Auto industry shares fell in early trade today on report that government think tank National Institution for Transforming India (NITI) Aayog has given the automaker industry a deadline of two weeks to come up with a plan to switch to electric vehicles (EVs).
Share price of two and three-wheeler auto-makers fell since the beginning of Monday’s trading session.
On NSE, Nifty auto index fell the most, at 0.58% , with most declines seen in TVS Motors losing over 3%, followed by other automakers company shares namely Eicher Motors, Bajaj Motors and Hero MotoCorp, each declining over 1.50%.
Share price of Tata Motors, Maruti and Ashok Leyland were trading with minor losses.
In auto parts and equipment industry segment, Motherson Sumi Systems shares slipped over 3%, Exide industries declined over 1% followed by Amar Raja Batteries and Bosch Ltd logging 0.40% decline.
NITI Aayog has told conventional two and three-wheeler makers to suggest within two weeks concrete steps towards transition to electric mobility keeping in mind the deadline of 2025.
As per media sources, auto manufacturers wanted more time to appoint a consultant for an alternate road-map and asked for at least four months to come up with a plan.