Chinese investments in Indian auto sector
The auto industry is expecting investment over the next 3-5 years from at least half-a-dozen Chinese vehicle makers along with their vendor-partners. Some of these big players include MG Motor and BYD, who are likely to enhance their investments in the country’s automobile sector. Others including Great Wall Motors, Changan and Beiqi Foton are slated to commit investments in local manufacturing. According to the industry experts, low car penetration and declining size of the home market offer a great opportunity to Chinese automakers in India.
Amit Kaushik, Managing Director, Urban Science, said, “Chinese automakers have the capacity to challenge the dominance of market leaders on the back of economies of scale and they already have an edge with electric vehicle technology that fits well into the Indian government’s vision to become a key global base for electrification.”