Automobile

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"Car" and "Cars" redirect here. For other uses, see Car (disambiguation).

Automobile

Karl Benz's "Velo" model (1894) – entered into an early

automobile race

Classification Vehicle

Industry Various

Application Conveyance

Fuel Source Gasoline, Diesel, Electric

Powered Yes

Self-Propelled Yes

Wheels 3–4

Axles 0–2

Inventor Ferdinand Verbiest

Passenger cars in 2000

World map of passenger cars per 1000 people.

An automobile, motor car or car is a wheeled motor vehicle used for transporting passengers,
which also carries its own engine or motor. Most definitions of the term specify that automobiles
are designed to run primarily on roads, to have seating for one to eight people, to typically have
four wheels, and to be constructed principally for the transport of people rather than goods.[1]
However, the term automobile is far from precise, because there are many types of vehicles that
do similar tasks.

There are approximately 600 million passenger cars worldwide (roughly one car per eleven
people).[2][3] Around the world, there were about 806 million cars and light trucks on the road in
2007; they burn over 1 billion m³ (260 billion US gallons) of petrol/gasoline and diesel fuel
yearly. The numbers are increasing rapidly, especially in China and India.[4]

Market
Main article: Automotive market

The automotive market is formed by the demand and the industry. This article is about the
general, major trends in the automotive market, mainly from the demand side.

The European automotive market has always boasted more smaller cars than the United States.
With the high fuel prices and the world petroleum crisis, the United States may see its
automotive market become more like the European market with fewer large vehicles on the road
and more small cars.[50]
For luxurious cars, with the current volatility in oil prices, going for smaller cars is not only
smart, but also trendy. And because fashion is of high importance with the upper classes, the
little green cars with luxury trimmings become quite plausible.

Automobile Industry in India

Industry background

Driving the most luxurious car has been made possible by the stiff competition in the automobile
industry in India, with overseas players gathering the same momentum as the domestic participants.

Every other day, we have been hearing about some new launches, some low cost cars
– all customized in a manner such that the common man is not left behind. In 2009,
the automobile industry is expected to see a growth rate of around 9%, with the disclaimer that the
auto industry in India has been hit badly by the ongoing global financial crisis.

The automobile industry in India happens to be the ninth largest in the world. Following Japan, South
Korea and Thailand, in 2009, India emerged as the fourth largest exporter of automobiles. Several
Indian automobile manufacturers have spread their operations globally as well, asking for more
investments in the Indian automobile sector by the MNCs.

Potential of the Automobile industry

In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to export
250,000 vehicles manufactured in its India plant by 2011. Similar plans are for General Motors.

Turnover of Automobile Manufacturers(In USD Million)

Year In USD Million

2002-03 14,880

2003-04 16,544

2004-05 20,896

2005-06 27,011

2006-07 34,285

The figures show that the automobile sector in India has been growing robustly. The market shares
of the different types of vehicles will clearly depict the demand pattern in this sector.
 Domestic Market Share for 2008-09

Passenger Vehicles 15.96%

Commercial Vehicles 3.95%

Three Wheelers 3.6%

Two Wheelers 76.49%

Automobile Companies
• Audi
• Bajaj Auto
• BMW
• Chevrolet
• DaimlerChrysler (Mercedes)
• Fiat
• Ford
• General Motors
• Hindustan Motors
• New Car Launches
• Hero Honda Motors
• Hyundai Motors
• Mahindra & Mahindra
• Maruti Udyog
• San Motors
• Skoda
• Tata Motors
• Yamaha Motors
• Top Automobile Companies

Automotive industry
From Wikipedia, the free encyclopedia
Jump to: navigation, search
The automotive industry designs, develops, manufactures, markets, and sells motor vehicles,
and is one of the world's most important economic sectors by revenue.

The term automotive industry usually does not include industries dedicated to automobiles after
delivery to the customer, such as repair shops and motor fuel filling stations

Automotive industry in India

From Wikipedia, the free encyclopedia
Jump to: navigation, search

The second generation Tata Indica Vista. The Indica is the first passenger car indigenously
developed in India.

