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Automotive industry in India

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(Redirected fromAutomobile industry in India)

Theautomotive industry in India is the world'sfourth-largest by production and valuation as per 2022 statistics.[1][2][3] As of 2025, India is the3rd largest automobile market in the world in terms of sales.[4]

As of April 2022[update],India's auto industry is worth more than US$100 billion and accounts for 8% of the country's total exports and 7.1% of India's GDP.[5] According to the 2021National Family Health Survey, 60% of Indian households own an automobile.[6][7] According to government statistics, India has barely 400 automobiles per 1,000 people.[8][9]

History

[edit]
A pre-Independence car showroom inSecunderabad, showingFiat Topolino andFiat 1100
Kolkata street traffic in 1945

In 1897, the first car ran on an Indian road. Through the 1930s, cars were imports only, and in small numbers.

An embryonic automotive industry emerged in India in the 1940s.Hindustan Motors was launched in 1942 buildingMorris products, long-time competitorPremier in 1944, buildingChrysler Corporation products such asDodge andPlymouth, and beginning in the 1960s,Fiat products.[10]Mahindra & Mahindra was established by two brothers in 1945 and began assembly ofJeep CJ-3A utility vehicles. In the same years,J. R. D. Tata, the chairman ofTata Group foundedTATA Engineering and Locomotive Company (nowTata Motors) inJamshedpur. Followingindependence in 1947, the Government of India and theprivate sector launched efforts to create an automotive-component manufacturing industry to supply to the automobile industry. In 1953, an import substitution programme was launched, and the import of fully built-up cars began to be restricted.[10]

1947–1970

[edit]
TheHindustan Ambassador dominated India's automotive market from the 1960s until the mid-1980s and was manufactured until 2014.
Fiat 1100D, built under license byPremier Automobiles Limited (PAL), later re-christened 'Premier Padmini', was the Ambassador's only true competitor.

The 1952 Tariff Commission

[edit]

In 1952, the Indian government appointed the first Tariff Commission, whose purpose was to come out with a feasibility plan for theindigenization of the Indian automobile industry. In 1953, the commission submitted its report, which recommended categorizing existing Indian car companies according to their manufacturing infrastructure, under a licensed capacity to manufacture a certain number of vehicles, with capacity increases allowable, as per demands, in the future. The Tariff Commission recommendations were implemented with new policies that would eventually exclude companies that only imported parts for assembly, as well as those with no Indian partner. In 1954, following the Tariff Commission implementation,General Motors,Ford, andRootes Group, which had assembly-only plants inMumbai, decided to move out of India.[11]

The Tariff commission policies, including similar restrictions that applied to other industries, came to be known as theLicence Raj, which proved to be the greatest undoing of the Indian automotive industry, where bureaucratic red tape ended up causing demand to outstrip supply, with month-long waiting periods for cars, scooters, and motorcycles.

Passenger cars
Utility and light commercial vehicles
Medium and heavy commercial vehicles
Scooters, mopeds and motorcycles

Many of the two-wheelers manufacturers were granted licenses in the early 1960s, well after the tariff commission was enabled.

However, growth was relatively slow in the 1950s and 1960s, due to nationalisation and thelicense raj, which hampered the growth of the Indian private sector.

1970 to 1983

[edit]
Maruti 800, launched in 1983.

The beginning of the 1970s didn't see growth potential; and most of the collaboration license agreements came to an end, but with the option to continue manufacturing with renewed branding. Cars were still meant for the elite and Jeeps, now owned byAmerican Motors Corporation, were largely used by government organizations and in some rural regions. By the end of the decade, some developments were made in commercial vehicle segments to facilitate the movement of goods. The two-wheeler segment remained unchanged except for increased sales to the middle class in urban areas. There was an emphasis on having more farm tractors, as India was embarking on a newGreen Revolution; and Russian and Eastern bloc imports were brought in to meet the demand.

But after 1970, with restrictions on the import of vehicles set, the automotive industry started to grow; but the growth was mainly driven by tractors, commercial vehicles, and scooters. Cars still remained a major luxury item. In the 1970s,price controls were finally lifted, inserting a competitive element into the automobile market.[13] However, by the 1980s, the automobile market was still dominated byHindustan andPremier, who sold superannuated products in fairly limited numbers.[14] The rate of car ownership in 1981 was about one in every thousand citizens – understandable when the annual road tax alone cost about half theaverage income of an Indian at the time.[15]

During the eighties, a few competitors began to arrive on the scene. Of the 30,487 cars built in India in 1980, all but six came from the two main players Hindustan and Premier:Standard had led a shadow existence in the latter half of the 1970s, producing only a handful of cars to keep their license active.[15] A new contender was tinySipani, which had tried building locally developed three-wheeled vehicles since 1975 but introduced theReliant Kitten-based Dolphin in 1982. Nonetheless, all eyes were onMaruti, which caused a major upheaval to the Indian automobile industry.[15]

The OPEC oil crisis saw increased need to install or redesign some vehicle to fit diesel engines on medium commercial vehicle. Until the early 1970s Mahindra Jeeps were onPetrol and Premier commercial vehicles had Petrol model options. The Defence sector too had most trucks on Petrol engines.

