First global car turns 100 !

Henry Ford's Model T, which changed the world's automobile industry, is a 100 years old.

American auto giant Ford Motor Company is observing the 100th anniversary of the Ford Model T in a year-long series of celebrations to honour the iconic vehicle.

The Ford Model T made its debut on October 1, 1908. It was the world's first low-priced, mass-produced automobile that was reliable and could be maintained easily. The car, whose production finally stopped on May 26, 1927, sold more than 16.5 million units, making it the 7th best-selling car ever in automobile history.

On December 18, 1999, the Ford Model T was named 'Car of the Century.' Henry Ford called the Model T 'the Universal Car.' It was also called the Tin Lizzie.

The Model T was equipped with a 20-horsepower, side-valve four-cylinder engine and two-speed planetary transmission on a 100-inch wheelbase. The car had a top speed of about 70 km per hour. The car weighed 550 kg. It had a fuel consumption of between 6 and 9 km per litre.

Ford established the Ford Motor Company to manufacture automobiles in 1903, and began to produce a few cars a day at the Ford factory in Detroit. He then set up a massive industrial complex along the Rouge River in Dearborn, Michigan, and then went ahead to revolutionise the way automobiles were produced. Although he did not invent the automobile or the assembly line, Henry Ford was the first person to apply the assembly line technique to produce cars.

He combined the techniques of precision manufacturing, division of labour and an assembly line -- where workers remained in one place, adding one component to each car as it moved past them on the line -- to make cars. Workers received the spare parts through a conveyor belt at specifically timed intervals to keep the process smooth and efficient.

This transformed the way cars were produced. It reduced the time taken to assemble each vehicle and drastically lowered costs. It also made Ford Motor Company the world's largest auto maker.

In 1914 Ford produced 308,162 cars. The company's web site says that this was more than all the 299 other auto manufacturers combined! By the time the last Model T was built in 1927, Ford was manufacturing a car every 24 seconds. The first Model Ts were sold for $825. This was much cheaper than what other cars cost then.

Remarkably, over the years, Ford continued to steadily lower its price, thanks to its manufacturing efficiencies. The Ford Model T was also the world's first truly global car. By 1927, it accounted for almost 57 percent of all the cars manufactured the world over.

Hyundai to hike car prices by up to 2%

Hyundai Motor India, today said it would raise the prices of its products by up to 2 per cent from the first week of June.

"There has been an increase in the input costs and we have been absorbing it for a while. The situation now is such that we have to pass some parts of it to the consumers," Hyundai Motor India Ltd (HMIL) Senior Vice-President Marketing and Sales Arvind Saxena said.

He said the company will hike the prices of its various models by up to 2 per cent. The price increase will come into effect from the first week of June, he added. Hyundai currently sells hatchback models Santro, i10, Getz along with sedans Accent, Verna, Sonata Embera in the country. The company's move to hike prices follows rival Maruti Suzuki India, which last week hiked prices across various models between Rs 1,000 and Rs 18,000.

Wallpaper : Ferrari California

Ferrari California is the name of the new Gran Turismo, joining the range of the Prancing Horse. Convertible with a folding hard top, powered by a V8 engine which is front-mid mounted for the first time in the marque,s history.

General Motors to enter used cars business

General Motors India (GMI), the fully-owned subsidiary of the world’s largest car maker General Motors, is planning to enter the used car business to keep up its sales momentum. It’s trying to emulate Maruti Suzuki and Hyundai Motor, which are generating huge incremental sales of new cars in exchange of their older models.

GMI vice-president (sales and marketing) Ankush Arora said that they are working on the used car business and planning the format. Plans are on the drawing board and strategies will be rolled out in the next few months. This new initiative comes after GMI posted the highest growth of 71% (66,543 vehicles) in the Indian passenger car industry in FY08.

GMI is expanding its dealership count in tier I and tier II cities and the diversification into the used car business is expected to be a precursor to its planned launch of a small car, which will roll out from its new plant in Maharashtra. It has 120 sales outlets in India with a base of 96 dealers.

According to market sources, GMI will rope in its existing and new dealers and offer services such as evaluation and trading in of the customer’s existing car. GM’s used car outlets will primarily cater to buyers looking for a certified pre-owned car which will also serve as an upgrade.

Used car outlets such as Maruti True Value, Hyundai Exchange, Ford Assured and Honda Terrace have been successful in both extending the brand reliability and generating incremental car sales.

Yamaha Motor India will be launching the YZF-R1 soon

Yamaha Motor India (YMI) will be launching the 1000cc YZF-R1 in India soon. The company will import these ‘super bikes’ making it among first bike makers in the country to import motorbikes over 800cc. Yamaha plans to sell few dozens of YZF R1 initially.

History of R-1

In the 1950’s, when the Japanese economy was booming in the postwar years and the motorcycle was recognized as a very useful, affordable means of transportation, Yamaha Motor Co., Ltd. was founded as a motorcycle maker with the high-performance, high-quality and design conscious "YA-1" as its first model. Since then, Yamaha Motor has always pursued quality in the areas of cutting-edge technology, innovation and sportiness.

For example, Yamaha launched a new style of motorcycle with the "DT-1", the world’s first full-fledged off-road sports model, the road sports model "RZ250" which established YAMAHA’s image as premier maker of two strokes, the "RZV500R", a true GP racer replica, as well as the "YZFR1", another model born of Yamaha’s dedication to innovative design and no-compromise engineering overturned all the previous conceptions of what a 1000cc supersport bike could be.

As for the large displacement supersports models of the second half of the '90s, each maker introduced new models reflecting the user trends of the bigger markets of Europe or North America, and the main category was the 750cc models that were geared toward the Superbike race scene. The models of the 1000cc or over developed an increasingly "almighty" character with emphasis on high-speed cruising that requires high power, and also ease of use in around-town riding. Then, while searching for the next-generation flagship model to follow the "FZR1000" and the "YZF1000R Thunder Ace" of that time, Yamaha Motor came up with the idea of developing "the best 1000cc supersports model with cornering performance that can exceed that of a 750cc."

The "YZF-R1" development project was soon launched and staff from the product planning division, body development div., engine development div., test div., and design div. went to Europe. As a result of detailed research from each point of view, the vector of this new supersports development project began to focus on "Excitement" as its key word.

There are many kinds of enjoyment in motorcycle riding, such as the joy of slow easy-going cruising or the intense, exhilarate feeling of powerful acceleration. About these many kinds of enjoyment, the first development project leader, Kunihiko Miwa, explains, "I believe that one of the fundamental joys of a supersport bike lies in the feeling of pleasure when you ride a machine aggressively through the curves on winding roads. The kind of excitement we aimed for with the development of YZF-R1 was the pleasure when you consciously control the machine through the cornering process rather than just letting the machine lead you through the curve in the directions your eyes point it. It is the process of banking into a corner after braking, tracing the ideal line you want through the corner and then the throttle work to accelerate and exit the curve."

