the compressors, upgrading the air management system products, and in some cases, changing the actuators and other elements of the braking system to handle the higher axle load requirement.

Commercial vehicles, trucks, buses and multi-axle vehicles account for a third of road accidents in India. About 84 percent of accidents occur owing to loss of control.

India is also in the process of making electronic stability control (ESC) mandatory soon. The draft notification has been issued for the ESC for buses, which is expected to come into force by April 2023. It aims to achieve higher standards of safety for all categories of vehicles. Wabco India has already been supplying Electronic Stability Control (ESCsmart) for trucks and buses. The ESCsmart improves vehicle stability during highly dynamic driving manoeuvres. ESCsmart provides yaw control on low friction road conditions and roll stability control on high-friction road conditions. It operates independently of driving and load conditions and delivers outstanding control quality due to self-adapting capabilities on the road.

In addition, Indian customers are now testing and evaluating some advanced emergency braking systems for collision avoidance, which immediately assists and alerts the driver. The Wabco executive expects autonomous emergency braking (AEB), which has collision warning systems and collision mitigation systems, will soon be introduced in India. “The technologies available with both companies are to be localised at an appropriate time,” he added.

Wabco India also offers solutions to make air suspension intelligent. The company’s air suspension with electronic control air suspension technology (ECAS) is an alternative to the steel-spring suspension. It improves fuel economy, increases ride comfort, enhances passenger safety and improves vehicular stability. With this technology, the vehicle can sense the road and distribute the load, and the whole system can be raised or lowered to give reduced drag and roll-over protection. Usually, on bumpy roads, air depletes in the suspension; however, ECAS can ignore small humps on the road and air depletion will occur only during the heavy bumps. “With the ECAS, we can reduce air consumption, resulting in saving fuel. As every vehicle goes through a bumpy road, the air depletes. Our electronic control can programme the system so that it does not deplete, and it improves the fine balance of the compressor running. Plus, it can also raise and lower the height of the vehicle’s suspension. This fuel-saving technology will find its place due to CAFÉ norms. This technology is also progressively coming into the Indian market, and we are working with some customers,” added Kaniappan.

Tyres are the only component that touch the road, which influences the safety and fuel efficiency of the vehicle as well. Inappropriately aired tyres impact the fuel economy and tyres’ life and could also cause accidents. As per a report, over 30 percent of truck breakdowns were caused by tyre failure. Wabco India’s OptiTire, tyre pressure monitoring system (TPMS), helps maintain tyre pressure at the recommended level and detects slow punctures early. This also helps in improving fuel efficiency, rolling resistance and reduction in CO2 emission. The company is also working on getting TMPS sensors localised to make the technology competitive in the country.

The AIS 140, standards published by the Automotive Research Association of India (ARAI), mandates a vehicle-tracking device and an emergency button in all existing and new public-service and commercial vehicles. Wabco India also finds business opportunities in the vehicle tracking space.

Fleet management is also another area where Wabco sees more considerable opportunities as the fleets are now realising the importance of the total cost of ownership through such programmes. In addition, Wabco offers its connected vehicle programme for OEMs.

Wabco India also launched fleet management solutions or connected vehicle programme. The company has already strengthened its connected vehicle solutions after the acquisition of Transics. The company has developed a solution in India for the Indian market in the local context. It has partnered with a few customers and is powering its connected vehicle solutions by providing end-to-end solutions from hardware, firmware and software. This includes advanced fuel management, uptime monitoring, trip monitoring and route management, vehicle diagnostics, track and trace of fleets, helping improve fleet logistical efficiency and the safety and comfort of passengers and drivers.

For the aftermarket, WABCO acquired AssetTrackr. Asset Trackr offers global capabilities with a value proposition for the Indian market. The company is now leveraging its aftermarket and using the aftermarket network, service centres to promote Asset Trackr as another significant new revenue stream.

Demand for OE commercial vehicles has been slackening for two years. In FY20, commercial vehicle sales plunged 29 percent , followed by over 20 percent in FY21. As a result, the company is banking on its reach and product offering in the aftermarket business. Wabco India’s aftermarket business grew over 50 percent in the first three months of this calendar year.

