India Growth Story - Air Space

Prime Minister Shri Narendra Modi and his Spanish counterpart Mr Pedro Sanchez today jointly inaugurated TATA Aircraft Complex for manufacturing of C-295 transport aircraft in Vadodara, the first private sector Final Assembly Line for military aircraft in the country. PM Modi stated that the facility reinforces India's position as a trusted partner in global aerospace manufacturing. 

https://pib.gov.in/PressReleasePage.aspx?PRID=2068818

America Headed For Bankruptcy in 2025

Since the outbreak of COVID-19 pandemic, America's debt has increased by nearly USD 16 trillion, marking the highest debt accumulation in the history of the country. it's Debt-To-GDP Ratio Crosses 200%, Every Citizen Now Has A Debt Of Over $100,000, It means that every citizen of America carries a debt burden of USD 108,000. It is noteworthy that, the deficit spending as a percentage of GDP has reached levels comparable to those during World War II

The debt of the world's largest economy has surged to a staggering USD 36 trillion. This CY, the debt has risen by USD 2 trillion. Over the last 316 days, the U.S. debt has increased by USD 6.3 billion daily, which is approximately Rs 5,31,94,85,78,490.

How Will the Government Reduce Spending?

* Trump is addressing the national debt issue by establishing the Department of Government Efficiency.

* The new department's goal is to reduce government spending and enhance operational efficiency.

* Elon Musk and Vivek Ramaswamy have been appointed to lead the initiative.

* Musk believes he can significantly reduce the federal budget, potentially saving billions.

* Proposed cuts include reductions in public broadcasting budgets and financial support for abortion rights advocacy groups.

■ The spiralling national debt in the U.S. has witnessed a huge increase over the past two decades, multiplying six-fold from a mere USD 5.7 trillion at the start of the millennium to an overwhelming USD 23.2 trillion by 2020.

■ According to forecasts based on U.S. Congressional budget records, we could see this debt soaring to a staggering USD 54 trillion in the forthcoming decade. 

■ As of now, the national debt stands alarming at 125percent of the total GDP of the country.

■ Consequently, the U.S. government finds itself expending more than a billion dollars each day just to cover the interest on this colossal debt, indicating shrinking government revenues allied with escalating expenses.

■ The current situation is not favourable for the country's economy or national security. 

■ The US government may spend more on interest payments than development, infrastructure, and education combined.

■ Notably, US debt is increasing at a time when the country's economy is in good condition.

■ This increasing debt can lead to another government shutdown. It is noteworthy that disagreements over the national debt is common between Republicans and Democrats as both parties have contributed to the growing national debt during their terms.

*In August 2023, Fitch downgraded America's sovereign debt rating from AAA+ to AAA. Moody's also stated that it may downgrade the U.S. rating. In June 2023, US came very close to defaulting on its debt, and this situation could occur again.

Indian unveil PAN 2.0

With cutting-edge technology and a QR code for enhanced security and usability, the government unveiled the PAN 2.0 initiative. Will your existing PAN card, which does not have a QR code, remain valid until a new card is delivered and activated by each of the 78 Karore users? In this case, the user does not need to apply or take any action in advance; the government will send the new PAN to the user's registered address.

PAN is valid document for any person working or doing business in India. Residing Foreign Directors of Companies established on Indian Soil are mandatorily need PAN Card.

US President Elect has started planning ahead

New tariffs imposed by Donald Trump on China, Canada, and Mexico include a 10% tax on Chinese goods and a 25% tax on imports from nearby countries. The Canadian dollar and Mexican peso are in a spiral as a result of this action, which is intended to crack down on illegal immigration and the fentanyl trade. 

October 2024 PV Sales is alarming

In the first half of fiscal year 2025, the combined market share of India's top two automakers, Maruti Suzuki and Hyundai, dropped to a 12-year low. This coincides with the rise in popularity of Mahindra & Mahindra and Toyota, with Mahindra's market share hitting a record high of 12.5% as a result of robust SUV sales. This trend reflects the continuous evolution of consumer tastes and competitive positioning in India's PV industry. The Society of Indian Automobile Manufacturers (SIAM) recently released sales figures showing a 17% decline in passenger car sales in October. On the other hand, October had the highest-ever sales of passenger vehicles (PVs), which comprise all passenger vehicles such as buses, cars, and autos, with 3,93,238 units sold—a 0.9% increase over October 2023.