In order to realize an easy, stable handling, the first objective that the project staff set was decisive reduction of machine weigh. A prototype was made initially based on Yamaha’s 1000cc model of the time, the YZF1000R Thunder Ace, with everything not required for running eliminated. The result was a machine with weight was reduced to about the same 160kg level as a Superbike racer. With this prototype running tests were repeated to work on the handling and the engine characteristics.

Furthermore, the chassis was newly designed as a rearrangement of the dimensions of the YZR500 factory racer. The wheelbase was set at a short 1395mm, and a combination of an aluminum "Deltabox II" frame and a 582mm long rear arm was adopted. As for the engine, a 1000cc in-line 4-cylinder type was chosen to achieve an ideal balance between torque and power. And, in order to satisfy the conditions required for the chassis, a revolutionary layout was adopted in which the three axles of the drive shaft, main shaft and crankshaft formed a triangle. This produced an engine design that was very compact in front-rear length.

In this way, the first YZF-R1 achieved specs that were unheard-of at the time, with a dry weight of 177kg, max. power output of 150 PS and a powerweight ratio of 1.18. It won a following among supersport fans as soon as it was released around the world in 1998 and was followed by a strengthening of 1000cc supersport bike development by other motorcycle makers. This triggered a rapid activation of the market and also a shift in Superbike races from 750cc to 1000cc.

Evolution

Wallpaper : Yamaha YZF-R1

$ 3500 car from Hyundai by 2012

Car maker Hyundai Motor India on Friday said it plans to roll out its low-cost car at $ 3,500 in India by 2012.

"It will take at least 4 years to develop the car and we think we will be able to introduce this car by 2012 for Indian market," Hyundai Motor India Managing Director and CEO H S Lheem told reporters here on Friday.

However, he said that this car would not be competing against the Tata's Nano car. The low priced car is in the process of evolution stage at its research and development centre in Korea, he said. On being asked about raising prices of the cars due to rising input cost, he said the company was seriously considering to hike the prices, which is expected to be decided during next month. However, he refused to divulge any detail regarding the hike in the prices.

He said the company would introduce several new models during this year in Indian market which includes Santro LPG, Accent LPG and CNG and i20.

On the export front, he said the company expects to export 2.12 lakh units during this year. The company is exporting four models in overseas markets which includes i10, Santro, Getz and Accent and its export is spread in 95 countries.

The company also announced the launch of its fifth regional office here which will cater to Jammu and Kashmir, Himachal Pradesh, Punjab, Chandigarh and Haryana. In this region, the company was expecting to sell 33,000 units this year against 20,300 units sold last year.

Yamaha introduces G5 - electric start

India Yamaha Motor on Tuesday announced the launch of Yamaha G5 106 cc motorcycle with an electric start engine priced at Rs 39,380 (ex-showroom-all India).

"We plan to continue gearing up our existing product line and marketing initiatives...We are paying attention at the customer who always looks for more. The new G5 is equipped with electric start as a convenient feature. With this launch, we are ready to extend our products and services," Yamaha Motor Executive Vice President and Chief Sales and Marketing Officer Takahiro Maeda said in a statement.

The G5 will be available nationally through the company's existing wide network of dealers and Bike Station. The G5 will be offered in 2 colours, including Deep Red Metallic K and Yamaha Black. The bike is priced at Rs 39,380 (ex-showroom-all India).

On top - once again !

Maruti launched its Dzire earlier this year which was a success ever since the day it was launched. Now the figures claim that Maruti has again emerged as a leader in the auto market in India. The new sedan version has already been claimed as a hit in the Indian market where the middle class with growing income has eagerness to opt for an entry level sedan for themselves.

According to the sales figures released by the Society of Automobile Manufacturers for the month of April, Dzire and SX4 have clearly emerged as sales leaders in the A3 segment. This segment recorded an all time high record sales increase of 97.1 percent. The A2 segment sales have also been clearly dominated by Alto, WagonR and Swift. This segment also witnessed a growth of 27.3 percent.

Dzires precursor Maruti Swift has already passed the two lakh units sales since its launch in India in 2005. It sold 61,250 units in the first year of its launch. It success compelled the company to launch it diesel variant subsequently. Swift is currently prices at Rs 4.5 lakh in India is still a success story.

Honda’s compact car Jazz launch likely by 2009 end

The much talked-about Jazz, Honda’s compact car, is likely to be launched in India only by the end of 2009. Honda Siel Cars India is planning to produce Jazz in its upcoming plant at Takapura in Rajasthan. Although the engine components and stamping at Takapura plant will begin in September this year, it will take at least one and a half years for the assembly unit to be ready, indicated top officials of the company.

Honda has launched this highly successful premium hatchback in Europe, North America, Latin America and some parts of Asia including Japan, China, Malaysia, Singapore and Thailand. However, the company has no plans to launch it this year in India. This is mainly because the company wants to ensure high localisation in Jazz in order to market it at a competitive price. “In all our cars, we are looking for a high level of localisation. That is the case with Jazz too. Our objective is 70-80 per cent localisation,” Masahiro Takedagawa, President and CEO of Honda Siel India, told Business Line.

Jazz is pitched against Suzuki Swift and Hyundai Getz. Takedagawa indicated that Honda has greater plans at the global level in the area of sustainable motoring solutions. He said that the company is keenly looking at the market response to Civic Hybrid to introduce ‘cleaner and greener’ cars to India. “Let’s see what the response to Civic Hybrid is. And then we will decide on other varieties. We will go step by step,” he said. Honda has begun limited marketing of its hydrogen fuel cell-run FCX Clarity in US and Japan.

Honda is importing Civic Hybrid as completely built unit (CBU). Therefore, notwithstanding the 10 per cent excise duty cut, Civic Hybrid will attract the import duty of 104 per cent and will be priced around Rs 20 lakh. The gasoline-electric Civic Hybrid will be 60 per cent more fuel efficient than its existing variants which have the best fuel efficiency in its segment, according to Takedagawa. “Civic Hybrid is the first hybrid car that is commercially available in India. We want to spread the message of green cars through this model. All our 80 dealer shops will showcase a model of Civic Hybrid to familiarise people with the car,” he said.

He said that the company has serious plans on the hybrid technology front. “We have worked closely with Automotive Research Association of India to set hybrid regulations in the country,” he said. Honda launched the eighth generation Accord in Mumbai on Wednesday. The company officials said that the latest edition of Honda Accord was launched in India eight months after its global launch.

The story behind the Tata Nano

At Tata's Engineering Research Center, near the bucolic surroundings of the Tata Motors factory in Pune, India, there are two cars on display. One is a complete prototype of the Nano, the $2,500 compact car Tata unveiled in January, which has all the essentials and safety features of India's higher-priced automobiles along with a sticker price that will forever change the economics of low-cost cars. The other is a neat bisection, with the car's innards clearly visible.

"Every day we invite people to come and examine the car and ask: 'How can we make more savings?'" says Tata Motors Chief Executive Ravi Kant.

That quest to build the world's cheapest car hasn't ended. The Nano should be available this fall, but the mission began back in 2003, when Ratan Tata, chairman of Tata Motors and the $50 billion Tata conglomerate, set a challenge to build a "people's car."

