Tokyo: Japanese auto makers may combine to form three large companies as a worsening global recession hurts vehicle demand, Osamu Suzuki, president of Suzuki Motor Corp., Japan’s second largest minicar maker, said in an ‘Nikkei’ interview.
“The crisis facing the US Big Three will hit Japan later, delayed like a tsunami, probably around July or August next year,” Suzuki said in the interview published on Thursday. “Japan’s auto industry, now consisting of more than 10 companies, may consolidate into a ‘Big Three.’”
Toyota Motor Corp., Japan’s largest car maker, this week predicted its first loss in 71 years, and rival Honda Motor Co. cut its profit forecast as the slowdown damps demand for cars. General Motors Corp., Ford Motor Co. and Chrysler LLC, the three-biggest US auto makers, have cut output and two of them received $13.4 billion (Rs65,660 crore today) of federal aid to prevent running out of cash.
— Bloomberg
*********
Aircraft import: govt yet to recover Rs280 cr duty
New Delhi: The government is yet to recover at least Rs280 crore of the Rs290 crore customs duty evaded by some companies while importing aircraft.
The Central Board of Excise and Customs (CBEC) had seized 16 aircraft on which the owners had not paid customs duty.
The aircraft were imported for chartered purposes, but were allegedly used for personal travel. An aircraft imported for chartered purposes attracts 10% customs duty, while a duty of 18% is levied on aircraft bought for personal use.
The value of the aircraft seized by the tax department is Rs1,205 crore, sources said.
— PTI
*********
Cashew output hit by falling export demand
New Delhi: The deepening economic downturn has impacted the cashew business in the country with production taking a hit due to slackening export demand.
During 2007-08, cashew production managed to increase marginally around 6% to 0.66 million tonnes (mt) as against 0.62 mt in 2006-07, Cashew and Cocoa Development director Venkatesh N. Hubballi said over the phone from Kochi.
India exports cashew mainly to the US and Europe, which are hit by the severe economic turbulence. The US and the euro Zone, including countries such as Germany, the UK, and Italy, have been officially declared to be in economic recession.
Cashew exports stood at 0.102 mt at Rs2,678.83 crore during January-November, compared with 0.105 mt at Rs2,058.97 crore in the year-ago period.
“The situation is temporary and things will come back to normal by March, as our domestic market is big and is growing,” Hubbali said.
— PTI
*********
InBev plans brewery facility in north India
New Delhi: Beer company InBev NV is planning to set up a greenfield facility in north India and is also working on making its brands available in more states, including Maharashtra, by June.