1984 to 1992

[edit]
Chemical Biological Radiological and Nuclear Reconnaissance Vehicle (CBRN-RV) manufactured by theAVANI

From the end of the 1970s to the beginning of the 1980s India saw no new models, the country continuing to depend on two decades-old designs. The Sipani Dolphin, which arrived in 1982, was not a serious contender, with its plastic body and without rear doors - essential to Indian car buyers. This situation forced the government to encourage and let more manufacturers into fray.

In 1984AVANI was established in Medak near Hyderabad. It started manufacturingInfantry Combat Vehicles christened asSarath, the backbone of India's mechanised infantry.AVANI is still the only manufacturing facility of ICVs in India. To manufacture the high-power engines used in ICVs and main battle tanks, the Engine Factory was set up in 1987 in Avadi, near Chennai. In 1986, to promote the auto industry, the government established theDelhi Auto Expo. The 1986 Expo was a showcase for how the Indian automotive industry was absorbing new technologies, promoting indigenous research and development, and adapting these technologies for the rugged conditions of India.

Post-1992 liberalisation

[edit]
Tata Indica, launched in 1998

Eventually multinational automakers such asSuzuki andToyota of Japan andHyundai andDaewoo Motors of South Korea were allowed to invest in the Indian market, furthering the establishment of an automotive industry in India.Maruti Suzuki was the first and the most successful of these new entries, in part the result of government policies to promote the automotive industry beginning in the 1980s.[14] As India began to liberalise its automobile market in 1991, a number of foreign firms also initiated joint ventures with existing Indian companies. The variety of options available to the consumer began to multiply in the nineties, whereas before there had usually only been one option in each price class. By 2000, there were 12 large automotive companies in the Indian market, most of them offshoots of global companies.[16]

Slow export growth

[edit]

Exports were slow to grow. Sales of small numbers of vehicles to tertiary markets and neighbouring countries began early, and in 1987 Maruti Suzuki shipped 480 cars to Europe (Hungary). After some growth in the mid-nineties, exports once again began to drop as the outmoded platforms provided to Indian manufacturers by multinationals were not competitive.[17] This was not to last, and today India manufactures low-priced cars for markets across the globe. As of 18 March 2013, global brands such asProton Holdings,PSA Group,Kia,Mazda,Chrysler,Dodge andGeely Holding Group were shelving plans for India due to the competitiveness of the market, as well as the global economic crisis.

Emission norms

[edit]

In 2000, in line with international standards to reduce vehicular pollution, the central government unveiled standards titled "India 2000", with later, upgraded guidelines to be known asBharat Stage emission standards. These standards are quite similar to the stringentEuropean emission standards and have been implemented in a phased manner.

Bharat Stage IV (BS-IV) was first implemented in 13 cities — Agra, Ahmedabad, Bengaluru, Chennai, Delhi (NCR), Kanpur, Kolkata, Lucknow, Hyderabad, Mumbai, Pune, Surat, Solapur — in April 2010, and then in the rest of the nation in April 2017.

In 2019, in line with international standards to reduce vehicular pollution, the central government of India announced the introduction ofBS-VI norms to control air pollution, taking effect from 1 April 2020.[18]

Local manufacture encouraged

[edit]

India levies an import tax of 125% on foreign imported cars, while the import tax on components such as gearboxes, airbags, drive axles is 10%. The taxes are intended to encourage cars to be assembled in India rather than be imported as completely built units.[19]

Sub-4-metre rule

[edit]

In 2006, the government of India imposed a new tax structure, which massively impacted the segment. It enables vehicles shorter than 4.0 metres (157.5 in) to qualify for a significantly lower excise duty, which is 8 percent as opposed to 20 percent for longer vehicles.[20]Tata Motors was the first to exploit the new tax structure, which redesigned the rear portion of theIndigo sedan, dropping its length to 3,988 mm (157.0 in) and renamed it as the Indigo CS.[21] The model became significantly cheaper, becoming one of the largest selling three-box cars in the country.[22] Other manufacturers quickly adapted, which led to the release of the shorterSuzuki Swift Dzire, theHonda Brio Amaze, and others.[23]

Manufacturing facilities

[edit]
Isuzu's manufacturing plant atSri City,Andhra Pradesh

The majority of India's car manufacturing industry is evenly divided into three "clusters". In the year 2010,aroundChennai was the largest, with a 35% revenue share, accounting for 60% of the country's automotive exports, and home of the operations of Engine Factory Avadi,Ford,Hyundai,Renault,Nissan,BMW,Daimler,Caparo,Mini, andCitroën.[24][25]

NearMumbai,Maharashtra, along theChakan corridor nearPune, is the western cluster, with a 33% share of the market.Audi,Volkswagen, andŠkoda are located inAurangabad.Mahindra and Mahindra has an SUV and engine assembly plant atNashik.Hyundai,Tata Motors,Mercedes-Benz,Land Rover,Jaguar,Fiat, andForce Motors have assembly plants in the area.[26][27][28]

The northern cluster is around theNational Capital Region, and contributes 30%.Gurgaon,Manesar andKharkhoda inHaryana, are where the country's largest car manufacturer,Maruti Suzuki, is based.

