Bumpy Ride for Car Makers: TATA Tata Motors chairman says crisis in western Europe may dampen demand for passenger cars. TATA motors also manufactures the $2500 Nano car. Tata Motors Chairman Ratan Tata has warned of a challenging year ahead for car makers in India even as the automotive industry continues to grapple with diminishing demand. âLooking ahead, I think the coming year will probably pose a considerable challenge. We all know western Europe is going through a relative crisis in terms of currency. All this is expected to dampen the demand for passenger cars,â Tata said while addressing shareholders at the companyâs 66th annual general meeting here on Friday. http://www.bsmotoring.com/news/tata-warnsbumpy-ride-for-car-makers-in-india/3887/13 The biggest steel maker Archelor--Mittal which supplies steel to car manufactures has reported 10% fall in profits.
SBI June Quarter Net Down 45.6% India's top lender State Bank of India (SBI) posted a 45.6 percent fall in June quarter net profit, falling short of estimates due to higher provisions. SBI said net profit in April-June fell to 15.84 billion rupees ($349 million) from 29.14 billion rupees a year ago. Net interest income was 131.24 billion rupees, compared with 103.51 billion rupees a year ago. A Reuters poll of analysts had forecast net profit of 17.6 billion rupees. Public sector banks face higher provisioning costs and deteriorating asset quality under new rules that require them to be more stringent in recognising non-performing assets (NPAs). http://www.businessworld.in/businessworld/businessworld/content/SBI-June-Quater-Net-Down-456.html
The whole issue raises the dependence of the East on West demand. I think the inevitable collapse of the West will have a huge affect on the East.
No surprise there. The butler economy for Chindia continues. Or should I say the servant/coolie economy. Neither India nor China make anything original. They are very good at copying things. I was born in India and I can tell you the culture of India is a huge impediment to change. I doubt they will ever become dominant like the UK or US.