Tata gave an engineering team, led by 32-year-old star engineer Girish Wagh, three requirements for the new vehicle: It should be low-cost, adhere to regulatory requirements, and achieve performance targets such as fuel efficiency and acceleration capacity. The design team initially came up with a vehicle which had bars instead of doors and plastic flaps to keep out the monsoon rains. It was closer to a quadricycle than a car, and the first prototype, Wagh admits candidly, "lacked punch."

Even a bigger engine, which boosted the power by nearly 20%, was still dismal. "It was an embarrassment," says Wagh. But the failure was also the catalyst for Tata's decision to build a proper car, not an upgraded scooter on four wheels or anything flimsy or cheap-looking. "We didn't want an apology for a car," says Ravi Kant. "We were conscious of the fact that whether it was a $2,500 car or not, it ought not to have looked like a $2,500 car."

Becoming a part of history

The tale of the creation and design of the Nano is one of innovation and ingenuity, both inside and outside Tata's own organization. First, Ratan Tata called a meeting of his top parts suppliers and, after showing them the early, earnest but flawed prototypes, asked them to help. Companies including Germany's Bosch, which makes the computer that is the heart of car's engine, were skeptical. So were local Indian players. But Tata persisted, pointing out that not only could a company's specific developments for the Nano help to make history but they could also improve their companies' businesses and bottom lines. Soon most of Tata's traditional suppliers were on board.

Rane Group, for instance, makes a rack and pinion steering system. It focused on reducing the weight of the materials used, replacing the steel rod of the steering with a steel tube -- a major cost-reducer. Typically, the product is made of two pieces, but it was redesigned as one to save on machining and assembling costs. According to Harish Lakshman, director of the $317 million company: "The world has seen this sort of integration of two pieces into one, but applied differently -- not for a new car, and not to reduce costs."

GKN Driveline India, a subsidiary of global auto parts leader GKN, made the driveshaft - the component that transfers power from the engine to the wheel. The team spent a year developing 32 experimental variants to create the perfect driveshaft for the Nano. It roped in designers from the company's French and Italian operations and changed the design to make it lighter and easier to manufacture.For the Nano's rear-wheel drive system, GKN designed a smaller diameter of shaft, which made it lighter and saved on material costs. "We thought if we were successful in this, we could dictate terms to the market, and every other car manufacturer would want to work with us," says Rajendra Ojha, chief executive of GKN Driveline India.

Taking the pulse of the project

All the suppliers have similar stories. And although none would disclose specific cost savings, most stuck to Tata's mandate to cut costs. That was, as Kant acknowledges, the biggest hurdle for the company -- "then, now, and in the future," - particularly as the price of raw materials like steel have more than doubled in the past four years, and the company has to follow new, tighter industry regulations.

Kant, who recently led negotiations to acquire luxury auto brand Jaguar Land Rover, has little time to get involved in day-to-day details of Tata's many projects. However, with the Nano, "every cost, every component price, has to be run by me," he says.

Coordinating the vendors with Tata Motors' team was a whole new exercise in logistics. Wagh quickly realized it was necessary to bring everyone on board, "else it leads to last-minute heartache and delays."

Every morning, he would spend an hour or two on the floor of the Pune factory, insisting that everyone involved -- designers, manufacturing teams, vendor development people - be there to accelerate decision-making and problem-solving. "We had to have the pulse of the project and know exactly where the hurdles were," Wagh remembers.

Over time, Wagh's team grew to comprise some 500 engineers, an impractically large group to gather on a daily basis. So instead, a core team of five engineers gathered every day at 3 p.m. to discuss the latest developments. Each engineer represented a different part of the car: engine and transmission, body, vehicle integration, safety and regulation, and industrial design.

Attention to detail pays off

Fitting the parts of the car together required lots of little, head-breaking details, recalls Wagh. The engine, for instance, was designed three times. Initially, Wagh thought they'd buy an off-the-shelf engine and so studied all the small-capacity engines available. They were unsuitable, so in early 2005 he decided to build his own.

The first was a 540 CC engine that, when fitted on the prototype, lacked the necessary power. So its capacity was increased by 9%, then by another 9%, before Wagh finally settled on a 623 CC engine. Then the foot pedal had to be realigned to create more legroom.

The body had to be changed because Ratan Tata, over six feet tall himself, wanted it to be easy for tall people to get in and out of the car. "Imagine the plight of the body designer - he went through hundreds of iterations, then at the last minute the car length was increased by 100 millimeters!" Wagh says.

The attention to detail paid off: When the car rolled onto the dais at the Auto Show in New Delhi in January, and Ratan Tata stepped out of the driver's seat with ease, it made an immediate impact.

What shook the automobile world most was the fact that the designers seem to have done the impossible: The sleek, sophisticated Nano doesn't look flimsy or inexpensive. If it had been an upgraded scooter on four wheels, Tata still would have been applauded for making a family of four safer on Indian roads. The Nano, however, affords both safety and status.

"The innovation wasn't in technology," Kant recalls. "It was in a mindset change." The Nano, he adds, has put an end to all discussions of having variants of scooters or quadricycles as passenger vehicles on India's roads.

Organizational innovation

Still, the story of the Nano is not confined to its impact on the auto industry. It's a tale that illuminates the India of today - an eager, ambitious nation with a combination of engineering talent, a desire for low costs and value, and the hunger of young managers looking to break from a hidebound corporate environment.

Indeed, the team that worked on the Nano - on average aged between 25 and 30 - has helped to flatten Tata Motors' stodgy, multilayered management structure, which has resulted in an unexpected side-benefit Wagh calls "organizational innovation".

The factory in Singur, Bengal, is still being built, and machinery is being installed. Wagh now spends most of his time away from his Pune home, supervising the work at Singur leading up to the launch date in fall.

Tata Motors is determined to succeed in its mission, Ravi Kant says. "We are hungry for growth - and innovation is a by-product of that."

Interview with Mr. Masahiro Takedagawa, President & CEO, Honda India

Honda Siel Cars India (HSCI) President and CEO Masahiro Takedagawa, in an interview with Swaraj Baggonkar, shares the company's India strategy, including the launch of hybrid technology (a first on Indian roads), small cars and outlook on diesel technology, an area where the company is losing ground to other auto majors. The company launched its 8th generation Accord today in Mumbai.

Honda lacks a diesel car in India, a market where more than 40 per cent of vehicles sold run on the fuel. Comment.

We are aware of the wide usage of diesel vehicles in India and the option is open. We are studying the diesel 2.4-litre 100 bhp engine and also the 3.5-litre V6 diesel in some of the overseas markets. These engines can only be used in larger cars. It will be still some time before we introduce diesel cars here.

You will be introducing a hybrid car, a first by any manufacturer in India, in the next couple of months. Do you really see a market for such an expensive vehicle?

Due to high import duties, the Civic Hybrid will be priced around Rs 25 lakh. We have not carried out any evaluation so far, which will determine who our buyers will be. However, we are optimistic about its demand from India. The car will be available at all the 80 dealers across the country.

How many small cars will you bring to India in the next few years?

