Auto Component Firms Gear Up To Cater To Hybrids And EVs
Even though auto component industry (especially engine parts makers) is relieved by the government’s rollback of EV policy, many of the players are now drawing a blueprint to develop parts for hybrid and electric vehicles. While internal combustion engines (ICE) have more than 2,000 moving parts, an electric vehicle has about 20, resulting in fewer breakdowns. Hybrid vehicles, which offer a combination of and are also considered a bridge between conventional fossil fuel-based engine vehicles and fully electric ones, would typically have even more because they add in battery pack also.
N.K. Minda, ACMA President and CMD UNO Minda Group said, “There are 30 lakh people working in the auto component industry and 50% of them are into ICE. On top of it, we are in the process of increasing the capacity. We are very optimistic and positive and would like to support the environment. SIAM is also discussing that even hybrid vehicles should be supported so that the component industry doesn’t get affected. We have given a detailed presentation to Niti Aayog, Ministry of Heavy Industry and Ministry of Road Transport and they are considering our problems. We are requesting the government that there should be no zero duty so that there is some married localization.”
It may be recalled that the Department of Heavy Industries under the Ministry of Heavy Industries and Public Sector Enterprises came out with a Draft National Auto Policy, which harps on a 'technology agonistic' green mobility (which includes EVs along with Hybrids, Alternate fuels, fuel cells etc) roadmap through evolution of emission and fuel consumption standards, along with incentives plan and related infrastructure investments. It also aims to enhance the current status of Indian Auto & Auto Component Industry and investing in key areas of R&D and skill upgradation. Many carmakers are seeing some clarity over its future with the government unveiling a draft automotive policy.
Rohit Saboo, President and CEO, National Engineering Industries Limited (NEI), a leading bearings manufacturer, revealed, “In a four-wheeler, there are anywhere between 22-40 bearings depending on the type of vehicles. In an EV, there will be 8-15 bearings depending on the kinds of EVs. The type of bearing will be very different from what it is today. It is a very different technology. We have to be at the top of the game as far as R&D is concerned. Otherwise, it will be a huge issue. We are ready with EV-specific products whenever our customers start rolling out such vehicles. Since we are already working with some European players, we have an edge.”
Soumitra Bhattacharya, MD, Bosch India, stated, “The whole ecosystem for electrification is at a very nascent stage unlike the ecosystem for ICE where pumps have come up. The ecosystem compared to rest of the world, including Europe and leading emerged countries, we will have to do a lot of work. It has to be innovative and very India specific.”
Sunil Soni, DGM, Department, Sales Strategy Function, DENSO International India Pvt. Ltd. affirmed, “We already have EV products available like motor generators, battery ECUs, converters, etc, and are ready to support the OEMs we are catering to (in worldwide markets). While some are under development, some are already developed. We are waiting for the OEMs’ directions as to when to bring and what to bring. Their localization is possible provided they are commercially viable as they require huge investments.”
Arnd Franz, Corporate Executive Vice President and Member of Management Board at MAHLE GmbH, said, “When the degree of electrification goes up in India, we will certainly consider manufacturing products locally in India. The announcement is one thing and reality is another thing. A number of parameters have to be met to enable further penetration of BEVs and accepted by the vehicles. It includes government subsidies, (the) question of how petrol and diesel vehicles will develop battery costs, the range of vehicles and many other things. It is an uncertain future which we cannot predict and can only make assumptions. One of the scenarios which is quite certain is the penetration of BEVs by 2030.”
