HYUNDAI

Aug 18 (Reuters) - Indian auto stocks jumped 4% to their highest level in 10 months on Monday, after Reuters reported that the government has proposed lowering the goods and services tax on small cars as part of sweeping consumption tax cuts.

Auto shares were the top sectoral gainers on the benchmark Nifty 50 .NSEI, which rose 1.3%.

The government has proposed lowering the goods and services tax on small petrol and diesel cars to 18% from 28%, Reuters reported citing a government source.

India's finance ministry did not reply to an e-mail seeking comment.

All 15 stocks on the auto index rose. Motorcycle maker Hero MotoCorp HROM.NS jumped 7%, followed by top carmaker Maruti Suzuki's MRTI.NS 6.6% rise.

(Reporting by Kashish Tandon in Bengaluru; Editing by Mrigank Dhaniwala)

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Recasts paragraph 1, adds details from earnings call

By Meenakshi Maidas

Aug 4 (Reuters) - Indian e-scooter maker Ather Energy ATHR.NS reported a narrower first-quarter loss on Monday on higher demand, and said it expects a week of "potential business impact" only in the second quarter due to China's rare-earth magnet export ban.

Ather expects around a week's worth of a supply gap to dealers due to China's ban but aims to manage the impact with existing inventory, CEO Tarun Mehta said in post-earnings call.

The company is also exploring alternatives, including a shift to more widely available light rare earth magnets, which remain unrestricted, he added.

China, which supplies around 90% of the world's rare earth magnets, imposed the export ban in April.

Last week major Indian carmakers Mahindra MAHM.NS, Hyundai India HYUN.NS shrugged off medium-term issues from the export ban, with Mahindra saying it was using alternatives such as light rare-earths and ferrites.

Ather Energy, which makes the popular "Rizta" e-scooter, said its losses narrowed to 1.78 billion rupees ($20.3 million) in the quarter ended June 30 from 1.83 billion rupees a year ago, helped by sales that grew nearly two-fold to 46,078 units.

Backed by Hero MotoCorp HROM.NS, Ather entered India's electric vehicle market in 2018 as an early mover, but has since lost ground to rivals such as Ola Electric OLAE.NS and legacy players with stronger finances and a broader reach.

Its revenue surged 78.8% on-year to 6.45 billion rupees, but rising material costs pushed overall expenses 54.4% higher.

Its adjusted gross margin rose to 23% from 19% a year ago, driven by non-vehicle revenue such as warranty programs, software and accessories such as its "Halo" helmets.

Ather's shares rose as much as 19.4% to a record high of 414.65 rupees on Monday after its quarterly results and closed 14% higher.

($1 = 87.6320 Indian rupees)

(Reporting by Meenakshi Maidas in Bengaluru; Editing by Nivedita Bhattacharjee, Mrigank Dhaniwala and Sonia Cheema)

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Corrects typographical error in headline

Aug 1 (Reuters) - Indian automaker Mahindra & Mahindra MAHM.NS said on Friday its sales of sports utility vehicles to dealers rose 20% year-on-year in July, supported by new launches and deliveries of electric SUVs.

Mahindra has been beating its peers in terms of sales growth, helped by successful launches that have drawn customers from rivals such as Hyundai India HYUN.NS and Tata Motors TAMO.NS.

Market leader Maruti Suzuki MRTI.NS and rivals Hyundai India and Tata Motors are yet to report their sales numbers.

(Reporting by Meenakshi Maidas in Bengaluru; Editing by Mrigank Dhaniwala)

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** Hyundai Motor India HYUN.NS reported a quarterly profit beat, as a rise in exports helped cushion a drop in overall sales

** Shares edge higher by 0.2% to 2,090.4 rupees compared to a 0.7% decline in benchmark Nifty 50 .NSEI index

NEW LAUNCHES TO DRIVE GROWTH

** Nomura ("buy," PT: 2,417 rupees) says while fiscal year 2026 will likely register slower growth, a strong pick-up in volumes is expected from FY27 onwards as new model cycle kicks in and capacity expands

** AMSEC ("buy," PT: 2,500 rupees) says co's new facility ramp-up and a slew of new launches are expected to back strong growth visibility

** Ambit Institutional Equities ("buy," PT: 2,168 rupees) says earnings will be muted over next six months, however, new launches and a focus on exports will boost volumes recovery from FY27 onwards