At present, we are working on two new platforms which will be launched subsequently. The choice will be made between the new Jazz platform or a completely new platform to be launched in 2009. The other platform, which will be built to suit Indian needs, will be launched after four to five years.

How does India stack up against other emerging markets around the world?

We are not driven by sales numbers and are more interested in satisfying customer needs. We are the most profitable foreign company in India. We have been in India for a long time and, though just 65,000 units were sold last year out of the 4 million sold worldwide, it is still one of the fastest growing markets for us.

What steps did the company undertake to raise component sourcing from India?

We source our components from about 100 suppliers in India. We are looking to gain from the free trade agreement (FTA) between India and other Asean countries. We can integrate our sourcing from the Asian countries through the FTA.

Skoda plans small car for India

Czech auto giant Skoda is stepping on the accelerator and plans five new launches in India, including its global small car that will debut next year. These introductions will see Skoda entering into new segments like multi-purpose vehicle (MPV) and the sports utility vehicle (SUV).

Speaking to TOI, Thomas Kuehl, member of the board Skoda Auto India said, “We will launch a compact car in the Rs 3 lakh to Rs 5 lakh segment, below our existing small car offering, Fabia. India will be the first global market where the car will be launched.” The new global small car is being built on a completely new platform at the company's headquarters in the Czech Republic. The automobile growth story has prompted many global car manufacturers to make India their launch pad before entering markets like the US and Europe.

The Zen Estilo, Swift, SX4, and Dzire from the Maruti Suzuki stable and Hyundai's i10 have all had their debut in India. Maruti Suzuki's concept A-Star, that will be rolled out by year-end, will also make India debut. Skoda will first bring in MPV offering Roomster, which will be launched by the year-end. “Next year, we will launch the new Laura, Octavia and mostly likely the Fabia Combi. In 2010, we plan to launch an SUV as well,” said Kuehl.

For Skoda, part of the Volkswagen Group, India will be a key focus market. In the next five years it plans to sell 100,000 units, up from the current figure of 13,000 units.

“We expect India to be among the top three global markets for us in the next five years. Out of the 100,000 units we plan to sell, 60% of the volumes will be driven by the small car market,” said Kuehl. Going forward, India will also emerge as Skoda's export hub for the Asean region. “We are looking for more land in Aurangabad to expand our production facilities,” is all Kuehl revealed.

On the pricing front, the company is working towards being more competitive by increasing the localisation content. At present Skoda fleet in India has an average localisation content of 15%. The company is looking to achieve 50% localisation in the next 18 months.

The all-new 2008 Honda Accord - An Overview

The all-new 2008 Accord Sedan has more style, more comfort and more sophistication than ever. A bold and aggressive look, strokes connoting power and a striking presence with its sheer size make this the most commanding sedan. A roomier cabin with separate air-conditioning vents in the rear makes it the most comfortable ever. Great efforts have gone in ensuring good driving visibility, the thin front pillars maintain sufficient rigidity to position the dashboard forward and lower and flat placement of wipers makes it easier for the driver to see what lies ahead of a corner. The new Honda Accord has been completely redesigned, with a larger wheel-base and Advanced & Powerful new exterior styling. The car has spacious interiors, with upscale luxury features. The overall length and width of the car has increased by 80 mm and 25 mm respectively, making its dimensions best in the class. Although the size of car becomes bigger, there has been no compromise on driving pleasure and fuel economy. At the heart of the Honda Accord is Honda’s advanced 2.4 litre i-VTEC engine that delivers class-leading power of 180 ps which is more than the outgoing Accord and fuel efficiency has been improved by 8%. The engine also delivers outstanding environmental performance and meets Euro-IV emission levels and is E-10 (10% ethanol and 90% unleaded petrol) compatible.

Performance

The new Honda Accord has been completely redesigned, with a larger wheel-base and Advanced & Powerful new exterior styling. The car has spacious interiors, with upscale luxury features. The overall length and width of the car has increased by 80 mm and 25 mm respectively, making its dimensions best in the class. Although the size of car becomes bigger, there has been no compromise on driving pleasure and fuel economy. At the heart of the Honda Accord is Honda’s advanced 2.4 litre i-VTEC engine that delivers class-leading power of 180 ps which is more than the outgoing Accord and fuel efficiency has been improved by 8%. The engine also delivers outstanding environmental performance and meets Euro-IV emission levels and is E-10 (10% ethanol and 90% unleaded petrol) compatible.

Technology

Renowned for their technology, Honda made further improvements to come out with an advanced 2.4ltr i-VTEC engine that drives more power and optimizes fuel efficiency with cleaner emissions. The new Accord aims at providing one- class above performance in all basic car functions – driving, turning and stopping. It lets the driver experience performance that is beyond specifications. Besides this, the Accord is a thrill to drive with innovative features like Paddle Shift gears and an extremely responsive Drive-by-Wire throttle. The All-new Accord comes with 5-speed Manual Transmission and 5-speed Automatic transmission with Paddle shift, to give the exhilarating experience of F-1 racing. The AT now has Shift Holding System which avoids unnecessary gear shifting on winding roads and helps in hassle free drive. The handling is another key improvement in 8th Generation Accord. The chassis and the body have been renewed by introducing Honda’s latest technology to achieve best in class handling. Together with Variable Gear Ratio (VGR) steering, the new Accord becomes quicker and more agile despite its big size. The new Multi – Link Rear suspension aids in stable driving.

Safety

The all-new Accord is by all measures, an extremely safe car. Both active and passive enhanced protection systems right from the build of the car, plus features like six airbags, ABS, EBD and a G-CON body have helped to achieve a standard of safety that’s commendable. Safety of passengers and pedestrians is a top priority for Honda. The new Accord is equipped with the best of safety technologies, with intelligent six airbags, including side curtain air bags, Advanced Compatibility Engineering (ACE) body and G-FORCE Control Technology (G-CON) for enhanced safety of the vehicle occupants during a collision. The use of high-tensile steel has been considerably increased improving torsional rigidity, while also achieving major weight savings.

Comfort

The Eighth Generation Accord is the largest Accord ever. With its large proportions in luxury, comfort and performance you truly enter a class above. It’s got a roomier cabin, there’s more space between the seats in the front, there’s more space and legroom in the rear with separate vents for the air-conditioner as well. The instrument panel is now positioned lower for better visibility. The area around it emphasizes a feeling of width using design that emphasizes horizontal expanse. The wide high quality console adds to the feeling of comfort & luxury inside the cabin.

Honda launches new Accord

Honda Siel Cars India today announced the launch of its 8th generation Accord in India. The new Honda Accord will be available in three types - Accord 2.4, Accord 2.4 Elegance and Accord 2.4 Inspire.

The price of the vehicles start from Rs 16.49 lakh (ex-showroom Delhi) and go up to Rs 18.14 lakh. Redesigned with larger wheel base advanced and powerful engine the length and the width of the Accord has been increased by 80 mm and 25 mm. The heart of the Honda Accord is the advanced 2.4l i-VTEC engine that delivers a power of 180 PS which is more than the outgoing Accord.

