It is indeed rush hour for the automobile industry in India. The growing economy, huge domestic market, proven manufacturing
capability—particularly in the small car
segment—have prompted the global auto majors to make a beeline for the
subcontinent. Auto majors such as Hyundai and Suzuki Motors have been operating
in India for quite some time. Now, adding more punch to the show, a handful
of other auto giants such as Toyota, Honda and General Motors have
announced their plans to enter into the small car market in India. This
alacrity on the part of global auto majors speaks volumes for India's growing clout as
a leading auto hub. Whatsoever, this has indeed intensified the competition
in the already charged-up auto market. The established local players are
facing the heat and devising strategies to maintain their market share.
This vrooming sentiment of the industry has been reflected in the
Delhi Auto Expo, 2010, held between 5th to 11th January. The extravagant auto expo has truly showcased the
growing stature of the world's second fastest growing auto market. With an
impressive launch of 25 new models, including three for the first time in the world
and 2100 exhibitors, the Expo—now in its tenth year—drew more than 20
lakh visitors. The new entrants such as Toyota, Honda and General Motors
are likely to step-up the already brewing small car battle in India. Local
manufacturers have reacted briskly by launching multiple products at
the Auto Expo. The large participation, the exquisite line up of cars for India,
the rather quick launch of variants into
India, and not-so-conservative price tags are all indicative of a market
undergoing swift change.
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