BS-IV, new tech adoption give Wabco an edge

Given nature of products and near monopoly in certain segments, Wabco tends to outperform the sector

Auto component maker, Wabco India's scrip is up seven per cent in two trading sessions on expectations that higher adoption of automated manual transmission (AMT) in trucks and buses after BS-IV implementation as well as the transition to BS-VI should improve the company's prospects. While the company is manufacturing small number of AMT units currently, the implementation of BS-IV and the use of electronic engines will lead to higher adoption of the AMT in commercial vehicles.

Higher fuel efficiency and driving comfort are reasons cited for the increase in the use of AMT. The use of this technology is expected to