The fuel efficiency of the car has been improved by 8% and the engine meets Euro IV emission limits. The new Accord is E10 (10% ethanol and 90% unleaded petrol) compatible.

Honda Accord is the only car in its segment to be equipped with a five-speed automatic transmission and manual transmission with a unique 'paddle shift' option which could be operated using F1-racing inspired paddle switches. The chassis and body of the car have been renewed by introduction of the latest Honda technology to achieve best in class handling. Together with variable gear ratio steering the new Accord becomes quicker and more agile despite its big size.

For safety, the car has 6 air bags with Advanced Compatibility Engineering (ACE) body and G-Force Controlled (G-CON) technology for enhanced safety of the vehicle occupants in the event of a collision.

The interior design includes 8 way power seat adjustments with lumbar support, tilt and telescopic steering wheels, an advanced audio system, with a central multi selector USV port.

Ford launches engine plant in India

Ford Motor Co has started operations at its engine assembly plant in India, the U.S carmaker said today, as it seeks a bigger share of the fast-growing market.

The plant, near Chennai in southern India, will initially make 60,000 engines annually for its Fiesta and Fusion models, starting with the 1.4-litre diesel Duratorq engines, it said. Ford will first aim the 50,000 diesel and 10,000 petrol engines at the local market, and then export them. It will have an eventual capacity of 2,50,000 engines.

"This facility will help position Ford India as a strategic manufacturing hub for low displacement powertrain engines within our Asia Pacific and Africa region," said Mr.Michael Boneham, President & Managing Director, Ford India.

"The domestic assembly of these engines will facilitate quicker time-to-market response, and greatly enhance the efficiencies of our operations," he said.

With nearly 50% local content in the diesel engines, Ford will be able to compete more effectively in the Indian market, where annual passenger car sales are forecast to nearly double to 2 million units by 2010. Ford India, which set up shop in India in 1995, said in January it would invest $500 million to double manufacturing capacity to 2,00,000 units by 2010 and make a small car to compete in the dominant segment of the market. Leader Maruti Suzuki India Ltd, Hyundai Motor and Tata Motors have a lion's share of the market for small cars presently.

Several others have also announced their intent to make small cars to take on the Tata Nano, priced at just above $2,500, and scheduled to go on sale later in the year.

Yamaha introduces Alba with Electric Start

India Yamaha Motor Pvt. Ltd. has announced the launch of all new Yamaha Alba106 cc with electric start and stylish and trendy graphics, thus offering robustness and solidity to its existing product range.

The unique design of Yamaha Alba 106 blends youthful style and modernism with thoughtful decency. Giving it a sturdy, macho image are the new aerodynamic cowl, well sculptured tank, well-built side and rear panel. While the exciting graphics with the smooth flowing design give the bike its stylish, super cool looks.

Since the bike has been designed for daily commuting, special emphasis has been given on shaping it for the maximum comfort of the rider. That is why, Yamaha Alba 106 boasts of broad seat for comfortable riding of the pillion rider too. The ideal ergonomics of seat, handlebar, and knee recess on the petrol tank are all designed for comfortable riding by giving the right posture to the rider. Keeping the Indian driving conditions in consideration, Alba 106 has perfectly spaced gear ratio for driving in congested conditions without changing gears repeatedly.

At the heart of the machine is the Yamaha’s ever reliable 106cc engine, which gives good combination of low end torque and mileage leading to less strain on the engine and therefore longer life. Other features include the innovatively designed indicators and tail light and easy to read instrument consol including fuel meter.

“The launch of new Alba with electric start is in line with Yamaha’s true commitment to provide world class products to its customers. A lot of emphasis has been laid on shaping Alba for maximum comfort of the rider and its premium features will give consumers a new thrill in biking pleasure. Alba delivers comfort, style and solidity, which will make it the right choice for the discerning customers” said Mr. Takahiro Maeda Chief Sales and Marketing Officer, Executive Vice President. The Yamaha Alba 106, billed as the family bike comes in two colours - Deep Red Metallic K and Yamaha Black at Rs. 37,500 (Ex-showroom-All India). Alba 106 is a low maintenance bike with high fuel efficiency that enhances its value-for-money appeal manifold.

Italy's Ducati to launch superbikes in India

Italy’s Ducati is gearing up to set the racing circuit on fire. The world’s largest producer of racing bikes is planning to bring motorsports to India and has started preparations to get the MotoGP motorcycling championship here.

Ducati Motor Holding CEO Gabriele Del Torchio told ET, “I have asked MotoGP CEO Carmelo Ezpeleta to bring the Grand Prix event to India. If this event can happen in Qatar, China, Malaysia and Australia, I think India also has a great chance with vast improvements in infrastructure and the F1 circuit plans firming up. If all goes well, we shall have a full-fledged motorcycle racing season in India soon.”

Ducati, a relatively-small company compared to Honda, Yamaha and KTM, has won 14 of the last 17 World Superbikes Championship titles and has picked up the maximum number of trophies in all global competitions. It won both the top Constructors’ and Riders’ world titles in MotoGP 2007. The Italian bike company is also one of the largest sponsors of motor racing championships and is eyeing a long-term potential in India. “With the technology to produce the world’s fastest bikes, we see a great potential for superbikes in India,” Mr Torchio said.

Ducati, whose bikes are priced between Rs 15 lakh and Rs 50 lakh, is looking at developing a market for its products. A Delhi-based infrastructure company, JP Associates has announced plans to develop a permanent Rs 1,500-crore F1 race track in Greater Noida, which can used for bike racing as well. These events generate huge funds though sponsorships, ticket sales, endorsements and media rights, similar to the cricket extravaganza IPL.

To move the proposal with the Indian government, Ducati’s Indian partner, Precision Motor India is working with the Society of Indian Automobile Manufacturers. Its CEO Ashish Chordia said, “We want to promote motorsports in India and cultivate the sporting culture. To organise the MotoGP championship in India, we just need an F1 track. We have sought the help of all auto makers and SIAM to move the matter faster and get the infrastructure in place.”

Ducati, which sold 40,000 bikes worldwide in 71 countries through a network of 800 dealers, will initially sell through two exclusive showrooms in Mumbai and Delhi. Early next year, three more exclusive showrooms will be added in Hyderabad, Bangalore and Chennai. Ducati superbikes with engine capacity between 700 cc and 1,100 cc generate an output of 90-180 horsepower and meet the Euro III emission norms. The company will import 50 bikes this year and likely to scale up if the response is good.

Renault-Nissan and Bajaj join hands for low-cost car

Bajaj Auto and the Renault-Nissan alliance on Monday announced that they will form a joint-venture company to develop, produce and market the car, code-named ULC (ultra-low cost)with wholesale price ranging from $2500. The new JV company will be 50% owned by Bajaj Auto, 25% by Renault and 25% by Nissan. Targeting the growing Indian new vehicle market, the ULC will be made at an all-new plant to be constructed in Chakan (Maharashtra) in India. Initial planned capacity will be 400,000 units per year. Sales will start in early 2011 in India, as a primary market, with growth potential in other emerging markets around the world. The feasibility has already extended into joint product evelopment and the project is on line to meet targeted performance & cost, company officials said. The company would initially invest Rs 1,000 cr in the venture. Renault and Bajaj will manufacture engines for the small car and LCV.