An emerging cluster is the state ofGujarat, with a manufacturing facility ofMG Motors inHalol,Atul Auto inRajkot andTata Motors in Sanand.[29] Maruti Suzuki also plans to set up a new greenfield plant in Gujarat.[30]

Uttarakhand withTata Motors,Telangana withHyundai,Ordnance Factory Medak,Hyderabad Allwyn andMahindra & Mahindra,Rajasthan withHonda,[31] andBengaluru -Karnataka region withToyota,Volvo andScania,Andhra withIsuzu andKia andKolkata -Jamshedpur belt also known as East India belt with companies such asHindustan Motors,Heavy Engineering Corporation,Tata Hitachi Construction Machinery, andTata Motors are other automotive manufacturing regions around the country.[32][33][34]

Andhra Pradesh

[edit]
Commercial and passenger vehicles
Two wheelers
Off-highway vehicles

Gujarat

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles

Haryana

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles
Agricultural vehicles

Himachal Pradesh

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles

Jharkhand

[edit]
Commercial vehicles

Karnataka

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles

Kerala

[edit]
Commercial vehicles

Madhya Pradesh

[edit]
Two wheelers
Commercial vehicles

Maharashtra

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles

Punjab

[edit]
Commercial vehicles

Rajasthan

[edit]
Two Wheelers
Passenger vehicles
Commercial vehicles

Tamil Nadu

[edit]
Two wheelers
Passenger vehicles
Commercial vehicles

Telangana

[edit]
Defence
Commercial vehicles

Uttar Pradesh

[edit]
Two wheelers
Commercial vehicles

Uttarakhand

[edit]
Two wheelers
Commercial vehicles

West Bengal

[edit]
Commercial vehicles

Exports

[edit]
2007Mahindra Scorpio in service withItaly's CNSAS

India's automobile exports have grown consistently and reached $4.5 billion in 2009, with theUnited Kingdom being India's largest export market, followed byItaly,Germany, theNetherlands, andSouth Africa.[94]

According toThe New York Times, India's strong engineering base and expertise in the manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing facilities of several automobile companies likeHyundai,Nissan,Toyota,Volkswagen, andMaruti Suzuki.[95]

In 2008, South Koreanmultinational Hyundai Motors alone exported 240,000 cars made in India.Nissan Motors planned to export 250,000 vehicles manufactured in its India plant by 2011.[96] Similarly,US automobile company,General Motors had announced its plans to export about 50,000 cars manufactured in India by 2011.[97]

In September 2009,Ford Motors announced its plans to set up a plant in India with an annual capacity of 250,000 cars, for US$500 million. The cars were manufactured both for the Indian market and for export.[98] The company said that the plant was a part of its plan to make India the hub for its global production business.[99]Fiat Motors had announced that it would source more than US$1 billion worth auto components from India.[100]

ATata Safari on display inPoznań,Poland

In 2009, India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after Japan (1.77m), Korea (1.12m) and Thailand (0.26m).[101]

In July 2010, The Economic Times reported thatPSA Peugeot Citroën was planning to re-enter the Indian market and open a production plant in Andhra Pradesh that would have an annual capacity of 100,000 vehicles, investing €700M in the operation.[102]Citroën entered the market in 2021 with their first offering being theCitroën C5 Aircross.[103]

In recent years, India has emerged as a leading center for the manufacture of small cars.Maruti Suzuki andHyundai are the two biggest exporters of cars from the country.Nissan also exports small cars from its Indian assembly line.Tata Motors exports its passenger vehicles to several Asian and African markets. In the 2000s,Mahindra & Mahindra prepared to introduce its pickup trucks and smallSUV models in the U.S. market, but canceled its plans. As of 2019, it is assembling and selling an off-road vehicle (Mahindra Roxor; not certified for road use) in limited numbers in the U.S.[104] It is also sold in Canada. While the possibilities for the Indian automobile industry are impressive, there are challenges that could thwart future growth. Since the demand for automobiles in recent years is directly linked to overall economic expansion and rising personal incomes, industry growth will slow if the economy weakens.[105]

Mahindra's major overseas markets include Australia, South Africa, New Zealand, United States and South Asia.[106]

Top 10 export destinations

[edit]
This section needs to beupdated. Please help update this article to reflect recent events or newly available information.(September 2021)

India exported $14.5 billion worth of automobiles in 2014. The 10 countries below imported 47.8% of that total.[107]

RankCountryValue (US$)Share
1United States1.2 billion8.4%
2Mexico$1 billion6.9%
3South Africa$888.8 million6.1%
4United Kingdom$637.4 million4.4%
5Sri Lanka$596.9 million4.1%
6Bangladesh$592.1 million4.1%
7Turkey$580.4 million4%
8Nigeria$546.8 million3.8%
9United Arab Emirates$433.6 million3%
10Colombia$428.9 million3%

Exports of Vehicles in India decreased to US$1478.68 Million in 2020 from US$11332.49 Million in 2019.

