Nikhil Dhaka, Vice President, Primus Partners, highlights that some companies, like Samvardhana Motherson, which relies on the US for 20% of its revenue, could face difficulties due to US tariff hikes. Additionally, potential retaliatory tariffs or safeguard duties from India could drive up local steel prices by 13.2%, further impacting costs. The Indian car market is shifting, with consumers increasingly preferring SUVs and high-end variants, while demand for cheaper cars declines. To cope with rising costs, manufacturers are adjusting their strategies by raising prices, reducing incentives, and focusing on higher-margin vehicles, especially premium SUVs and top variants. This approach helps companies maintain profitability despite weaker overall market growth and fluctuating sales.
- Auto-parts companies tap electronics as new growth avenue: Report
- Immunity Products, Tele-Medicine, Household Gadgets Driving Consumer Demand In Covid Times: ASSOCHAM-PRIMUS Report
- Railway shares extend rise on Budget optimism; IRCON, Railtel, RITES, Jupiter Wagons rise up to 10%: What lies ahead?
- Luxury carmakers rev up festive cheer with reduced prices
