New Delhi [India], September 3 (ANI): Auto sector in India is seeing strong growth on the back of GST 2.0, lower interest rates and improving vehicle demand but there is a need to strengthen the domestic battery ecosystem, including cell manufacturing and charging infrastructure, experts have said.
Maruti Suzuki Senior Executive Officer, Marketing and Sales, Partho Banerjee said the company is growing by about 35 per cent in the current financial year and expects its market share to rise further as there is new production capacity.
He said the company is gaining market share, helped by GST 2.0, which has revived demand in the small-car segment. Maruti also expects its presence in the SUV segment to increase as its new lines ramp up.
“Our contribution is going up month after month. And we are expecting that as our new lines ramp up happens, we will be able to further increase our share,” Banerjee told ANI.
He also said lower interest rates and income-tax rebates are supporting vehicle demand by helping customers move from two-wheelers to four-wheelers.
Banerjee said Maruti has increased supplies of CNG vehicles to reduce the impact of higher fuel prices, with CNG vehicles now accounting for about 43-44 per cent of its total portfolio.
At the same time, he flagged concerns around battery storage and charging infrastructure as electric mobility expands.
Olectra Greentech Managing Director Mahesh Babu Subramanian also stressed the need to strengthen domestic cell manufacturing to support the next phase of electric mobility.
He said the industry has been working on domestic cell manufacturing but developing the technology requires a long gestation period.
“I agree today we have a challenge in cell manufacturing in the country,” Subramanian told ANI.
He said India needs domestic cell manufacturing on large scale and he would continue to support initiatives aimed at producing cells within the country.
Subramanian said the next generation of electric buses and trucks being developed by the company would also be designed for exports, with Indian EV manufacturers looking to leverage free trade agreements and opportunities in overseas markets. (ANI)
Auto sector seeing good growth, need to boost domestic ecosystem for battery raw materials: Experts
