The Indian car market contrary to the global meltdown is growing in a faster pace than ever. Indian car market currently has about 1.7 million units on the road and is expected to grow by 3 million by the year 2015.
It has been observed by market researchers that irrespective of the present scenario, the Indian car market is in the right direction. If India’s Gross Domestic Product (GDP) shows an annual growth of 6-7%, the car market is booming at the rate of 10-12 % which in turn showcases the flourishing rate of 5 per cent in the Indian economy annually.
The average Indian vehicle buyer for personal mobility is now shifting from scooter and three-wheeler towards motorcycles and cars. There is a wafer-thin margin between the cost of scooters and second-hand small cars. Furthermore, it has been anticipated that the days of owner-driven commercial vehicles are coming to an end and the fleet owners will dominate the scene including the design of the vehicles and their configuration according to intended use. In this run, the local carmakers need to scale up production and improve technology for the fear of being pushed around by the global contenders.
The car market in India will see a major expansion in the mid size B segment while the growth of the small car segment will decelerate. India is likely to produce 3 million cars and Maruti and Hyundai are expected to dominate the market with a share of 1 million each. Other car giants such as Honda, Volkswagen, Mercedes or BMW will grow in their own niches.
It has been observed by market researchers that irrespective of the present scenario, the Indian car market is in the right direction. If India’s Gross Domestic Product (GDP) shows an annual growth of 6-7%, the car market is booming at the rate of 10-12 % which in turn showcases the flourishing rate of 5 per cent in the Indian economy annually.
The average Indian vehicle buyer for personal mobility is now shifting from scooter and three-wheeler towards motorcycles and cars. There is a wafer-thin margin between the cost of scooters and second-hand small cars. Furthermore, it has been anticipated that the days of owner-driven commercial vehicles are coming to an end and the fleet owners will dominate the scene including the design of the vehicles and their configuration according to intended use. In this run, the local carmakers need to scale up production and improve technology for the fear of being pushed around by the global contenders.
The car market in India will see a major expansion in the mid size B segment while the growth of the small car segment will decelerate. India is likely to produce 3 million cars and Maruti and Hyundai are expected to dominate the market with a share of 1 million each. Other car giants such as Honda, Volkswagen, Mercedes or BMW will grow in their own niches.
Labels: Car-Market-In-India, Indian-Car-Buyer, Small-Car-Segment
1 Comments:
The Indian car market is growing at a faster rate than before. Maruti Suzuki with its M800, Alto and Swift are ruling the car market for over twenty years. Hyundai too has a domineering position in India along with Indian carmakers -- Mahindra & Mahindra and Tata Motors. Other foreign investors are flourishing too. The India economy will benefit from the demands in the car market.
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