Daimler and Nissan to invest $1.36 bn to build premium small cars

Frankfurt/Paris: Daimler AG and Nissan Motor Co are jointly investing USD1.36 billion to develop premium small cars and build a factory in Mexico, the companies said on Friday, in a step that deepens cooperation between the Mercedes-Benz and Infiniti brands.

The companies said they will build a plant with an annual production capacity of 300,000 vehicles in Aguascalientes in central Mexico, where Nissan already has a USD2 billion manufacturing complex. 

The first Infiniti cars will roll out of the new plant in 2017, followed a year later by Mercedes, the companies said, with both brands planning to market those vehicles globally.

The companies did not specify which vehicles would be built in Mexico. But sources told Reuters Infiniti will build three models at the plant including a sedan, a coupe and a compact crossover likely to replace the slightly larger QX50 model. Mercedes-Benz plans to produce at least three corresponding vehicles, including a crossover from new joint vehicle architecture, developed from Daimler`s MFA front-wheel-drive platform.

In March, sources said Daimler and Nissan planned to pool development of premium compact cars to cut costs, expand the German carmaker`s North American production footprint and broaden the Infiniti lineup.

The 50:50 joint venture in Mexico allows Nissan, which is allied with French automaker Renault, to share components and technology that are already used by Mercedes-Benz. In return, Daimler gets a first North American production site for small vehicles, to supplement its U.S. assembly plant in Vance, Alabama. 

The German carmaker has struggled in the past with insufficient demand for its smaller cars, while Nissan`s Infiniti brand has yet to establish itself as a significant player in the global premium sector.

Building cars in Mexico allows Mercedes and Hong Kong-based Infiniti to sell cars in the United States while avoiding some of the currency and tariff costs that crimp profits on vehicles imported from overseas. Mexico also offers lower labor rates than Germany, Japan and the United States.

Carlos Ghosn, chief executive of Renault-Nissan, said that "joint development of compact premium vehicles and joint production in Aguascalientes together represent one of the largest projects" between the Renault-Nissan alliance and Daimler.

Asked if Infiniti cars eventually could be built at Mercedes factories in Europe, Ghosn said "there is no need."

Daimler Chief Executive Dieter Zetsche was asked whether he would consider a full-blown merger between the companies and said, "The cooperation is so successful because it is not the result of a merger."

The companies will add almost 5,700 jobs by the time the plant reaches full capacity, expected in 2021, as well as 10,000 jobs at parts suppliers and related enterprises.

Mercedes, Nissan and Renault have shared engines, plants and vehicle underpinnings for small cars since Zetsche and Ghosn forged an alliance in 2010 cemented by token reciprocal shareholdings.

On Wednesday, Infiniti and Daimler began production of four-cylinder engines at a Nissan plant in Tennessee, for use in the Mercedes-Benz C-class and the Infiniti Q50.

Source :  zeenews.india.com

Germans rule the 2014 World Car Awards at New York Auto Show

World Car Awards were announced recently that included categories as diverse as Performance Car of the Year, Green Car of the Year, Car Design of the Year, Car of the Year and more. This is one of the most famous of awards in the car world and one reason may well be because the jury comes from across the globe - motoring journalists test vehicles of different categories individually and vote, from which a panel finally selects winners.

This year’s Winners of the World Car Awards were announced on 17th April at the ongoing New York International Auto Show (NYIAS).

2014 World Car of the Year – Audi A3

This year’s celebrated World Car of the Year award was received by Audi A3 on April 17th in New York. The cars that gave Audi a close competition were the finalists of the 2014 World Car of the Year, Mazda 3 and BMW 4-Series. The journalists reportedly found the car thrilling and most importantly more cost effective than the rest. It seems that Audi has created a perfect mix of pricing, performance and practicality with the new Audi A3. Entering India later this year, Audi showcased the sedan and cabriolet at the Indian Auto Expo in Delhi too.

2014 World Green Car of the Year; 2014 World Car Design of the Year - BMW i3

A regular at winning quite a few awards over the years, BMW’s new entry BMW i3 bagged two awards green car and best design. Deemed as the first all electric vehicle by BMW, this car is undeniably a stylistic future of electric cars. The finalists for the Green Car of the Year award were Audi Sportback G-Tron and Volkswagen XL1.

With brilliant design both inside and outside, BMW i3 has set the standards up a notch. BMW i-range won World Car Design of the Year award by standing superior to both Mazda 3 and Mercedes-Benz C-Class.

