Category — Automobile

Ford becomes India’s largest Car Exporter

Ford, Nissan, and Volkswagen ship more of their India-manufactured cars to overseas markets than what they sell within India.

Michigan-based Ford has two manufacturing units in the country: at Chennai in the southern state of Tamil Nadu and at Sanand in India’s western state of Gujarat. It has overtaken Korea’s Hyundai in Fiscal Year 2018 to become the largest exporter of cars from India.

In the first nine months of the current financial year (from April 2017 – March 2018) Ford shipped over 134,000 units,  12 percent  more than the previous year.

For the same period, German auto maker Volkswagen exported more than double the number of units it sold in India, while Japanese car maker Nissan shipped more than 46,000 units to export destinations.

Company # Cars Sold in India

(Apr – Dec FY ’18)

# Cars Exported

(Apr – Dec FY ’18)

Ford 62,554 134,575
Nissan 38,928    46,502
Volkswagen 34,979    71,667
GM  Nil    60,707

General Motors decided to stop local sales of its cars in May last year and announced plans to focus exclusively on the export market. The company has shipped over 60,000 cars from India for the same period, and is now the fifth-biggest exporter of cars from the country.

Ford Ecosport

February 12, 2018   No Comments

Hyundai to Invest another $1 Billion in India

South Korea-based auto maker Hyundai plans to invest over $1 billion in India in the next three years. The company, which operates through its wholly-owned arm Hyundai Motors India Ltd, plans to launch an electric vehicle next year.

Managing director and CEO Y. K. Koo  said, “Our total investment till 2020 will be over $1 billion. The investments will be on nine new products to be launched between this year and 2020, powertrain development, and setting up of our new office building in Gurugram.” Speaking about the new products to be introduced, he said, “Two will be completely new models, one will be an electric vehicle, two facelifts, and four will be full model changes of existing products.”

CEO Y.K.Koo
                                                                                                                                                   Managing Director and CEO Y. K. Koo

Last year, Hyundai Motors India sold 678,000 auto units in the country. With 20 years in the Indian market, the firm has a market share of 16.5 percent in the passenger vehicle segment.

January 31, 2018   No Comments

GM to Ramp Up Component and Passenger Vehicle Shipments from India

Detroit, Michigan-based General Motors which stopped manufacturing passenger vehicles for sale in India, is looking to ramp up component exports from India even as it continues to add new global markets for vehicle shipments from the country.

The company currently exports body panels and engines to Vietnam and Cambodia, and recently started exporting the Beat Notchback to Costa Rica. “Our exports have tripled [increased three times] over the past year and we are very pleased with the acceptance of our products in the export markets,” an official from the company said. In India, GM manufactures vehicles and components at its Talegoaon plant in the western state of Maharashtra.

In 2017, GM ranked 5th in India in terms of passenger vehicle exports. Its hatchback Beat was the highest exported passenger vehicle from India.

Chevrolet stering wheel

January 30, 2018   No Comments

2017 Brings over $30 Billion Overseas Funds to India Stock Market

The overall net inflow of foreign  investor funds has made 2017 the best period in three years for India’s capital markets — both equity and debt — with combined net inflows of over $30 billion. Banking, housing finance, and the auto industry sectors have seen consistent foreign portfolio inflows. The higher inflow in 2017 can be attributed to the expectation of a rise in domestic economic growth, experts said.

Economy chart

As the year draws to a close, the Indian stock market seems to have regained its status as one of the most favored destinations for foreign portfolio investors, reports Business Today. However, market analysts believe that foreign portfolio flows may not continue in 2018 with the withdrawal of liquidity and rate hikes in developed economies picking up. Additionally, the inflation cycle is likely to turn following an increase in commodity prices and a recovery in consumption demand.

Dinesh Rohira, founder and chief executive at 5nance.com said that business sentiment among companies has improved because of India’s ‘ease of doing business’.  The government’s commitment in speeding up development and economic reforms before going for elections in 2019 bodes well for foreign investors’ confidence, he added. The government’s decision to recapitalize state-owned banks is also expected to enhance lending and propel economic growth.

December 22, 2017   No Comments

Automobile Industry in India Grows 24% in November 2017

All segments of the automobile industry in India recorded double-digit sales growth in November ’17. Sales of passenger vehicles grew 14 percent, lowest among all segments, while those of motorbikes and scooters grew 23 percent. Sales of commercial vehicles were up by 50.4 percent.

A truck

Business Standard reports that according to data issued by the Society of Indian Automobile Manufacturers (SIAM), demand from India’s rural areas is driving sales for two-wheeled vehicles.  Vishnu Mathur, director general at SIAM, said, “In the goods carrier segment, trucks have grown mainly on enhanced spending by the government on infrastructure projects. However, the bus segment remains impacted, as government buying remains at a slow pace.” 

December 15, 2017   No Comments