India has finally emerged as a leader in the small car segment. It has succeeded Japan thanks to its robust sales figures and declining sales in the developed markets. China has already superseded US market this year and emerged as the largest car market in the world. India already succeeded Japan in 2007 as the world’s largest producer of basic cars.
India has also emerged as the favorite destination for small car export hub. Nearly every auto maker including Maruti Suzuki, Hyundai, Volkswagen, General Motors, Nissan, Ford, Renault are investing millions of dollars to set up their small car manufacturing units in India. Hyundai Motors India limited has already emerged as the largest car exporter from India with its manufacturing units near Chennai. "From a small car production hub perspective, India is right in the center of the radar," said Michael Boneham, Head of Ford India. Ford unveiled its small car model Figo last month and will introduce its small car in the Indian market by mid-2010.
Brazil, China and Russia are other emerging markets that project strong sales growth but the buying pattern in these countries range from small cars to big luxury cars. However, Indian customers overwhelmingly opt for small cars while making their purchase.