In-car entertainment - a booming market

In a world of traffic jams and pot-holed roads, half of our lives is spent on the road, driving or being driven. It’s but natural for Indians to load their cars with the latest in the in-car entertainment systems.

If one is to believe the car entertainment makers almost every car in the country has an entertainment system. So much so that car entertainment system makers are now ready for the Nano challenge. So expect Indians to load their cars with the best at dirt cheap prices.

Consumer spending research points out that, after tyres the biggest accessory spend in the car market is on audio systems. While high-end cars pack quite a bit of technology into the humble car stereo, even volume-end cars are beginning to get a taste of designer decibels.

At a time where roof-mounted screens are finding a place from themselves in the world of small car. It is not strange to note that more than half of the in-car entertainment industry is ruled by the unorganised market.

In-car entertainment industry is estimated to be worth around Rs 700-800 crore, of which 60% of the market is contributed by the unorganised sector. Most of the organised market is OEM or manufacturer driven and players believe it has been enjoying a steady growth of 7.5% as per last year’s figures.

The real revolution in the audio mart has been in technology as the Indian market leaped across a tech-divide to jump into the MP3 bandwagon. Almost all car audio players are fascinated by the fact that local demand skipped several notches on the value chain to stay in step with global trends.

So most Indian consumers now prefer to shell money to buy an MP3 player even if it means buying it from the unorganised market. And the trend of playing music on MP3 is not restricted to just major towns alone. The MP3 technology has gradually trickled down to smaller cities and towns. Clearly when it comes to splurging on car entertainment, the Indian consumer knows what he wants and doesn’t like to lag behind on the technology front.

The Indian consumer has actually risen above the bare minimum cassette player to MP3, and is now ready for the high-tech and globally prevalent music systems. Car entertainment system manufacturers believe there are several factors that have influenced the technological revolution in the in-car entertainment systems.

Just as the car makers car audio systems too will be dictated by the Indian road and weather conditions. Indian road conditions are harsh and the dust factor makes things worse. Industry sources agree that music systems with front-loading or what is more popularly known as the slip down variety, are selling more.

Slip down refers to a system in which the music system remains inside the dash board unexposed to the dust. On pressing a button, it is ejected out unlike the conventional system where the stereo remains ex-posed all the time. No wonder most factory-fitted entertainment systems are either the slip down variant or the built in the dashboard.

Even the after sales market players boast of the latest technologies as far as the slip down music system is concerned. Of course how well a particular technology is accepted also depends on the kind of music Indians like to listen to.

Indians generally listen to low frequency bass unlike the higher frequency like treble in western countries. That’s one reason why they go for oval shape speakers which have a dial of 6x9, believe industry players. What also drives the in-car entertainment system is the technologies that the consumer is using in the comfort of her/his home. So roof-mounted screens with DVD players is becoming a standard with most high-end cars and SUVs. In fact the after-sales markets is flooded with options for visual entertainment.

Most of these DVD players and screens are also sporting additional features like gameport. So your kids can play their games when one is travelling long haul. The fact that even B-segment cars have now got a mounted screens or mounted screens on the dash board is found common place these days.

In a bid to bridge the gap between home entertainment and car entertainment further, music system companies are also offering spanky LCD screens to go with the DVD players. Convergence being the watchword. Consumers now expect car systems to offer them bluetooth connectivity with a USB port.

And why not, in-car-entertainment system makers have to quickly adapt to the changing entertainment trends. So blue-tooth connectivity to transfer songs from your mobile to the music systems is what the new age car drivers. Not to forget the option to connect the i-pod with the car music systems.

A lot of focus is also being put on infotainment. So navigational devices come as cool add-ons with several music systems for the car. How about getting all of this in one? Companies offer music systems that have a navigational device fitted on to the dashboard, with a microphone to attend calls, a parking camera to be able to park safe, roof mounted screens with DVD player, blue-tooth connectivity and game-port attached to the DVD.

Swift completes 2-lakh sales to become fastest selling car in India

Country's largest car maker Maruti Suzuki's runaway success with 'Swift' has crossed a new milestone in sales - two lakh units - with the car becoming one of the fastest selling models in India since its launch three years ago to achieve this feat.

"Maruti Swift has attained new benchmarks very swiftly. It has emerged as the fastest selling car in India by completing the two-lakh units sales mark in less than 36 months," a company official said.

The company launched this premium hatchback in petrol variant on May 25, 2005. In its first year of launch, it clocked sales of 61,200 units.

"The popularity of petrol version inspired the company to launch a diesel variant in January 2007, powered by much acclaimed and the most compact diesel engine in its category," he said.

At present, 60% of 'Swift' produced, are in diesel variant.

Besides, Maruti also registered a sale of 9,490 units of 'Swift' during April, the highest sale in a single month.

"It is the only model to undergo a face-lift in less than three years of its launch. The company launched a refreshed version of Swift earlier this year," the company official said.

According to the monthly data of Society of Indian Automobile Manufacturers, Maruti sold 51,766 vehicles in the domestic market under all categories during April, a jump of 22.30 per cent over the previous year's corresponding sale of 42,326 units.

Maruti's this successful model, which is priced in the range of Rs 4 lakh to Rs 5.17 lakh, is awarded with numerous national and international awards over the last three years.

Ratan Tata among the biggest brains in business

After being chosen as one of the most influential people in the world by Time magazine, Mr.Ratan Tata has been named among the biggest brains in business by another US publication. The list of '73 Biggest Brains in Business', compiled by business publication Conde Nast Portfolio , features Tata for his 2,500 dollar car - Nano, along with the likes of media mogul Rupert Murdoch and chief executive of investment bank Goldman Sachs Lloyd Blankfein.

"Brilliance comes in many forms, whether it is founding a startup that kicks sand in Microsoft's face or creating an affordable car for the developing world. A small number of innovators influence the rest of the influencers in business," the magazine said in the accompanying report.

The list published in the latest issue of the magazine is further classified into five groups - game changers, connectors, tastemakers, rebels and upstarts. About Tata, the magazine said that he believes the future of the auto industry rests in the hands of people who do not yet drive. Tata Group, which recently snapped up British luxury brands Jaguar and Land Rover, has unveiled Tata Nano - the world's cheapest car.

"The model won't be sold in the US but has the potential to radically alter the market for manufacturers here. Tata-inspired followers are already revving up their engines: Nissan-Renault partnering with India's Bajaj Auto to develop a car by 2010 that will sell for less than 3,000 dollars.
"But except for Ford India, US companies can't produce a model this cheaply. Which means they risk being run over," the magazine noted.