** Emkay Global (“add,” PT: 2,200 rupees) says a gradual uptick from the upcoming festive season in India will likely aid recovery for co; adds that historically new model launches have been a key growth driver for the passenger vehicles industry

(Reporting by Manvi Pant in Bengaluru)

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July 30 (Reuters) - Hyundai Motor India HYUN.NS:

• Q1 CONSOL PAT 13.69 BILLION RUPEES; IBES EST. 12.59 BILLION RUPEES

• Q1 CONSOL TOTAL REVENUE FROM OPERATIONS 164.13 BILLION RUPEES; IBES EST. 167.34 BILLION RUPEES

Source text: ID:nBSE4sj0LT

Further company coverage: 005380.KS

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July 22 (Reuters) - Hyundai Motor Co 005380.KS:

• RECEIVES ORDER FOR TAX DEMAND OF 2.59 BILLION RUPEES, PENALTY 2.59 BILLION RUPEES

• NO IMPACT ON FINANCIAL, OPERATION DUE TO TAX ORDER

Source text: ID:nBSE8stmJ6

Further company coverage: 005380.KS

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July 15 (Reuters) - Indian automakers' car sales to dealers slid to an 18-month low in June, data from an industry body showed on Tuesday, amid weak demand in urban areas.

Car makers delivered 312,849 units to dealers last month, the Society of Indian Automobile Manufacturers said in a statement, down from 337,757 units a year before.

(Reporting by Nandan Mandayam in Bengaluru; Editing by Subhranshu Sahu)

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** Hyundai Motor India HYUN.NS climbs 1.4% to 2,124.40 rupees

** Nuvama starts coverage on carmaker with "buy" and PT of 2,600 rupees

** Brokerage's PT highest among 22 analysts tracking HYUN, as per data compiled by LSEG

** HYUN's new compact SUVs and micro-electric SUVs over the next 18 months will drive its market share higher by ~1% point to 15% by FY28

** Adds that deeper penetration in HYUN's EV platform and launches shall drive robust exports revenue with annual growth rate of 11% over FY25-28

** Avg rating on HYUN, rival Maruti Suzuki MRTI.NS at "buy," while Tata Motors TAMO.NS rated "hold" - data compiled by LSEG

** YTD, HYUN gains 17% vs MRTI's 16% climb and TAMO's 7% decline

(Reporting by Kashish Tandon in Bengaluru)

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July 7 (Reuters) -

• INDIA AUTODEALERS BODY FADA: CAUTIOUSLY OPTIMISTIC VIEW FOR NEAR TERM

• INDIA'S FADA: RARE-EARTH SHORTAGES, GEOPOLITICAL TENSIONS & US-TARIFF SPILL-OVERS DEMAND VIGILANCE

• INDIA'S FADA: CHALLENGES IN SECURING RARE-EARTH MATERIALS STALLED COMPONENT PRODUCTION

• INDIA'S FADA: IN NEAR TERM, ABOVE-NORMAL MONSOON RAINS SHOULD BOLSTER RURAL DEMAND

• INDIA AUTODEALERS BODY FADA: JUNE PASSENGER VEHICLE RETAIL SALES ROSE 4.84 % Y/Y

• INDIA AUTODEALERS BODY FADA: JUNE TWO-WHEELERS RETAIL SALES UP 4.73% Y/Y

• INDIA AUTODEALERS BODY FADA: JUNE COMMERICAL VEHICLE RETAIL SALES ROSE 6.60% Y/Y

• INDIA'S FADA: AS WE ENTER JULY 2025, DEALER SENTIMENT APPEARS TILTED TOWARDS SLOWDOWN

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** Hyundai Motor India HYUN.NS closes 5.22% lower at 2,123.7 rupees

** Stock snaps a six-session rising streak, clocks worst day in more than four months

** Co records a 12% y/y decline in domestic sales in Q1 FY 2026, as buyers in urban India hold back on car purchases

** YTD, Hyundai up 16.7%

(Reporting by Ananta Agarwal in Bengaluru)

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June 30 (Reuters) - Three of India's top carmakers together reported lower domestic sales for June, data from the companies showed on Tuesday, as buyers in urban India kept away from new vehicle purchases.

