Automark

PAAPAM announced the new date for its long overdue 19th edition of the Pakistan Auto Show at the event. Pakistan Auto Show, one of Pakistan’s most popular exhibitions, is going to be held at the Karachi Expo Center on the 21st-23rd of January, 2022.

PAAPAM held it’s Annual Dinner at The Movenpick hotel, hosted by outgoing chairman Mr. Abdur Rehman Aizaz. The event was attended by chairman EDB Mr. Almas Hyder as chief guest, Chairman PAAPAM Mr. Razzak Gauhar, as well as other luminaries from the automotive industry.

Chairman EDB said that the new auto policy developed has a strong focus on export as well as capacity enhancement of the industry. He further said that the policy seeks to generate volumes of over 600,000 in four wheelers, over 100,000 in tractors, and over 7 million units per annum in motorcycles by the year 2026.

Convener PAS 2022 Mr. Zain Shariq briefed the audience on how the event is going to take place and its importance for Pakistan’s economy and the automotive industry. As the economy of Pakistan is growing, it is important to hold such shows so that there are opportunities for the companies and businesses in Pakistan to showcase their capabilities, he said.

“It is extremely important for the industry to participate and showcase the value that’s being added in this country, it is equally as important for the consumers and government decisionmakers to attend such shows to understand the level of engineering that’s being undertaken in Pakistan.

We already have a strong showing in terms of booking from the OEMs, new entrants and old, and the vending industry. This is a good sign as the industry needs to put a strong foot forward in the post corona world.”

As a large number of new entrants have entered the market, a strong showing of diverse models is expected at the show. Several electric vehicle companies are already on board, and a few new model launches will also be in the offing.

PAAPAM has always played a pivotal role for provision of business opportunities and growth of Auto Engineering Industry as a whole. At PAS 2022, PAAPAM has established a substantive business generation model for everyone including PAAPAM members who are not exhibiting and the representatives of the allied industries.
As well as supporting the industry the show also seeks to engage students with an engineering and an arts competition.

• Event Press Release

Shanghai Automotive Industry Corporation (SAIC) is planning to launch new models in Pakistan and increase production to 100,000 units by 2025, Executive Vice President of SAIC, Zhao Aimin said on Saturday.

Shanghai Automotive Industry Corporation (SAIC) is planning to launch new models in Pakistan and increase production to 100,000 units by 2025, Executive Vice President of SAIC, Zhao Aimin said on Saturday.

In a briefing to Pakistan Ambassador to China Moin ul Haque who visited the headquarters of Shanghai Automotive Industry Corporation (SAIC) in Shanghai, Zhao said that its core businesses and its overseas projects.

SAIC was the top Chinese automakers with a large number of its own brands in both passenger and commercial vehicles. It was also actively promoting the commercialization of new energy vehicles.

Zhao further informed that the SAIC had successfully entered into Pakistan market with introduction of its MG model and started production in July 2021 in partnership with JW SEZ.

The company planned to expand its production base and also establish auto part and allied industries in Pakistan in future. It considered Pakistan as a potential long term market and was planning to launch new models in Pakistan and increase production to 100,000 units by 2025.

Ambassador welcomed SAIC Motors interest and investment in Pakistan and congratulated the company for its successful joint venture and start of production in Pakistan.

He briefed the Vice President about Pakistan’s growing demand for cars and the government policies to attract new foreign automobile companies for producing conventional and as well electric cars. He assured SAIC for providing full facilitation in realizing its future investment plans.

Earlier, upon his arrival, the ambassador was warmly received by Zhao Aimin, Executive Vice President of SAIC.

Dubai, UAE, 2 November 2021: Hypermotion Dubai, the Middle East edition of the German-initiated industry convex that reimagines the transportation and logistics industries, debuted today (2 November 2021) at Expo 2020, held under the presence and patronage of HH Sheikh Ahmed bin Saeed Al Maktoum, President of the Dubai Civil Aviation Authority (DCAA), Chairman and Chief Executive of Emirates Group and Chairman of Dubai Airports, hailing it as a significant boost to the emirate’s smart mobility credentials.

In his comments on this remarkable event, HH Sheikh Ahmed bin Saeed said: “I would like to express my appreciation to the event organisers for their exceptional efforts.

“The fact that Hypermotion will be held in Dubai at Expo 2020 is a clear indication of our determination to maintain the emirate at the forefront of smart mobility as well as to leverage and support transformative and disruptive technology towards improving industries, accelerating the development of localised, high-tech economies. During this event, we will have the opportunity to discover and learn new things through an exciting outlook into the future.”