2014 World Performance Car of the Year - Porsche 911 GT3

There are very few companies which get their cars referred to by their own name. A regular Joe may not know the name of a Porsche but he will definitely know it is a Porsche. From such a popular brand came the range topper in the 911 series, the Porsche 911 GT3. This car took away the most significant key award of the night, the 2014 World Performance Car of the Year. Porsche.

Source : financialexpress.com

Jeep to Enter India Market in 2015

Chelsea, Michigan:

Fiat Chrysler Automobiles will begin selling Jeep, the SUV brand central to its global expansion, in India in 2015, the brand's chief, Mike Manley, said on Thursday.

The original plan was for Jeep to enter the India market in late-2013, but that was delayed because he did not feel the brand would enter the market strongly at the time, he said.

By 2020, India will be the world's third-largest auto market - behind China and the United States, with sales nearly doubling to about 6 million vehicles, according to consultancy IHS Automotive.

Mr Manley, speaking at a Fiat Chrysler test track event in southeast Michigan, said the mid-sized Cherokee and the rugged Wrangler SUV will be the first models sold in India.

But those models, which are two core vehicles for the brand, are expected to corner only a small fraction of the massive Indian market because of their relatively lofty price, which will be escalated by the import duty.

"If we're going to be successful with Jeep, you'll have to localize a vehicle in India," he said.

Jeep could start local production at a Fiat-Tata Motors Ltd joint-venture plant, but there is little spare capacity as Fiat just refreshed its lineup in India, Mr Manley said. He would not discuss future production plans.

Fiat has about 115 dealers in India, but no Jeep dealers. At the launch of Jeep sales, Mr Manley said he wants 15 to 20 dealers there.

On track for 1 million Jeep sales

Mr Manley also told reporters that Jeep is on track to meet Fiat Chrysler chief executive Sergio Marchionne's ambitious goal of selling 1 million vehicles globally this year, up 37 per cent.

"Last month helped us a lot, hitting 100,000 vehicles around the world. It was a really big milestone," Mr Manley said.

Whether Jeep hits the 1 million target will largely depend on continued strong Cherokee sales in North America, the success of the ongoing launch of Cherokee in Australia as well as the ramp-up of sales of the Renegade in Europe before the end of the year, Manley said.

Renegade, the subcompact SUV to be produced in Italy, will be launched in Europe in the fourth quarter and in the United States in early 2015, Manley said.

While the Wrangler and larger Grand Cherokee SUV are the best-selling Jeeps, it was through models like the smaller Renegade that Fiat Chrysler hopes to expand the brand outside North America.

Mr Manley has said the small-size SUV market will grow to 2 million vehicles worldwide by the end of 2015.

In China, Mr Manley said, the first Jeep Cherokee models are on track to be produced there by the end of 2015.

Jeep has about 240 dealers in China, and 360 Fiat dealers.

Source : profit.ndtv.com

BMW rolls out diesel variant of X5 at Rs 70.9 lakh

NEW DELHI: German luxury carmaker BMW today rolled out a diesel variant of its locally manufactured Sports Utility Vehicle, X5, from its Chennai plant at an ex-showroom price of Rs 70.9 lakh. 

Initial deliveries of the all-new BMW X5 in India will commence by June as an overwhelming demand for the vehicle in the market has pushed the waiting period to three months, BMW said in a statement. 

The diesel variant of the BMW X5 xDrive30d model, which was launched last month, is being locally produced at BMW's plant in Chennai. 

"The third generation BMW X5 has received tremendous customer response and excitement since it was first displayed at the Delhi Auto Expo 2014," BMW Group India President Philipp von Sahr said. 

The company might also consider ramping up the production to meet the huge demand in the Indian market, he added. 

"The team at the facility will build the all-new BMW X5 with uncompromising engineering. We are confident that the BMW X5 produced in Chennai will further increase our momentum in the Indian luxury car segment," said Robert Frittrang, Managing Director of BMW's Chennai plant.

Source :  economictimes.indiatimes.com

GM dealers stop selling some Cruze sedans with Takata air bags

Detroit: General Motors Co on Wednesday told its North American dealers not to sell an inventory of about 33,000 new and used Chevrolet Cruze sedans from model years 2013 and 2014 because of a potential problem with air bags made by troubled Japanese supplier Takata Corp.

Potentially faulty air bags supplied by Takata have led to the recall of about 10.5 million vehicles worldwide, many of them made by Toyota Motor Corp and Honda Motor Co.