Mahindra Scorpio, one of India's best selling indigenously developed SUV.

The Automotive industry in India is one of the largest in the world and one of the fastest
growing globally. It is the world's second largest manufacturer of motorcycles, with annual sales
exceeding 8.5 million in 2009.[1] India's passenger car and commercial vehicle manufacturing
industry is the seventh largest in the world, with an annual production of more than 2.6 million
units in 2009.[2] In 2009, India emerged as Asia's fourth largest exporter of passenger cars,
behind Japan, South Korea and Thailand.[3]

India manufactures over 11 million 2 and 4-wheeled vehicles and exports about 1.5 million every
year.[4] As of 2009, India is home to 40 million passenger vehicles and more than 2.6 million cars
were sold in India in 2009 (an increase of 26%), making the country the second fastest growing
automobile market in the world.[5][6] According to the Society of Indian Automobile
Manufacturers, annual car sales are projected to increase up to 5 million vehicles by 2015 and
more than 9 million by 2020.[7] By 2050, the country is expected to top the world in car volumes
with approximately 611 million vehicles on the nation's roads.[8]
A major chunk of India's car manufacturing industry is based in and around the city of Chennai,
also known as the "Detroit of India".[9] with the Indian city accounting for 60 per cent of the
country's automotive exports.[10] Gurgaon and Manesar near New Delhi are hubs where all of the
Maruti Suzuki cars in India are manufactured.[11] The Chakan corridor near Pune, Maharashtra is
another vehicular production hub with General Motors, Volkswagen/ Skoda, Mahindra and
Mahindra in the process of setting up or already set up facilities.[12][13] Halol in Gujarat,
Aurangabad in Maharashtra, Kolkatta in West Bengal are some of the other automotive
manufacturing regions around the country.[14][15][16]

History
Following economic liberalization in India in 1991, the Indian automotive industry has
demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions.
Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki and Mahindra and
Mahindra, expanded their domestic and international operations. India's robust economic growth
led to the further expansion of its domestic automobile market which has attracted significant
India-specific investment by multinational automobile manufacturers.[17] In February 2009,
monthly sales of passenger cars in India exceeded 100,000 units [18] and has since grown rapidly
to a record monthly high of 182,992 units in October 2009[19]. From 2003 to 2010, car sales in
India have progressed at a CAGR of 13.7%, and with only 10% of Indian households owning a
car in 2009 (whereas this figure reaches 80% in Switzerland for example [20]) this progression is
unlikely to stop in the coming decade [21]. Congestion of Indian roads, more than market demand,
will likely be the limiting factor [22].

The first car ran on India's roads in 1897. Until the 1930s, cars were imported directly.
Embryonic automotive industry emerged in India in the 1940s. Following the independence, in
1947, the Government of India and the private sector launched efforts to create an automotive
component manufacturing industry to supply to the automobile industry. However, the growth
was relatively slow in the 1950s and 1960s due to nationalisation and the license raj which
hampered the Indian private sector. After 1970, the automotive industry started to grow, but the
growth was mainly driven by tractors, commercial vehicles and scooters. Cars were still a major
luxury. Japanese manufacturers entered the Indian market ultimately leading to the establishment
of Maruti Udyog. A number of foreign firms initiated joint ventures with Indian companies.[23]

In the 1980s, a number of Japanese manufacturers launched joint-ventures for building

motorcycles and light commercial-vehicles. It was at this time that the Indian government chose
Suzuki for its joint-venture to manufacture small cars. Following the economic liberalisation in
1991 and the gradual weakening of the license raj, a number of Indian and multi-national car
companies launched operations. Since then, automotive component and automobile
manufacturing growth has accelerated to meet domestic and export demands.[23]

[edit] Production statistics

The production of automobiles has greatly increased in the last decade. It passed the 1 million
mark during 2003-2004 and has more than doubled since.[24]

