Automobile Industry in India
Automobile Industry in India:
The automobile industry in India is one of the largest in the world and is a key driver of the country’s economic growth. India is the fourth-largest producer of cars and the seventh-largest producer of commercial vehicles worldwide.
The industry employs around 37 million people directly and indirectly. The government has implemented various policies to boost the growth of the industry, including the Make in India campaign and the National Electric Mobility Mission Plan.
India’s automobile industry is a rapidly growing sector, with a compound annual growth rate (CAGR) of around 8% over the past decade. The industry is projected to reach a size of around $300 billion by 2026.
The Indian automobile market is primarily dominated by the passenger vehicle segment, which accounts for around 70% of the total market. The commercial vehicle segment, which includes trucks and buses, accounts for the remaining 30%. The industry is dominated by a few major players, including Maruti Suzuki, Hyundai, Tata Motors, Mahindra & Mahindra, and Honda. These companies have a combined market share of around 75%.
However, the industry has also faced challenges such as high taxes, lack of infrastructure, and skilled labour. The industry is expected to continue growing in the future.