India Exports by CountryLastPrevious
United States485.03469.28INR BillionNov/22
United Arab Emirates211.45179.69INR BillionNov/22
Netherlands146.98118.23INR BillionNov/22
Israel122.5544.07INR BillionNov/22
Brazil91.3072.88INR BillionNov/22
China86.5783.21INR BillionNov/22
Germany66.8463.42INR BillionNov/22
Saudi Arabia60.3866.42INR BillionNov/22
Indonesia58.8951.32INR BillionNov/22
Singapore55.6363.31INR BillionNov/22
Hong Kong51.4062.34INR BillionNov/22
Belgium51.0553.36INR BillionNov/22
Nepal50.6936.95INR BillionNov/22
Italy49.2945.34INR BillionNov/22
France45.7841.27INR BillionNov/22
South Africa43.8347.85INR BillionNov/22
Malaysia40.1542.70INR BillionNov/22
Japan37.2133.27INR BillionNov/22
Australia34.6444.76INR BillionNov/22
Nigeria33.1638.53INR BillionNov/22
Thailand32.5737.15INR BillionNov/22
Sri Lanka27.9535.21INR BillionNov/22
Canada26.5022.95INR BillionNov/22
Spain25.9730.04INR BillionNov/22
Russia24.7223.06INR BillionNov/22
Egypt22.9420.94INR BillionNov/22
Kenya20.1011.64INR BillionNov/22
Iraq16.6415.62INR BillionNov/22
Taiwan13.5815.32INR BillionNov/22
Philippines12.8013.78INR BillionNov/22
Portugal9.584.35INR BillionNov/22
Switzerland8.8212.34INR BillionNov/22
Iran8.336.05INR BillionNov/22
Denmark6.034.59INR BillionNov/22
Sweden5.605.49INR BillionNov/22
Ireland4.263.12INR BillionNov/22
Greece3.913.65INR BillionNov/22
Pakistan3.703.20INR BillionNov/22
New Zealand2.812.85INR BillionNov/22
Finland2.782.45INR BillionNov/22
Luxembourg0.240.25INR BillionNov/22

Passenger vehicle manufacturers in India

[edit]
Main article:List of vehicle plants in India

India is the 4th largest passenger vehicle producer in the world. In 2018–19, it produced 4.06 million cars.[108] Currently, there are an estimated 30 million cars in India.[109]

This list is of cars that are officially available and serviced in India.

Indian brands

[edit]

Models currently manufactured by Indian brands

[edit]
Mahindra XUV700
Tata Safari

Defunct Indian brands

[edit]

Joint-venture (JV) brands

[edit]

Foreign-owned brands

[edit]

MG, Hyundai, Renault, Nissan, Citroën, Jeep, Honda, Toyota, Kia, Volkswagen, Škoda, Audi, Mercedes-Benz, BMW and Mini are the foreign automotive companies or brands that manufacture and market their products in India.

Vehicles currently manufactured in India

[edit]

Foreign-owned makes that were officially marketed in India after 1991

[edit]
  • Peugeot stopped selling passenger cars in India in 1997.
  • Daewoo Motors stopped selling passenger cars in India in 2003.
  • Opel was present in India until 2006. As of 2013, Opel only provides spare parts and vehicle servicing to existing Opel vehicle owners.
  • General Motors India stopped producingChevrolet passenger cars for the Indian market in late 2017.
  • Fiat left the Indian market in 2018.
  • Mitsubishi Motors stopped selling passenger cars in India in the late 2010s.
  • Ford India stopped producing passenger cars for the Indian market in late 2021.
  • Nissan stopped sellingDatsun passenger cars in India in 2022.