Last week, Time magazine had named Ratan Tata as one of the 100 most influential people in the world. Apart from these three names, others who have featured in the game changers category are JPMorgan Chase head Jamie Dimon, World Bank managing director Ngozi Okonjo-Iweala, General Electric CEO Jeff Immelt, software designer and co-founder of FriendFeed Paul Buchheit and anatomy professor at the University of Wisconsin James Thomson. The magazine talked to CEOs, economists and power players to prepare the list. The connectors group, which includes Google co-founders Larry Page and Sergey Bin, is described as those people "who know everyone who matters and can get them on the phone".

Another name in this group is Nobel Prize winner and Grameen Bank founder Muhammad Yunus, whose microfinance initiative has assisted about 7.5 million small business owners in Bangladesh. Designers and style setters are classified as tastemakers, which include the likes of BMW's chief of design Chris Bangle and well known media anchor Oprah Winfrey. Those who find a place in the upstarts category include Wal-Mart CEO Lee Scott and artist Yue Minjun.

"The kind of brilliance were looking at is not measured in IQ. It manifests itself in work that is changing entire industries and influencing others," the report added.

Desert Storm rally flagged off

The sixth edition of the Desert Storm rally was ceremoniously flagged off by Maruti's Chief General Manager RS Kalsi from Uppal's Orchid on Thursday.But this year, the grueling rally has something for everyone. Not only will the winners of all categories - PRO (for professionals 4wd & 2wd), NAV (for amateurs SUVs) and NAV (cars), get Rs one lakh purse, they will also get to rally for the first time ever at night.The night leg will be held near Bikaner. Rally enthusiasts will also get to traverse over sand dunes, another first, for the competitors.Last year winner Khushwant Randhawa and Sunny Siddhu will be among several favourites for the top honour. "I have missed out twice here in last two years, hopefully I can do it this time," Siddhu said before the flag off. Politician and socialite Nafisa Ali's brother, Niyaz Ali is also among the hopefuls. He is teaming up with Kim for the sole foreign entry in the competition.But interestingly the car that they had built for the rally - Suzuki's Grand Vitara - is stationed in Dubai, as it was lost in transit. They had to borrow Sarika Sehrawat's Gypsy, to participate. "Thanks to Sarika we are in the rally. She lent us her Gypsy," Kim said.The four-day carnival will be officially flagged off from Jaipur on Friday and will cover a distance of over 2200 kilo metres giving the drivers a lifetime opportunity to explore India.

Hyundai ‘Miles & Smiles’ Rally for Verna & i10 owners

A joy ride in your favourite car and an opportunity to win fabulous cash prizes at the same time - Hyundai Owners could not have asked for a more appropriate Sunday morning. The rally found humongous response amongst its i10 and Verna customers with as many as 75 Hyundai cars participating in the rally.

The Hyundai ‘ Miles & Smiles rally’ was organized by Hyundai Motor India for its valued Verna and i10 customers – to give them a chance to gauge the mileage of their car, learn the techniques of fuel efficient driving and also win prizes in the process. The event was co-sponsored by State Bank of India (SBI) and the associate sponsor was Indian Oil Corporation Limited.

The concept of the rally was to promote fuel efficient driving habits among its Verna and i10 customers. Fossil fuel is becoming expensive and a sparse commodity, consequently judicious use of the fuel is a must, if we are to conserve this resource. In this, driving habits make a big difference. It not only contributes to savings on the part of the owners but also saves precious resources.

Before the start of the rally participants were briefed on the techniques of fuel efficient driving and driving styles which will improve the fuel efficiency of their vehicle considerably. The idea was simple. All participants tanked up at the nearby filling stations and their tanks were sealed which ensured that they could not refuel during the course of the rally.

Their trip meter was made Zero and the Odometer reading noted down by the organisers. To ensure absolute transparency the tank was filled up in the presence of the participants, sealed and entries were made in the log book. After this, they were flagged off on the rally. On return, the same procedure was followed. The amount of fuel consumed was measured and the participant who used the least amount of fuel was declared the winner. The contest was held for owners of both the petrol and diesel variants of the Verna. The rally covered an approximate distance of 110 Km and culminated in scenic Khandala

The rally was flagged off from the Hotel Intercontinental at 9:30 am. Drivers in both Petrol and Diesel categories for the Verna and the petrol i10 who got the best mileage out of their cars were given cash prizes. The winners in each category got a cash prize of Rs 15,000. The first and second runners up in both categories also received cash prizes worth Rs. 8,000/- & Rs. 5,000/- each.

The afternoon was as exciting as the morning with plenty of fun, games and prizes galore. The Miles & Smiles Rally is a first Hyundai i10 Mileage Rally organised by Hyundai Motor India after its national launch of i10 in October last year.

i10 bags 60,000 bookings from the overseas market

Hyundai Motor India, India’s second largest passenger car manufacturer and the largest exporter today achieved another milestone in its remarkable decade old journey in India. Hyundai Motor India had launched its latest compact car on 31st October, 2007 marking the global debut of the i10. Following the India launch the i10 debuted in Europe at the Bologna Motor Show, Italy in December, 2007 and displayed at the Geneva Motor Show in January 2008. HMI started accepting export orders for the i10 from December, 2007 and received 60,000 orders from the overseas market creating a record of clocking the fastest 50,000 units of export orders in just three months. HMI will ship around 26,000 units by March, 2008. The i10 which is manufactured only at the Chennai plant keeping with HMC’s stand of making India the hub for small cars will be exported to all the major markets across the globe covering over 90 countries by the end of the year. And in tune with Hyundai’s philosophy of providing the best sales service HMI has started a training programme to train the staff of all its overseas distributors. Currently, a batch 31 sales Managers from the overseas markets covering about 21 countries from far flung Africa, Latin America, Europe to Asia will undergo a training programme in Chennai from 11th – 14th, March 2008 which will be held in HMI’s Chennai factory premises. This familiarization and understanding of the i10 and HMI as a company will help them to further establish the product in their respective markets. This is also a beginning of a trend which by itself is a first for the industry where overseas partners are trained in India. Following the stupendous response in the domestic market both by the consumers and the media which conferred upon the i10 all the ‘ Car of the Year - 2008’ awards making it the first car to win all the COTY awards including the coveted ‘ Indian Car of the Year’ from a jury comprising of the most respected automotive journalist in India – the i10 is truly on its way to becoming a true global car.