Year Car % Commerci % Total Vehicles %

Production Change al Change Prodn. Change

2009 2,166,238 17.34 466,456 -4.08 2,632,694 11.40

2008 1,846,051 7.74 486,277 -9.99 2,332,328 3.35

2007 1,713,479 16.33 540,250 -1.20 2,253,999 10.39

2006 1,473,000 16.53 546,808 50.74 2,019,808 19.36

2005 1,264,000 7.27 362, 755 9.00 1,628,755 7.22

2004 1,178,354 29.78 332,803 31.25 1,511,157 23.13

2003 907,968 28.98 253,555 32.86 1,161,523 22.96

2002 703,948 7.55 190,848 19.24 894796 8.96

2001 654,557 26.37 160,054 -43.52 814611 1.62

2000 517,957 -2.85 283,403 -0.58 801360 -2.10

1999 533,149 285,044 818193

[edit] Emission norms

See also: Bharat Stage emission standards

In tune with international standards to reduce vehicular pollution, the central government
unveiled the standards titled 'India 2000' in 2000 with later upgraded guidelines as 'Bharat Stage'.
These standards are quite similar to the more stringent European standards and have been
traditionally implemented in a phased manner, with the latest upgrade getting implemented in 13
cities and later, in the rest of the nation. Delhi(NCR), Mumbai, Kolkata, Chennai, Bengaluru,
Hyderabad, Ahmedabad, Pune, Surat, Kanpur, Lucknow, Solapur, and Agra are the 13 cities
where Bharat Stage IV has been imposed while the rest of the nation is still under Bharat Stage
III.

[edit] Exports
Mahindra Scorpio Jeep in service with the Italy's CNSAS.

India's automobile exports have grown consistently and reached $4.5 billion in 2009, with United
Kingdom being India's largest export market followed by Germany, Netherlands and South
Africa.[25] India's automobile exports are expected to cross $12 billion by 2014.[26]

According to New York Times, India's strong engineering base and expertise in the
manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing
facilities of several automobile companies like Hyundai Motors, Nissan, Toyota, Volkswagen
and Suzuki.[27]

In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to
export 250,000 vehicles manufactured in its India plant by 2011.[28] Similarly, General Motors
announced its plans to export about 50,000 cars manufactured in India by 2011.[29]

In September 2009, Ford Motors announced its plans to setup a plant in India with an annual
capacity of 250,000 cars for US$500 million. The cars will be manufactured both for the Indian
market and for export.[30] The company said that the plant was a part of its plan to make India the
hub for its global production business.[31] Fiat Motors also announced that it would source more
than US$1 billion worth auto components from India.[32]

In July 2010, The Economic Times reported that PSA Peugeot Citroen was planning to re-enter
the Indian market and open a production plant in Andhra Pradesh with an annual capacity of
100,000 vehicles, investing EUR 700M in the operation [33]. PSA's intention to utilise this
production facility for export purposes however remains unclear as of December 2010.
A Tata Safari on display in Poznan, Poland.

In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after
Japan (1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100%
ownership of factories in India, which China does not allow.[3]

In recent years, India has emerged as a leading center for the manufacture of small cars.
Hyundai, the biggest exporter from the country, now ships more than 250,000 cars annually from
India. Apart from shipments to its parent Suzuki, Maruti Suzuki also manufactures small cars for
Nissan, which sells them in Europe. Nissan will also export small cars from its new Indian
assembly line. Tata Motors exports its passenger vehicles to Asian and African markets, and is in
preparation to launch electric vehicles in Europe in 2010. The firm is also planning to launch an
electric version of its low-cost car Nano in Europe and the U.S. Mahindra & Mahindra is
preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is
designing a low-cost car for the Renault Nissan Automotive India, which will market the product
worldwide. Renault Nissan may also join domestic commercial vehicle manufacturer Ashok
Leyland in another small car project.[34] While the possibilities are impressive, there are
challenges that could thwart future growth of the Indian automobile industry. Since the demand
for automobiles in recent years is directly linked to overall economic expansion and rising
personal incomes, industry growth will slow if the economy weakens.[34]

[edit] Passenger vehicles in India

See also: List of cars available in India

This list is of cars that are currently officially available in India. While other cars can be
imported to the country at a steep 110% import duty, car-makers such as Alfa Romeo[35],
Maserati[36], Ferrari[37], McLaren[38], Aston Martin[39], Cadillac[40], Chrysler[41], SSC[42], MINI[43],
Lexus[44], Infiniti[45], Acura[46], Koenigsegg[47], Saab[48], Spyker[49], Renault[50], Peugeot-Citroen[51],
SsangYong[52] and Kia[53] are in varying stages of official introduction to the Indian automobile
market.

