Fortunately, the third wave of Covid pandemic proved to be a milder one with not much disruption to economic activities. The Union Budget presented last month with its growth-oriented agenda further boosted the sentiment. There is a set of numbers that paints a very encouraging picture of the economy. Foreign direct investment has touched record highs, exports are all set to breach the projected USD 400 billion mark during the current fiscal, GST collections have topped INR 1.30 trillion for fifth straight month and the start-up ecosystem in the country is scripting history.

However, there is a sense of unknown fears lurking around, leaving us with no room for complacency. While we can take solace in the fact that India continues to be the fastest growing large economy, uncertainty in the form of geo-political crisis is looming large on the horizon.

Much of what was feared as a follow-up of the war is already playing out in terms of worsening of the situation. Oil has breached USD 110 a barrel; equity markets have fallen and currencies weakened.

The impact of higher oil prices is going to last longer. Inflation, which has been within tolerance level, is raging its head again. If oil averages close to USD 100 a barrel for a prolonged period, the drag on GDP growth could be up to 0.9 percentage points, inflation could rise by around 1 percentage point and the current account deficit could widen by 1.2 percentage points, says the chief India economist of a leading MNC bank.

A finance ministry report has also admitted that recent geopolitical developments have introduced an element of uncertainty into the economic growth and inflation outlook. Russia's invasion of Ukraine has disrupted value chains and will hurt global and domestic recovery which was underway after the third wave of the pandemic. Worries over inflation and economic growth have surfaced against the backdrop of the turmoil in the global financial and commodity markets, it has stated.

Auto sector, particularly, is yet to come out of the slowdown. The continuing supply side challenges like semiconductor shortages, higher commodity prices and higher logistics cost were already providing headwinds to the industry. As the industry was on the cusp of recovery, Russia Ukraine war has queered the pitch as supply chains are expected to come under stress.

Auto industry is especially impacted in view of the Russia-Ukraine war as both the countries produce some of the key raw materials used in critical auto components such as semiconductors.

The shortage of semiconductors had hampered the production of vehicles, leading to prolonged waiting periods. If geo-political tensions continue for a longer period, it could have long term implications for the auto industry.

The crisis will spike the crude oil prices, which are poised to push up domestic fuel costs, increase the cost of ownership and hence dampen the consumer sentiments.

Commodity prices are already high, and there is a lingering worry that the government will soon hike the fuel prices, which will again have a huge inflationary impact on the overall manufacturing.

Tyre sector too has been bearing the brunt of slowdown in the auto sector. According to the latest data available, production of motorcycle, truck & bus and passenger car tyres – three large categories of tyres – declined by 29 percent, 21 percent and 2 percent, respectively, in the month of December.

There is no denying the fact that this is the time when prudent policies need to be pushed to support the growth amidst global political turmoil and the volatility in the financial markets. And we already have instances where enabling a policy framework has helped the industry win against all odds.

PLI scheme is one such initiative that has helped certain sectors including the auto industry immensely despite a challenging phase. Tyre Industry too has been a key beneficiary of curbs on indiscriminate import of tyres. The same has helped the industry meet the domestic requirements confidently and also cast a wider net in terms of exports. Tyre exports from India have gone up by 60 percent in value terms to reach a historically high figure of over INR 150 billion in the first three quarters of FY22 against the year-ago period. The figure is much higher than the value of tyres exported in the entire FY21 at INR 140 billion.

It is sincerely hoped that geo-political crisis will blow over soon and the political will of the current dispensation towards continuing reforms combined with enterprising zeal and innovative approach of the industry will help overcome the supply chain constraints for India to enjoy its rightful place in the sun.

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Webfleet, Bridgestone’s globally trusted fleet management solution, has earned three prestigious awards across Europe this month. In Germany, its AI-powered tool Fleet Advisor was recognised as the ‘Rising Star’ at the Baugewerbe Produkt des Jahres 2025 awards. Meanwhile, in Poland, Fleet Advisor – which leverages generative AI to deliver swift, insightful answers to critical fleet-related queries – secured the ‘Fleet Derby 2025’ award in the Digital/AI Innovation in Management category.