Market leader Maruti Suzuki MRTI.NS, Tata Motors TAMO.NS and Hyundai India HYUN.NS registered decline in sales of 13%, 15% and 12%, respectively.

The three automakers corner over 60% of India's car market, the third-largest in the world, where sales growth has lately stuttered after hitting record-highs for three successive years.

Maruti's sales for June dropped to their lowest since December 2023. The 'Swift' hatchback manufacturer took a hit in small cars – its largest segment – that have become costlier due to stricter safety and emission rules.

"The once mass small-car segment is not participating in the growth at all," said Rahul Bharti, Maruti's senior executive officer of corporate affairs.

Sales of the company's utility vehicles, mostly sport utility vehicles (SUVs), dropped 8.5% in June, to their lowest level since December 2023.

Meanwhile, Tata Motors' dispatches slid 15% to their lowest level since December 2021, while Hyundai logged a 12% decline in domestic sales.

Hyundai's Chief Operating Officer Tarun Garg said in a release that the company is "cautiously optimistic about a gradual recovery of demand."

Tata, too, said it is counting on its newly launched vehicles to support the carmaker in a year where "overall industry growth is expected to remain subdued."

Indeed, industry insiders have said they expect overall car sales to grow about 1%-2% in the year to March 2026, compared to last year's 2% growth.

Mahindra, an exception to the trend, said its SUV sales grew 18% in June to end the quarter with record-high dispatches to dealers. The blistering growth has powered Mahindra to the no. 2 spot in India's car market, a position held by Hyundai for the large part of two decades.

BY THE NUMBERS

(Reporting by Nandan Mandayam in Bengaluru; Editing by Shailesh Kuber)

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** Shares of Waaree Energies WAAN.NS up 5.6%, NTPC Green Energy NTPG.NS up 4%, Hyundai Motor India HYUN.NS rise 2.6%
** WAAN, NTPG, and HYUN among shares being added to FTSE Russell index via quarterly rejig happening on Friday, leading to inflows
** FTSE rejig is expected to result in a net inflow of ~$150 million into India, Nuvama Alternative and Quantitative Research said
** WAAN shares down 1.3% YTD, while NTPG down 15.2% and HYUN up 8.5%

(Reporting by Sethuraman NR in Bengaluru)

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June 16 (Reuters) - Hyundai Motor Co 005380.KS:

• COMMENCES PRODUCTION OF PASSENGER VEHICLE ENGINES AT TALEGAON PLANT

Source text: ID:nBSE3cfGMF

Further company coverage: 005380.KS

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** Hyundai Motor India HYUN.NS rises 3.3% to 1,922.10 rupees; set to gain for fourth straight session

** Car maker holds 26.13% stake in FPEL TN Wind Farm post allotment of shares

** Shares allotted after release of 165.9 mln rupees ($1.9 mln) as first tranche by HYUN for share subscription

** HYUN gains ~6% YTD

($1 = 85.6690 Indian rupees)

(Reporting by Vijay Malkar)

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June 2 (Reuters) -

• INDIAN GOVERNMENT FINALISES NEW ELECTRIC VEHICLE POLICY - STATEMENT

• INDIA GOVERNMENT: INVESTMENT TOWARDS BUILDING, MACHINERY, RESEARCH, CHARGING NETWORK WILL BE CONSIDERED TO A LIMITED EXTENT

• INDIA GOVERNMENT: UNDER NEW SCHEME COMPANIES ALLOWED TO IMPORT EVS PRICED AT $35,000 AT REDUCED TARIFF OF 15% FOR 5 YEARS

• INDIA GOVERNMENT: IMPORT OF EVS AT LOWER DUTY PERMITTED ONLY IF COMPANIES INVEST $486 MILLION IN MANUFACTURING ELECTRIC CARS IN INDIA

• INDIA GOVERNMENT: UNDER NEW SCHEME COMPANIES WILL BE ALLOWED TO IMPORT A MAXIMUM OF 8,000 EVS EACH YEAR

• INDIA GOVERNMENT: COMPANIES MUST BEGIN EV PRODUCTION IN 3 YEARS AFTER GETTING APPROVAL

• INDIA GOVERNMENT: COMPANIES NEED TO ACHIEVE 25% LOCAL CONTENT IN CARS IN 3 YEARS, 50% IN 5 YEARS IN MAKING EVS

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By Aditi Shah

NEW DELHI, May 30 (Reuters) - India's biggest automakers are seeking to block a pollution management body's attempts to promote hybrid vehicles in government fleets in and around New Delhi, saying it will disrupt adoption of cleaner battery electric cars and hit investments, documents show.

