The rating agency expects operating margins of auto ancillaries to improve by 100-150 basis points (bps) year-on-year (YoY) in FY24, thus returning to pre-covid-19 levels of 11-11.5%.
According to the company, the decision has been necessitated mainly due to cost increases on account of the "OBD 2 transition."
The decision has been taken in line with the company’s efforts to comply with the move to more stringent BS6 Phase II emission norms.
Between April 2022 and February 2023, passenger vehicle sales stood at 34,61,716 units, whereas the production stood at 40,76,780 units.
This is the second time in three months that the company has announced an increase in car prices.
The improvement in demand has resulted in a positive impact on cash flows for aftermarket or replacement dealers and garages.
Hydrogen-powered trucks and buses could be on roads by 2024
Chaba says the company has always reinforced its commitment to national policies such as the 'Make in India initiative', and its push for battery electric vehicles (BEVs).
Global wholesales for JLR rose 5.7% QoQ and 15% YoY to 79,591 units with a significant increase in New Range Rover and New Range Rover Sport production.
With this, Kamarajar Port has become the fourth port, after Mumbai Port, Mundra Port and Pipavav Port, which will be used by the automobile manufacturer for the export of its vehicles globally.