Running until the 4th November at the Dubai Exhibition Centre, Hypermotion Dubai, along with the co-located Materials Handling Middle East trade fair, represents a thriving hub of technology game-changers revolutionising four of the Middle East’s key economic sectors — transport, logistics, mobility, and materials handling.

The three-day event takes place with the collaboration of global ports operator DP World as Global Partner.

Abdulla Bin Damithan, CEO & Managing Director of DP World UAE and Jafza, said: “DP World is proud to be the Global Partner of Hypermotion and support its inaugural event in Dubai. We are leading several meaningful discussions this week on topics including Dubai’s emergence as an international trading hub and the importance of big data in revolutionising logistics.

He continues: “Innovation is in our DNA, and Hypermotion – like DP World – seeks to unlock a smarter future for mobility and logistics. In a changing world, we must collaborate to streamline and strengthen operations across the industry. This will benefit business, customers, our planet, and will ultimately keep trade flowing.”

Other key partners include Abu Dhabi Ports as Strategic Partner; and Dubai South, being a smart and sustainable city, as Future City Partner.

HE Khalifa Al Zaffin – Executive Chairman Dubai Aviation City Corporation and Dubai South, said: “We are pleased to host a reputable global event such as Hypermotion in Dubai, especially during a special time for the emirate as it hosts Expo 2020 Dubai.

“We look forward to connecting with a consortium of logistics veterans and discussing critical issues related to the future of logistics. As a major player in the region, Dubai South is proud to be aligned with the government’s strategy of diversifying the emirate’s economy and further solidifying its place on the global stage.

“Hypermotion Dubai will provide us with an ideal platform on which to demonstrate our most recent developments and explore a variety of prospects that will open up new perspectives and highlight the relevance of digitalisation in the mobility and transportation industries.”

Simon Mellor, CEO of Messe Frankfurt Middle East, organiser of Hypermotion Dubai and Materials Handling Middle East, said: “Hypermotion Dubai will be presenting digitally enhanced technologies that will be driving future automation and sustainability initiatives and efforts. The event’s three conferences and expert line-up of over 150 change-makers will lift the lid off progressive innovations for the benefit of all those working in these vital sectors.”

Hypermotion Lab focuses on driverless vehicles, urban air mobility and next-generation connectivity in the mobility and logistics arena. The Smart Mobility Conference is unveiling the reshaping of the region’s mass transit industry, while Scalex, a leading manufacturer of digital distance measurement tools, will take a deep dive into supply-chain and logistics excellence, including last-mile delivery.

Pitching the future

Hypermotion Dubai has attracted a heady mix of public- and private-sector leaders and policy makers, business owners and strategists, start-ups and innovators looking to networking and pitching new technology breakthroughs through the Asyad Logistics Start-up Challenge. The challenge will comprise three days of workshops, clinics, pitch competitions, and networking with investors and government buyers to provide real opportunities to launch and grow businesses

The event is also hosting market forecasts for both the GCC logistics and electric vehicles sectors in addition to leading data scientists, who will be presenting at the Asyad Global Hackathon Challenge – a knowledge hub of bespoke content, engaging competitions, workshops, and brainstorming sessions.

Rousing start for 11th Materials Handling Middle East

Together with Hypermotion Dubai, the biennial 11th edition of Materials Handling Middle East features more than 70 exhibitors from 24 countries, headed by Platinum Sponsor Acme, alongside other industry stalwarts such as RFUFCO, Wings, Savoye, Jaspa, Ancra Systems, Lean Tech, Log Square, Swisslog, and Honeywell.

The region’s dedicated trade fair for intralogistics, warehousing, supply chain management, freight and cargo is shining the spotlight on the latest automation technologies addressing the needs of a range of industries from e-commerce, banking and retail, to F&B, automotive and pharmaceuticals.

Acme’s next-gen show line-up includes a number of different solutions for specific applications including a new robotics system in cooperation with their partner, Hanwha, and handling and storage solutions for pallets and cases manufactured in their UAE facility.

Pandemic effect

Navin Narayan, CEO of Acme, said the Middle East has been slower than other markets when adopting physical automation solutions, however, the pandemic has increased manpower costs and squeezed overall operational margins meaning businesses have had to quickly realise the value of implementing automation technologies in their production and distribution lines.

“The pandemic has definitely accelerated the adoption of semi-automation and automation solutions,” said Narayan. “Our region has been relying heavily on manual labour for material handling and warehouse operations which were challenged as Covid-19 hit us all.

“New regulations for social distancing and drastically increased customer demand when it comes to delivery accuracy and speed made it impossible to stick to the status quo. To remain competitive, increased efficiency is key that could not be achieved by adding more human resources.”

Narayan continued: “Different industries are facing various challenges and some of them have recently intensified due to the pandemic. If we look at the retail and e-commerce sector as probably the most drastic example, we have seen an increase in online order volume as well as the rising expectation of end customers for faster delivery timeframes.

