As Sri Lanka is engulfed by its economic crisis, the new destination for Indian auto companies seems to be Bangladesh which is on the brink of a major economic boom, spurring auto majors to look eastwards.

Small cars, sports utility vehicles, sedans, and two-wheelers are set to get costlier with automakers raising prices to partially absorb the impact of high material costs.

All major vehicle original equipment manufacturers (OEMs) and component makers have applied for the automotive vehicle and component production-linked incentive (PLI) scheme, as per government sources.

Spark Minda, Minda Group, Aakash Minda, Spark Minda Green Mobility Solutions, Bajaj Auto, TVS Motor Company, Revolt, Ola Electric auto parts manufacturer, electric vehicle component space, EV component kit, M&A, investment, fundraising initiatives, electric two-wheelers, sensors, a central cluster, DC/DC converter, locking system, charger, telematics, battery, battery management systems, motor and motor controller supplies

The first model is expected to hit the market in 2022. Tork Motors meets the subsidy requirements of the (FAME-II) scheme and will produce electric two-wheelers (e-2Ws) and electric three-wheelers (e-3Ws).

TVS is working on 5-25kW two- and three-wheelers portfolio and will launch them within two years. It aims to have EVs in delivery, commuter premium, high-performance sports and electric three-wheelers.

Bajaj Auto announced a price of Rs 1,54,176 for its Dominar 250, which now costs INR 16,800 less. The newly announced price is expected to grow the franchise further.

The prices of entry-level two-wheelers are likely to be impacted due to the sustained increase in commodity prices. Most automakers have resumed operations from the middle of May as infections started to drop.

According to a research report by Emkay Global Financial Services, the volume of auto sales may recover from Q2FY22 due to easing of lockdowns, pent-up demand and improving macros.