ABSTRACT
The Indian automotive industry has emerged as a sunrise sector in the Indian economy. The global automobile majors are looking to leverage India's cost-competitive manufacturing practices and are assessing opportunities to export sports utility vehicles (SUVs) to Europe, South Africa and South-East Asia. The automotive plants of global automakers in India rank among the top across the world in terms of their productivity and quality. The rapid improvement in infrastructure, huge domestic market, increasing purchasing power, established financial market and stable corporate governance framework have made the country a favourable destination for investment by global majors in the auto industry, as per Automotive Mission Plan (AMP). The AMP aims at doubling the contribution of automotive sector in gross domestic product (GDP) by taking the turnover to US dollar 145 billion in 2016 with special emphasis on export of small cars, multi-utility vehicles (MUVs), two- and three-wheelers and auto components.
