Is the auto industry on the fast lane? Why are startup CEOs getting salary jump before IPOs? What have the markets priced in before rate hike? Why is a Dutch firm key to all chip-makers? Answers here


Auto sector | Startups | CEO pay

Team TMS  | 
New Delhi 

Automobile industry is trying hard to keep pace with the growing ambition of the Indian middle class– which is on a shopping spree after over two years of pandemic-led uncertainty. According to reports, some leading companies are planning to spend ₹30,000 crore on capex to boost production in FY23. Clearly they got the cue from the recent uptick in sales. In the passenger vehicle segment, utility vehicle sales have overtaken those of cars for the first time. But the two-wheeler segment is still struggling to make a comeback – somewhat reflecting the rural distress. Our next report offers insight into this industry and the challenges it faces Pandemic had elbowed the automobile sector on a slow lane. But the last two years have seen hundreds of startups hitting the roads. And most of them are still on a fast lane, in between shedding some loads to stay leaner. And some of them are also going public to raise funds.

But just before hitting the primary markets, the salaries of their CEOs are seeing curious jumps. Let us find out why Global headwinds and a soaring inflation are pushing the startups against the wall. Retail inflation is highest in the last eight years while the wholesale inflation has hit the three-decade high mark. On its part, the Reserve Bank of India is trying to bring it down. Governor Shaktikanta Das has signaled a rate hike next month. Markets too expect the central bank to continue on its rate hike path till the inflation beast is tamed. So, what all is priced in and what is not? Our next report takes a look at this After the markets, let us move on to the sophisticated world of chip manufacturing. The world looks towards a clutch of companies — including Intel and Samsung Electronics — for semiconductors which go into smartphones, computers, cars etc. And these companies turn to a Dutch firm for supply of ultra-advanced machines to make these chips. But chances are you may never have heard of it. Let us introduce you to this company whose machines use light beams to make narrow circuits on chips – which are now the backbone of the world economy.

Watch video

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Fri, June 03 2022. 08:00 IST