In order to achieve that, the automotive sector would need to grow at an average nominal rate of 11 percent in topline revenue in dollar terms, according to Goenka.
Analysts say concerns around how a new government’s financial policies could affect peoples’ income, and restrictions on moving large amounts of cash during the election
During the first 11 months of this fiscal, passenger carmakers sold 38,59,000 units of sedans, utility vehicles (UVs) and hatchbacks, registering an 8.6 percent increase from 33,53,000 units during the corresponding period last year
In home loans which are floating rates the repo rate increase comes immediately into the retail loan rates but in the case of auto, almost 98 per cent is fixed rate loans.
The new norms are likely to lead to an increase in vehicle prices. As manufacturers have been forced to hike prices hikes over the past 15-18 months due to inflation, any further rise could dampen demand.
Although there has been no formal announcement by the government to ban imports from China, the industry’s concerns are not unfounded
Indian auto industry is looking to partner Australian companies in the areas of R&D, design, product development and engineering.
The two wheeler industry is going through a rough patch, however Kevin D'sa, vice president- finance, Bajaj Auto is hopeful that the sentiment will revive going ahead.
CNBC-TV18's Senthil Chengalvarayan talks to Pawan Goenka, president of the Auto Motors and Farm Equipments sectors at Mahindra and Mahindra to find out whether slow growth in auto sector is a cause for worry or is it just return normalcy.
The Indian auto industry has remained in top gear in the month of May. Clearly, FY12 has gotten off to a good start and mainly due to strong domestic demand, reports CNBC-TV18's Swati Khandelwal.