Suzuki Motor Corporation, Hyundai Motor Co., and Nissan Motor Co. are making India as a marketing hub for overseas sales of mini cars, as incentives lift demand for smaller, fuel-efficient autos. This year India outperformed China in auto exports and poses challenge to Thailand and South Korea, as an alternative production center in Asia., media reports said.
In Jan-August 2009 period, Maruti Suzuki India's exports were more than doubled to 79,860 vehicles. It aims to ship 130,000 vehicles during the current fiscal year, 86% more than last year, R.C. Bhargava, Chairman, reportedly said. In August, Maruti exported 14,847 vehicles, and the cumulative sales up to August this fiscal were 54,707 units.
The Society of Indian Automobile Manufacturers data say India's exports of mini cars and hatchbacks gained 44% between January and July to 20,138. Total exports, including vans, sport-utility vehicles and trucks, rose 18% to 229,809. Cars are exported to over 100 countries (excluding the US and Japan markets).
In contrast, China's exports plunged 60% to 164,800 between January and July, as per government data. Vehicles produced in Thailand for export declined 43% to 263,768, the Thai Automotive Club data say.
South Korean exports dropped 31% to 1.12 million units, according to the Korea Automobile Manufacturers Association. Japan, the world's largest automobile producer and exporter, shipped 1.77 million cars, trucks and buses. Of those, 135 were mini cars and 439,849 were compacts, the release said.
Jayesh Shroff, who helps manage around $7 billion of assets, including car maker shares at SBI Asset Management Co in Mumbai, said: "There is a worldwide shift toward fuel-efficient, compact cars. This offers a huge potential for India and it can emerge as a leader in the small car segment."
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