The car market in India is a hot topic of discussion, as much as why it may take on the Chinese market. Last month's Auto Expo already speaks of it louder alongside the media coverage to once consider dead subject- cars.
The emergence was not overnight! There was an explosion of new car makers and growing desire to own new cars, a phase after linearization touched Indian economy. It saw huge demands for mid-size, premium and super luxury cars instead of being caught up by small cars.
What defined this new era was governments concern for emission as well as safety. It set new emission guidelines to compartmentalize a crowded market.
Car part manufacturing:
When International car manufacturers started to drive down to India, component manufacturers have expand their products to match up to the International market.
Many multinational car component makers like, Delphi, Visteon and Johnson Control planted their base in India.
It also threw a competition to domestic car product manufacturers to go on an International supplier level. One of earlier such companies from Indian market to get International tags was Bharat Forge and Sundram Fasteners.
Small is making big:
Though government is trying to upscale roads here, small car is still considered best for Indian city roads and of course roads on small towns too. There's already a competition for small cars. The attractive interest rates for car financing and competitive market policies for mid-size car will be increasingly affordable in the long run too.
Get a financier:
Auto experts unanimously say that the main reason of auto boom in India is due to easy availability of car finance and reasonable interest rates. Banks are going easy on lengths to attract customers.
Export hub:
Global auto makers and car components manufacturers are flooding into Indian markets. Initially it was Korean and Japanese companies, now companies from US, UK and Germany are not only eyeing Indian consumers but also making Indian their manufacturing and exports hubs.
Road safety awareness with the boom:
No one would think of it as seriously as it actually is. Indian car buyers are already accused of learning to drive after buying their cars. Unfortunately, India witnesses one of the world's highest road mishap rates. Survey says more than a lakh loss their lives due to vehicle accidents, in such a scenario, if the car market is growing, government must well-aware car buyers with proper road safety tips.
The auto revolution is definitely here to run long... or perhaps stay. Yet, there is no looking back. The auto revolution is here to stay. India is poised to become world's leading manufacturing and export hub for cars in next few years.
