How easing overloading restriction will affect Tata Motors and Volvo Eicher

The medium and heavy commercial vehicle (M&HCVs) segment, which saw volumes grow 25 per cent year-on-year in the March quarter and 20 per cent in FY18, could face a roadblock in the form of easing overloading restrictions. Over the last few weeks, analysts say that overloading restrictions in states of Uttar Pradesh (UP) and Rajasthan have significantly eased. Chirag Jain and Indarpreet Singh of SBICAP Securities argue that the easing of restrictions has already started impacting retail truck demand, product mix (demand-shift back towards lower tonnage trucks) and discounts in the indust.....

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