Statistics

[edit]
Production & sale of vehicles in India[115]
Type2019-202020-212021-222022-232023-242024-25
Passenger VehiclesProduction3,424,5643,062,2803,650,6984,587,1164,901,8405,061,164
Domestic Sales2,773,5192,711,4573,069,5233,890,1144,218,7504,301,848
Export Sales662,118404,397577,875662,891672,105770,364
Commercial VehiclesProduction756,725624,939805,5271,035,6261,067,5041,032,645
Domestic Sales717,593568,559716,566962,468968,770956,671
Export Sales60,37950,33492,29778,64565,81880,986
Three wheelersProduction1,132,982614,613758,669855,696996,1591,050,020
Domestic Sales637,065219,446261,385488,768694,801741,420
Export Sales501,651393,001499,730365,549299,977306,914
Two wheelersProduction21,032,92718,349,94117,821,11119,459,00921,468,52723,883,857
Domestic Sales17,416,43215,120,78313,570,00815,862,77117,974,36519,607,332
Export Sales3,519,4053,282,7864,443,1313,652,1223,458,4164,198,403
Top 10 best-selling automobile models in India (new passenger and commercial vehicles), 1985–2024
Source:[116][117][118][119][120]
YearModels and Ranking
1st2nd3rd4th5th6th7th8th9th10th
1985Maruti 800Premier PadminiHindustan AmbassadorMahindra JeepMaruti VanMahindra FJ/XJForce MatadorForce TraxHindustan ContessaHindustan Trekker
1986Maruti 800Premier PadminiHindustan AmbassadorMaruti VanMahindra JeepMahindra FJ/XJForce MatadorMaruti GypsyTata 407/608/609Force Trax
1987Maruti 800Premier PadminiMaruti VanMahindra JeepHindustan AmbassadorForce MatadorTata 407/608/609Mahindra FJ/XJPremier 118NEMaruti Gypsy
1988Maruti 800Premier PadminiMaruti OmniMahindra JeepHindustan AmbassadorTata 407/608/609Force MatadorMahindra FJ/XJMaruti GypsyPremier 118NE
1989Maruti 800Premier PadminiMaruti OmniMahindra JeepHindustan AmbassadorTata 407/608/609Maruti GypsyForce MatadorPremier 118NEMahindra FJ/XJ
1990Maruti 800Premier PadminiMaruti OmniMahindra JeepHindustan AmbassadorTata 407/608/609Maruti GypsyForce MatadorPremier 118NEMahindra FJ/XJ
1991Maruti 800Maruti OmniPremier PadminiMahindra JeepTata 407/608/609Hindustan AmbassadorPremier 118NEForce MatadorMaruti GypsyForce Trax
1992Maruti 800Mahindra JeepMaruti OmniTata 407/608/609Hindustan AmbassadorPremier PadminiForce MatadorPremier 118NEForce TraxMaruti Gypsy
1993Maruti 800Mahindra JeepMaruti OmniTata 407/608/609Hindustan AmbassadorPremier PadminiForce MatadorMaruti 1000Premier 118NEForce Trax
1994Maruti 800Mahindra JeepMaruti OmniTata 407/608/609Hindustan AmbassadorPremier PadminiForce MatadorMaruti 1000Force TraxPremier 118NE
1995Maruti 800Mahindra JeepTata 407/608/609Maruti EsteemMaruti OmniHindustan AmbassadorMaruti ZenPremier PadminiTata SumoForce Matador
1996Maruti 800Mahindra JeepTata 407/608/609Maruti OmniMaruti ZenTata SumoMaruti EsteemHindustan AmbassadorDaewoo CieloForce Trax
1997Maruti 800Mahindra JeepMaruti ZenMaruti OmniTata SumoTata 407/608/609Hindustan AmbassadorMaruti EsteemDaewoo CieloOpel Astra
1998Maruti 800Maruti ZenMaruti OmniMahindra JeepTata 407/608/609Tata SumoHindustan AmbassadorMaruti EsteemHyundai SantroHonda City
1999Maruti 800Maruti ZenMaruti OmniHyundai SantroMahindra JeepTata IndicaTata 407/608/609Daewoo MatizTata SumoMaruti Esteem
2000Maruti 800Hyundai SantroMaruti ZenMaruti OmniMahindra JeepTata IndicaDaewoo MatizTata 407/608/609Tata SumoToyota Qualis
2001Maruti 800Hyundai SantroMaruti ZenMaruti OmniTata IndicaMahindra JeepMaruti AltoToyota QualisTata 407/608/609Tata Sumo
2002Maruti 800Hyundai SantroTata IndicaMaruti ZenMaruti OmniMahindra JeepMaruti Wagon RTata 407/608/609Fiat PalioMaruti Alto
2003Maruti 800Hyundai SantroTata IndicaMaruti ZenMaruti OmniMaruti Wagon RMaruti AltoMahindra JeepToyota QualisTata 407/608/609
2004Maruti 800Maruti AltoHyundai SantroTata IndicaMaruti Wagon RMaruti ZenMaruti OmniMahindra JeepToyota QualisTata Indigo
2005Maruti AltoHyundai SantroTata IndicaMaruti 800Maruti Wagon RMaruti OmniMaruti ZenMahindra JeepMaruti SwiftTata Indigo
2006Maruti AltoHyundai SantroTata IndicaMaruti Wagon RMaruti 800Maruti OmniMaruti SwiftTata AceHonda CityMahindra Jeep
FY07-08Maruti AltoTata IndicaMaruti Wagon RHyundai SantroMaruti SwiftMaruti OmniMaruti 800Maruti Zen EstiloHyundai i10Toyota Innova
