Collaborations Drive Innovation and Competitiveness in the Auto Industry

As Nissan and Honda strategize to merge businesses for survival and heightened competitiveness, they join a growing trend of partnerships and joint ventures among auto and two-wheeler companies in India. These collaborations aim to harness synergies for efficient product and platform development, cost savings, and access to superior technology.

Japanese and Korean Collaborations: Japanese Suzuki (parent of Maruti) and Toyota are cooperating on hybrids, electrics, and product sharing. Meanwhile, Korean siblings Kia and Hyundai collaborate to better understand the Indian market and source components and raw materials. European makers, such as Stellantis group (Jeep, Citroen), are manufacturing cars in collaboration with Tata Motors at Pune, a relationship rooted in an old manufacturing alliance between Tatas and Fiat, now part of Stellantis.

Two-Wheeler Partnerships: In the two-wheeler sector, Bajaj has partnered with KTM for high-performance bikes, and TVS Motor collaborates with BMW Motorrad for 310cc motorcycles. These alliances expand beyond initial products, emphasizing shared values of innovation, quality, and customer satisfaction.

EV and Global Market Expansion: Mahindra & Mahindra is working with Volkswagen for electric components, and talks for a broader JV are underway. Harley-Davidson's return to India, in partnership with Hero MotoCorp, benefits both parties, enhancing Hero's presence in the premium market and facilitating Harley's global exports.