“Until about 2019, if a customer placed an order and they received an expected delivery date of 4-5 days, they would have been happy with the service level. Recent surveys show that over 96% shoppers expect to receive a product within the same day.”

According to Narayan, when a retailer wants to improve the last-mile services this puts additional focus and stress on the ‘middle section’, or the order fulfilment side of the business.

“We are supporting customers with such challenges by employing technology to make order fulfilment accurate, scalable as well as cost-efficient. The fundamental approach should be on how we can leverage on technology to optimise key processes and levitate bottlenecks.

“From predictive AI, to micro fulfilment centres, to autonomous robots for order fulfilment, there has been a lot of innovate developments that help improve operational efficiency for businesses,” he added.

• PRESS RELEASE

“High Tech companies of Pakistan are committed to developing hands on technical manpower at university level”, said Dr Arshad Ali, Convener Pakistan Aerospace Council. Elaborating on the subject Dr. Arshad Ali underlined the role of close liaison between universities and their surrounding businesses have, on development of students’ employability skills in the next generation of technologies.

Dr. Muhammad Mujahid, Vice Chancellor Pak Austria Institute of Applied sciences and Technology (PAF-IAST), welcomed the 25 members delegation and made detailed presentation on university programs and facilities. He also shared the progress and future plans with regard to Artificial Intelligence, Data Storage and Technology Park. Dr Mujahid highlighted that university focuses on singular mission of skilling Pakistan in close cooperation with industry.

Each member of the visiting companies gave presentation on the technology, products, processes and technical resources of their companies. The interaction lasted for about six hours during which a detailed understanding was developed for various forms of collaboration between
PAF-IAST.

Dr. Nasser Khan, Project Director said that such Hi-tech industries are true strength of Pakistan and need to be respected at every level. He also spoke about the excellent prospects which could emerge for the day’s interaction and result in lasting, fruitful relationship and the resulting high quality of the students which would be produced as a result.

– Press Release

Pak Suzuki since its inception is a market leader in small car, below 1000 cc, segment in Pakistan but not very successful in upper categories, although it tries its level best to capture the market of above 1000 cc but with little or in some cases no success. Before we move further let’s have a brief look about the history of Pak Suzuki.

Pak Suzuki was established in 1982 as a joint venture between the Government of Pakistan and Suzuki Motor Japan, formalizing the arrangement by which Awami Auto Ltd, a state owned company had produced the Suzuki SS80, having 360 cc two stroke, water cooled, rear engine car. This car was sold at a very attractive price of Rs 36,000. Pak Suzuki is the market leader in Pakistan Automobile market by having more than 60% of market.

Pak Suzuki so far has launched six cars in 1300 and above category, this we are talking about cars and not SUV or Jeeps, which is altogether different category. Margella, Baleno, Liana, Swift, Ciaz and Kizashi. All these cars except Swift were Sedan, and were directly competing with Honda City and Toyota Corolla, with the exception of Kizashi, which well too expensive to compete any car with a price tag of Rs. 5 million at the time of introduction.

The sedan shape of Suzuki Cultus second generation was initially (1990) imported from Japan to test the market and sold under the name Suzuki Sedan and came with a carburetted 3-cylinder 993 cc engine. The market reception was good though the audience complained of low power. The same car was considered for local manufacture as an entry level executive car. Manufacturing started in 1992 under the name Suzuki Margalla having 4-cylinder, 1300 cc carburetted engine. The car was offered in variants such GL and GLX, with an upgrade variant called Margalla Plus launched later on.

Production was ceased in 1998. Since at that time it was the only 1300 car manufactured in Pakistan and due to government of Pakistan ban on using above 1300 cc cars by government officials it was met with great success, and no doubt this car was also reliable.

But with the introduction of locally manufactured Toyota Corolla in 1993 the sale of Margella was drastically declined and to complete the market Suzuki launched Beleno, a bigger and better looking car in 1998 as a replacement of Suzuki Margalla, till 2006 when it was replaced by the Liana.When introduced, it featured a number of improvements over Margalla, such standard power steering, wider tyres, tachometer as standard, 4-spoke steering wheel vs. 2-spoke steering wheel of Margalla, black interior vs grey interior, EFi vs carburettor and 16-valve vs 8-valve engine.

