PSR Power Systems Research India Private Limited (PSR India), is the India office of Power Systems Research (PSR). Our experienced analysts, including our team in India, work with OEMs, engine and component manufacturers, dealers, fleet managers and industry experts to compile model-level data that is considered the leading source of global information on engines, drivetrains and powered vehicles and equipment.
2020-10-28
For 18 months, tractor factories were working on a single or 1.5 shift basis at best because of demand slowdown. With numbers picking up, factories now are moving to two or three shifts to hit 100% capacity utilization. The capacity is currently 9.5 lakh units on a two shift basis, but we can also go to three shifts if the demand holds up. Read The Article
2020-09-27
India’s auto industry has slid back to the level of nearly a decade ago due to multiple regulatory changes, a slowing economy, liquidity issues, and the COVID-19 pandemic.
The auto industry has shown signs of recovery over the last couple of months; however, an additional demand push is required to generate sustainable growth. The government is evaluating a series of possible measures such as a revision in the goods and services tax (GST) rate and a production-linked incentive and scrapage policy.
GST Revision: The GST council is evaluating an industry 10% GST cut across categories of vehicles.
This GST revision will defiantly neutralize the impact of the price hike due to BS-VI upgradation. Further, this GST revision will give a strong thrust to auto sales during the coming festive seasons.
2020-08-23
In a bid to promote electric mobility in India, the Indian government now permits sales of EVs without a battery. This step has been taken to reduce the upfront cost of EVs, since the most expensive component in an electric vehicle is the battery pack (which accounts for 40% cost of the total cost). Read The Article
PSR Analysis: We anticipate that electric 2 and 3-wheelers will be the first segments to benefit from this move. This move by the central government will support the FAME-II program and the Delhi government’s latest EV policy, aiming for 5 lakh registrations of EVs in 5 years.
As the upfront cost of the electrical 2 and 3 wheelers will be lower than their ICE counterparts when registered without battery, it will be more attractive to consumers. However, implementation will be critical for the success of this move. As lack of infrastructure was one of the key reasons for customers not opting for EVs.
2020-07-26
With extended lockdowns in most parts of India, the production of all non-essentials was at a halt or at minuscule levels in April and May until the economy was unlocked. This move reduced demand in the short-term, but owing to intrinsic domestic demand, we are optimistic about future business expectations
Better Outlook of Rural Economy
However, hope has arisen from India’s rural part as the agriculture sector appears to have been relatively less impacted by the lockdown. This part of the country never truly went into a harsh lockdown, and thus procurement, harvest, and consumer activities have remained unaffected. Farming continued during the lockdown, especially for rice and wheat cultivation. The return of migrant workers caused a surplus of agricultural labor. This resulted in the fact – more land was brought under cultivation than ever before. As a result, the country has witnessed a good season of rabi harvest.
2020-07-23
MotorIndia Magazine, one of India’s leading publications devoted to commercial vehicles, recently held an important panel discussion on the state of the country’s CV industry.
The live webinar panel discussion June 3, 2020, was moderated by Jinal Shah, Regional Director-South Asia, for Power Systems Research.
Shah began with a market prediction of a 45-50% drop in CV sales in 2020 over 2019 figures, necessarily taking the industry back by a decade in terms of progress. While touching upon a clutch of challenges plaguing the CV industry, he claimed the scenario as ‘VUCA’ (short for volatility, uncertainty, complexity, and ambiguity) in nature – a new normal that we have to accustom to.
“The world is no different. The global CV industry will also see lower demand and output in the short to medium term, which makes it all the more imperative for the domestic industry to become more competitive and grab as much as opportunities,” he said.
At the same time, Shah said, change and uncertainties have always been part of the CV landscape, yet the time frame available for stakeholders to adapt and thrive has shortened recently. “Times like that of COVID-19 have exposed numerous susceptibilities across the value chain that warrants a 360-degree overhaul,” he said.
Other leading industry executives participating in the panel were Anuj Kathuria, Chief Operating Officer, Ashok Leyland; Jayant Davar, Founder, Co-Chairman and MD, Sandhar Technologies; Sushil Rathi, COO (Transport and Procurement), Mahindra Logistics, and Siddharth Bhandari, Chairman of Federation of Automobile Dealers Association (FADA) – Bengal Region, and CEO, Bhandari Automobiles.
In his closing remarks, Shah said all stakeholders should become a change catalyst themselves, and should not wait for the external demand drivers to turn positive. Becoming competitive and collaborative is
paramount, he said, thereby focusing more on solutions
for the challenges.
“Our businesses have to move from build-to-print models to innovation and R&D-driven enterprises,” he said. “Since the traditional demand drivers are not promising, we need to do a lot internally as an industry to move beyond the uncertainties to make a winning strategy.”
This is neither the first nor the last crisis for this industry, he said, but a crisis of this kind cannot be wasted without gaining good experiences
and key learning. “We have to stop playing individually, but join others to perform a symphony to make the difference,” he added.
Watch the full panel discussion in MOTORINDIA’s YouTubechannel – www.youtube.com/motorindiamagazine. https://www.youtube.com/watch?v=csXrR0NqKTk PSR
2020-06-12
Roughly three months of countrywide lockdown, combined with zero sales and the post-pandemic uncertainty, has resulted in further degrading the health of the already struggling Indian automotive sector.
Though it has disrupted the entire value chain of the automobile industry, there is a silver lining to this Covid-19 pandemic: It has stimulated growth in renewable and eco-friendly transportation.
The Indian market has high potential for EVs since most commuters opt for two-wheelers, three-wheelers, and buses. There are numerous latent growth factors in place, and the pandemic might have set them in motion
While the pandemic has disrupted the transportation ecosystem, EV technology has the potential for rapid adoption, driven by an increased awareness towards a greener and cleaner transportation.
2020-06-02
MotorIndia is sponsoring a panel discussion of leading industry experts across the commercial vehicle value chain to share their insights on the short- to mid-term challenges in the truck industry.
The event will be held Wednesday, June 3, at 5:00 pm IST.
The panel will be moderated by Jinal Shah, Regional Director, South Asia Operations, for Power Systems Research (PSR), a leading provider of global production data for engines and equipment.
2020-05-23
Even before the COVID-19 crisis, the Indian automotive sector was facing a severe downturn, but the problems were amplified by the Covid-19 pandemic and the lockdowns across India and the rest of the world. The situation was compounded because India was transitioning from BS-IV to the BS-VI era.
These are challenging times for the Indian automotive sector because of slow economic growth, negative consumer sentiment, axle load norms, a liquidity crunch, low capacity utilization and potential bankruptcies. The current lockdown has severely affected the entire ecosystem of engine driven applications in India.
For the first time, automobile OEMs reported zero domestic sales and very limited exports in April. According to the Society of Indian Automobile Manufacturers (SIAM), the industry is losing more than $300 million per day.
2020-04-25
As of today, India is relatively less impacted by COVID than other nations. Because of the very bold and unprecedented move of a complete lockdown for about 40 days, India has managed to restrict the number of positive cases to 17,000.
Considering that India is a country with a population of over 1 billion persons living in challenging on-ground conditions, it is a phenomenal effort of proactive and timely response from the government as well as restraint observed by citizens.
2020-04-08
ST. PAUL, MN–A team of international analysts from Power Systems Research (PSR) analyzed the impact of COVID-19 on the global production of Off-Highway Equipment and MH-Duty Vehicles in several regions today.
The team examined the impact of the coronavirus in North America, Europe, Asia, India, and South America for the remainder of 2020 and into Q1 2021. Download your copy of the presentation here.
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