インドにおける日本企業 ? 急速に存在感を増す

  

最新のデータによると、インドで事業を展開している日本企業は約 1,439 社です。これらの企業は、自動車、電子機器、医療機器、消費財、繊維、食品加工、化学など、さまざまな分野にまたがっています。施設の面では、これらの日本企業はインド全土に約 4,948 の事業所を設立しています。これには、製造ユニット、支店、その他の事業拠点が含まれます。特に、製造部門がこれらの事業所のかなりの部分を占めています。

マルチ・スズキ、トヨタ・キルロスカ・モーターズ、ホンダ、ユニクロ、三菱グループ、日立、三井などの大手日本企業、およびみずほコーポレート銀行や三井住友銀行などのいくつかの金融機関は、インド市場の主要プレーヤーです。

インドには、多数の中小規模の日本企業が事業を展開しています。これらの企業は、さまざまな業界や分野にまたがることが多く、インドの経済と産業の展望に大きく貢献しています。インドにおける日本の中小企業の主要分野: 自動車部品、電気電子機器、ヘルスケア、IT およびソフトウェア サービス。

今後の展望

2022 年時点で、インドに進出している日本企業の 72.5% が、今後 1 ～ 2 年で事業を拡大することを目指しており、これは世界最高の割合です。

日本企業は自動車分野を超えて多様化しており、小売業者、食品サービス会社、再生可能エネルギー、環境技術、食品関連企業がインドに進出するケースが増えています。日本の中小企業や新興企業もインド市場に関心を示しています。

政府の支援

インド政府は、日本の中小企業を誘致するために、好ましいビジネス環境の創出、二国間関係の強化、特定のインセンティブの提供に重点を置いて、いくつかの対策を実施しています。主な対策は次のとおりです。ビジネス環境の整備イニシアチブ、二国間協定およびパートナーシップ、日本企業向けの経済特区 (SEZ)、インセンティブと補助金、分野別政策。

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Mercedes-Benz E-Class

The Mercedes-Benz E-Class LWB launched in India in 2024

The new Long Wheelbase E-Class from Mercedes-Benz India features modern technology, luxury comfort, and safety, all specifically designed for Indian roads.

Delhi. Mercedes-Benz India is still the market lead in luxury sedans after officially launching the new Long Wheelbase (LWB) E-Class. The E-Class has established a solid reputation as one of the most well-liked vehicles in India, having sold over 57,000 units. Since 1995, it has also been the longest-running premium vehicle produced in the locality.

Recycle old EV batteries

 JSW MG plans to recycle used EV batteries

For large-scale energy storage, JSW MG Motor India will supply damaged EV batteries to Vision Mechatronics, which will recycle them using a proprietary battery management system (BMS).

The first product has been developed for an industrial site in Pune to show the adaptability and efficiency of second-life EV batteries. The project with Vision Mechatronics, a technological business in the field of second-life batteries, will initially focus on a UPS backup solution.

Several small and medium-sized businesses that are searching for affordable, environmentally friendly energy storage alternatives are anticipated to benefit from this scheme.

ZEO electric four-wheeler

 Mahindra introduces ZEO, a starting price of Rs 7.52 lakh, into the electric small commercial segment.

On Thursday, Mahindra & Mahindra revealed the ZEO electric four-wheeler, signifying the company's debut into the electric small commercial vehicle market. The ZEO belongs to the under 2-tonne vehicle category and is priced at ₹7.52 lakh (ex-showroom), with a focus on last-mile mobility solutions.