Initial trim levels included GL, GXi, Gli and GliP (also known as Gli Plus). Baleno featured highly advanced technology at its time, as it was the first one to offer distributorless EFi. But as the mechanic did not have the knowledge of EFI engines due to its new technology and only Suzuki Authorised dealers have the mechanics that were capable to handle this engine, and since we do not have any technical institutions to give training on new technologies the car was not very successful. The same happened with Liana which was introduced in 2006, the car was no doubt good looking but again suffered with gearbox and engine issues as again mechanics were not geared up to handle the complicated EFi engine, and this leads to its poor resale value and the car was not as successful as it should have been. And finally in 2014 production stopped. To fill the gap Pak-Suzuki introduced Ciaz both manual and automatic as CBU but since it was expensive as compared to Toyota Corolla and Honda City and having badge of Suzuki it was not a success and Pak Suzuki was able to sell very small numbers of units. Smaller the number costlier to maintain as parts are expensive. If we analyse the buyer’s mentality in Pakistan reliability and resales value is number one issue in making the decision.

And in both these areas all these cars did not get the full marks, further the name of Suzuki is synonymous as entry level car. Kizashi was imported in 2015 and 2016 by Suzuki but due to its price, it badly failed and was far expensive for a Suzuki buyer and perhaps a bad decision on the part of Pak Suzuki to offer such an expensive car in Pakistani market. At present they have only one car in 1300 cc category ie Swift and due to its high consumption of fuel it is also not very successful, but those companies who are bound to give 1300 cc cars to their employees are buying it as it is the cheapest 1300 cc car in the market. But now with the introduction of Saga and Alsvin the fate of Swift is in doldrums and therefore the production ends by the end of this year.

It is prudent that Pak Suzuki should focus on up to 1000 cc car market and improve their quality as many new entrants are coming up in this category which will give tough competition to Pak Suzuki, like Picanto by KIA.

As we have known, we made one unit by thousand of parts. During the assembly, time responsibility is a more important factor in automotive industries just because of the conveyor system. With the help of teamwork, we perform this activity on regular basis.

Robots work in the automotive manufacturing industry help to create jobs by restoring more manufacturing work. Robots protect humans from, repetitive, routine, and perform dangerous tasks easily. while also creating more desirable jobs, such as engineering, training, programming, troubleshooting, management, and equipment maintenance.

Human and robot joint effort is a compound method in auto assembling because of the presented similarity and plant operational security among people and robots. Spot welding, components assembling, color painting, and Inspection are essential to work in the automotive industry. Such as the robotic spot welding aim is to achieve a reasonable compromise between finding a long path that can be executed faster and a short path.

By using one algorithm it is obviously impossible to achieve the desired result and a combination of several methods can be time and hardware consuming. Based on the requirements of the car body welding line, we can say that it is necessary to deal with so many precision solutions to achieve a sufficiently rapid path in a relatively short time.

Robots are a vital capability in the car enterprises and a great deal of improvement is made to expand.

1. Quality Control – Just to be baffled by poor people’s quality. Robots are an extraordinary answer for more excellent creation. Quality structures trust from customers similarly as pride understanding that you are contributing something of huge worth.

2. Repeatability – Being reliable and realizing that you will get a similar quality final result is basic to effectiveness. A robot can play out precisely the same undertaking, the very same way, again and again. Less blunders mean less sat around idly.

3.Waste Reduction – Steady repeatability permits makers to lessen in general waste. Less mistakes save time as well as diminishes the measure of material needed to deliver the item. Two or three examples: robots can utilize less wire for welding, less measure of paint, and cut nearer to the edge.

4.Faster Cycle Times -Unfortunate, people have their constraints. Robots have been known to incredibly improve creation cycle speeds. The more you can create, the more popularity you can meet and at last acquiring more cash.

5. Improved Workplace Safety – There are so numerous risky workplaces that can have appalling results on the human body. Isolating specialists from lifting a lot of weight, openness to exhaust and gases, close cooperation with lasers, or cutting edges, can massively diminish the chance of injury.

6. Reduction of Labour Costs – Work can be costly, particularly when you factor in medical benefits, took care of time, injury comp time, and so on Robots can supplant certain positions, anyway, that doesn’t mean they will expect authority over the world. It simply implies we need to change our core interests. Understanding that robots are there for our own security and effectiveness permits us to eliminate laborers from extreme dreary positions to additional satisfying jobs.

7. Reduced Floor Space – It’s not difficult to begin rambling out across the shop floor with additional materials, instruments, and apparatus. Robots can help lessen the impression of the necessary workspace by advancing everything into a more modest, kept space.

8. Integration with Business Systems – These days, correspondence between different information stages is quickly developing, improving productivity. You can see when there’s a bottleneck much speedier with appropriate innovation introduced. Robots and hardware are chatting with each other to give business pioneers a superior perspective on the general picture, assisting them with settling on more intelligent choices on the best way to improve their interaction.

At last, a test is directed to assess the exhibition of the gathering method. This exploration demonstrates that, although human-robot coordinated effort expands the complete cycle time somewhat, this cooperation improves human ergonomics extensively and decreases human injury.