Companies, including Mahindra & Mahindra MAHM.NS and Tata Motors TAMO.NS, are lobbying the ministry of heavy industries to overturn an attempt to equate hybrids with EVs and ensure incentives for all government programmes are restricted to electric models, five company letters seen by Reuters show.

In a May 2 advisory, the Commission for Air Quality Management, tasked with fixing severe air pollution levels in India's capital region, categorised strong hybrids as "cleaner vehicles" recommending their use in government fleets, a move that caught carmakers by surprise.

Given the "ultra-high density" of vehicular traffic in New Delhi and nearby areas, there is a need to move away from "polluting vehicles, dependent purely on fossil fuels like diesel and petrol", the commission said.

Automakers, however, argue that hybrids - which use a battery and combustion engine - are reliant on fossil fuels whereas EVs produce zero tailpipe emissions, making them an effective solution for the urban air pollution crisis.

"Our plea is for government policy and incentives to stay firmly focused only on EVs," Mahindra said in its May 15 letter to the heavy industries ministry.

Along with Tata and Mahindra, JSW MG Motor, Hyundai Motor and Kia Corp have also written to the ministry in support of electric cars, rekindling their face-off with hybrid proponents like Toyota Motor 7203.T and Maruti Suzuki MRTI.NS.

Tata, Mahindra, JSW MG Motor, Hyundai 005380.KS, HYUN.NS, Kia Corp 000270.KS and the ministry of heavy industries did not respond to requests for comment.

POLICY UNCERTAINTY

The potential opportunity is huge - of the 847,544 vehicles in use by government agencies across India in 2022, only 5,384 were EVs - less than 1%, official data showed.

A major concern for EV makers is that support for hybrids dilutes the Indian government's own policy which incentivises only EVs in its production-linked schemes and other programmes.

It will also create confusion among car buyers, companies and investors, hurting EV sales at a time when their growth is already slowing due to inadequate charging infrastructure and high upfront vehicle costs.

"The lack of a consistent and predictable policy environment may deter long-term investors ... particularly in high-capex, technology-intensive sectors like EV," said Tata, which has raised $1 billion from private equity firm TPG TPG.O for its EV push.

Tata in its May 15 letter said, the commission's move will undermine current and proposed EV investments, impact India's global image as an investor friendly destination and send mixed signals to international stakeholders.

Carmakers in India are expected to invest over $10 billion through 2030 to manufacture lithium-ion cells, EVs and batteries, ratings agency Moody's said in a report, adding EV adoption rates in India are still low versus China, Europe and the U.S.

Mahindra's EV unit counts Singapore's Temasek and British International Investment among investors while Hyundai plans to invest over $500 million in EVs in India.

(Reporting by Aditi Shah; editing by David Evans)

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May 16 (Reuters) - Hyundai Motor Co 005380.KS:

• HYUNDAI MOTOR INDIA LTD - SEES IMPACT ON PBT DUE TO NEW PLANT DEPRECIATION IN FY26

• HYUNDAI MOTOR INDIA LTD - SEES DEMAND SENTIMENT CONTINUES TO BE WEAK IN FY26

• HYUNDAI MOTOR INDIA LTD - WILL STRIVE TO MAINTAIN DOUBLE DIGIT EBITDA MARGIN IN FY26

• HYUNDAI MOTOR INDIA - ABOUT 70 BILLION RUPEES STRATEGIC INVESTMENTS IN FY2026

• HYUNDAI MOTOR INDIA LTD - REMAIN CAUTIOUSLY OPTIMISTIC ON DOMESTIC DEMAND OUTLOOK IN NEAR-TERM

• HYUNDAI MOTOR INDIA - EXPECT FY26 DOMESTIC GROWTH TO BE IN LINE WITH ESTIMATES OF LOW-SINGLE DIGIT

• HYUNDAI MOTOR INDIA LTD - AIMING FOR 7-8% VOLUME GROWTH IN EXPORTS INFY26

• HYUNDAI MOTOR INDIA - ANNOUNCE LAUNCH PIPELINE OF 26 PRODUCTS BY FY2030 COMPRISING 20 ICE, 6 EVS

Source text: [ID:]

Further company coverage: 005380.KS

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Corrects syntax in headline

May 15 (Reuters) - Indian automakers posted a near 4% jump in sales to dealers in April, led by strong demand for sport utility vehicles (SUVs), data from an industry body showed on Thursday.