Taking a lesson from the pandemic that has severely impacted commodity prices, Wabco explores the chances to procure steel, aluminium from the prime producers in the local market to have stability in supply. “We have learned a lot during recent times. We can anticipate the things in a much better way and can have better preparedness, flexibility and agility which will help us to face any potential headwinds that are going to come,” added Kaniappan. (MT)

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French automotive major Renault Group has appointed Francois Provost as the new CEO of Renault S.A. and Chairman of Renault s.a.s., effective 31 July, for a term of four years. The move is part of the recommendation of the Renault Group Board of Directors, under the chairmanship of Jean-Dominique Senard.

Provost earlier held the position of Chief Procurement, Partnerships and Public Affairs Officer and comes with over two decades of experience within the Renault Group. The company stated he has strong international experience in both operational and strategic roles, an in-depth understanding of the sector’s challenges.

In his new role, he will be responsible to continue and accelerate the development of Renault Group, particularly internationally. Through partnerships, capitalise on its strategic agility and maintain high performance standards, in full respect of the company’s values.

Jean-Dominique Senard, said, "I am confident that François Provost will lead the Group with discernment and determination in an environment that demands both rigor in execution, strategic vision, and the ability to innovate. In this rapidly changing industry, his determination and sense of responsibility will be true assets to guide the teams and sustain our momentum. At Renault Group, there is no place for the status quo. Thanks to his expertise and knowledge of the company, we will be able to complete the implementation of our strategic plan, finalise the terms of the next one, and ensure its successful execution. I sincerely look forward to working with him. I would also like to warmly thank Duncan Minto for serving as interim during these past few days."

Francois Provost, said, “It is with pride and gratitude that I welcome my appointment. I would like to warmly thank my President, Jean-Dominique Senard, and the Board of Directors for the trust they have placed in me. I have a special thought for the teams across the Group who have supported me throughout these past 23 years. I will dedicate all my energy and passion to contributing – alongside our 100,000 employees, our dealers, suppliers and partners – to the development of our Group, one of the flagships of French industry for the past 127 years. Renault Group benefits from strong fundamentals, with committed teams, an outstanding range of products, strong brands, and an innovative organisational model. These will be invaluable assets as we accelerate our transformation in an increasingly demanding environment for our industry. You can count on my commitment and determination to write the next page of our history together.”

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In what may come as no surprise, United States President Donald Trump has announced 25 percent tariff and additional penalty for goods imported from India starting 1 August 2025.

The announcement was made by Trump on social media platform ‘Truth Social’, wherein he stated that ‘While India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country. Also, they have always bought a vast majority of their military equipment from Russia, and are Russia’s largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE — ALL THINGS NOT GOOD! INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST FIRST. THANK YOU FOR YOUR ATTENTION TO THIS MATTER. MAGA!’

Over the last few months, India has been trying to work with the United States government to reach a trade deal, but no concrete deal has been finalised as of yet.

Reacting to the announcement, the Indian government stated, ‘The government has taken note of a statement by the US President on bilateral trade.  The government is studying its implications. India and the US have been engaged in negotiations on concluding a fair, balanced and mutually beneficial bilateral trade agreement over the last few months. We remain committed to that objective. The government attaches the utmost importance to protecting and promoting the welfare of our farmers, entrepreneurs, and MSMEs. The government will take all steps necessary to secure our national interest, as has been the case with other trade agreements including the latest Comprehensive Economic and Trade Agreement with the UK.’

At present, India’s top five exports to the United States include precious stones, metals & pearls (14.3%), electrical machinery & electronics (14%), pharmaceutical products (12.6%), machinery, mechanical appliances & parts (7.7%), mineral fuels, mineral oils and products of their distillation (6.1%).

While nuclear reactors, boilers, machinery parts; mineral fuel, oil; optic, photo, medical, surgical instruments; electric machinery; and pharamecutical products were the key imports for India from the USA.

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Delhi has prohibited fuel sales to petrol vehicles older than 15 years and diesel vehicles exceeding 10 years. The ban, enforced through automated Automatic Number Plate Recognition (ANPR) cameras at fuel stations and strict penalties, impacts over 6.2 million vehicles. With transport contributing 51 percent of Delhi’s pollution (as per CSE), the policy aims to reduce emissions but raises concerns over vehicle owners’ livelihoods.