By Khawar Junaid Sherwani; This article has been published in printed edition of Automark Magazine June-2021.

Overview on neighboring countries EV developments

According to reports Government is taking initiatives towards supporting EV industry in Pakistan, A comprehensive EV policy is expected in the upcoming budget of June 2021-22. Sources confirm that all related policies are being taken into consideration keeping in view futuristic approach which will not only address environmental concerns but industry growth as well.

A positive sign is that the renowned International EV assemblers are already in discussions with local Business Entities for setting up local operations & assembly lines.
Hope government introduces polices which not only secures investments in the area but also offers comprehensive incentives for a certain limit of time. Related authorizations for infrastructure setup have always been a tuff which would requires core focus of policy makers.

Potential area of related development will be
1- Charging Stations
2- Vendor’s Developments
3- Assembling Plants
Once said happens vacuum of private & commercial EV can be addressed for local & international markets as already has been observed in other developed countries.
It has been observed that our neighboring countries relevant Industry revenue has surged immensely, said wasn’t possible without a positive futuristic business vision / policies of governments.

ECC Approves EV Policy for Motorcycles
EV Markets

• Several countries made huge steps towards a cleaner future in 2020, with the electric vehicle market growing across the globe.
• China boasts the largest EV market, while Norway has the highest share of electric cars in total passenger car sales.
• In Europe, several EV markets saw triple digit growth in 2020 electric vehicle sales.
• Although the U.S. has the third-largest EV market, growth only reached 4% last year.

With Tesla’s meteoric stock market rise in 2020 and several countries and car manufacturers announcing new electric vehicle targets, electric cars have been in the spotlight for a while now. And while they still account for a single-digit percentage of global passenger car sales, several countries, especially across Europe, have made huge strides towards a cleaner future in 2020.
While Norway is by far the country with the highest share of electric cars in total passenger car sales, no country comes even close to China in terms of absolute market size. According to the China Association of Automobile Manufacturers (CAAM), sales of battery electric vehicles (BEV) and plug-in hybrids (PHEV) amounted to 1.00 and 0.25 million in 2020, respectively. That puts China way ahead of Germany (395,000), which overtook the United States in terms of EV sales.

• Electric car sales continued to grow in 2020 and global electric car stock passed the 10 million milestones.
• Europe became the world’s largest EV market for the first time.
• China still had the largest number of electric cars on its roads with a total of 4.5 million.

However, the world is still at the beginning of its transition to clean energy.

List of Chinese EV makers
Roughly in order of EV units shipped
• Tesla
• BYD
• SAIC Motor
• SAIC Volkswagen
• SAIC-GM-Wuling
• NIO
• Xpeng
• Li Auto
• WM Motors
• Geely
• Byton
• Enovate
• Zhiji
• Xiaomi
• Dongfeng Motor
• Chang’an Automobile
• Guangzhou Automobile
• Chery Automobile
• FAW Group
• FAW-Volkswagen Automobile
• Evergrande
• BAIC Motor

Media Reports of June 2020
Despite 2020 being a sluggish year for the global automobile industry, electric car sales continued to grow. According to the latest edition of the International Energy Agency’s Global EV Outlook, electric passenger car sales climbed despite the total automobile industry contracting by 16 percent. While Europe overtook China to become the world’s largest EV market for the first time last year, China still had the largest number of electric cars on its roads last year with a total stock of 4.5 million.
The Global EV Outlook is an annual publication that identifies and discusses recent developments in electric mobility across the globe. It is developed with the support of the members of the Electric Vehicles Initiative (EVI). Combining historical analysis with projections to 2030, the report examines key areas of interest such as electric vehicle and charging infrastructure deployment, ownership cost, energy use, carbon dioxide emissions and battery material demand.
The case studies on transit bus electrification in Kolkata (India), Shenzhen (China), Santiago (Chile) and Helsinki (Finland). The report includes policy recommendations that incorporate learning from frontrunner markets to inform policy makers and stakeholders that consider policy frameworks and market systems for electric vehicle adoption.

Further extends the life cycle analysis conducted in Global EV Outlook 2019, assessing the technologies and policies that will be needed to ensure that EV battery end-of-life treatment contributes to the fullest extent to sustainability and CO2 emissions reductions objectives. Finally, it analyses how off-peak electricity demand charging, dynamic controlled charging (V1G) and vehicle-to-grid (V2G) could mitigate the impact of EVs on peak demand, facilitate the integration of variable renewables and reduce electricity generation capacity needs.

Sales of passenger cars were slow in 2019 but electric cars had another bumper year.

