Automotive Updates - 13th and 14th September 2014

• The domestic Indian automobile industry is most likely to miss the target set 10 years ago in the Automotive Mission Plan 2016 (AMP). It will fall short by as much as 20-25 percent, mainly due to the economic slowdown over the past three years that resulted in subdued market sentiments and in turn sluggish demand for vehicle sales. In 2006, the auto industry had set an ambitious target under the AMP 2016 to take its annual turnover to $ 145 billion (Rs with special emphasis on export of small cars, MUVs, two- and three-wheelers and auto components. (autocarpro.in)

• Tata Motors today signed Bonus and Permanency Agreement with Telco Workers Union here.It was mutually agreed that all permanent workmen would be getting an amount equivalent to 10.5 per cent of the annual salary/wages, consisting of Basic + Personal Pay + Dearness Allowance earned by them during 2013-14, a Tata Motors press release said. (economicstimes.com)

• Suzuki Motorcycle India is developing four new products which would be launched in the next two years, says a report in ET Auto.The product pipeline is reported to have a 100 cc commuter and also a possible 155 cc commuter based on the recently launched Suzuki Gixxer. The remaining two will be scooters.(indianautoblogs.com)

• German car parts maker ZF Friedrichshafen agreed to sell its steering systems business to Robert Bosch, a deal that paves the way for ZF to buy US-based TRW Automotive Holdings Corp.Bosch on Monday said it increased its stake in ZF Lenksysteme Gmbh to 100 per cent, from 50 per cent previously. Bosch did not disclose financial terms of the deal.ZF Lenksysteme has approximately 4.1 billion euros ($5.3 billion) in sales.(ETauto.com)

• Japanese car giant Toyota plans to increase operations in India's North Eastern region, where its sales have grown at double the national average of 3 per cent annually. The company, which is present in India through a joint venture with Kirloskar group, is looking to set up an area office in the North East considering its rising importance. (economicstimes.com)

• Mahindra and Mahindra, India's largest utility vehicle maker, is conducting early-stage studies on selling cars in the United States made by its wholly owned South Korean unit Ssangyong Motor Co, a senior executive said.(businesstoday.in)

• Mercedes-Benz India is gearing up to launch the GLA entry-level crossover on September 30. Following the GLA, the company has confirmed the launch of its entry-level CLA sedan by early next year. A report on Autocar Professional states that both these models will be assembled at the company’s Chakan plant in Pune, Maharashtra. The plant is currently undergoing capacity expansion. (indianautoblogs.com)

• Hero MotoCorp is planning to launch three new products by the end of 2014-15 fiscal, which will be comprised of two new scooters and one new motorcycle. The largest two-wheeler maker has a good portfolio of bikes from entry level commuter segment to basic sports models. It seems the company is intending to strengthen the scooter segment, currently dominated by Honda Activa.(rushlane.com)

• Fiat Avventura Contemporary Urban Vehicle (CUV) will be launched with two engines only; renowned 1.3 liter MultiJet diesel engine delivering 93 PS maximum power and 209 Nm peak torque, and 1.4 litre PDA petrol unit producing 90 PS max. power and 115 Nm peak torque. Both power houses are already doing duty in Fiat Punto EVO. Fiat Avventura crossover will get three diesel variants, base version Active, mid-level Dynamic and top end Emotion, whereas petrol Avventura will be available in two trims, entry and mid-variant.(rushlane.com)

•  India's third largest carmaker Honda CarsIndia is planning to set up its third manufacturing plant of the country in Gujarat, with the aim of making India a major export hub in future. The fully-owned subsidiary of Honda Motor Company of Japan has two manufacturing plants at Greater Noida in Uttar Pradesh and Tapukara in Rajasthan with a cumulative installed capacity of 2.4 lakh per annum. (economicstimes.com)