Domestic sales of all cars in the country to dealers rose to 348,847 units last month, compared to 335,629 in April last year, according to data from the Society of Indian Automobile Manufacturers (SIAM).

Mahindra & Mahindra MAHM.NS posted a 28% jump in sales in April, overtaking Hyundai India HYUN.NS to the No.2 spot by overall sales in the in the world's third-largest car market.

(Reporting by Nandan Mandayam in Bengaluru; Editing by Savio D'Souza)

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May 1 (Reuters) - Three of India's top four carmakers reported weak sales to dealers in April, company data showed on Thursday, as buyers delayed purchases amid concerns about slowing economic growth.

Market leader Maruti Suzuki MRTI.NS posted a marginal 0.6% year-on-year rise, while Hyundai Motor India HYUN.NS and Tata Motors TAMO.NS clocked declines of 11.6% and 5.1%, respectively.

Mahindra & Mahindra MAHM.NS, in contrast, reported a near 28% jump in monthly sales, aided by strong demand for its 'XUV 3X0' and five-door 'Thar' SUVs.

That helped the 'Scorpio' maker overtake Hyundai and Tata Motors to the no. 2 spot in India's car market for the second time this year.

The four automakers together account for 80% of a market that saw record sales of 4.3 million units last year. Their combined sales were up about 1.4% in April, led largely by Mahindra.

WHY IT MATTERS

India's auto sector makes up 7% of GDP and is a major employer.

The country's economic growth is seen slowing down, with the central bank projecting full-year GDP growth of 6.5% for fiscal 2025, lower than the 9.2% recorded the year before.

KEY CONTEXT

Car sales are cooling as the post-pandemic pent-up demand, which propelled sales to record highs in past years, has faded. Growth slowed to 2% in financial year 2025, from 8% the previous year and 27% in fiscal 2023, with industry experts attributing the moderation to a broader economic slowdown.

Manufacturers expect car sales to grow 1%-2% this year, although some analysts expect growth to pick up by June or September on lower interest rates and a cut in personal income tax.

Phillip Capital said that buyers were postponing purchases, with the trend likely to continue for up to four months.

Maruti has held up better due to SUV demand and fleet sales, while Hyundai and Tata have struggled amid fewer new launches as they derive two-thirds of their sales from SUVs.

BY THE NUMBERS

(Reporting by Nandan Mandayam in Bengaluru; Editing by Sonia Cheema)

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April 15 (Reuters) - Indian carmakers' sales to dealers grew 2% in financial year 2025, as steady demand for larger sport utility vehicles made up for weaker sales of small cars and sedans, industry data showed on Tuesday.

Carmakers sold a record 4.3 million units in the world's third-largest car market, according to the Society of Indian Automobile Manufacturers (SIAM), but the growth was at least a four-year low.

Since rising by 12% in fiscal year 2022 and 27% in 2023 to what was then a new record, India's domestic car sales growth has moderated, rising 8% in 2024 and 2% in 2025.

India's financial year runs from April through March.

The manufacturers in February estimated the industry would grow 1% to 2% in the current fiscal year, but analysts have called the forecasts conservative.

Carmakers have had to offer higher discounts for longer to prop up demand, as pent-up demand that had led growth in previous years fizzled out, analysts and industry insiders have said.

SIAM said it expects domestic demand to be boosted by successive rate cuts by India's central bank, as well as a cut in personal income tax announced earlier this year.

(Reporting by Nandan Mandayam in Bengaluru; Editing by Varun H K)

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By Aditi Shah and Shivangi Acharya

NEW DELHI, April 7 (Reuters) - The European Union wants India to eliminate tariffs on car imports under a long-pending trade deal and Prime Minister Narendra Modi's government is willing to sweeten its current proposal to seal the talks, sources told Reuters.