Key features of ZEO

• Featuring a single charge capacity of 160 km, it is powered by a 30 kW motor and a 21.3 kWh battery.
• Fast charging capabilities support for a 60-minutes range of 100 kilometers.
• With a payload capability of up to 765 kg and increased cargo space, it may be modified to fulfill a wide range of commercial requirements.
• automated features for fleet management and real-time data access include NEMO telematics, automated the transmission, and creep function.
• Along with safety features like Hill Hold Assist and an ADAS-enabled Driver Monitoring System, the vehicle has a battery warranty that lasts for seven years / 1.5 lakh kilometers.
  
  

 

Rajasthan govt and Tata Power sign an MoU

 Tata power and the Rajasthani government sign an agreement to invest Rs 1.2 lakh crore in the power sector.

The ambitious 10-year plan invests in manufacturing, transmission, distribution, nuclear power, rooftop installations, electric vehicle charging, and renewable energy projects in an effort to support Rajasthan's transition into a power surplus state that can provide a clean, affordable, and consistent power supply at all times. 

The MoU will significantly improve the State's socioeconomic situation and generate over 28,000 new direct jobs. Tata Power would support the expansion of regional businesses in sectors like solar manufacturing, infrastructure construction, and advances in renewable energy.

Tata Motors: Jaguar land rover to be made in India

Tata Motors begins construction on a Tamil Nadu plant to manufacture JLR automobiles.

On Saturday, Tata Motors formally opened a new manufacturing plant in Panapakkam, Tamil Nadu. The plant's goal is to produce SUVs and four-wheelers of the next generation for both home and foreign markets. Interestingly, JLR plans to use the same factory for its next generation of electric vehicles. About Rs 9000 crore will be invested in this new plant by Tata Motors. This the plant would be able to produce over 2.5 lakh cars annually.

•  Over 5,000 employment (direct and indirect) will be created by the new plant.
• Its activities will run entirely on renewable energy.
• Jaguar will also manufacture cars at the same plant.
  
  
  

Smartphones Surpassing The Diamonds

 India's #1 export to the US is smartphones, surpassing diamonds: Report

Smartphones—led by Apple iPhones—have overtaken non-industrial diamonds as India's top export to the US. As per figures reported by Business Standard from the Department of Commerce, smartphones have surpassed non-industrial diamonds in value to become India's top product sent to the US in the last three months. 

In the June quarter, the value of smartphones exported exceeded that of non-industrial diamonds by $2 billion. The study also stated that exports were worth $1.44 billion. The main factor driving the increase in smartphone exports was iPhones.

First Chip Factory in India

Tata Electronics and PSMC agree to collaborate for a Semiconductor manufacturing facility valued at Rs 91,000 crore. 

On Thursday, Tata Electronics declared that it has signed a significant agreement with Powerchip Semiconductor Manufacturing Corporation (PSMC) of Taiwan to establish the first semiconductor manufacturing facility in India, located in Dholera, Gujarat. 

As per to the deal, PSMC will license a wide range of technologies, support the fab unit's engineering, and assist with the design and construction of Gujarat's first AI-enabled greenfield fab.

The company is investing up to Rs 91,000 crore, (~ $ 11 billion), to establish a chip manufacturing facility in Dholera, Gujarat.

India Success Story

Param Rudra Supercomputers 

PM Modi ji launches 3 indigenous Param Rudra supercomputers 

Three PARAM Rudra supercomputers, developed indigenously  under the National Supercomputing Mission, were launched by Prime Minister Narendra Modi on Thursday, September 26.

Modi added, addressing scientists and others via video conference, that these supercomputers, which were constructed at a cost of ₹130 crore, have been deployed in Pune, Delhi, and Kolkata to support innovative scientific research. The ₹850-crore high-performance computing system designed for meteorological and climate research was also inaugurated by PM Modi.

 

Foodgrain Production

Foodgrain output is predicted to reach a record 332.3 million tons in 2023–2024.

