Even as automotive and component players share an uncertain outlook, battery makers are likely to see a quick recovery and demand surge post lockdown.
The huge share of the replacement market for auto batteries is expected to help the companies recover faster than the other segments. Also, battery discharge issues are expected to lead to some demand surge.
While Covid-19 has wreaked havoc on the near-term demand for automotive batteries, the replacement business (about 43 per cent of sales) will ensure the sector’s speedy recovery post lockdown. However, OEM sales (11-13 per cent) are likely to be hit by the industry downturn and slower recovery.
