Bajaj, Hero Moto, TVS make last ditch effort to delay anti-lock braking system rules

The industry is expected to raise these concerns with road transport minister Nitin Gadkari on 11 November, in what may be a last attempt to secure some relaxation in timelines.

Industry executives said two issues dominate the debate: the ability to scale up supply and the increase in costs that could follow. Analysts estimate vehicle prices could rise by ₹3,000-6,000 depending on the model.

The government’s draft rules, issued in June, require all two-wheelers to be equipped with ABS from 1 January 2026. With ABS, the chances of a vehicle skidding are reduced as it prevents the locking of brakes.

At present, only models above 125cc need ABS, while smaller ones use a simpler combined braking system (CBS). Of the 19 million two-wheelers sold in FY25, only about 16% had ABS fitted, meaning most of the segment would need new supply arrangements.

Industry lobby group Society of Indian Automobile Manufacturers (SIAM) has also advocated for an alternative to ABS for two-wheelers, suggesting the installation of an advanced central braking system with a front disc brake.

This could make two-wheelers safer without significantly increasing costs, Mint reported on 8 October. These proposals are also expected to be discussed at the upcoming key meeting with Gadkari.

Crucial meet

Representatives from SIAM, Hero MotoCorp, TVS Motor Company, Honda Motorcycles and Scooters India and Bajaj Auto are expected to meet roads transport and highways minister Nitin Gadkari on 11 November.

“There is an important meeting on the 11th (November) with minister Gadkari, which is when he is meeting the industry for a discussion on the pros and cons of doing the ABS introduction on all two-wheelers,” Rakesh Sharma, executive director at Bajaj Auto Ltd, told analysts and investors on 7 November during a post results earnings call.

“It will be difficult to manage the capacity because that doesn’t obviously exist. This includes all scooters, all 100cc, all 125cc bikes, which is a huge component and therefore obviously, the government will take note, [and] has taken note of this that there will have to be a phase-wise execution,” Sharma said on the discussions with the government.

The second executive said the government is in discussions with the two-wheeler players and it wants the system to be put in place as soon as possible to reduce fatalities on the road.

“The government, on its part, has not given any indication that it wants to extend the deadline of implementation yet,” the second executive said.

Queries sent to Hero, TVS, Bajaj, Honda, Siam and ministry of road transport remained unanswered.

Honda Motorcycle’s director of sales Yogesh Mathur told Mint in an interview in July that the dependence on imports will increase substantially if the government doesn’t extend the deadline.

“Cost is definitely there as an impact. But more important is in terms of whether we are really prepared from the supply side point of view,” Mathur said.

Suppliers will have to rely on import routes due to the strict timelines and domestic manufacturing will have to prepare accordingly, he said. Currently, the ABS market is dominated by only three players, Bosch, Continental and Endurance Technologies.

Analysts suggest that a phased rollout of the norms could be the right approach for two-wheeler makers, as large parts of their portfolio must be installed with ABS.

According to Harshvardhan Sharma, group head at Nomura Research Institute, a phased rollout between 12 and 18 months would be a prudent approach as it would allow domestic players to expand capacity accordingly.

“With the right industrial policy push via PLI alignment or demand aggregation mechanisms we see India achieving 60–70% ABS localization by FY27,” he said

Currently, around 65-70% of critical ABS components, particularly electronic control units (ECU) and wheel speed sensors are imported, with China and select Asean nations forming a major part of the sourcing base.