The Indian Auto LPG Coalition (IAC), the nodal body for the promotion of Auto LPG in India, emphasises retrofitting older vehicles with cleaner fuels as an immediate, cost-effective solution. Auto LPG significantly cuts emissions without requiring premature scrapping of vehicles. The IAC urges the government to simplify and incentivise retrofitting, ensuring a smoother transition for affected citizens.

As Delhi balances environmental and economic priorities, promoting Auto LPG retrofitting could offer a sustainable path forward – reducing pollution while preserving mobility and livelihoods. This approach may also serve as a model for other Indian cities battling similar air quality challenges.

Suyash Gupta, Director General of Indian Auto LPG Coalition, said, “Delhi stands at a fundamental crossroad in its battle against the rising air pollution. The current ban, while bold, will disrupt the lives of millions unless we provide a viable alternative. By promoting retrofitment to Auto LPG, we can offer immediate relief to vehicle owners and the environment alike. Auto LPG retrofitment is a proven, affordable and scalable solution that can help Delhi achieve its clean air goals without forcing citizens to scrap their assets prematurely. The government’s support in incentivising and simplifying the retrofitment process will be crucial in making this transition both practical and impactful.”

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The United Kingdom has announced nearly GBP 6 billion in new investments and export wins tied to the UK-India Free Trade Agreement (FTA), with significant implications for the automotive, aerospace and advanced manufacturing sectors. The deal, signed during UK Prime Minister Keir Starmer’s meeting with Indian Prime Minister Narendra Modi, is expected to create over 2,200 jobs in the UK.

Under the FTA, India’s average tariff on UK products will drop from 15 percent to 3 percent, with specific cuts for key sectors. Automotive tariffs of up to 110 percent will be reduced to 10 percent under a quota system, while aerospace tariffs (previously as high as 11 percent) will be eliminated. Tariffs on electrical machinery will also fall, potentially halved or brought to zero, depending on product classification.

The UK government estimates the trade deal will increase UK exports to India by nearly 60 percent and raise bilateral trade by 39 percent by 2040, compared to current projections without the agreement.

British automotive, aerospace, and advanced manufacturing players are among the biggest beneficiaries:

Rolls-Royce and Airbus will begin delivery of aircraft powered by Rolls-Royce engines to Indian airlines as part of contracts worth around GBP 5 billion. The orders are expected to support jobs in Filton, Broughton, and Derby.

International Aerospace Manufacturing (IAMPL) — a joint venture between Rolls-Royce and Hindustan Aeronautics — is investing GBP 30 million to expand its facility in Hosur, India.

Johnson Matthey will invest GBP 4 million in new plants at Taloja and Panki, supporting up to 20,000 jobs in India during construction, alongside over GBP 20 million in secured contracts for engineering and catalyst supply.

Wilson Power Solutions will invest GBP 21 million in Chennai to expand transformer manufacturing capacity.

Helical Tech is committing GBP 5.72 million in overseas direct investment (ODI) to expand its Pune facility as a global supply hub.

The agreement also unlocks procurement opportunities in India’s clean energy market and improves market access for UK manufacturers across sectors such as components, electrical machinery, and mobility technologies.

On the export front, UK companies such as Carbon Clean, Occuity, Aurionpro, DCube AI, and Kyzer Software are tapping into Indian demand for carbon capture, healthcare tech, AI, and fintech. Combined, their deals are set to contribute hundreds of millions in export value over the next five years.

Jonathan Reynolds, Business and Trade Secretary, UK, said, “The almost GBP 6 billion in new investment and export wins announced today will deliver thousands of jobs and shows the strength of our partnership with India.”

The FTA also paves the way for long-term collaboration in defence manufacturing, semiconductors, AI, quantum computing and other critical technologies.

The UK currently imports GBP 11 billion in goods from India annually. With liberalised tariffs, the government expects significant cost savings for UK firms importing automotive and advanced manufacturing components, aiding domestic production and supporting supply chain resilience.

