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EVs pose big threat to forging industry, Govt should draw road map : AIFI

EVs pose big threat to forging industry, Govt should draw road map : AIFI

Chennai, July 2 (UNI) The Government's decision to shift focus on

manufacturing Electric Vehicles (EVs) has posed a big threat to the

forging industry, the Association of Indian Forging Industry (AIFI)

said on Monday and wanted the government to draw a clear road

map on the issue.

Talking to reporters here, AIFI President S Muralishankar and AIFI

Southern Region Chairman K Vinoth Kumar said the key issue

concerning the future of the industry was Government’s renewed

focus on electric vehicles and better to a deduction to eliminate

petrol/diesel cars by 2030.

'The situation seems to be fluid and it require the Government to

draw a clear road map for the same', they said.

'The introduction of EVs will have an adverse impact on Indian Forging

Industry as 60 per cent of the forging units are into manufacturing of

auto components and majority for engine and transmission related

application', they said.

Obsrving that Internal Combustion Engines (ICEs) have approximately

2,000 moving parts as compared to only 20 moving parts in EVs,

Mr Vinoth Kumar said EVs do not have engine and transmission parts

completely.

'It only comprises steering components, suspensions and axles out

of the forged auto components. As a result, on an average 40-50 per

cent of demand for forged auto components will decline resulting in

job losses and unit shutdowns', he said.

Noting that at present practically there was no concrete plan for

100 per cent switch over, he said perhaps in early 2020 or by 2022

a clear picture would emerge as emission standards were significantly

ramped up.

The switch over to EVs poses a lot of challenges and the government

should come out with infrastructural development on disposal of batteries,

meet the huge power requirement that would arise due to switch over to

EVs, setting up of more battery charging stations.

The need of the hour was aggressive and assertive political action that

would provide a level playing field to Indian manufacturers to become

competitive in the global platform and other relevant policy reforms to

foster ease of doing business, he said.

UNI GV 1505

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