Mahindra launches Alfa Passenger

Mahindra & Mahindra Ltd. (M&M), one of India’s leading automotive companies, today unveiled the Alfa Passenger, an ergonomically designed, modern diesel 3 wheeler, which is set to redefine its segment with best-in-class features.
“The new Alfa Passenger 3 wheeler is the first vehicle in its segment which is truly designed and developed by customers. The Alfa is based on extensive customer feedback and incorporates a host of special features which will ensure a smooth and comfortable ride for passengers as well as the driver. In fact, the latter will benefit the most as he often has to drive his vehicle for approximately 200 km a day which can be a very tiring experience,” said Mr. Vivek Nayer, Vice President – Marketing (Auto Sector), Mahindra & Mahindra Ltd. at the launch of the Alfa Passenger. The Alfa Passenger offers several customer-centric features which add greater value to the vehicle: • Spacious Cabin for both Driver and Passenger: The Alfa’s Spacious Passenger Cabin is its USP over competition. The Floor Panel is 20 per cent larger, while overall height is around 10 per cent more as compared to the competition. This ensures more head room, shoulder room & Leg space for the passenger. The driver also benefits from greater cabin space and more leg room, resulting in a comfortable ride. • Sitting Comfort: Ergonomically designed, best quality non – setting foam material seats provide a greater level of comfort as compared to the PU+PE Material available in vehicles in the same category. • Less Vibration and Low Noise Level: The Engine of the new Alfa has low noise levels and vibrates far less, as compared to the competition due to improved mounting. • Stylish Vehicle: The Alfa Passenger’s stylish, aerodynamic design Strong Superstructure consisting of thick, interconnecting tubes, ensure it stands apart from the crowd. In addition to the above features, the special snorkel allows intake of fresh air to the engine, increasing its life span. The wide wheel base ensures greater vehicle stability, while, the Alfa’s sturdy and durable nature ensures it does not buckle under heavy loads. The Alfa is one of the most successful brands from the commercial vehicle stable of Mahindra & Mahindra and offers features that are best in its class. The Alfa is part of M&M’s leading range of commercial vehicles, which includes successful brands like Alfa Cargo three wheeler and the MaXX Maxi truck. The company will add to this line-up with the forthcoming launch of the CNG and LPG versions of the Alfa in the cargo and Passenger Segments. With annual sales of approximately 2.2 lakh vehicles, the 3 wheeler, 3 seater passenger category is a big potential market and is expected to grow further on account of infrastructure development and increasing transportation needs. The 3 wheeler 3 Seater (passenger) industry grew by 2% in F08 over F07. However, while the petrol segment declined, the diesel segment grew (In which Alfa Passenger has been launched) by 18 per cent YoY. The other major segment contributing to overall growth is the gas segment which grew by 42 per cent YoY. Presently, Diesel sales contribute to around 62 per cent of the total sales of this category, while petrol contributes to 22 per cent and gas (LPG and CNG) contributes to 16 per cent.

Wallpaper : BMW M3 Race Version

Yamaha & Mitsui come together to produce bikes for India

Yamaha Motor, the world’s second-largest motorcycle maker, will set up a joint venture with Mitsui to produce motorcycles in India.

Yamaha plans to replace its money-losing Indian motorcycle business with the new venture, called India Yamaha Motor, the Japan-based company said in a statement filed in the Tokyo Stock Exchange today. The unit will begin operating in April. The motorcycle maker said last month it will invest $174 million in the next three years to bolster business in India, where its sales trail behind bigger rival Honda Motor. The tie-up follows Mitsui, Japan’s second- largest trading company, buying a 3 per cent stake in Yamaha Motor last year.

“The reason for dissolving the old unit is because it has had losses since at least 2001," Yamaha spokesman Takashi Kitagawa said at a press briefing on Wednesday. “The company will rebuild the unit with help of Mitsui."

Motorcycle makers are building more factories and introducing new models in India as economic growth boosts demand in the world’s second-largest motorcycle market. Yamaha had forecast motorcycle demand in India to increase to 9.1 million units in 2010 from 7.3 million units last year. The Indian unit posted an operating loss of 8.8 billion yen in 2007. Mitsui, Japan’s second-largest trading company, bought a 3 per cent stake in Yamaha Motor last year. The two companies set up a team to discuss joint programs including purchasing and distribution.

Tokyo-based Mitsui will take a 30 per cent stake in the new Indian venture, Yamaha Motor said. India Yamaha Motor will utilize the same factory and office facilities used by its predecessor Yamaha Motor India., the statement said. Yamaha manufactures motorcycles in the country at Surajpur, near New Delhi in the north. Yamaha currently employs about 2000 employees in India.

2008 Geneva Auto Show : Few Snaps

TVS planning LPG, CNG bikes

The alternative fuel fever has caught up with Chennai-based TVS Motor Company, synonymous with ‘TVS Scooty’. Having entered the electric scooter segment, the company is exploring LPG and CNG two wheelers.

S Srinivas, general manager, marketing, TVS Motor Company, said that the company has been looking at LPG and CNG-run motorcycles, scooters and scooterettes. The company has its R & D centre at Hosur near Bangalore.

However, a time frame for entering the new segments has not been decided yet. The company’s first foray into alternative fuels has begun with ‘Scooty Teenz Electric’ which will make its debut at Ahmedabad.

Rolled out from the company’s Mysore plant, the 800 watt scooter generates an average range of 40 kms per nine hours of charge. This can increase by 50 per cent if the rider opts for lower speeds by using a feature called Range Selector.

Priced at Rs 32,500 (ex-showroom Ahmedabad), the vehicle comes with a load carrying capacity of 130 kgs with a pillion rider. The lead-acid batteries used for the vehicle are tested to last for 1.5 years if the user’s riding average is 25 kms. The company has decided to launch the vehicle at Ahmedabad owing to the high concentration of two wheelers in the city and female riders.

To start with, TVS expects the vehicle to sell around 500 units in Ahmedabad. Following its launch in other western states and other parts of the country by April, the sales are expected to touch 8000 units. The Scooty Teenz petrol has sold 800 units a month in Ahmedabad and is priced at Rs 25,000.

Wallpaper : BMW M6

Fiat India slashes car prices

Carmaker Fiat India has reduced prices of its flagship model Palio Stile in response to tax cuts for small cars announced in India's national budget for 2008-09. The three variants of Palio Stile will cost up to Rs.12,000 less from March 1.

"We welcome the finance minister's move on reduction in Cenvat (central value-added tax) rate and have decided to pass on the benefit to our customers," a company spokesperson said. Fiat India is a 50:50 joint venture between Fiat Group Automobiles SPA and Tata Motors.

Last week, Tata Motors lowered prices of its popular Tata Indica models by Rs.12,000 to Rs.16,000.

Force India Formula One

Vijay Mallya, co-owner of the newly-launched Force India Formula One team, posing with the team car during an unveiling function in Mumbai.

Millions of Indians, home and abroad, will cheer Force India's gold, tungsten and white cars race past the chequered flag at Albert Park, judging by the media build up in the run up to its debut season. The new Force India team, which is the former Spyker team, is now jointly owned by Mallya and the Mol family from the Netherlands.

Flamboyant Indian billionaire Vijay Mallya posing with Force India F1 team (C) poses with Indian Bollywood Actresses (L to R) Lara Dutta, Sammera Reddy, Shilpa Shetty and Shamitha Shetty at the unveiling of the team car in Mumbai.

Bankrolled by beer-to-airlines tycoon Vijay Mallya, this repackaged version of the Ferrari-powered former Spyker team is injecting patriotism to fire up India's cricket-obsessed public in an unfamiliar sport.

Mallya, a lawmaker and businessman whose empire extends from breweries to airlines, has chosen the slogan 'force of a billion hearts' to attract Indians to the team. India was hooked to Formula One when home-grown Narain Karthikeyan raced for Jordan in 2005 and test drove with Williams over the past two years and now New Delhi has been provisionally awarded a Formula One race in 2010.