Sales of electric cars topped 2.1 million globally in 2019, surpassing 2018 – already a record year – to boost the stock to 7.2 million electric cars. Electric cars, which accounted for 2.6% of global car sales and about 1% of global car stock in 2019, registered a 40% year-on-year increase. As technological progress in the electrification of two/three-wheelers, buses, and trucks advances and the market for them grows, electric vehicles are expanding significantly. Ambitious policy announcements have been critical in stimulating the electric-vehicle rollout in major vehicle markets in recent years. In 2019, indications of a continuing shift from direct subsidies to policy approaches that rely more on regulatory and other structural measures – including zero-emission vehicles mandates and fuel economy standards – have set clear, long-term signals to the auto industry and consumers that support the transition in an economically sustainable manner for governments.

INDIA ELECTRIC VEHICLE (EV) MARKET – GROWTH, TRENDS AND FORECASTS (2021 – 2026).
The India Electric Vehicle Market was valued at USD 5 billion in 2020 and is expected to reach USD 47 billion by 2026 registering a CAGR of above 44% during the forecast period (2021 – 2026).

The India Electric Vehicle Market has been impacted by the outbreak of COVID-19 pandemic due to supply chain disruptions and halt of manufacturing units due to continuous lockdowns and travel restrictions across the county. However, as electric vehicle (EV) market is still in its nascent stage in India. It is expected to grow at a much faster rate during the forecast period due to various government initiatives and policies.
E-Commerce companies (Amazon, for example) are launching initiatives to use e-Mobility for last-mile deliveries to reduce carbon footprint. India is experimenting with e-Mobility for public transport and has deployed electric inter-city buses across some of the major cities. In addition, state governments are also playing active role in deployment of policies encouraging EV. For instance,

• Kerala aims to put one million EV units on the road by 2022 and 6,000 e-buses in public transport by 2025.
• Telangana aims to have EV sales targets for 2025 to achieve 80% 2- and 3-wheelers (motorcycles, scooters, auto-rickshaws), 70% commercial cars (ride-hailing companies, such as Ola and Uber), 40% buses, 30% private cars, 15% electrification of all vehicles.

The EV market in India has gained significant momentum after the implementation of FAME India scheme with its aim of shifting towards e-mobility in wake of growing international policy commitments and environmental challenges. Moreover, India offers the world’s largest untapped market, especially in the Electric two-wheeler segment and as 100 percent foreign direct investment is allowed in this sector under the automatic route market is expected to gain momentum during forecast period.

SCOPE
An Electric vehicle is one that operates on an electric motor, instead of an internal-combustion engine which generates power by burning a mix of fuel and gases. Therefore, Electric vehicle is seen as a possible replacement for the current-generation automobile in near future to address environmental challenges. The report covers the latest trends and technologies followed by COVID-19 impact on the market.

The India Electric Vehicle Market is segmented by Vehicle Type and Power Source. By Vehicle type, the market is segmented into Passenger Cars, Commercial Vehicles, Two- and Three-wheelers and By Power Source Type, the market is segmented into Battery Electric Vehicle, Plug-in Electric Vehicle and Hybrid Electric Vehicle. For each segment market sizing and forecast has been done on basis of value (USD billion).

Growth of Electric Buses
India is the second most populated country in the world after China, and just like China, which has the largest electric bus fleet in the world, India is also pushing hard for the electrification of buses. Many state governments have already started the procurement of electric buses from Chinese and local electric bus manufacturers.
With growing need for controlling GHG (Greenhouse gases) emissions emitted by vehicles, the government is encouraging the use of electric powered vehicles across various states, which is boosting the demand for electric buses in India. The market is being driven by factors such as increase in domestic manufacturing, rapid urbanization, and rise in environmental awareness.

• In February 2020, Union transport minister inaugurated India’s first inter-city electric bus service, these buses are manufactured by Mitra Mobility Solution which has the range of 300 km on a full charge.
Many local bus manufacturers are in collaboration with some Chinese manufacturers are trying to catch the rising demand of the electric buses in India. For Instance,
• In 2019, Foton PMI announced that it was planning to invest around INR 5 Billion on a joint venture with Beiqi Foton Motor Co. of China to manufacture electric buses in India. The company has already given five electric buses to one of the airlines for internal operations.

Electric Two Wheeler Vehicles Growth
With transportation still being a challenge in India, a lot of people in these segments look forwards to the 2-Wheeler Industry in India. As a result of the surging pollution, the national government has launched stringent policies to curb vehicular emissions. In particular, the jump from Bharat Stage V (BSV) to BSVI emission standards is expected to benefit the Indian electric scooter and motorcycle market, by raising the prices of petrol-driven two-wheelers by 7¬–15%. From 1st April 2020 onward, automakers are only allowed to sell BSVI-compliant vehicles in the nation, which is driving the push toward electric variants.