[edit] Indian automotive companies

Tata Indigo Manza.

 • Chinkara Motors[54]: Beachster, Hammer, Roadster 1.8S, Rockster, Jeepster,
Sailster

• Hindustan Motors[55]: Ambassador

• ICML[56]: Rhino Rx

• Mahindra[57]: Major, Xylo, Scorpio, Bolero, Thar

• Premier Automobiles Limited[58]: Sigma, RiO

• San Motors[59]: Storm

• Tata Motors[60]: Nano, Indica, Indica Vista, Indigo, Indigo Manza, Indigo CS,
Sumo, Safari, Xenon, Aria

[edit] Foreign automotive companies in India

[edit] Vehicles manufactured or assembled in India

Manufactured only in Chennai, India, the i10 is one of Hyundai's best selling globally
exported cars.

Maruti Swift. Maruti Suzuki, a subsidiary of Japan's Suzuki Motor, is the largest
automobile manufacturer in India.[61]
 • BMW India[62]: 1 Series, 3 Series, 5 Series.

• Fiat India[63] (in collaboration with Tata Motors): Grande Punto, Linea, Palio
Stile.

• Ford India[64]: Ford Figo, Ikon, Fiesta, Endeavour.

• General Motors India[65]

• Chevrolet (CSPIL)[66]: Spark, Beat, Aveo U-VA, Aveo, Optra,

Cruze, Tavera.

• Honda Siel[67]: Jazz, City, Civic, Accord.

• Hyundai Motor India[68]: Santro, i10, i20, Accent, Verna Transform, Sonata
Transform.

• Mahindra Renault[69]: Logan

• Maruti Suzuki[70]: 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift DZire,
SX4, Omni, Versa, Eeco, Gypsy, Grand Vitara

• Mercedes-Benz India: C-Class, E-Class.

• Mitsubishi[71] (in collaboration with Hindustan Motors)[72]: Lancer, Lancer

Cedia, Pajero

• Nissan Motor India[73]: Micra.

• Toyota Kirloskar[74]: Etios, Corolla, Innova, Camry.

• Volkswagen India[75][76]: Polo, Vento, Jetta, Passat.

• Audi India: A4, A6, Q5.

• Škoda Auto India[77][78]: Fabia, Octavia, Laura, Superb.

[edit] Vehicles imported to India

• Audi[79]: A8, S4, S6, S8, TT, R8, Q5, Q7.

• Bentley[80][81]: Arnage, Azure, Brooklands, Continental GT, Continental Flying
Spur, Mulsanne.
• BMW[82]: 5 Series GT, 6 Series, 7 Series, X1, X3, X5, X6, X6 M, M3, M5, M6
and Z4.
• Bugatti[83]: Veyron
• Chevrolet: Captiva.
• Fiat[63]: 500, Bravo.
• General Motors[65]: Hummer H2, Hummer H3.
 • Honda[84][85]: Civic Hybrid, CR-V.
• Hyundai[68]: Santa Fe.
• Jaguar[86]: XF, XJ, XK.
• Lamborghini[87]: Gallardo, Murciélago.
• Land Rover[88]: Range Rover, Range Rover Sport, Discovery 4, Freelander 2.
• Maybach[89]: 57 and 62.
• Mercedes-Benz[90]: CL-Class, GL-Class, M-Class, R-Class, CLS-Class, S-Class,
SL-Class, SLK-Class, Viano, SLS.
• Mitsubishi: Montero, Outlander, Evo X.
• Nissan[91]: Teana, X-Trail, 370Z, GT-R.
• Porsche[92][93]: 911, Boxster, Panamera, Cayman, Cayenne.
• Rolls Royce[94]: Ghost, Phantom, Phantom Coupé, Phantom Drophead Coupé.
• Škoda[77]: Yeti, Superb.
• Suzuki: Grand Vitara.
• Toyota[74]: Land Cruiser, Land Cruiser Prado, Fortuner*, Prius.
• Volkswagen[95]: Beetle, Tiguan, Touareg, Phaeton.
• Volvo[96]: S60, S80, XC60, XC90.

