Comments on Brexit impacts on Auto Industry By Mr. Subrata Ray, Sr. VP, Co-head, Corporate Sector ratings, ICRA Ltd
The EU today accounts for ~35-40% of auto component exports from India, which could potentially be impacted by market volatility and by any slowdown in the region due to policy uncertainty. Apart from Auto components, OEMs also exports Passenger Vehicles from their Indian manufacturing units, which may get impacted in event of any slowdown. Further, relative depreciation of GBP and Euro may impact their margins as well.
The overall ‘Brexit’ process however is expected to be slow – the formal process should take about two-years. While potentially manufacturing based in UK can face EU import tariffs in the future, the final outcome would depend on how the existing trade & regulatory arrangements are negotiated.
Your email address will not be published. Required fields are marked *
Wikimedia Foundation announces Tanya Capuano as new Trustee, alongside leadership appointments at 14th annual Wikimania
Honda launches 2018 edition NAVi
YES BANK becomes 1st Bank in India to Partner Maharashtra Smart Cities to Tackle Urban Development Challenges, Bosch and Dell EMC Pledge Support
‘’You want me to play a man? Done! I’ll do it’’, asserts Shikha Talsania
L&T Heavy Engineering Wins Orders valued ₹1,600 Crore
2014 The Global Indian New Network (TGINN)