India Poised To be “Detroit of the East”

It seems like India certainly has arrived in the big scene of motoring. India as a whole could be the “Detroit of the East” soon with so many major car brands bringing their production centre to “Incredible India”. India has taken the centre stage producing small cars and the global automakers already seem to have been enchanted with the sub-continent for this sole purpose. India is all set to pip China in the automotive production scene and earn all the automotive laurels to itself when it comes to small cars.

We in India already have Suzuki Motor Corporation pitching in with the erstwhile Maruti Udyog to become Maruti Suzuki India which has already scripted a success story for itself in style in the span of twenty five years. Hyundai Motors, a Korean car company soon followed suit and set shop here and has marched in India with their superior products and now has already exporting cars to European countries keeping India as its production base for small cars.

Likewise, Toyota Motor Corporation tagging along with the Kirloskar Group in India about a decade ago also started producing cars here in India and already acknowledged the fact that the Indian operations of the company has stood still even with the recession taking its toll in other countries abroad. Toyota also plans to come up with a small car factory by 2011.

General Motors which has its presence in India with the Chevrolet brand stood firm ground during “Motown Meltdown” which affected its parent company in the US and other countries. It also might have contributed to the revival of the parent company. Business for Chevy here in India is blooming in an unexpected pace making GM count on GM India as a profit making venture.

Tata Motors earlier a commercial vehicle manufacturer barged into the great Indian Motoring scene with the advent of its Tata Indica and soon went up to produce more models of which the Tata Nano certainly awaits a mention. This small wonder has broken all the barriers the motoring world ever knew and will soon become a cash cow for Tata Motors once the export of the Tata Nano begins.

Another Indian auto manufacturer Mahindra and Mahindra also has known the importance of India as a production hub and has already started exporting its products to lucrative auto markets like that south-east Asia, America, Europe, Africa and Australia.

Honda, Ford, Mitsubishi, BMW, Mercedes-Benz, Fiat and Skoda all have their production plants in India already. Audi, Nissan, Renault and PSA Peugeot-Citroen have also confirmed their participation in this big production marathon here in India. India expects a lot of other auto manufactures to set shop here in India.

But why is this big rush of global auto makers queuing in line to set shop in India? There are many benefits in India, including a high-quality vendor base that is also cost-effective, leading to globally-competitive pricing. In coming days we surely can see a lot of global auto makers emulate companies like Hyundai and Maruti Suzuki, which make small cars in India to export to Europe.