For extracting the maximum revenue from the rapidly growing Indian electric scooter and motorcycle market, original equipment manufacturers (OEMs) are expanding their facilities. For instance,

• In January 2020, Ather Energy Pvt. Ltd. announced intentions to build a 400,000-square-foot factory in Hosur, Tamil Nadu, which would have an annual output of 1 lakh units. Currently, the company operates one manufacturing plant in Bengaluru, which has a capacity of 25,000 units. The idea of the company behind an additional facility is meeting the rising demand for electric two-wheelers in India.
• In the same vein, Okinawa AutoTech Pvt. Ltd. invested 28.4 million (INR 2 Billion) for its second manufacturing plant in May 2019. To be developed for electric two-wheeler vehicles in Rajasthan and planned to be commissioned in early 2020–21, the manufacturing plant will have an annual output of 10 lakh units.

Furthermore, the availability of a considerable number of electric two wheeler models, their low cost, as well as their availability as a substitute for conventional fuel-based vehicles and these are fueling the demand in the India Electric vehicle market.

Competitive Analysis
The India EV market is consolidated due to presence of major players active in the market owing to cheap and readily available manpower. However, established players in the market are introducing their new model’s, product launches to gain competitive edge over other players. For instance,
• In January 2020, Morris Garages Motor India launched the d ZS EV, which is the first electric internet SUV in India, the car has a driving range of 340 km on a full charge. The ZS EV vehicle has been awarded five stars at the Euro NCAP crash tests.
• In 2019, Tata Motors announced its electric vehicle technology ZIPTRON, which will power all future Tata electric cars. This technology consists of a highly efficient permanent magnet AC motor, providing excellent performance on demand. It will also offer a dust and waterproof battery system meeting IP67 standards.

The startups are expanding their presence by raising funds from investors, tapping in new and unexplored cities. Companies are investing a tremendous amount on R&D and launching new models to mark their presence in the market.

Major Players

1. Tata Motors Limited
2. Mahindra & Mahindra Limited
3. MG Motor India
4. Olectra Greentech Ltd
5. JBM Auto Limited

Ongoing Developments
• In January 2020, the Department of Heavy Industries (DHI) of India, approved 2,636 electric vehicle charging stations in 62 cities across 24 Indian states and union territories (UTs) under the second phase of the FAME program to promote e-mobility.

• In February 2021, Ather Energy India’s first intelligence EV manufacturer moved its USD 86.5 million factory from Bengaluru (Karnataka) to Hosur (Tamil Nadu) to increase its two wheeler production capacity.

DEAR READERS THE ABOVE IMFORMATION IS GATHERED FROM DIFFERENT MEDIA SOURCES & HENCE ANY CONTRADICTION IN RELATED FIGURES OR REPORT IS REGRETTED IN ADVANCE.

Exclusive written by Aqeel Bashir for Automark Magazine, this article has been published in printed edition of Automark in June-2021

Like a looming boom in the auto sectors, Pakistan’s two wheeler assemblers are also enjoying their best ever days owing to massive revival in demand especially after the lull period of March to May 2020 in which April was observed as a complete lock down all over the country.

Buyers, who had failed to buy two wheelers during March to May 2020, have flooded the markets which the industry has never expected.

The huge demand of bikes appears surprising amid rising cost of living of consumers triggered by high food prices, rising utility charges and loss of jobs of many people in small industries and business centres due to depressed sales of various items.

Besides soaring cost of living, many cash rich consumers did not bother over rising prices of two wheelers which the Chinese and Japanese bike assemblers are still jacking up the prices due to high demand.

Price increase in bikes is being made despite low cost of imports of parts and accessories on account of gaining rupee against the dollar.

The prices of bikes should have either remained unchanged or absorbed by the assemblers if they are not reduced after rupee recovery as one dollar is now equivalent to Rs 152-153 in the interbank market as compared to Rs 168.41 in August 2020.

Like an eye wash on other food items’ prices and lack of any price checking mechanism by the government, the assemblers have been enjoying their best ever time by fully utilizing high demand of bikes from the buyers.

Rising demand has also led to high premium on bikes on two wheelers which are parked at the showrooms on which the authorized dealers of the showrooms first deny about bike availability but later agree to sell the bike on premium.

The government, who had already failed in controlling huge premiums or on money on locally assembled cars, has also proved helpless in the two wheeler segment by remaining a silent spectator, leaving the consumers at the mercy of dealers to pay hefty premiums amid higher production of bikes.

Even the buyers are still being asked to book hot selling bikes and in this category, Honda CG-125, which is a more than three decades old model, enjoys an edge over its competitors. Those in a hurry to own a bike pay an extra price as they cannot afford to wait for 15-20 days to get the bike delivered.