GM said about 33,000 Cruze sedans "built with the suspect part supplied by Takata" are in dealer hands, most of them in the United States and Canada. The automaker has not recalled the 2013-2014 Cruze sedans in consumer hands and said it does not yet know whether there have been any crashes, injuries or deaths related to this issue.

GM said late on Wednesday that Chevrolet dealers will be able to start selling "most Cruzes" again on Thursday, outside the 33,000 with the potentially faulty part.

The Cruze is GM`s top-selling car in North America. GM has built about half a million 2013-2014 model year Cruze sedans since October 2012.

For model year 2013, GM introduced a new Takata "smart" driver-side air bag on the Cruze which the automaker said helps reduce the risk of injury in crashes.

On Wednesday, GM said, "Certain vehicles may be equipped with a suspect driver`s air bag inflator module that may have been assembled with an incorrect part."

Production of Cruze sedans continues at GM`s plant in Lordstown, Ohio, a GM spokesman said.

In a separate action involving Takata air bags, GM in May expanded an earlier recall of the 2012 Cruze and several other models because air bags might not deploy in crashes because of an electrical problem. The expanded recall covered 38,636 cars, all from model year 2012, including the Buick Verano, the Chevrolet Sonic and the Chevrolet Camaro. 

The new stop-sales order on the Cruze follows a series of safety-related problems that have plagued GM since early this year, many of them because of air bag-related issues. 

So far this year, GM has issued 44 recalls covering about 20 million vehicles globally. Among those recalls is one for older model Chevrolet Cobalt and other GM small cars with faulty ignition switches, which have been linked to the deaths of at least 13 people.

The stop-sales order for Cruze was first reported by Automotive News.

Source : zeenews.india.com

Excise duty concession on auto, consumer goods to continue: FM

In a relief to the automobile and consumer durable sectors, the government on Wednesday extended the excise duty concession by six months to December 31.

The government had cut excise duty on cars, SUVs and two-wheelers as well as consumer durables in the Interim Budget in February to help the industry tide over a demand slump.

The concessions were valid till June 30 and Finance Minister Arun Jaitley announced the extension till the year end.

"Considering the present situation in various sectors, the government on Wednesday has decided to extend the facility of this reduced excise duty to all those sections for a further period of six months, i.e., they will continue till December 31, 2014," he told reporters in New Delhi.

Excise duty on small cars, scooters, motorcycles and commercial vehicles will continue at 8 per cent from 12 per cent previously. The factory gate duty on SUVs stands at the reduced rate of 24 per cent as against 30 per cent.

The duty on large cars will continue at 24 per cent compared with 27 per cent earlier, while the duty on mid-sized cars will stand at 20 per cent from 24 per cent.

Excise duty on capital goods and consumer durables will continue to attract a lower duty of 10 per cent as against the pre-budget rate of 12 per cent.

Asked about the loss of revenue due to the extension of these concessions, Jaitley said the short-term loss will benefit the economy in the long run. 

Source :  businesstoday.intoday.in

Toyota announces price for new fuel cell car at $70K

Tokyo Japanese auto giant Toyota will start selling its first fuel cell sedan this financial year, with a price tag of around USD 70,000, the company announced Wednesday.

The vehicles will be rolled out by March and beyond the home market during the summer of 2015, it said, in a move that will see the environmentally friendly cars available in the United States and Europe.

"Hydrogen is a particularly promising alternative fuel since it can be produced using a wide variety of primary energy sources, including solar and wind power," the automaker said in a statement.

This is the first time Toyota has given a specific timeframe for its fuel cell cars, which it had previously said would go on the market in 2015.

The price tag is also a nice surprise for potential customers - it had been widely expected that a fuel cell vehicle would cost around 10 million yen.

The company said it will initially start selling the model only in the regions "where hydrogen refuelling infrastructure is being developed".

The price ranges for the US and European markets have not been decided, Toyota said. 

Source : zeenews.india.com

Toyota names price for new fuel cell car

Japanese auto giant Toyota will start selling its first fuel cell sedan this financial year, with a price tag of around 7 million yen ($70,000), the company announced Wednesday.

The vehicles will be rolled out by March and beyond the home market during the summer of 2015, it said, in a move that will see the environmentally friendly cars available in the United States and Europe.

"Hydrogen is a particularly promising alternative fuel since it can be produced using a wide variety of primary energy sources, including solar and wind power," the automaker said in a statement.

