Due to the need for additional hardware, the new criteria of emission ‘OBD 2 Phase B’ will increase the prices of two -wheelers in the country by one to two percent. Vikram Kasbekar, Executive Director (Operations) of Hero MotoCorp, gave this information today.
The criteria of OBD 2 phase B (on-board diagnostics 2 phase B) are stringent standards of carbon emission monitoring for vehicles in the country that enhance immediate monitoring and diagnosis capabilities of emissions. These criteria will apply to vehicles built after 1 April this year.
Kasbekar, who has been going to take over as the company’s caretaker Chief Karya Dhikari from May 1, told analysts during the conference call, ‘As far as OBD-2 Charan-B is concerned, we are on the right path. This is different from the first one in this sense because we can build by 31 March and then those vehicles can be sold in the market. However, from April 1, we have to manufacture vehicles according to OBD-2 Phase-B. We are on the right path and we will change our entire folio before the deadline.
He said, ‘Due to additional hardware to be planted in vehicles, prices are going to increase by one or two percent. This will apply to the entire industry. Hero MotoCorp recorded an increase of 1.3 percent in its joint net profit with Rs 1,107.5 crore on an annual basis during the third quarter of FY 2025. Vivek Anand, the company’s chief financial officer, welcomed the recent announcement of the Central Government for not levying any tax on income up to Rs 12 lakh.
Anand said, ‘If you really look at our early credentials, especially 100 to 110 cc shrines, then the income limit of customers is between six to 12 lakh rupees per year. If I really talk about the budget, the budget done by the budget is that tax relief has been provided to the customers of this category. This means that in the next (finance) year, they will really increase cash to spend.
He said, ‘We believe that any person who is earning around 10 to 12 lakh rupees per year will have a positive impact of cash of Rs 40,000-50,000. This will probably lead to EMI given for two -wheelers. This will really help in increasing the consumption of the two -wheeler area.