India is open to the phased reduction of tariffs to 10% from more than 100%, two industry sources and a government official said. That is despite industry lobbying for India to retain at least a 30% tariff even if it starts reducing the levy, and also not tinker with import duties on EVs for four more years to protect domestic players.

The EU's demands come weeks after U.S. President Donald Trump's administration sought a similar elimination of import duties on cars, including EVs, as part of bilateral trade talks with India, piling pressure on domestic carmakers.

Tariff cuts will be a victory for European carmakers such as Volkswagen VOWG.DE, Mercedes-Benz MBGn.DE and BMW BMWG.DE, widening their access to India. It could also be a win for Elon Musk's Tesla TSLA.O which will begin sales of imported EVs in India this year probably from its Berlin plant.

"EU has come back asking for a better deal and India wants to make a better offer," said one of the industry sources.

India's commerce ministry conveyed the EU's demands and India's stance to officials from the heavy industries ministry and auto industry representatives in a meeting last week, the three sources said.

The sources, who have knowledge of the talks, spoke on condition of anonymity because the negotiations are ongoing and private.

The European Commission declined to comment on specifics but shared a readout of its last round of talks with India in March.

"For many of the key areas, the EU and India have different approaches, objectives ... This translates, in some cases, in different levels of ambition," Olof Gill, commission spokesperson for trade said in a statement.

India's commerce ministry and the Society of Indian Automobile Manufacturers (SIAM), which represents major carmakers on the world's third-largest car market, did not respond to emails seeking comment.

HEAVILY PROTECTED MARKET

India's 4 million-unit-a-year car market is one of the most protected in the world and domestic carmakers have argued sharp tariff cuts would wipe out investment in local manufacturing by making imports cheaper.

Companies such as Tata Motors TAMO.NS and Mahindra & Mahindra MAHM.NS have especially lobbied against lowering import tariffs on EVs, saying it would hurt a sector in which they have invested heavily and in which they plan to pump more money.

Similar to its proposal to the U.S., India's auto industry has proposed an immediate reduction of tariffs on a limited number of petrol cars to 70% from more than 100% and then carrying out cuts in phases to 30%. On EVs, carmakers want no tariff cuts until 2029 followed by a phased reduction on limited imports to 30%, the sources said.

While it was not immediately clear if India had already made its 10% tariff offer to the EU, analysts expect both sides to be more flexible in negotiations given the threat of a global trade war and recessionary impact of Trump's hefty tariff increases.

India and the EU have been in trade talks for several years and in February agreed to conclude the deal by the end of the year as they look to soften the impact of tariffs.

António Costa, president of the European Council, said last week on social media platform X that it was time to "decisively advance in negotiations with India".

"If the EU is now feeling pressure to strike a deal with India we need to see how we can capitalise on that. It's all about leverage," said the first industry source.

(Reporting by Aditi Shah and Shivangi Acharya in New Delhi; Editing by Kate Mayberry)

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April 1 (Reuters) -

• TOTAL MONTHLY SALES OF 67,320 UNITS IN MARCH 2025

Source text: ID:nBSEwz7bT

Further company coverage: 005380.KS

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NEW DELHI, March 26 (Reuters) - India's Maharashtra state has withdrawn a proposal for a 6% sales tax on electric vehicles priced above $35,000 to encourage adoption at a time when EV sales are still nascent in the country - the world's third-largest auto market.

"We are disincentivising (EVs in the luxury segment) without any reason ... we will not go ahead with this," Devendra Fadnavis, chief minister of the western state, home to India's financial hub Mumbai, told lawmakers in the state assembly on Wednesday.

India's EV market is small, making up about 2% of total car sales of 4 million last year, as worries related to higher pricing and inadequate charging points weigh on adoption. The federal government wants to increase this to 30% by 2030.

A reversal of the proposal, made weeks earlier, comes as global EV giant Tesla TSLA.O is gearing up to sell cars in India where it will compete with homegrown rivals such as Mahindra & Mahindra and Tata Motors.

Mahindra MAHM.NS and Tata TAMO.NS already manufacture EVs in Maharashtra. The state has also attracted investment in new factories, including for EVs, from Hyundai Motor HYUN.NS, 005380.KS and Toyota Motor 7203.T.

The new manufacturing facilities will help Maharashtra become the national capital of electric vehicles, Fadnavis added.