* Toyota Fortuner is imported from Toyota Motor Thailand Company Limited as CKD

In India there are 100 people per vehicle, while this figure is 82 in China. It is expected that
Indian automobile industry will achieve mass motorization status by 2014.

Industry Overview
Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile
Industry of India has come a long way. During its early stages the auto industry was overlooked by
the then Government and the policies were also not favorable. The liberalization policy and various
tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile
Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has
become a hot destination for global auto players like Volvo, General Motors and Ford.

A well developed transportation system plays a key role in the development of an economy, and
India is no exception to it. With the growth of transportation system the Automotive Industry of India
is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy.

Today Indian automotive industry is fully capable of producing various kinds of vehicles and can be
divided into 03 broad categories : Cars, two-wheelers and heavy vehicles.

Snippets

• The first automobile in India rolled in 1897 in Bombay.

• India is being recognized as potential emerging auto market.
• Foreign players are adding to their investments in Indian auto industry.
• Within two-wheelers, motorcycles contribute 80% of the segment size.
• Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%).
• Tata Motors dominates over 60% of the Indian commercial vehicle market.
• 2/3rd of auto component production is consumed directly by OEMs.
• India is the largest three-wheeler market in the world.
• India is the largest two-wheeler manufacturer in the world.
• India is the second largest tractor manufacturer in the world.
 • India is the fifth largest commercial vehicle manufacturer in the world.
• The number one global motorcycle manufacturer is in India.
• India is the fourth largest car market in Asia - recently crossed the 1 million mark.
• The following links will give you the complete picture of Indian Auto
Industry:
The first auto vehicle rolled out in India at the end of 19th century. Today,
India is the the 2nd largest tractor and 5th largest commercial vehicle
manufacturer in the world. Hero Honda with 1.7M motorcycles a year is now
Automobile History
the largest motorcycle manufacturer in the world.
...more

On the cost front, OEMs eyeing India in a big way to source products and
components at significant discounts to home market. On the revenue side,
Industry Investment
OEMs are active in the booming passenger car market in India.
...more
The passenger car and motorcycle segment in Indian auto market is
growing by 8-9 per cent. The two-wheeler segment will clock 11.5% rise by
Industry Growth
2007. Commercial vehicle to grow by 5.2 per cent.
...more
India is the 11th largest Passenger Cars producing countries in the world
and 4th largest in Heavy Trucks. Maruti Udyog Ltd. is the leading 4-
Vehicle Production wheelers manufacturer. Hero Honda is the leading 2-wheelers
manufacturer.
...more
Passenger vehicle exports have grown over five times and two-wheeler
exports have reached more than double. Exports of auto components,
Auto Export whose manufacturing costs are 30-40 per cent lower than in the West, have
grown at 25% a year between 2000 to 2005.
...more
Hero Honda is the largest manufacturer of motorcycles. Hyundai Motors
India is the second largest player in passenger car market. Tata Motors is
Auto Companies the fifth largest medium & heavy commercial vehicle manufacturer in the
world.
...more
Know about the number of vehicles registered as Transport or Non-
Vehicle Distribution Transport in the Indian states and Union Territories.
...more
Get all the contact details of Automobile Association of Upper India (AAUI),
Automotive Research Association of India (ARAI), Automobile Association
Associations
of Southern India (AASI), Automotive Component Manufacturers
Association of India (ACMA) and more
During the 1920s, cars exhibited design refinements such as balloon tires, pressed-steel
wheels, and four-wheel brakes.