Honda CG-125 has been in high demand for many years but its assembler is not ready to handle the premium issue either deliberately or genuinely. Honda dealers simply say that the assembler has been failing to meet its burgeoning demand.

It has been noticed in the markets that demand for products usually drops when prices have continuously been enhanced but in bikes and other segments of the auto sector, the situation is quite the reverse. Even in the essential items like chicken, sugar, wheat flour, meat varieties, rice, pulses etc, consumers had shown extra enthusiasm in buying these items despite persistent increase in their prices.

Bikes have remained a most sought after item also due to the pathetic public and private transport system. Besides, traffic jams have also forced the consumers to purchase two wheelers in order to reach the respective destinations without any hassle. Two wheelers is the only option for the consumers and this is a plus point for the assemblers to keep raising prices on demand and supply gap.

Another reason to switch over to bikes has been high prices of locally assembled and imported cars which force many people to buy two wheelers and even compromise on used bikes.

Besides, many people, who own a good car, also keep at least one bike in hand to meet daily requirements of markets and other daily routine works instead of going on the four wheelers.

High petrol prices can also be blamed in keeping two wheelers demand up as many consumers cannot afford costly petrol on their four wheelers.

Auto market has also seen a new trend in the last few years relating to rising sales of highly expensive 125-150cc bikes, but instead of showing any reluctance towards costly bikes, consumers have shown more passion towards heavy bikes due to better suspension and comfort than 70cc.

Besides, the 2020 heavy rains and thunderstorm had also proved devastative for the 70cc bike owners who faced a lot of problems in reaching their homes as water entered the bikes’ silencers and carburetors due to very little gap between the silencer and engine with the road.

In heavy bikes, silencers and carburetors are fixed much higher which allow a tension free ride to the bike owners in case of heavy rains and flood like situation.

High demand and rising sales of bikes can be gauged from the soaring import volume of completely and semi knocked down (CKD/SKD) kits in the last 10 months of the current fiscal.

According to figures of Pakistan Bureau of Statistics (PBS), import of completely and semi knocked down kits (CKD/SKD) in 10FY21 has increased by 13 per cent to $60.5 million from $53.3 million in the same period of last fiscal.

Increasing trend in imports of parts and accessories looks a bit contradictory to the assemblers’ claims of achieving over 95 percent localization in two wheelers. However, a problem exists with the parts makers who rely on many imported parts. The assemblers and vendors claim that raw material prices had almost doubled and tripled followed by a meteoric hike in steel and plastic items’ prices and in freight charges which have nullified the positive impact of low landed cost on account of rupee appreciation against the dollar.
They said local steel mills have been continuously pushing up steel related items’ prices for the last 10 months, thus putting extra pressure on cost of production.

Not only locally made bikes are in high demand, the PBS figures also suggest a whopping rise in import of completely built up (CBU) bikes in the last 10 months.
Import of CBU bikes in 10FY21 has swelled by 233 per cent to $2.7 million from $816,000 in the same period last fiscal.
Industry people attributed this sharp hike in imports of bikes to rising arrival of scooties and heavy used bikes.

The increasing trend in sales of imported and locally made bikes suggests that people have enough cash in hand, especially those people who belong to the agriculture sector.
Barring poor cotton crops, other cash crops like wheat, sugarcane, rice etc has shown growth in production thus encouraging growers and farmers to lift new bikes. Bike sales depend a lot on rural buying.

Investors in food items are also enjoying their heydays as prices of sugar, wheat flour, pulses, rice, fruits, chicken, meat etc have achieved new peaks in the last 2.5 years.
Among the main beneficiaries of rural buying has been Atlas Honda Limited (AHL). Its overall sales of two-wheelers grew 39 per cent to 1.076 million units in 10MFY21 while Suzuki and Yamaha sold 19,973 and 18,375 units. United Auto Motorcycle sales grew by 30 per cent to 314,393 units.

The financial results of AHL for the year ending March 31, 2021 recorded sales of Rs 93 billion as compared to Rs 84.7 billion in the same period last year.
The Japanese assembler made a profit of Rs 3.6 billion versus Rs three billion in the above period.

AHL has been frequently pushing up prices on exchange rate parity. From January 2021 till to date, the company has increased prices by at least four times.
Chinese bike assemblers have also been active in raising prices.
Many consumers believe that the government has been paying lip service only in checking prices of food items despite holding weekly meetings of the National Price Monitoring Committee. They feel that when the government has been unable to achieve any results in curbing food items’ prices, then what they can expect in the auto sector which is run by the powerful cartels.

However, bike sales are likely to remain bullish till the public and private transport remains ineffective.