This is the first time Toyota has given a specific timeframe for its fuel cell cars, which it had previously said would go on the market in 2015.

The price tag is also a nice surprise for potential customers -- it had been widely expected that a fuel cell vehicle would cost around 10 million yen.

The company said it will initially start selling the model only in the regions "where hydrogen refuelling infrastructure is being developed".

The price ranges for the US and European markets have not been decided, Toyota said.

Source :  hindustantimes.com

Cruise: a hands-free car kit with a difference

The world's leading automotive firms have set themselves a deadline for 2020 for launching their first fully-autonomous cars, but aware of drivers' impatience and the amount of buzz that talk of self-driving cars is generating, a Californian startup company called Cruise is looking to offer a do-it-yourself stopgap.

Called Cruise PR1, it can be retro-fitted to an existing car and will offer what the company confidently calls "the first highway autopilot for your car."

The kit, which the company will install at its facility in San Francisco, will cost $10,000 and uses a combination of actuators for the steering and pedals and machine vision technology -- i.e., cameras mounted on the roof -- to keep a car in lane and a safe distance from other road users once the ‘Cruise' button is depressed.

And although it is potentially compatible with any car, Cruise is initially focusing its attention on Audis -- the A4 and A5 to be precise.

Perhaps unsurprisingly, the new gadget has been getting a lot of buzz but car makers are being a little more cautious.

For example, Audi recommends against fitting anything to one of its cars that will interfere with its performance or handling or might in any way void its warranty or reliability.

Then there's the fact that many of the benefits the Cruise PR1 system offers have been standard or cost options on a host of premium European cars for quite some time.

Mercedes owners in particular will be scratching their heads trying to understand what the fuss is all about. The Distronic Plus system has been offered on the E Class and S Class since 2013 and is now available to C-Class, CLA-Class and CLS owners too.

Like the Cruise system, Distronic Plus automatically monitors a car's position within a lane, keeps a safe distance from the car ahead and the one behind and can even bring a car to an emergency stop in such a way that the risk of the vehicle behind crashing into yours is mitigated.

Other Mercedes features include junction assist, where the car helps to look for an opening in traffic and blind spot assist where the car keeps track of vehicles and other road users near the car but out of the driver's sight.

But unlike the Cruise system, the latest Mercedes can also pretty much park themselves too.

However, not everyone owns a Mercedes and not everyone has to contend with California's notorious traffic jams and congestion.

And in this area, Cruise might be able to offer something that other companies can't. The state is one of the most forward-thinking when it comes to the future of self-driving cars and has already put legislation in place that will allow them to use the road network. That means that as long as the driver is registered, he or she really could take their hands off the wheel when the car hits the highway.

In Europe however, the law is still very clear: the driver must have a least one hand on the wheel and therefore remain in control of the vehicle at all times. And that's why all premium European cars have a sensor installed in the steering wheel or column that can sense the pull or pressure of a hand to ensure that all of the driver safety and assistance aids aren't the only thing controlling the car.

Source :  hindustantimes.com

Mercedes Says Monitoring Currency Fluctuations But No Pricing Pressure

Hyderabad:

Mercedes-Benz India is closely observing the currency fluctuations though it does not see any pressure on pricing due to it at present, a senior official of the luxury car-maker said on Wednesday.

Boris Fitz, Vice President, Sales and Network Development, Mercedes-Benz India also said without elaborating that some more new model launches are in the pipeline during the current year.

"The exchange rate is developing in a positive way at the moment. We have already done number of price corrections since September last year.

"We will see what's going to happen. The pressure is still there. The import cost is still very high. We will have to watch carefully and also see what budget gives as stimulus and then we will take a call. At the moment, it is wait and watch" Fitz said.

He was replying to a query on pricing pressure due to currency fluctuations.

Fitz said the manufacturing capacity of the company's plant at Chakan has been increased to 20,000 units a year. According to him, the localisation of the Mercedes Benz would be between 30 to 40 per cent depending on the model.

Meanwhile, Mercedes-Benz India on Wednesday launched the exclusive A-Class and B-Class 'Edition 1' in Hyderabad at Mahavir Motors.

Fitz said the company expects a double-digit growth in sales in the current year on the back of new models and expansion in the dealership network.

Mercedes-Benz started the year 2014 on a high note amidst challenging market dynamics, registering a 27 per cent growth in Q1, 2014.

It also grew by 47 per cent in FY 2013-14, selling over 9000 cars in India, Fitz added.

