Automotive Updates - 5th May 2015

•  Hero MotoCorp. Ltd, India’s largest two-wheeler manufacturer, aims to generate as much as Rs.6,000 crore, or about 10% of its annual revenue, through sales of auto parts by 2020, three people familiar with the development said, requesting anonymity.The company started selling motorcycle components in 2013. It later announced a plan to set up a global parts centre (GPC) in Rajasthan with an investment of Rs.1,050 crore.“The business has received tremendous response. In 2014-15, revenue from the parts business reached Rs.1,800 crore,” said a person familiar with the development, who declined to be named.(livemint)

• Mercedes-Benz Research and Development India (MBRDI), a Daimler unit, is planning to add 1,700 engineers to its research and development centre in India by 2016.Primarily, it is keen on acquiring talent in the space of big data and IT security solutions. MBRDI has its R&D centre at Bangalore and a satellite office at Pune where about 2,300 engineers are working on emerging software, computer simulation, designing, telematics (blending of computer and wireless telecommunication technologies) and solutions in the digital space.(ETauto)

• Tata Motors will not be driving in a diesel engine powered Nano in the near future owing to issues related to “refinement and economics”.The company, which is expected to launch the GenX Nano soon, had developed a 2-cylinder 800 cc diesel engine that was also aimed at powering the small car but it has decided against using it for the time being.“The reason is that as we stand now, refinement is a challenge and what refinement can be given on this kind of a car (Nano) won’t be acceptable to the Indian customer,” Tata Motors Senior Vice President (Programme, Planning & Project Management, Passenger Vehicles) Girish Wagh told PTI.(financial express)

• Swedish luxury car-maker Volvo is exploring possibility of local assembly in India and a decision in this regard is expected this year. The plan is part of the company's ongoing efforts to look at possibilities of locally assembling vehicles in different part of the world. "An industrial team based out of Sweden looks out for opportunities across the world. It is also looking at the possibility of having local assembly in India," said an industry source.(cartrade.com)

• Michelin India has launched what it calls its internationally acclaimed premium range of SUV tyres in India – the Latitude Sport 3. The product, a third generation of the Latitude on-road SUV and CUV tyres in the Michelin line-up, is aimed at SUVs, a segment that has seen action with the launch of vehicles such as the Ford EcoSport and is slated to see a few new introductions as well. In a press note, the company said the LS3 stops 2.70 metres shorter on wet roads with 4 percent improvement in dry braking and is more fuel efficient because of 25 percent reduction in rolling resistance than the previous generation tyre. The tyre is said to provide a high level of comfort and maximum torque transfer when braking or accelerating, thus improving steering precision. - See more at: http://www.autocarpro.in/news-national/michelin-india-launches-latitude-sport-tyre-suvs-8346#sthash.llEvJzjW.dpuf

• Nissan has today announced the appointment of Sandip Neogi as Chief Financial Officer. Neogi will report to Guillaume Sicard, President Nissan India Operations, and will be based in Chennai. Neogi will be responsible for the financial performance and governance of all Nissan companies in India.(Etauto.com)

• German carmaker Volkswagen, has revealed that it plans to introduce four new models in India over the next two years. The four new models include a new compact sedan, the Beetle, the Passat B8 and the Tiguan SUV.At present, Volkswagen does not have a compact sedan to take on the likes of the Maruti Suzuki Dzire and Honda Amaze. The segment is highly lucrative and with even Ford gearing up to enter it with the Figo Aspire, Volkswagen does not want to be too far behind. The new car will be based on the Polo's platform. It is also likely to share the same 1.2-litre petrol and 1.5-litre diesel engine with the hatchback. Higher variants of the car are expected to get DSG gearboxes. (team-bhp)