The extraordinary output of wheat and rice in the 2023–24 crop year, that ended in June, helped India's foodgrain production hit a record 332.22 million tons, the agriculture ministry said on Wednesday.The latest estimate for 2023–24 indicates a 2.61 million tonne rise over the 329.6 million tonne of the previous year. From 135.75 million tons in 2022–2023 to a record 137.82 million tons, rice production increased. In addition, wheat production reached a record high of 113.29 million tons, up from 110.55 million tons the year previous. But the output of oilseeds decreased to 39.66 million tonne from 41.35 million tonne, and the production of pulses decreased to 24.24 million tonne from 26.05 million tonne. Cotton output declined to 32.52 million bales from 33.66 million bales, and sugarcane production decreased to 453.15 million tonne from 490.53 million tonne.

SiliconAuto R&D in EVs

 Automotive semiconductor technology R&D is established in India by a joint venture between Foxconn and Stellantis.

SiliconAuto has established an R&D center in Bengaluru with the support of Foxconn.
The center's mission is to drive innovation in connected automobile and electric vehicle technology. The business aims to strengthen its staff by hiring top engineers and designers. SiliconAuto is a joint venture between Hon Hai Technology Group (Foxconn) and Stellantis NV, both situated in the Netherlands. According to SiliconAuto, the India design center will focus on the creation of next-generation semiconductor solutions for connected car technologies, autonomous driving, and electric cars (EVs).

EV Revolution - MP (India)

There will be 100 e-buses operating on Bhopal roads in a year. 
As part of the PM e-Bus Sewa programme, about 100 electric buses would be installed on Bhopal's roads in less than a year. Convergence Energy Services Limited (CESL) will procure and contractors will operate the buses.There would be 150 e-buses operating in Indore, 100 in Jabalpur, 32 in Sagar, and 30 in each of Gwalior and Ujjain in addition to the state capital. There will also be 70 and 40 7 million electric buses in Ujjain and Gwalior, respectively.

The luxury brand "MG Select" will launch in 2025, according to JSW MG Motor India.

 The luxury brand MG Select will make its debut in Q1 2025, according to an announcement released by JSW MG Motor India. The strategy competing with well-known brands in India's luxury car industry with the goal of capturing the expanding premium car category by focused on electric and hybrid types.

EV Penetration Target

The Indian government has committed to making 30% of new vehicle sales in India EV-based by 2030.

As a percentage of all vehicle sales, the sales of gasoline vehicles have significantly decreased, falling from 86% in 2020 to 76% in 2023, while the sales of diesel vehicles have slightly decreased, falling from 12% in 2020 to 11% in 2023. On a much smaller base, however, the sales volume of alternative fuel-driven vehicles has increased by more than 400% in Calendar Year (CY) 2023 compared to CY2020.

EV 2W Sales - August 24

Ola and Ather's sales as of August 2024 trail those of TVS, Bajaj, and Hero put together. In August 2024, Ather and Ola had fallen from 47.9% in July to over 43%, while the established companies had over 43% of the entire e2w market during the same time frame.

Ford Re-enters in India

For the third time, US automaker Ford ventures into India.
Ford Motor Company intends to reopen its Chennai facility, with an initial emphasis on producing vehicles for export. The business, which had previously left the Indian market, is now placing its bets on the country's future. In an effort to capitalize on regional manufacturing know-how, Ford made this choice after meeting with the chief minister of Tamil Nadu.

New Technology in Mobility

Bosch aims to supply commercial cars with hydrogen engine powertrains in China and India.

There is much potential for both China and India to use this new green hydrogen power technology. Many sources of green hydrogen are accessible in India, which could help advance this new technology, according to Andreas Dempf, Head of Sales and Customers for Bosch's Mobility Solutions business unit. The technology of hydrogen engines offers the chance to recycle existing parts, which helps to lower the cost of the parts used in the cars.

Global auto technology major, Bosch is eyeing India and China as their potential big market for its new hydrogen engine powertrain technology deployed in commercial vehicles. Bosch is currently demonstrating multiple technologies in the commercial vehicle segment at IAA Transportation 2024.  The first hydrogen-powered test cars in India are now on the road, and Bosch provides several parts for them. These comprise sensors, control units, software, tank valves, injection systems, and other essential parts of hydrogen propulsion.

