The government's reported move to replace technology-specific braking mandates with performance-based safety standards could benefit mass-market two-wheeler manufacturers by reducing compliance costs for entry-level models, according to Mirae Asset India Research.
The brokerage said media reports suggest the Ministry of Road Transport and Highways is considering a framework that would require manufacturers to meet prescribed braking performance and stopping-distance standards instead of mandating specific technologies such as Anti-lock Braking Systems (ABS) or Combined Braking Systems (CBS).
If adopted, the proposal could allow original equipment manufacturers to comply through improved combined braking systems, better brake hardware and enhanced tyres rather than fitting ABS on every model.
The potential change could support manufacturers with a large presence in the price-sensitive sub-125cc motorcycle and scooter segment, Mirae said. It identified Hero MotoCorp, Bajaj Auto, TVS Motor Co., Honda Motorcycle & Scooter India and component maker ASK Automotive as potential beneficiaries. At the same time, it said the investment case for suppliers focused on universal ABS could weaken if the earlier proposal is diluted, naming Endurance Technologies and Bosch as companies that could be affected.
"The move could reduce cost pressure on entry-level motorcycles and scooters, as OEMs may achieve compliance through enhanced CBS, better brake hardware and improved tyres instead of mandatory ABS fitment on every model," Mirae Asset India Research said in a note.
The comments follow a report by The Hindu BusinessLine, which said the Centre is reworking the proposed regulatory framework after industry representations against an earlier draft that required mandatory ABS and CBS fitment for specified vehicle categories.
According to the report, the revised framework would prescribe measurable safety outcomes, including braking performance and stopping distance, while allowing manufacturers to choose the technology needed to achieve those benchmarks.
Industry executives told *BusinessLine* that the proposed framework could improve road safety while giving manufacturers greater engineering flexibility and reducing compliance complexity for products sold in domestic and export markets.
Mirae added that the Ministry of Road Transport and Highways is expected to issue a revised draft notification for stakeholder consultation before finalising the new framework.
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