R&D spending picks up again at automobile companies in 2017-18

That fall in 2016-17 and the somewhat moderate rise (4.7 per cent) in FY18, came after steep rises in earlier years, as the industry tried to meet tighter rules

Automobile companies’ spending on research and development (R&D) grew 6.28 per cent in 2017-18.

While this is better than the -0.34 per cent seen in FY17, it is still a far cry from the double-digit growth in the three previous years. 

This moderation is despite record sales, and changing regulations which require more research and development spends. New advanced emission, fuel efficiency and safety rules are to take effect over the next three to four years which will require companies to develop the technology to meet these norms. Automobile sales in India are up 14 per cent to 2,49,72,788 in 2017-18, the