Latest news with #MarutiSuzukiIndia
Time of India
4 hours ago
- Automotive
- Time of India
Maruti Suzuki navigates rare earth crisis, production unaffected
Maruti Suzuki India is actively working to mitigate the impact of the global rare earth magnet shortage but has not yet seen any disruption in production, a senior executive said on Thursday, PTI reports. Calling the situation 'challenging', Rahul Bharti, Senior Executive Officer, Corporate Affairs, said engineers are working on solutions to avoid potential impacts following China's export curbs on key rare earth elements. 'It's work in progress, but we are managing for now,' he added. China, which controls over 90 per cent of the global processing capacity, mandated export licences for certain rare earths from April, tightening supplies for industries including auto and electronics. On the demand front, Bharti said the company remains optimistic about the festive season, citing signs of a rural recovery and improved monsoon. He noted that while Q1 was below expectations, Q2 could see improvement. He also said discussions on the upcoming CAFE-3 fuel efficiency norms are progressing well, and final guidelines are expected in the next couple of months.
&w=3840&q=100)
Business Standard
5 hours ago
- Automotive
- Business Standard
Maruti says engineers working to mitigate rare earth magnet shortage issue
The recent imposition of export restrictions by China on key rare earth magnets has resulted in supply chain bottlenecks, impacting the user industries, including the auto and electronics sectors Press Trust of India New Delhi Maruti Suzuki India on Thursday said its engineers are working to mitigate the rare earth magnet shortage issue, noting that there has been no impact on its production so far. In an analyst call post the company's June quarter financial results, Maruti Suzuki India Senior Executive Officer Corporate Affairs Rahul Bharti termed the shortage a challenging situation. "So, it is a challenge, and of course, our engineers are working to mitigate it and ensure that we do not have the impact of this. "So, it's work in progress, but as of now, we are managing the situation. If and when there is an impact, we'll come back to you to answer your question," Bharti replied to a query on the matter. The recent imposition of export restrictions by China on key rare earth magnets has resulted in supply chain bottlenecks, impacting the user industries, including the auto and electronics sectors. China currently dominates the global rare earth magnet supply chain, controlling over 90 per cent of global processing capacity. These magnets are essential components across sectors like automobiles, household appliances, and renewable energy. The Chinese government has mandated, from April 4 onwards, that special export licences be required for seven rare earth elements and associated magnets. On demand scenario in the domestic market, Bharti said: "At the beginning of the year, the industry body had given a kind of a guess of 1-2 per cent growth this fiscal. Q1 has not been up to the mark. Q2 has some positives". He noted that the company is expecting the situation to improve in the festive season. "There are other positives also, like the monsoon and rural (sales) are holding up. So, we are looking at the second quarter and the festive season with optimism," Bharti stated. Replying to a query on the upcoming Corporate Average Fuel Efficiency (CAFE)-3 norms, he said the discussions have been proceeding well between industry and government with both sides understanding each other's position quite well. "It is a complex topic, but there have been sufficient discussions and all the complexibilities are on the table, and it is expected that between one to two months, all of us are hoping that the final revelation will be out, so that we have clarity for for the powertrains starting from first April 2027," Bharti stated. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Time of India
6 hours ago
- Business
- Time of India
Maruti says engineers working to mitigate rare earth magnet shortage issue
Synopsis Maruti Suzuki India is actively addressing the rare earth magnet shortage caused by China's export restrictions, ensuring minimal impact on production. While the company anticipates improved sales during the festive season, they are optimistic about monsoon and rural sales. Discussions regarding the upcoming CAFE-3 norms are progressing well, with final regulations expected within a couple of months.
