KUALA LUMPUR, July 30 (Bernama) -- Bursa Malaysia's key index closed at an intraday high today, supported by continued buying interest even as renewed geopolitical tensions and a weaker overnight lead from Wall Street following the US Federal Reserve's (Fed) decision to stand pat on interest rates weighed on broader sentiment. The Fed has decided to hold rates steady for the fifth consecutive meeting, with the Federal Funds Rate unchanged between 3.50 per cent and 3.75 per cent. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.84 points to 1,720.40 from yesterday’s close of 1,715.56. The benchmark index, which opened 1.14 points lower at 1,714.42, hit its lowest level of 1,710.69 in early trade before gaining momentum for the rest of the day. However, the broader market was negative with losers outpacing gainers 581 to 411, while 612 counters were unchanged, 1,173 untraded, and 87 suspended. Turnover declined to 2.49 billion units valued at RM2.25 billion from ...
Tata Motors Ltd. and Mahindra & Mahindra Ltd. are closing in on Hyundai Motor Co.’s No. 2 position in India, intensifying competition just as Hyundai prepares for a significant $3.5 billion listing of its local unit.
Key Highlights:
Competitive Landscape:
- Hyundai sold 13.5% of all passenger cars in India last month, closely followed by Tata Motors at 13.2% and Mahindra at 12.4%, according to the Federation of Automobile Dealers Associations.
- Maruti Suzuki Ltd. remains the top carmaker in India with a 40% market share.
Upcoming IPO:
- Hyundai Motor India Ltd. plans to gauge investor interest for its IPO, expected in September or October, which could be one of Asia’s biggest in recent years.
Strategic Investments:
- Hyundai is investing around 200 billion rupees ($2.4 billion) to develop electric vehicles in India and 70 billion rupees to operationalize its second plant by late 2025.
- The company plans to launch an electric version of its bestselling SUV, Creta, in early 2025.
Rival Strategies:
- Tata Motors is expanding its EV portfolio with plans to add 10 models by fiscal 2026.
- Mahindra plans to invest 270 billion rupees over the next three years to increase capacity for SUVs and EVs, with a target to launch nine diesel and gas-powered SUVs and seven EVs by 2030.
Market Dynamics:
- India's auto market is highly competitive with several foreign automakers exiting the country in recent years.
- Hyundai acknowledges the challenges in the Indian market, with Chief Operating Officer Tarun Garg emphasizing the difficulty foreign automakers face in establishing a foothold.
Outlook:
Hyundai’s significant investments in EV development and its upcoming IPO underscore its commitment to maintaining and expanding its market position in India. However, the increasing competition from Tata Motors and Mahindra, both of which are aggressively expanding their EV portfolios and overall market presence, presents a substantial challenge. The competitive pricing and appealing designs from these rivals make them formidable competitors in the fast-growing Indian automobile market.
Investors will be closely watching Hyundai’s strategic moves and market responses as it navigates this competitive landscape while preparing for its landmark IPO.
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