Maharashtra, one of India's wealthiest states, accounts for more than 10% of total car and EV sales in the country. It also has a separate EV manufacturing policy designed to give incentives to companies to build the cars in the state.

($1 = 85.7150 Indian rupees)

(Reporting by Hritam Mukherjee, additional reporting by Vijay Malkar in Bengaluru; Editing by Sharon Singleton)

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March 21 (Reuters) - Mahindra and Mahindra MAHM.NS will increase prices of its SUVs and other commercial vehicles by up to 3% from April, the company said on Friday, becoming the latest Indian carmaker to raise prices to combat rising costs.

Already, market leader Maruti Suzuki MRTI.NS, Tata Motors TAMO.NS and Hyundai Motor India HYUN.NS have said they will hike prices between 2% and 4% from next month.

These higher expenses are due to rising commodity prices, elevated import duties on raw materials and supply chain disruptions.

Mahindra and Mahindra said its price increases will vary depending on the model of the vehicle.

(Reporting by Ananta Agarwal in Bengaluru; Editing by Savio D'Souza)

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** Indian carmaker Hyundai Motor India HYUN.NS gains as much as 2.4% to 1,653 rupees in early trade, last up 1.4%

** HYUN to hike prices by up to 3% from April due to higher input and operational costs

** 18 brokerages' avg rating on stock is "buy", median PT is 2,029 rupees - data compiled by LSEG

** Stock down about 15% since trading debut on October 22

(Reporting by Manvi Pant in Bengaluru)

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March 19 (Reuters) - Hyundai Motor Co 005380.KS:

• HYUNDAI MOTOR INDIA LTD - TO INCREASE PRICES UP TO 3% IN APRIL 2025

• HYUNDAI MOTOR INDIA LTD - PRICE INCREASE DUE TO RISING INPUT COSTS AND OPERATIONAL EXPENSES

• HYUNDAI MOTOR INDIA LTD - PRICE INCREASE TO VARY BASED ON VARIANTS AND MODELS

Source text: ID:nBSE4q5Dyt

Further company coverage: 005380.KS

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March 13 (Reuters) - Ashok Leyland Ltd ASOK.NS:

• INDIA'S FEB 2-WHEELER SALES 13,84,605 UNITS - INDUSTRY BODY

• INDIA'S FEB 3-WHEELER SALES 57,788 UNITS - INDUSTRY BODY

• INDIA'S FEB TOTAL DOMESTIC PASSENGER VEHICLE SALES 3,77,689 UNITS - INDUSTRY BODY

• INDIA AUTO INDUSTRY BODY: UPCOMING FESTIVITIES OF HOLI, UGADI IN MARCH LIKELY TO CONTINUE TO DRIVE DEMAND

Further company coverage: ASOK.NS

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** Hyundai Motor India HYUN.NS slips as much as 4% to 1,661.1 rupees

** Carmaker's total monthly sales drops 2.9% y/y in February

** Co says geopolitical challenges led to drop in sales

** Believes tax reforms in union budget, improved liquidity will provide demand boost to domestic market

** Stock rated "buy" on avg; median PT is 2,029 rupees - LSEG

** HYUN last down 1.7%, extending YTD losses to 4.2%

(Reporting by Meenakshi Maidas in Bengaluru)

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By Arpan Chaturvedi, Aditya Kalra and Aditi Shah

NEW DELHI, Feb 26 (Reuters) - Indian tax authorities have singled out Volkswagen as the only automaker to wrongly classify its car imports for 12 years to evade $1.4 billion in taxes, even as rival Kia changed its practice after being pulled up, court papers show.

Volkswagen is a tiny player in India's car market, which is the third biggest in the world, and its Audi brand lags luxury peers such as Mercedes and BMW. If found guilty it could face dues of $2.8 billion, including penalty and delayed interest.

The court fight over the record tax demand is a matter of "life and death", Volkswagen's Indian unit says. The highest import tax demand in India's history has also rekindled investor worries that lengthy disputes could stymie their plans.

India says Volkswagen used a clandestine scheme to import auto parts in separate shipments, to evade detection and cut taxes, instead of declaring items as "completely knocked down", or CKD, units that face higher taxes of 30% to 35%.