2008data unavailable
2009Maruti AltoMaruti Wagon RHyundai i10Tata IndicaMaruti SwiftMaruti OmniHyundai SantroMaruti Swift DzireMahindra BoleroHonda City
2010Maruti AltoHyundai i10Maruti Wagon RMaruti SwiftTata IndicaMaruti Swift DzireMaruti OmniHyundai SantroTata IndigoMahindra Bolero
2011Maruti AltoMaruti Wagon RHyundai i10Maruti SwiftTata Indica/VistaMaruti Swift DzireMahindra BoleroMaruti OmniHyundai i20Tata Indigo/Manza
2012Maruti AltoMaruti SwiftMaruti Swift DzireMaruti Wagon RMahindra BoleroHyundai i10Tata Indica/VistaHyundai EonHyundai i20Tata Nano
2013Maruti AltoMaruti SwiftMaruti Swift DzireMaruti Wagon RMahindra BoleroHyundai EonHyundai i10Hyundai i20Toyota InnovaMaruti Ertiga
2014Maruti AltoMaruti Swift DzireMaruti SwiftMaruti Wagon RHyundai i10Mahindra BoleroHyundai EonHonda CityMaruti OmniHyundai i20
2015Maruti AltoMaruti Swift DzireMaruti SwiftMaruti Wagon RHyundai i20Hyundai i10Mahindra BoleroMaruti CelerioHonda CityHyundai Eon
2016Maruti AltoMaruti Swift DzireMaruti Wagon RMaruti SwiftHyundai i10Hyundai i20Maruti BalenoRenault KwidHyundai CretaMaruti Celerio
2017Maruti AltoMaruti DzireMaruti BalenoMaruti SwiftMaruti Wagon RHyundai i10Maruti Vitara BrezzaHyundai i20Hyundai CretaMaruti Celerio
2018Maruti DzireMaruti AltoMaruti SwiftMaruti BalenoMaruti Vitara BrezzaMaruti Wagon RHyundai i20Hyundai i10Hyundai CretaMaruti Celerio
2019Maruti AltoMaruti DzireMaruti SwiftMaruti BalenoMaruti Wagon RMaruti Vitara BrezzaHyundai i20Maruti EecoHyundai i10Hyundai Creta
2020Maruti SwiftMaruti AltoMaruti BalenoMaruti Wagon RMaruti DzireMaruti EecoHyundai CretaKia SeltosHyundai i10Maruti Vitara Brezza
2021Maruti Wagon RMaruti SwiftMaruti BalenoMaruti AltoHyundai CretaMaruti DzireMaruti Vitara BrezzaMaruti EecoMaruti ErtigaTata Nexon
2022Maruti Wagon RMaruti BalenoMaruti SwiftTata NexonMaruti AltoMaruti DzireHyundai CretaMaruti ErtigaMaruti BrezzaTata Punch
2023Maruti SwiftMaruti Wagon RMaruti BalenoMaruti BrezzaTata NexonMaruti DzireHyundai CretaTata PunchMaruti EecoMaruti Ertiga
2024Tata PunchMaruti Wagon RMaruti ErtigaMaruti BrezzaHyundai CretaMaruti SwiftMaruti BalenoMaruti DzireMahindra ScorpioTata Nexon
1st2nd3rd4th5th6th7th8th9th10th
  Indigenous manufacturer     Local listed-foreign manufacturer (ex- foreign JV)     Foreign manufacturer
See also: Best-selling models in
2022 passenger car sales data[121]
RankOEM2022 salesShare2021 salesShare
1Maruti SuzukiIncrease 1,576,026Decrease 41.6%1,364,78844.4%
2HyundaiIncrease 552,511Decrease 14.6%505,03316.4%
3Tata MotorsIncrease 526,821Increase 13.9%331,18210.8%
4MahindraIncrease 333,054Increase 8.8%201,4546.5%
5KiaIncrease 254,556Increase 6.7%181,5435.9%
6ToyotaIncrease 160,375Steady 4.2%130,7494.2%
7HondaIncrease 95,022Decrease 2.5%89,1532.9%
8RenaultDecrease 87,118Decrease 2.3%95,8783.1%
9ŠkodaIncrease 53,721Increase 1.4%23,8490.8%
10MG MotorIncrease 48,063Steady 1.3%40,2731.3%
11VolkswagenIncrease 42,452Increase 1.1%26,9300.9%
12NissanDecrease 34,565Decrease 1.2%35,9560.9%
13JeepIncrease 13,499Steady 0.4%11,8630.4%
14CitroënIncrease 6,066Increase 0.2%6240.0%
15DatsunDecrease 512Decrease 0.0%4,2960.1%
2022 best-selling cars in India[118]
RankModel2022 sales2021 sales
1Maruti Suzuki Wagon R217,317183,851
2Maruti Suzuki Baleno185,665172,237
3Maruti Suzuki Swift176,424175,052
4Tata Nexon168,278108,577
5Maruti Suzuki Alto162,548166,233
6Maruti Suzuki Dzire159,919116,222
7Hyundai Creta140,895125,437
8Maruti Suzuki Ertiga133,814114,408
9Maruti Suzuki Brezza130,563115,962
10Tata Punch129,89522,571
11Maruti Suzuki Eeco125,074114,524
12Hyundai Venue120,703108,007
13Hyundai Grand i10 Nios106,22295,515
14Kia Seltos101,56998,147
15Mahindra Bolero94,33265,313
16Kia Sonet86,25179,289
17Hyundai i2075,57272,292
18Maruti Suzuki Celerio72,72932,853
19Tata Tiago67,25964,994
20Mahindra XUV70065,37111,964
21Maruti Suzuki S-Presso65,27665,478
22Mahindra Scorpio64,17936,945
23Kia Carens62,7560
24Mahindra XUV30060,26047,432
25Tata Altroz58,59069,744
26Maruti Suzuki Ignis56,98632,735
27Toyota Innova56,56955,250
28Tata Tigor48,34918,900
29Hyundai Aura47,07637,584
30Honda Amaze46,52839,697

