Presentation: |
The Two Wheelers segment with 81 per |
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The automobile industry in India is expected to be the world ' s third largest by 2016, with the country currently being the world ' s second largest twointerest wheeler manufacturer. Two-wheeler production is projected to rise from 18.5 million in FY15 to 34 million by FY20.
Furthermore, passenger vehicle production is expected to increase to 10 million in FY20 from 3.2 million in FY15.
Automobile exports grew at a CAGR of
14.65 per cent during 2010-15.
Passenger Vehicles, Commercial
Vehicles, Three Wheelers and Two
Wheelers grew by 6.89 per cent, 13.77 per cent, 18.69 per cent and 16.60 per cent CAGR during 2010-15. Two wheelers accounted for the largest share of exports at 69.4 per cent in
FY15. Passenger vehicles comprised a sizeable 16.7 per cent of overall exports. Exports of three wheeler vehicles registered around 11.1 per cent
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of the companies in exploring cent market share is the leader of the
Indian Automobile market owing to a growing middle class and a young population. Moreover, the growing the rural markets further aided the growth of the sector. The overall
Passenger Vehicle( PV) segment has 13 per cent market share.
India is also a prominent auto exporter and has strong export growth expectations for the near future. In
April-January 2016, exports of
Commercial Vehicles registered a growth of 18.36 per cent over April-
January 2015. In addition, several initiatives by the Government of India and the major automobile players in the
Indian market are expected to make
India a leader in the Two Wheeler( 2W) and Four Wheeler( 4W) market in the world by 2020.
Market Size
|
share in exports in FY15. |
The auto industry produced a total |
The government aims to develop India |
19.84 million vehicles in April-January |
as a global manufacturing as well as a |
2016, including passenger vehicles, |
research and development( R & D) hub. It |
commercial vehicles, three wheelers |
has set up National Automotive Testing |
and two wheelers, as against 19.64 |
and R & D Infrastructure Project( NATRiP) |
million in April-January 2015. |
centres as well as a National |
Domestic sales of Passenger Vehicles |
Automotive Board to act as facilitator |
grew by 8.13 per cent in April-January |
between the government and the |
2016 over the same period last year. |
industry. |
Within the Passenger Vehicles, |
Alternative fuel has the potential to |
Passenger Cars rose by 10.18 per cent, |
provide for the country ' s energy |
during April-January 2016 over Aprildemand |
in the auto sector as the CNG |
January 2015. |
distribution network in India is expected |
The domestic sales of Commercial |
to rise to 250 cities in 2018 from 125 |
Vehicles increased by 9.43 per cent in |
cities in 2014. Also, the luxury car |
April-January 2016 over the same |
market could register high growth and |
period last year. Sales of Medium and |
is expected to reach 150,000 units by |
Heavy Commercial Vehicles( M & HCVs) |
2020. |
increased at 30.19 per cent. |
Introduction |
Investments |
The Indian auto industry is one of the |
In order to keep up with the growing |
largest in the world. The industry |
demand, several auto makers have |
accounts for 7.1 per cent of the |
started investing heavily in various |
country ' s Gross Domestic Product |
segments of the industry during the last |
( GDP). As of FY 2014-15, around 31 per |
few months. The industry has attracted |
cent of small cars sold globally are |
Foreign Direct Investment( FDI) worth |
manufactured in India. |
US $ 14.32 billion during the period |