Rebutting Volkswagen's court plea, tax authorities listed 10 carmakers, from Mercedes-Benz MBGn.DE to BMW BMWG.DE and Hyundai 005380.KS, HYUN.NS, that correctly classified their imports, despite using "split consignments" to bring in parts.

South Korea's Kia fell in line after being warned, the authorities said in their 506-page filing, which is not public, but was seen by Reuters.

"Earlier, they were clearing such imports as parts, against which investigation was undertaken," the authorities told the court about the altered practice at Kia, which continues to fight a demand for $155 million in tax.

"Post the investigation, they have started classifying such imports correctly."

This month Reuters reported Kia was contesting a $155-million tax demand from 2024 for the similar import, in separate shipments, of parts for its Carnival luxury minivan. Kia says it is reviewing the matter and cooperating with authorities.

A senior Indian tax official, speaking on condition of anonymity, confirmed Kia had "accepted misclassification" and corrected its process, but cites a lengthy investigation period as justification for contesting the tax demand.

Volkswagen's VOWG_p.DE domestic unit, Skoda Auto Volkswagen, Kia and India's tax department did not respond to queries from Reuters.

The Mumbai High Court is expected to decide within days the outcome of Volkswagen's challenge to its own tax demand.

Volkswagen blames India for taking as long as 12 years to review some shipment records, but tax authorities say the investigation delay came about as the company did not provide necessary documents in time.

The company has also argued the tax demand is contradictory to New Delhi's own tax rules on imports of car parts. Lawyers for the two sides have sparred in recent court hearings over how imports should be classified.

"Don't be the victim here," N. Venkataraman, India's additional solicitor general, said in court last week, while criticising Volkswagen. "If you don't follow the law then we will initiate action."

(Reporting by Arpan Chaturvedi and Aditya Kalra and Aditi Shah; Additional reporting by Nikunj Ohri in New Delhi; Editing by Clarence Fernandez)

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Repeats for Indian morning readership, no change to text.

By Aditi Shah

NEW DELHI, Feb 21 (Reuters) - India's EV policy, which offers import tax cuts for foreign automakers investing in the country, will restrict them from using funds spent on charging infrastructure for such relief, increasing their car manufacturing, a government document shows.

India last year announced a policy aimed at attracting Tesla TSLA.O to manufacture EVs in the country and let such foreign carmakers import cars at a 15% tariff, from around 100% now, but only if they invest at least $500 million for a factory.

But the policy will mandate that automakers can count only 5% of their total EV investment as coming from creation of charging infrastructure, even if they spend much more on the power network, according to government document detailing draft rules which is not public but was seen by Reuters.

The government's plan comes just as Tesla gets closer to entering India with imported cars, having finalised two locations for showrooms. The restriction could upset those automakers who may want to invest a bigger chunk of their planned India investments into creating charging networks, which remain far and few in India.

An industry source privy to discussions with the government said the call is being taken as New Delhi wants companies to prioritise manufacturing, and not just charging networks.

In India's nascent EV market, many buyers have shied away from making purchases due to lack of fast chargers.

"Expenditure incurred on charging infrastructure would be considered up to (a) maximum 5% of the committed investment," the 47-page draft document from January 2025 stated.

The government is holding consultations with carmakers and other stakeholders on the draft rules and will finalise them by next month, said a source with direct knowledge of the matter.

India's ministry of heavy industries, which is spearheading the new policy, did not respond to an email seeking comment.

Tesla in a job advert last week said it is also looking for a "charging developer" who would "develop and manage pipeline of new charging" sites, and select locations for deployment.

The EV giant's chief Elon Musk put on hold his manufacturing investment plans for India last year, amid falling electric car sales globally.

Tesla's immediate India plan is to import cars and sell them in India. Musk and U.S. President Donald Trump however have repeatedly said India's tariffs for cars are too high.

The new draft rules said companies which commit to India manufacturing will also need to meet a minimum turnover of $577 million by the end of the fourth year of operation, and $866 million by the fifth year, to be eligible for lower tariffs on up to 8,000 electric cars per year.

If they fail to do so, they will need to pay a penalty of between 1%-3% of the revenue shortfall.

Other foreign automakers like Hyundai 005380.KS, HYUN.NS and Toyota Motor 7203.T have shown interest in making EVs in India at their existing and new factories.

(Reporting by Aditi Shah; editing by David Evans)

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