Auto companies

[edit]

Indian brands

[edit]

Joint-venture (JV) brands

[edit]

Foreign-owned brands

[edit]

Defunct commercial vehicle manufacturers of India

[edit]
  • Automobile Products of India or API - founded in 1949 atBombay (now Mumbai), by the British companyRootes Group,[138] and later bought byM. A. Chidambaram of the MAC Group fromMadras (now Chennai).[138] The company manufacturedLambretta scooters, API Three Wheelers under licence fromInnocenti ofItaly and automobile ancillaries, notably clutch and braking systems. API's registered offices were earlier inMumbai, later shifted toChennai, in Tamil Nadu. The manufacturing facilities were located inMumbai andAurangabad in Maharashtra and inAmbattur,Chennai.[139] The company has not been operational since 2002.
  • Escorts Yamaha - in 1984 Escorts formed a joint venture with Yamaha to manufacture motorcycles. In 2008, it becameIndia Yamaha Motor.
  • Hero Motors is a formermoped andscooter manufacturer based inDelhi, India. It is a part of multinational companyHero Group, which also currently ownsHero Motocorp (formerlyHero Honda) andHero Cycles, among others. Hero Motors was started in the 1960s to manufacture 50cc two-stroke mopeds but gradually diversified into making larger mopeds, mokicks and scooters in the 1980s and the 1990s. Noteworthy collaborators and technical partners werePuch of Austria andMalaguti of Italy. Due to tightening emission regulations and poor sales, Hero motors have discontinued the manufacture of all gasoline powered vehicles and transformed itself into an electric two-wheeler and auto parts manufacturer.
  • Ideal Jawa - motorcycle company based in Mysore, sold licensed Jawa and ČZ motorcycles beginning in 1960 under the brand name Jawa and later Yezdi.
  • Kinetic Honda - a joint venture betweenKinetic Engineering Limited, India andHonda Motor Company, Japan. The joint venture operated during 1984 - 1998, manufacturing 2-strokescooters in India. In 1998, the joint venture was terminated after whichKinetic Engineering continued to sell the models under the brand nameKinetic until 2008[140] when the interests were sold toMahindra.
  • Mopeds India Limited - produces the Suvega range ofMopeds under technical collaboration withMotobécane ofFrance.
  • Standard - produced by Standard Motor Products inMadras from 1949 to 1988. Indian Standards were variations of vehicles made in the U.K. byStandard-Triumph.Standard Motor Products of India Ltd. (SMPI) was incorporated in 1948,[141] and their first product was theVanguard, which began to be assembled in 1949. The company was dissolved in 2006 and the old plant torn down.
  • Tatra Vectra - Initial truck partnership with India by Vectra. Replaced by KamAZ. Tatra trucks for sale in India are now manufactured in collaboration withBharat Earth Movers Limited.
  • AMW[142]

Electric vehicle and Hybrid vehicle (xEV) industry

[edit]
Further information:Electric vehicle industry in India

During April 2012, the Indian government planned to unveil the road map for the development of domestic electric and hybrid vehicles (xEV) in the country.[143] A discussion between the various stakeholders, including Government, industry, and academia, was expected to take place during 23–24 February.[143] The final contours of the policy would have been formed after this set of discussions. Ministries such as Petroleum, Finance, Road Transport, and Power are involved in developing a broad framework for the sector. Along with these ministries, auto industry executives, such asAnand Mahindra (Vice Chairman and managing director, Mahindra & Mahindra) and Vikram Kirloskar (Vice-chairman, Toyota Kirloskar), were involved in this task.[143] The Government has also proposed to set up a Rs 740 crore research and development fund for the sector in the 12th five-year plan during 2012–17.[143] The idea is to reduce the high cost of key imported components such as the battery and electric motor, and to develop such capabilities locally. In the year 2017, AnAmaravati,Andhra Pradesh based Electric Vehicles manufacturing company called AVERA[144] New & Renewable Energy started electric scooters manufacturing[145] and are ready to launch their two models of scooters by the end of December 2018.[146]