Economic Times
6 hours ago
- Business
- Economic Times
Maruti says engineers working to mitigate rare earth magnet shortage issue
Maruti Suzuki India on Thursday said its engineers are working to mitigate the rare earth magnet shortage issue, noting that there has been no impact on its production so an analyst call post the company's June quarter financial results, Maruti Suzuki India Senior Executive Officer Corporate Affairs Rahul Bharti termed the shortage a challenging situation."So, it is a challenge, and of course, our engineers are working to mitigate it and ensure that we do not have the impact of this."So, it's work in progress, but as of now, we are managing the situation. If and when there is an impact, we'll come back to you to answer your question," Bharti replied to a query on the recent imposition of export restrictions by China on key rare earth magnets has resulted in supply chain bottlenecks, impacting the user industries, including the auto and electronics sectors. China currently dominates the global rare earth magnet supply chain, controlling over 90 per cent of global processing magnets are essential components across sectors like automobiles, household appliances, and renewable Chinese government has mandated, from April 4 onwards, that special export licences be required for seven rare earth elements and associated demand scenario in the domestic market, Bharti said: "At the beginning of the year, the industry body had given a kind of a guess of 1-2 per cent growth this fiscal. Q1 has not been up to the mark. Q2 has some positives".He noted that the company is expecting the situation to improve in the festive season."There are other positives also, like the monsoon and rural (sales) are holding up. So, we are looking at the second quarter and the festive season with optimism," Bharti to a query on the upcoming Corporate Average Fuel Efficiency (CAFE)-3 norms, he said the discussions have been proceeding well between industry and government with both sides understanding each other's position quite well. "It is a complex topic, but there have been sufficient discussions and all the complexibilities are on the table, and it is expected that between one to two months, all of us are hoping that the final revelation will be out, so that we have clarity for for the powertrains starting from first April 2027," Bharti stated.
&w=3840&q=100)
Business Standard
6 hours ago
- Automotive
- Business Standard
Maruti Suzuki Q1 profit stays flat as exports rise 37% amid domestic slump
Carmaker posts Rs 3,792 crore profit in Q1 FY26 as exports to Japan and others rise 37%, softening the impact of a 4.5% domestic sales decline BS Reporter Chennai Maruti Suzuki India, the country's largest carmaker, posted a marginal 0.8 per cent increase in consolidated net profit to Rs 3,792.4 crore in the first quarter of FY2025-26, compared to Rs 3,759.7 crore a year earlier. A continued slump in small car sales and weak urban demand impacted domestic sales, but this was offset by a 37 per cent surge in exports. Total income for the April–June quarter rose 10 per cent year-on-year to Rs 40,493 crore from Rs 36,840 crore. Total vehicle sales stood at 527,861 units during the quarter, with domestic sales contributing 430,889 units and exports accounting for 96,972 units. Export performance outpaces industry trend 'The decline in domestic sales of around 4.5 per cent versus last year was compensated by a robust 37.4 per cent increase in exports, resulting in an overall sales volume increase of 1.1 per cent for the quarter,' said Rahul Bharti, senior executive director, corporate affairs, Maruti Suzuki India. While overall industry exports declined by 2.1 per cent, Maruti Suzuki's strong international performance—particularly in Japan—boosted the sector to a 13 per cent growth for the quarter. The company's export share rose to 47 per cent of total industry exports. Models like the Jimny and Fronx became popular overseas, especially in Japan, now the company's second-largest export market. 'We are exporting to around 100 countries now. A lot of efforts have gone in over the last decade at a structural level for building exports. We have improvised our network in quantity and quality. We have launched more products. We have carried examples of success from Indian markets to these areas,' Bharti said. SUVs and EVs on the horizon The company is planning to launch two new SUVs in the current fiscal year. While details were not confirmed, reports suggest one of the launches will be the e-Vitara—Maruti's entry into the electric vehicle segment—along with a possible seven-seater version of the Grand Vitara. On the issue of rare earth import dependency, especially from China, Bharti acknowledged the challenge but stated that the company's engineering teams are working on mitigation strategies. 'ICE vehicles also need [rare earths], but in a lesser quantity,' he noted. Awaiting clarity on CAFE norms Regarding the upcoming Corporate Average Fuel Efficiency (CAFE) norms, Bharti said a government decision is expected within a month or two, which would provide clarity on powertrain planning from April 1, 2027. Despite subdued Q1 results, the company remains optimistic about the second and third quarters. 'The industry was expecting 1–2 per cent growth. The first quarter has not been up to the mark, while Q2 has some positives like the monsoon, rural demand, and festive season. We are looking at Q2 and Q3 festive season with optimism,' Bharti said.
