We are seeing green shoots in some segments of the auto industry, says Tata Motors chief Guenter Butschek

Butschek made the comments during the annual session of Auto Components Manufacturers Association of India (ACMA). (Photo: IANS)


Tata Motors MD and CEO Guenter Butschek on Saturday said the auto major sees green shoots in some segments but remains cautious about the long-term sustainability of such demand.

Butschek made the comments during the annual session of Auto Components Manufacturers Association of India (ACMA). He said, “we are seeing green shoots in some segments of the auto industry, and I do hope that it heralds the dawn of a new era.”

“However, I remain cautious about the prospect of its long-term sustenance in the absence of an overall economic recovery. Plus, the challenges from Covid-19 are continuing, which can possibly create more intermittent disruptions,” he added.

Furthermore, Butschek acknowledged the need for some “demand impetus to trigger revival”.

“I think we have a fantastic opportunity to work together, build scale and benefit from the changes expected in the global supply chains.”

On the note, he said that this will help the industry to become a more valued partner in fulfilling India’s aspirations for scale, which helps attract investments and create employment.

“In addition, we must stretch beyond products and build capabilities to localise design, engineering content, technology, and processes etc.”

According to Butschek, the industry’s singular intent must be to emerge stronger from the crisis and “we can do so only collectively”.