Additionally, in Spain, Webfleet received the ‘Award for Excellence in the Road Transport Industry’ from Cadena de Suministro, a leading logistics publication, honouring its 25-year legacy of innovation and transformative contributions to the mobility sector. These accolades highlight Webfleet’s continued leadership and technological advancement in fleet management.

Jan-Maarten de Vries, President of Fleet Management Solutions at Bridgestone, said, “Together, these awards highlight the strength of Webfleet’s dual commitment to cutting-edge innovation and customer-driven progress.”

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The 3rd Edition of the Passenger Vehicle Forum (PVF), a leading forum focussing on the passenger vehicle segment, is scheduled to take place on 3 September 2025, at Hyatt Regency, Pune.

This 2025 edition of PVF will focus on a wide area of topics such as – software-defined vehicles (SDVs) and E/E architecture transformation, electrification, hybridisation & future powertrains, connected, autonomous & smart mobility technologies, sustainability, alternative fuel, customer behaviour, retail transformation and aftermarket innovation.

The idea is to understand the present and future trends reshaping the passenger vehicle industry.

The event is expected to bring together over 300 senior decision-makers, more than 60 speakers and over 40 solution providers to debate, discuss and plan the way forward.

Since its debut, the Passenger Vehicle Forum is amongst one of the key platforms that brings together various stakeholders – OEMs, auto component manufacturers, mobility providers and policy influencers, all under one roof.

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Chinese tyre major Linglong Tire was recently recognised as one of the Best Managed Companies in China in an event joint held by Deloitte China, the Hong Kong University of Science and Technology (HKUST) Business School and the Harvard Business Review.

The tyre maker was recognised for its capabilities in the areas of strategic leadership, operational efficiency, integrated management and sustainable growth at the annual event.

Linglong Tire stated that the Best Managed Companies program is a globally recognised initiative under the guidance of Deloitte is said to be the only international award in China for the comprehensive evaluation of enterprise management systems.

The award in its 7^th year saw potential companies evaluated on the bases of complex management questions, executive interviews and neutral expert assessments based on Deloitte’s global program. The companies were assessed on four criteria – strategy, expertise, commitment and financial strength.

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Hankook Tire Hungary Ltd received the ‘Key Supporter of Saint Pantaleon Hospital’ award during the hospital's Semmelweis Day ceremony in Dunaújváros, Hungary. This recognition highlights the company's longstanding commitment to enhancing local healthcare quality through consistent contributions.

Marking a new tradition, this year's ceremony expanded beyond honouring healthcare workers to acknowledge institutional supporters. Hankook earned this distinction through multiple initiatives, including recent equipment donations for the paediatric ward and installation of a nurse call system in the surgical department. The company's support extends to previous years' projects such as ventilator procurement, maternity ward renovations, and pandemic-related protective equipment donations.

The award coincides with Hungary's annual Healthcare Day celebrations on 1 July, which since 1992 has honoured medical professionals nationwide. By recognising Hankook's sustained community involvement, Saint Pantaleon Hospital underscores the vital role of corporate partnerships in maintaining quality healthcare services.

Dr Örs Szilágyi, Director General of the Saint Pantaleon Hospital, said, “We are very grateful for the help and commitment of Hankook Tire Hungary. We are working together for a joint goal to improve continuously the standard of healthcare and thus create value for local citizen, help them in maintaining their health and in getting better. Hankook’s Corporate Social Responsibility sets an example to all. We are happy to award Hankook Tire Hungary Ltd as the first company with the ’Key Supporter of Saint Pantateon Hospital’ award.

Receiving the award from Dr Szilágyi on behalf of the company, Ho Taek Lim, Managing Director of Hankook Tire's Hungary Plant, said, “We are honoured to receive this recognition from Saint Pantaleon Hospital. At Hankook, we believe in long-term partnerships and consider the health of the people living here, our employees and their families to be our most important investment, which is why we intend to continue supporting local initiatives and institutions in the future.”

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