Subsidies Status in EV Market Place in India

The primary factor driving EV sales in India has been subsidies, which have drawn new competitors as well as increased sales volumes for established players. Longer-term volume and competition may result in reduced prices, increased innovation, and better quality, making EVs appealing to buyers even in the absence of a subsidy.

Although cost is a major factor in the acceptance and growth of the EV ecosystem, subsidies are not long-term viable; the most recent program is only good for two years. Since the largest barriers to EV adoption at the moment are high upfront costs, somewhat lengthy recharge periods, and spotty charging infrastructure—all of which PM E-Drive also targets—the solution lies in operations and technological practices. Thus, new or improved technology will be crucial to India's next phase of progress.

Up until now, the majority of EV adoption has been fueled by subsidies and a positive Total Cost of Ownership (TCO). However, forward-thinking OEMs need to investigate novel releases and cost-cutting measures. For example, sub-segments that require larger batteries, like motorbikes, can be taken into consideration when lithium-ion cells become more affordable. A number of e-motorbikes with quick charging, numerous battery pack swappable, greater drive range, and faster top speeds are about to be released.

What will propel India's adoption of EVs into the next phase?

The PM E-Drive Scheme prioritizes infrastructure charging and EV promotion through demand incentives. It offers an INR 10,900 crore subsidy over two years. Public transportation buses (more than 14,000 e-buses), two- and three-wheelers (million and 316,000, respectively), and e-trucks to some extent are among the beneficiaries of the INR 500 crore subsidy offered to those with scrapping certificates from vehicle scrapping centers.

Approximately 3.9 million EVs have been sold in India since the Faster Adoption and Manufacturing of Electric and Hybrid Vehicles (FAME) subsidies were introduced in April 2015; 70% of those sales have occurred in the last two years alone.

However, up until July, sales for FY25 had continuously exceeded those for FY24. This implies that India's car electrification is starting to support itself.

With a two-year subsidy of INR 10,900 crore, the PM E-Drive Scheme prioritizes the development of EV infrastructure and demand-driven incentives. Public transportation buses (more than 14,000 e-buses), two- and three-wheelers (2.48 million and 316,000, respectively), and e-trucks to some degree are the largest beneficiaries because the INR 500 crore subsidy is only available to those who possess a scrapping certificate from a vehicle scrapping center. Over 72,000 fast chargers will be installed as part of the INR 2,000 crore budget, primarily for e-two- and e-three-wheelers in some towns, but also for buses and four-wheelers.

MG Motors and JSW working together in India

Additional In India, there is a waiting competition in the luxury car segment's backyard.

 

Battery and Energy Storage @ India

 India has potential to produce lithium-ion batteries, Kashmir has 6% of global lithium stock, says Nitin Gadkari, the Union Road Transport and Highways Minister. He announced that Jammu & Kashmir holds 6% of the world's lithium stock, highlighting India's potential to produce lithium-ion batteries. He emphasized the future of electric vehicles and the need for fuels like ethanol and hydrogen. Gadkari also discussed India's growing automobile in and its significant export contribution

Mercedes Benz EV Launch 2024

 Mercedes Benz plans to locally assemble a second electric vehicle in India, driven by st demand. The company recently launched the Maybach EQS680 SUV and has received significant bookings. The EQS SUV 580 will be the next model assembled locally, aimin increase EV penetration in their portfolio.

German luxury carmaker Mercedes Benz has firmed up plans to locally assemble a second electric vehicle in the country enthused by demand for these cars, which have received bookings totalling INR 400 crore in the past couple of weeks. The company, which launched Mercedes Benz Maybach EQS680 SUV priced at INR 2.37 crore (on-road, Delhi) last week, has received 50 bookings for the top-of-the-line electric car. Mercedes has additionally received 80 bookings already for the electrified version of the G Wagon, which is slated to go on sale by the end of this year or early next year. Mercedes Benz EQG will be priced at INR 3.5 crore. The company’s total order bank for internal combustion engine (ICE) and electric models together stands at about 1800-2000 units, currently.