Automobile Industry

Automobile Industry

Automobile Industry

The Indian automobile industry is one of the largest in the world. The industry accounts for 7.1 per cent of the country’s Gross Domestic Product (GDP). The automobile industry produced a total 19.84 Million vehicles during the period from April 2015 to January 2016, including passenger vehicles, commercial vehicles, three wheelers and two wheelers. The domestic sales of passenger vehicles grew by 8.13 per cent during the period from April 2015 to January 2016 over the same period last year. Within the passenger vehicles, the domestic sales of passenger cars rose by 10.18 per cent during the period from April 2015 to January 2016 over the same period last year. The domestic sales of commercial vehicles grew by 9.43 per cent during the period from April 2015 to January 2016 over the same period last year. Sales of medium and heavy commercial vehicles increased by 30.19 per cent during the period from April 2015 to January 2016 over the same period last year. The industry has attracted foreign direct investment worth USD 14.32 Billion during the period from April 2000 to December 2015. The Government of India is planning to promote eco-friendly cars in India i.e., CNG based vehicle, hybrid vehicle and electric vehicle. India is a prominent automobile exporter. As of financial year 2014-15, around 31 per cent of the small cars sold globally were manufactured in India. With a combined push by both government and private sectors, India is expected to be a leader in two wheeler and four wheeler markets in the world by 2020.