Car Industry looks bright in India
Indias car sales will accelerate this year as economic growth is helping these countries withstand a global slump in automobile demand, an industry group has stated. This has spurred Maruit Suzuki to increase their own investment in the region.
Automotive sales across India alone are set to steadily increase by at least 10 percent in the year to March 2010, double an April estimate for a 5 percent expansion. The thirteen car producers in India sold 1.22 million cars last year which is an encouraging statistic to think about especially when all of the car industry is taking a big dent at the moment. Since this statistic was released some of the biggest companies in the world like General Motors, Toyota and Honda are making more and more investments into the car making industry localised in places like India and China as the economy and sales in US, Europe and Japan are falling rapidly.
The market for used cars in India has also risen with the need to buy an audi or buy a toyota dropping. Used cars for sale these days are extremely reasonable in over populated regions of the world like India and people are more than prepared to make the most of this now. China, japan and America are amongst several countries that are offering a mix of credits and tax breaks to try and boost auto sales by getting consumers to trade-in old cars for newer, more fuel efficient models which is thus helping keep the environment clean and safe. Indias central bank injected roughly 5.6 trillion rupees into the economy which together with the government fiscal stimulus amounted to more than 12 percent of gross domestic product. Vehicle sales also grew in India by just 1.3% in the fiscal year which finished in March, the slowest pace ever recorded within the past seven years. There is clear evidence that the economy has had a detremental effect on the globe however with the massive amounts of people inhabiting India and China their economies are set to recover quicker.
