India on Track to Become Fourth Largest Auto Market

India has grown a lot in the last few years despite the economic downturn that smashed carmakers' profits from all over the world. Just like China, India slowly turned into a huge and very attractive zone for companies that were looking to boost their sales in the automotive segment, so the country received millions of dollars in investments, be them cars or new facilities.

And if the country follows the same direction in the years to come, it could become the fourth global automotive market by 2015, a study conducted by Booz & Co. claims. This means it could even surpass some large European countries, well-known for their affinity for the motorized industry.

“Our research portrays that with the rapid expansion of the automotive industry in India, it is expected to surpass the European nations by 2015 and generate sales up to 6+ millions units annually by 2020. With China and India ramping up in parallel directions, the global auto industry is sure to get reshaped, thus propelling Asia to capture 65% of the total market size by 2020,” says Vikas Sehgal, Partner, Booz & Company, India.

India's growth is predicted to continue in the next 10 years, so the country is believed to reach sales of 6 million units per year by 2020, the research claims. In addition, it could reach revenues of $150 - $200 billion by 2030, continuing its ascending trend head to head with China. Asia as a whole is on track to achieve a 50 percent share of global car production by 2020.