In India, the automotive sector currently contributes more than 7% to the GDP. The Govt of India’s Automotive Mission Plan 2016–26 sets an aspiration to increase the contribution to 12%. With this, India is expected to emerge as the world’s third-largest passenger-vehicle market by 2021. It took the country around 7 years to increase annual production to 4 million vehicles from 3 million. However, the next milestone—5 million—is expected in less than 5 years, provided the current stable government of the Prime Minister Modi continues its efforts towards facilitating the long-term growth. Looking at this growth outlook, all the stakeholders in the automotive industry should prepare for a changing landscape of the sector and set out to
build a perspective on the trends shaping the Indian market, the value proposition for the automobile industry in India, while the global developments disrupt the sector, in the areas of technology, emission standards, customer preferences as well as market dynamics.