Electric cars are seen as economical long-term investments, as one doesn't need to purchase gas, but needs only to recharge the battery, using renewable energy sources. According to theUnited States Department of Energy, electric cars produce half as much CO2 emissions as compared to a gas-powered car.[147] According toThe Economic Times, 60% of Indian customers expect fuel prices to go up in the next 12 months and 58% expect to buy a new car in the same time frame. Most consumers are looking to buy a car which gives good mileage. According to the same source, 68% of Asian drivers expect higher mileage from their cars due to the higher fuel prices. This has encouraged 38% of Indian automobile consumers to switch to electric or hybrid cars.[148] Due to this change in the market, many companies, such as Toyota, have planned to introduce electric vehicles in India; and Suzuki has tested almost 50 electric prototypes in India already, according toMashable.In 2019, Hyundai launched India's first electric car, the Kona Electric .[149]

Electric vehicle manufacturers in India

[edit]

Growth initiatives

[edit]
[icon]
This sectionneeds expansion. You can help byadding to it.(September 2021)

Automotive Research Association of India (ARAI) and standards

[edit]

TheGovernment of India felt the need for a permanent agency to expedite the publication of standards and development of test facilities[158] in parallel with the work of the preparation of the standards - as the development of improved safety critical parts could be undertaken only after the publication of the standard and commissioning of test facilities. TheMinistry of Surface Transport (MoST) constituted a permanentAutomotive Industry Standards Committee (AISC) . The Standards prepared by AISC will be approved by the permanent CMVR Technical Standing Committee (CTSC). After approval, theAutomotive Research Association of India (ARAI)[159] will publish this standard.[citation needed]

Intelligent Transport Systems (ITS) are globally proven systems to optimize the utilization of existing transport infrastructure and improve transportation systems in terms of efficiency, quality, comfort and safety. Having realized the potential of ITS, Government bodies and other organizations in India are presently working towards implementing various components of ITS across the country.[citation needed]

The first step taken for creation and implementation of ITS was holding a National Workshop titled "User Requirements for Interactive ITS Architecture",[160] which was conducted as a collaboration between SIAM and ASRTU on 26 & 27 February 2015. This was primarily focused on ITS inPublic Bus Transportation. Nonetheless, the workshop helped to create the outline for "National Intelligent Transport System Architecture and Policy for Public Transport (Bus)", which was submitted by ASRTU and SIAM to the government[citation needed]

In the 44th & 45th CMVR-TSC, Chairman had directed - standardization activities to be initiated on Intelligent Transportation Systems (ITS) -Vehicle Location Tracking,Camera Surveillance System andEmergency Request Button. The committee intended to extend the above user requirements to all public transportation namely –buses, taxis, etc. The current document covers the requirements for Vehicle Location Tracking and Emergency Button. The other ITS components like PIS, CCTV system, Fare collection etc. are deliberated and would be addressed in later phase and could be added as separate parts to the current document.[citation needed]

Based on these directions, the AISC Panel on ITS has prepared this AIS-140 titled,"Intelligent Transportation Systems (ITS) - Requirements forPublic Transport Vehicle Operation". The panel also deliberated and identified the necessary elements for an effective implementation of vehicle level ITS system.[citation needed]

For AIS-140 Devices, inIndia, connectivity to report location, and EmergencyPanic Button signal is though wirelesscellular connectivity. There are device focused Cellular Connectivity Offerings like 'eSIM4Things[161]' available in India, which cater to connectivity requirements of AIS-140 devices.[162] eSIM4Things[161] is fully compatible with all AIS-140 devices and with a connectivity manager and a range of tariff plans.

Driverless Technology in India

[edit]

While there is controversy on possibility of driverless cars in India,[163][164] many startups are working on this technology.[165]

In Auto Expo 2018, Hi Tech Robotic Systemz launched an artificial intelligence-based driver behaviour sensor technology called Novus Aware in partnership withDaimler India Commercial Vehicles (DICV).[166][167]

Performance-linked incentives scheme for future tech

[edit]

Automotive sector is part of 13 sectors that GoI has introduced Rs 1.97 lakh cr (US$28 b)performance-linked incentives (PLI) schemes for five years in 2021-22 budget.[168] In Sept 2021, to boost the automotive industry with the newer and green technology theGovernment of India (GoI) launched 3 PLI schemes, a Rs. 26,000 cr (US$3.61 b) scheme for production ofelectric vehicles andhydrogen fuel vehicles (PEVHV), the Rs 18,000 crore (US$2.5 b)"Advanced Chemistry Cell" (ACC) scheme for new generation advance storage technologies which are useful for the electric vehicles, and Rs 10,000 crore (US$1.4 b)"Faster Adaption of Manufacturing of Electric Vehicles" (FAME) scheme to go green by expediting production of more electronic vehicles and replacement of other types of existing vehicles with the greener vehicles.[169] The Rs. 26,000 cr (US$3.61 b) PLI scheme to boost automotive sector to boost the production of electric vehicles and hydrogen fuel vehicles will also generate 750,000 direct jobs in auto sector.[168] These schemes will reduce pollution, climate change, carbon footprint, reduce oil and fuel import bill through domestic alternative substitution, boost job creation and economy.[169]Society of Indian Automobile Manufacturers welcomed this as it will enhance the competitiveness and boost growth.[168]

See also

[edit]

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