The origin of automobile is not certain. In this section of automobile

history, we will only discuss about the phases of automobile in the
development and modernisation process since the first car was
shipped to India. We will start automotive history from this point of
time.
The automobile industry has changed the way people live and work. The earliest of modern cars
was manufactured in the year 1895. Shortly the first appearance of the car followed in India. As the
century truned, three cars were imported in Mumbai (India). Within decade there were total of 1025
cars in the city.

The dawn of automobile actually goes back to 4000 years when the first wheel was used for
transportation in India. In the begining of 15th century Portuguese arrived in China and the
interaction of the two cultures led to a variety of new technologies, including the creation of a wheel
that turned under its own power. By 1600s small steam-powered engine models was developed, but
it took another century before a full-sized engine-powered vehicle was created.

The actual horseless carriage was introduced in the year 1893 by

brothers Charles and Frank Duryea. It was the first internal-
combustion motor car of America, and it was followed by Henry
Ford's first experimental car that same year.

One of the highest-rated early luxury automobiles was the 1909

Rolls-Royce Silver Ghost that featured a quiet 6-cylinder engine,
leather interior, folding windscreens and hood, and an aluminum
body. It was usually driven by chauffeurs and emphasis was on
comfort and style rather than speed.
Ads by Google

The Beginning of New Era…

With the invention of the wheel in 4000 BC, man’s journey on
the road of mechanized transport had begun. Since then he
continually sought to devise an automated, labor saving machine to
replace the horse. Innumerable attempts reached conclusion in the
early 1760s with the building of the first steam driven tractor by a
French Captain, Nicolas Jacob Cugnot. It was however left to Karl
Benz and Gottlieb Damlier to produce the first vehicles powered by
the internal combustion engine in 1885. It was then that the petrol
engine was introduced, which made the car a practical and safe
proposition. Then onwards, it has been one big journey...on the
roads

History of Automobile Industry

The automobile as we know it was not invented in a single day by a
single inventor. The
history of the automobile reflects an evolution that took place
worldwide. It is estimated
that over 100,000 patents created the modern automobile.
However, we can point to the
many firsts that occurred along the way. Starting with the first
theoretical plans for a
motor vehicle that had been drawn up by both Leonardo da Vinci
and Isaac Newton.
In 1769, the very first self-propelled road vehicle was a military
tractor invented by French engineer and mechanic, Nicolas Joseph
Cugnot (1725 - 1804). Cugnot used a steam engine to power his
vehicle, built under his instructions at the Paris Arsenal by

mechanic Brezin. It was used by the French Army to haul artillery at

a whopping speed of 2 1/2 mph on only three wheels. The vehicle
had to stop every ten to fifteen minutes to build up steam power.
The steam engine and boiler were separate from the rest of the
vehicle and placed in the front (see engraving above). The following
year (1770), Cugnot built a steam-powered tricycle that carried four
passengers.
In 1771, Cugnot drove one of his road vehicles into a stone
wall, making Cugnot the first person to get into a motor vehicle
accident. This was the beginning of bad luck for the inventor. After
one of Cugnot's patrons died and the other was exiled, the money
for Cugnot's road vehicle experiments ended.
Steam engines powered cars by burning fuel that heated
water in a boiler, creating steam that expanded and pushed pistons
that turned the crankshaft, which then turned the wheels. During the
early history of self-propelled vehicles - both road andrai lroad
vehicles were being developed with steam engines. (Cugnot also
designed two steam locomotives with engines that never worked
well.) Steam engines added so much weight to a vehicle that they
proved a poor design for road vehicles; however, steam engines
were very successfully used in locomotives. Historians, who accept
that early steam- powered road vehicles were automobiles, feel that
Nicolas Cugnot was the inventor of
the first automobile

The automotive industry has certain trends it has to follow, just

like fashion designers and musical composers. In times of recession
and decreasing sales there is less room to take chances and
manufacturers are prone to follow the common pattern as a safer
bet rather than releasing a controversial product or idea that might
or might not be successful. However throughout the automotive
industry's history, great innovators have "boldly gone where no man
has gone before" to set new trends which have dynamically altered
the industry as a whole.
1880's & early 1900's
•

About hundred years ago

-The first motor car was imported

Import duty on vehicles was introduced.

