According to the United Nations Industrial Development Organisation’s (UNIDO) International Yearbook of Industrial Statistics 2008, India ranks 12th in the list of world’s top 15 automakers.

As per the Automotive Mission Plan, it is estimated that the total turnover of the automotive industry in India would be in the order of US$ 122 billion–159 billion in 2016. It is expected that in real terms, India would continue to enjoy its eminent position of being the largest tractor and three-wheeler manufacturers in the world and the world’s second largest two-wheeler manufacturer. The industry is estimated to be a US$ 34 billion industry with exports contributing 5 per cent of the revenues.

The production figures released by SIAM show that the auto sector has contracted substantially in the first two quarters of the current year. According to SIAM , Passenger Vehicles segment registered Negative with (-) 0.46 Percent during April – December 2008 over April – December 2007. Passenger Cars fell by 0.28 percent, Utility Vehicles fell by 4.82 percent and Multi Purpose Vehicles grew by 7.82 percent in this period. However, the sales in December 2008 for passenger vehicles fell by 13.86% over December 2007 - with all sub-segments registering negative growth.

The sales of Commercial Vehicles Segment registered negative growth. The segment declined by 15.52 percent during April – December 2008 as compared to the same period last year. While Medium & Heavy Commercial Vehicles declined by 23.85 percent, Light Commercial Vehicles also recorded de-growth at (-) 5.40 percent. In December 2008 commercial vehicles sales fell by 58.29 percent compared to 2007. M&HCV fell by 71.19 percent and LCV fell by 41.97 percent. Also, buses (M&HCV) fell by 32.79 percent and even the smaller buses also fell by 37.18 percent. 

Three Wheelers sales registered decline with growth rate being (-) 5.86 percent in April – December 2008. While Passenger Carriers grew by 13.38 percent during April – December 2008, Goods Carriers declined at (-) 38.44 percent. In December, three wheelers fell by 28.99 percent.

Domestic Sales

The period of April-November, 2008 sales position also shows a marked declining trend. Commercial Vehicle segment grew at (-) 9.35 percent during April – November 2008 as compared to the same period last year. While Medium & Heavy Commercial Vehicles registered significant de-growth at (-) 16.88 percent, Light Commercial Vehicles also recorded de-growth of -0.26 percent. In November 2008 commercial vehicles sales fell by 49.51% compared to 2007. M&HCV fell by 63% and LCV fell by over 33%. Also, buses (M&HCV) fell by 32% and even the
smaller buses also fell by 26%.  In fact the decline in buses has been since
April 2008 with an exception in June.

Two Wheelers registered a growth of 3.76 percent during April-November 2008. Mopeds, Motorcycles and Scooters grew by 4.57 percent, 2.89 percent and 7.48 percent respectively. Electric two wheelers segment grew by 43.47 percent. However, two wheelers sales registered (-) 14.68% growth in November 2008 over same month last year

Exports

The period from April – November 2008 saw automobile exports registering a growth of 33.03 percent with all segments except Commercial vehicles, registering positive growth.

Passenger Vehicles and Two Wheelers segment grew by 66.39 and 30.98 percent respectively. Three Wheelers exports grew by 11.69 percent in this period. Exports of Commercial Vehicles declined at (-) 6.77 percent in this period.