While the domestic sales of passenger vehicles have slowed down; the exports statistics has been disappointing too this year. The Domestic volumes have grown by a meager 3.27% in the past 11 months and Exports have dropped by a hefty -10% in the same timeline. We are not sure if India’s losing the competitive advantage in terms of production and this could hamper the sub-continent’s plan of becoming Asia’s production hub.
Snippets from the statistics shown above:
- Hyundai is leading the Export OEM Rankings and was ahead of Ford with a margin of just 1,573 units. Mar’19 exports volumes will decide on who’ll Top the rankings table for FY18-19.
- Ford exports almost 1.7 times the volumes that it actually sells in the country. Making India a export base has helped Ford to rightly utilize the production capacity and ensure loses are minimized.
- Similar to Ford; the OEMs whose exports are higher than the domestic sales are – GM, VW & Nissan. In fact; GM is using its Talegaon facility only for exports as the domestic operations have ceased.
- Maruti Suzuki’s export numbers are minuscule when compared to its domestic volumes. With capacity expansion in place; we were expecting the exports volumes to grow for India’s biggest automaker.