-Indian Great Royal Road (Predecessor of the Grand Trunk
Road) was conceived.
•

First car brought in India by a princely ruler in 1898.

•

Simpson & Co established in 1840.

-They were the first to build a steam car and a steam bus, to
attempt motor car
manufacture, to build and operate petrol driven passenger service
and to import
American Chassis in India.
•

Railways first came to India in 1850's

•

In 1865 Col. Rookes Crompton introduced public transport wagons

strapped to
and pulled by imported steam road rollers called streamers. The
maximum speed
of these buses was 33 kms/hr.
•

From 1888 Motors Spirit attracted a substantial import

duty.
•

In 1919 at the end of the war, a large number of military

vehicles came on the
roads.

In 1928 assembly of CKD Trucks and Cars was started by the

wholly owned
Indian subsidiary of American General Motors in Bombay and in
1930-31 by
Canadian Ford Motors in Madras, Bombay and Calcutta In 1935 the
proposals of
Sir M Visvesvaraya to set up an Automobile Industry were
disallowed.
•

1942 Hindustan Motors Ltd incorporated and their first

vehicle was made in 1950.
•

In 1944 Premier Automobiles Ltd incorporated and in 1947

their first vehicle was
produced.
•
In 1947 the Government of Bombay accepted a scheme of Bajaj
Auto to replace the cycle rickshaw by the auto and assembly started
in a couple of years under a license from Piaggio. Manufacturing
Programme for the auto and scooter was submitted in 1953 to the
Tariff Commission and approved by the Government in 1959.
•

In 1953 the Government decreed that only firms having a

manufacturing
programme should be allowed to operate and mere assemblers of
imported CKD
units be asked to terminate operations in three years.
•

Only seven firms namely Hindustan Motors Limited,

Automobile Products of
India Limited, Ashok Leyland Limited, Standard Motors
Products of India
Limited., Premier Automobiles Limited, Mahindra &
Mahindra and TELCO
received approval. M&M was manufacturing jeeps. Few
more companies came
up later.
•

Government continued with its protectionism policies

towards the industry.
•

In 1956, Bajaj Tempo Ltd entered the Indian market with a

programme of
manufacturing Commercial Vehicles, and Simpson for
making engines.
1960's
•

In sixties 2 and 3 Wheeler segment established a foothold

in the industry.
•

Escorts and Ideal Jawa entered the field in the beginning of

sixties.
•

Association of Indian Automobile Manufacturers formally

established in 1960.
•

Standard Motors Products of India Ltd. moved over to the

manufacture of Light
Commercial Vehicles in 1965.
1970's
•

Major factors affecting the industry's structure were the

implementation of MRTP
Act, FERA and Oil Shocks of 1973 and 1979.
•

During this decade there was not much change in the four
wheeler industry except
the entry of Sipani Automobiles in the small car market.

Steam engines powered cars by burning fuel that heated

water in a boiler, creating steam that expanded and pushed pistons
that turned the crankshaft, which then turned the wheels. During the
early history of self-propelled vehicles - both road andrai lroad
vehicles were being developed with steam engines. (Cugnot also
designed two steam locomotives with engines that never worked
well.) Steam engines added so much weight to a vehicle that they
proved a poor design for road vehicles; however, steam engines
were very successfully used in locomotives. Historians, who accept
that early steam- powered road vehicles were automobiles, feel that
Nicolas Cugnot was the inventor of
the first automobile.
The automotive industry has certain trends it has to follow, just
like fashion designers and musical composers. In times of recession
and decreasing sales there is less room to take chances and
manufacturers are prone to follow the common pattern as a safer
bet rather than releasing a controversial product or idea that might
or might not be successful. However throughout the automotive
industry's history, great innovators have "boldly gone where no man
has gone before" to set new trends which have dynamically altered
the industry as a whole.
1880's & early 1900's
•

About hundred years ago

-The first motor car was imported