ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846
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Automobile: Growth Fuels R and D

Growth Fuels R and D The automobile sector has certainly been shining. Passenger vehicle sales in 2003-04 crossed 1mn units for the first time, making the country among a handful to reach this milestone. Exports rose by 56 per cent, earning over $1bn, also a first. Apart from passenger cars, every other segment, including trucks and buses, two-wheelers, three-wheelers and utility vehicles posted strong double-digit growth figures. This expansion is expected to continue and consolidate in the current year with domestic support from a buoyant economy, easy credit and incentives from manufacturers, as well as exports, which have already more than doubled in the past decade. The strong growth in the domestic market, accompanied by the introduction of a variety of vehicle models, has also coincided with the emergence of India as a manufacturing hub for global automobile majors.

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