Shailesh Chandra, President, SIAM and Managing Director, Tata Passenger Vehicles & Tata Passenger Electric Mobility, said, “The Indian automobile industry congratulates the Government of India for its tireless efforts in bringing the India–UK Free Trade Agreement (FTA) to fruition. This landmark development marks a significant step forward in strengthening India’s global economic engagement, particularly with developed economies. As two major economies enter a new phase of partnership, SIAM appreciates the Government’s extensive stakeholder consultations throughout the negotiation process. Concluding this transformative agreement amid global trade uncertainties reflects India’s growing leadership in shaping modern trade and investment frameworks.”

The commitments made by the Government of India on automobile sector tariffs strike a thoughtful balance—addressing consumer interests while supporting the broader goals of Indian industry. We view this agreement as part of a wider strategic engagement and believe it opens new avenues for collaboration and opportunity with a key global partner. SIAM remains committed to working closely with the Government of India to ensure the benefits of the agreement translate into greater growth, global competitiveness, and technological progress for the Indian automotive industry,” added Chandra.

Shradha Suri Marwah, President, ACMA, said, “The Automotive Component Manufacturers Association of India (ACMA) welcomes the signing of the India-UK Comprehensive Trade Agreement as a landmark development in the bilateral relationship between the two nations. This agreement is poised to usher in a new era of economic cooperation, fostering greater market access, technology partnerships and value chain integration between the Indian and British automotive industries. The CETA is expected to benefit the Indian auto component sector through enhanced opportunities for exports, streamlined regulatory processes, particularly in key areas such as electric mobility, precision engineering and lightweight materials. Indian MSMEs, which form the backbone of our industry, stand to gain from the liberalised terms of trade and improved access to UK markets. We are hopeful that the agreement will also promote collaboration in R&D, skilling and innovation, especially in green and digital technologies – areas that are crucial for our sector’s long-term competitiveness and sustainability. ACMA congratulates the government of India and the United Kingdom for their vision and commitment in bringing this agreement to fruition. We look forward to working with our counterparts in the UK to realise the full potential of this partnership, and to strengthen our collective contribution to global automotive value chains.”

Dr Anish Shah, Group CEO and MD, Mahindra Group, said, “The landmark trade agreement between India and the UK marks a transformative moment in the global economic landscape. It’s not just a win for trade, but a blueprint for a modern, values-led partnership that puts innovation, sustainability, and inclusive growth at the heart of global collaboration. At Mahindra, we believe deeply in the power of such cross-border partnerships to unlock economic potential, create high-quality jobs, and accelerate progress in future-facing sectors from green mobility and clean energy to digital technologies and advanced manufacturing. The UK-India Vision 2035 aligns closely with our own strategic priorities building resilient supply chains, investing in frontier technologies, and fostering a just transition to a low-carbon economy. As Indian industry becomes increasingly global in its footprint and ambition, we look forward to contributing meaningfully to this next chapter of UK-India cooperation.”

Sudarshan Venu, Managing Director, TVS Motor Company, said, “We are deeply inspired by Prime Minister Narendra Modi’s vision of Viksit Bharat and his unwavering commitment to making India a global manufacturing and design powerhouse. The signing of the India-UK Free Trade Agreement is a pivotal moment—it opens new frontiers for Indian companies to take ‘Make in India’ to the world. We are particularly excited given the launch of new Norton vehicles this year, which will benefit from the strengthening of trade links between India and the UK. It energises our global ambitions and strengthens our resolve to build world-class products and brands.”

A spokesperson for JLR said: “We welcome this free trade agreement between the UK and India, which over time will deliver reduced tariff access to the Indian car market for JLR's luxury vehicles. India is an important market for our British built products and represents significant future growth opportunities.” 

Amit Kalyani, Vice-Chairman & Joint MD, Bharat Forge, said, “Congratulations to Prime Minister Narendra Modi on the historic India–UK deal signed yesterday! #IndiaUKFTA marks a breakthrough for India’s engineering and manufacturing industries, with zero-duty access on about 99% of tariff lines covering almost 100% of trade value. Indian manufacturers can now tap into the UK market with greater competitiveness, improving their global footprint. I’d like to extend my appreciation to Hon’ble Minister of Commerce and Industry, Piyush Goyal ji for his pivotal roles in facilitating this partnership. I look forward to seeing the positive impact of this agreement on trade, investment, and economic growth in both the countries.”

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