Source : profit.ndtv.com

Honda and Nissan add to airbag recall

Japanese carmakers Honda and Nissan have added 2.8 million vehicles to the recall they issued last year over a defect in passenger airbags.

Honda is recalling two million vehicles and Nissan 755,000 cars globally.

The affected vehicles have a defective part which "could cause the airbag inflator to rupture and deploy the airbag abnormally in a crash".

The part was supplied by Takata Corp. Other firms, including Toyota, have also issued recalls due to the issue.

Earlier this month, Toyota added 650,000 cars - all in Japan - to its initial recall.

The latest recalls by the three Japanese car makers takes the total number of cars recalled due to the issue to nearly seven million globally.

Honda said its latest recall affects at least 13 models, including the Fit (or Jazz in the UK), Stream, CRV and Civic.

Meanwhile, Nissan's recall affects 16 models globally, including the Cube, Terrano and Sylphy.

Both the firms said that there had been no reports of any accidents or injuries due to the issue.

Earlier this month, Toyota, the world's biggest carmaker, said it had received one report of a seat cover burn due to the problem.

Source : bbc.com

Unique Ferrari F12 TRS breaks cover

If you thought the La Ferrari was rare or special, think again. It only costs $1 million and the company plans to build 499 of them.

The Ferrari F12 TRS, on the other hand, is a unique creation, based on the company's equally wonderful F12 Berlinetta and built exactly to a client's specifications. Rumored to have cost the lucky owner in excess of $4.2 million, information about the F12 TRS has been leaking on a number of specialist car blogs over recent days.

However, now its existence has been officially confirmed by Ferrari and the car made its public debut in Sicily over the weekend during the Ferrari Cavalcade -- an annual event the company organizes for its most valuable clients where they get to drive their cars around a stunning region of Italy.

Inspired by the original 1957 250 Testa Rossa, the car is seriously stripped back in terms of creature comforts -- there's no air conditioning or in-car sound system, or roof for that matter. What it does have is a chopped down, wrap-around windshield and sloping side windows and even more use of carbon fiber than usual.

What isn't clear is what exactly is under the hood. Ferrari says that the car is powered by the same V12 engine found in the standard F12 and that its performance figures - 0-100km/h in 3.1 seconds, 0-200km/h in 8.1 seconds -- are the same.

However, rumors also persist that the car has a KERS system too. Developed for its Formula One cars, KERS is an energy return system that provides a power boost to the engine for extra straight line acceleration.

Although the F12 TRS takes things to another level, every single new Ferrari sold in 2013 reached its lucky owner with some form of bespoke customization or personalization, and it is clearly a growing trend among the supercar-owning fraternity, as over the past 12 months, Lamborghini, Aston Martin, McLaren and now Jaguar Land Rover have all announced new business divisions or extra investment in offering customization or special vehicle development services to their most discerning clients.

However, as well as announcing record levels of customization, Ferrari's latest financial report also highlighted that its restoration arm is also busier than ever, returning old Ferraris back to stock appearance so that they are worth more to classic car collectors.

Source : hindustantimes.com

Lexus to debut RC-F coupe at Goodwood

The Lexus RC-F coupé will make its debut at the Goodwood Festival of Speed next week, ahead of an international market launch towards the end of 2014.

The new model – first unveiled at the Detroit motor show back in January – will go head-to-head with the new BMW M4. It is powered by a V8 engine producing “in excess of 450bhp” and incorporating technology derived from the Lexus LFA supercar.

 

The new 5.0-litre V8 is central to the RC-F's driver appeal, according to the car’s chief engineer, Yukihiko Yaguchi. At 450bhp it out-punches the 425bhp of BMW’s new twin-turbo straight six, and Lexus says it is the most powerful road-going V8 it has ever built. It also produces more than 53kgm of torque. The performance is channelled through an eight-speed automatic transmission. The engine runs on an Atkinson cycle at cruising speeds, to improve fuel economy, before switching to the conventional Otto combustion cycle at higher revs for better performance.

 

Lexus says the RC-F also includes a Torque Vectoring Differential, which offers three selectable driving modes named Standard, Slalom and Track. “In our analysis the naturally aspirated V8 delivered the best high-performance machine,” said Yaguchi. “We didn’t consider any other power unit. We wanted an engine that could be smooth in normal use, but deliver large power on track. We looked at hybrid technology, and one day it may be suitable, but at the moment it cannot operate at these levels in consistent track use.”

