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India has become the playground of Indian and international automobile manufacturers who have come here to set manufacturing units and to market their cars. The competition has become stiffer with each passing day and more international companies are making headways into India.
India is set to become one of the largest automobile purchasing destination and also among the cheapest manufacturing destination. Currently it stands as the ninth largest automobile industry in the world. In terms of export, it currently occupies the fourth position after countries such as Japan, S. Korea Thailand. Many domestic Indian manufactures have moves overseas to sell Indian manufactured goods overseas.
One of the most attractive qualities that get automobile manufacturers to India is the low cost of manufacturing that is only next to China. The availability of raw materials and other precision engineered parts has given automobile manufacturers the scope to easily expand their international bases in India. India is the world’s third largest destination for iron ore deposits. This provides the automobile industry with lots of steel at a cheap price for use in car manufacture. Apart from that rubber and glass too are available here. Indian automobile parts manufacturers are preferred over their cheaper Chinese manufacturers. They are known for their precision engineered parts. Besides India is famous for low cost labor.
International automobile manufacturers are bringing in their luxury offerings to Indian customers who are increasingly being demanding and only want what the international millionaires have at their disposal. Hence every new model which is launched in markets such as U.S and U.K is also launched in India. This has only increased the choices for Indian customers who are enjoying the increased competition between foreign and domestic automobile manufacturers. Manufacturing units are rapidly taking birth in places of low cost labor and availability of raw materials.