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India is the 11th largest Passenger Cars producing countries in the world and 4th largest in Heavy Trucks
Automobile Industry is the largest industry in India with an impressive growth in the last two decades. The reason behind the growth was abolition of licensing in 1991 and permitting automatic approval and successive liberalisation of the sector.
According to estimation the compound annual growth rate (CAGR) of Indian Automobile sales will grow at 9.5% and will touch a mark of 13,008 million by 2010. The figure for FY05 was 8.45 million units. To tap this large opportunity, the Indian Auto Companies along with the global giants have announced huge expansion plans.
Maruti Udyog Ltd. was the largest 4-Wheelers producer in 2005-06 followed by Tata Motors. Hyundai did well but the difference was nearly half of Tata Motors. In 2-Wheelres segment, Hero Honda is leading putting behind Bajaj Auto Ltd. Check the table below to get complete figure.
The growth rate of Passenger Cars in 2004 was 30% in India where as the average growth rate of top 12 Passenger Cars producing countries were just 5.1%. In Heavy Trucks it was 32% and 14.6% respectively.
Component industry's growth was only 9% between 1997-2000. But between 2000-2005 it has grown to 20%. It is projected 17% between 2005-2014.
Overview
Snippets| Manufacturers | 2005-06 (Apr-Mar) In Nos. |
Manufacturers | 2005-06 (Apr-Mar) In Nos. |
| Japanese OEM | Korean OEM | ||
| Maruti Udyog Ltd. | 572,097 | Hyundai Motor India Ltd. | 260,440 |
| Toyota Kirloskar Motor Pvt. Ltd. | 44,975 | American OEM | |
| Honda Siel Cars India Ltd. | 41,361 | General Motors India Pvt. Ltd. | 30,687 |
| Swaraj Mazda Ltd. | 11,946 | Ford India Pvt. Ltd. | 26,946 |
| Total | 670,379 | Total | 57,633 |
| European OEM | Indian OEM | ||
| Skoda Auto India Pvt. Ltd. | 9.767 | Tata Motors Ltd. | 449,878 |
| Daimler Chrysler India Pvt. Ltd. | 1,780 | Mahindra & Mahindra Ltd. | 128,601 |
| Volvo India Pvt. Ltd. | 1,004 | Ashok Leyland Ltd. | 65,085 |
| Tatra Trucks India Ltd. | 125 | Force Motors Ltd. | 35,728 |
| Fiat India Pvt. Ltd. | 671 | Eicher Motors Ltd. | 24,348 |
| Hindustan Motors Ltd. | 15,458 | ||
| Total | 13,347 | Total | 719,098 |
| Manufacturers | 2005-06 (Apr-Mar) In Nos. |
Manufacturers | 2005-06 (Apr-Mar) In Nos. |
| Japanese | Indian | ||
| Hero Honda Motors Ltd. | 3,006,486 | Bajaj Auto Ltd. | 2,042,289 |
| Honda Motorcycle & Scooter India (Pvt.) Ltd. | 603,436 | TVS Motor Company Ltd. | 1,366,866 |
| Yamaha Motors India Pvt. Ltd. | 248,665 | LML Ltd. | 107,044 |
| Suzuki Motorcycle India Pvt. Ltd. | 2,328 | Kinetic Engineering Ltd. | 82,392 |
| Majestic Auto Ltd. | 56,819 | ||
| Kinetic Motor Company Ltd. | 53,880 | ||
| Royal Enfield (Unit of Eicher Ltd.) | 30,596 | ||
| Total | 3,860,915 | Total | 3,739,886 |
If we take a quick look of almost a decade, it is seen that two-wheelers are the most produced in automobile industry followed by passenger cars and then three wheelers. The following are the number of units produced in 2003-04 and 2004-05 (April-Sept. 04) of different segment of vehicles:
| Name of the Sector | No. of units | Production | |
| 2003-04 | 2004-05 (April-Sept. 04) |
||
| Commercial Vehicles | 9 | 275224 | 156815 |
| Cars | 12 | 842437 | 465983 |
| Multi-Utility Vehicles | 5 | 146103 | 114739 |
| 2-wheelers | 12 | 5624950 | 3023805 |
| 3-wheelers | 4 | 340729 | 177554 |
| Total | 42 | 7229443 | 3938896 |
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