 

Although the Lexus LFA ended its production run in 2012, Yaguchi outlined how it still influences all engineers working on Lexus’s F-branded cars, and how lessons learned in its development had been incorporated in to the new RC coupé, which uses the standard car’s platform but which has several bespoke modifications, including the suspension, powertrain, chassis strengthening and exterior and interior styling.

 

“The LFA remains at the top of the F models, and it influences how we approach a project,” said Yaguchi. “We try to follow its direction as much as possible, so for instance the airflow is inspired by it, especially for cooling, we have an active rear wing that deploys above 50mph, the sound of the engine is tuned to emulate the LFA sound and the optional carbonfibre bonnet and roof are made by the same company as made the carbonfibre for the LFA.”

 

The dramatic exterior styling is said by Lexus to boost performance and demonstrate the car’s capabilities. The bonnet is set higher on the RC-F than the standard car, while the wheel arches are flared in order to house the standard 10-spoke, 19-inch wheels. The front bumper and wings carry air ducts to boost cooling, while aerodynamic fins are designed to aid stability. Stacked, trapezoidal quad exhausts also add to the rear-end drama. Inside, the instrument panel is dominated by a central dial that shows different displays according to which of four driving modes are selected. Although Lexus has not revealed the driving mode types, Yaguchi confirmed a bespoke track option was available. Leather sports seats are standard, as is a new steering wheel design to Lexus, with elliptical cross-section and thick grip, and shift paddles.

 

The standard RC coupé was shown at the 2013 Tokyo motor show last year in two forms, with the RC300h hybrid, which mates an electric motor with a 2.5-litre engine, taking centre stage. The RC350, powered by a 3.5-litre V6 engine, was also shown.

Source : hindustantimes.com

Focus ST will get racy at Goodwood

In what is being touted as a world-first, the new car is set to take part in a virtual-vs-real race. In the real corner, Ben Collins, stunt and racing driver extraordinaire and the former Stig from BBC's "Top Gear," will drive an actual Focus ST on the actual Hill Climb course while an equally proficient gamer will take to the PS3 to drive its digital representation over the course as it appears in racing game "Gran Turismo 6."

The action will be displayed on big screens erected around the grounds and anyone attending the Goodwood Festival of Speed will also get a chance to see if they can set a virtual course record by playing the game too.

To give gamers a fighting chance -- after all The Stig's abilities with a car are legendary -- the cars will race three times, once each day.

As for what the new ST will have under its hood or what that will do to its top speed or acceleration, Ford is keeping very tight-lipped and won't be revealing any information about specifications until the car's official unveiling on June 27.

Now in its 21st year, the Goodwood festival of Speed is held in the grounds of Goodwood House, West Sussex and has become to motoring in the UK what Glastonbury has become for music.

The centerpiece of the event is the 1.68km (1.16-mile) hill climb course, which features 9 tree-lined turns and which rises over 90 meters (300 feet) from start to finish, making it one of the most demanding tests of any car or driver.

Source : hindustantimes.com

Every 4th two-wheeler sold now a scooter: Report

NEW DELHI: Did you know that the second-biggest two-wheeler model in India last fiscal was not a motorcycle but a scooter? Honda Activa, the model credited with reviving the dying scooter market after the exit of Bajaj Auto, outpaced many of the famed motorcycle brands to emerge as the second largest-selling two-wheeler brand, behind only Hero Splendor. 

The good old scooter is making a strong comeback. After being relegated to a near-oblivion status, scooters have staged a smart recovery, capturing nearly a quarter of the domestic two-wheeler sales. 

The revival has been in the works over the last few years, driven by modern and contemporary models from the stable of Honda Motorcycle and Scooter India (HMSI) that in 2001 put faith in the dying segment at a time when Bajaj AutoBSE 2.22 % — the country's biggest scooter brand — was moving out of the category to focus on motorcycles. 

According to numbers analyzed by TOI (based on figures provided by industry body Society of Indian Automobile Manufacturers), the share of scooters in the country's two-wheeler sales has gone up to nearly 25 per cent at the end of 2013-14 against 14% in 2007-08. 

A total of 36 lakh scooters were sold in 2013-14, registering a growth of 23 per cent, while motorcycle sales moved up by 4%. However, motorcycles had reported a volume of 104.8 lakh units, according to Siam numbers. The growth rate for scooters has been faster than motorcycles for the last many years, indicating the rising acceptance of the category among buyers. 

Source : economictimes.indiatimes.com