India: Passenger Car Market 2024

Passenger Car Market Size in India

In 2021, the Indian passenger car market decreased by -9.8% to $X for the first time since 2011, thus ending a nine-year rising trend. Overall, consumption, however, showed a significant increase. Over the period under review, the market reached the peak level at $X in 2020, and then reduced in the following year.

Passenger Car Production in India

In value terms, passenger car production reduced to $X in 2021 estimated in export price. In general, production, however, continues to indicate a prominent expansion. The pace of growth appeared the most rapid in 2014 when the production volume increased by 62% against the previous year. Passenger car production peaked at $X in 2020, and then shrank in the following year.

Passenger Car Exports

Exports from India

In 2021, shipments abroad of passenger cars was finally on the rise to reach X units for the first time since 2018, thus ending a two-year declining trend. Overall, exports, however, saw a abrupt decrease. Over the period under review, the exports hit record highs at X units in 2012; however, from 2013 to 2021, the exports stood at a somewhat lower figure.

In value terms, passenger car exports skyrocketed to $X in 2021. In general, total exports indicated a pronounced increase from 2012 to 2021: its value increased at an average annual rate of +2.9% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, exports decreased by -23.6% against 2018 indices. The growth pace was the most rapid in 2013 with an increase of 31%. The exports peaked at $X in 2018; however, from 2019 to 2021, the exports remained at a lower figure.

Exports by Country

Nigeria (X units), South Africa (X units) and Egypt (X units) were the main destinations of passenger car exports from India, together accounting for 35% of total exports. These countries were followed by Mexico, Chile, Iraq, Saudi Arabia, the United States, Peru, Nepal, Somalia, Ethiopia and Indonesia, which together accounted for a further 35%.

From 2012 to 2021, the biggest increases were recorded for the United States (with a CAGR of +97.3%), while shipments for the other leaders experienced more modest paces of growth.

In value terms, South Africa ($X), Mexico ($X) and the United States ($X) constituted the largest markets for passenger car exported from India worldwide, with a combined 39% share of total exports.

The United States, with a CAGR of +112.7%, saw the highest rates of growth with regard to the value of exports, among the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2021, the average passenger car export price amounted to $X per unit, shrinking by -7.8% against the previous year. Over the period under review, export price indicated buoyant growth from 2012 to 2021: its price increased at an average annual rate of +10.9% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, passenger car export price decreased by -15.4% against 2017 indices. The most prominent rate of growth was recorded in 2013 an increase of 168% against the previous year. The export price peaked at $X per unit in 2017; however, from 2018 to 2021, the export prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was the United States ($X per unit), while the average price for exports to Nigeria ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to the United States (+7.8%), while the prices for the other major destinations experienced more modest paces of growth.

Passenger Car Imports

Imports into India

In 2021, after two years of decline, there was significant growth in purchases abroad of passenger cars, when their volume increased by 169% to X units. In general, imports, however, continue to indicate a mild decrease. The most prominent rate of growth was recorded in 2018 with an increase of 293% against the previous year. Imports peaked at X units in 2013; however, from 2014 to 2021, imports failed to regain momentum.

In value terms, passenger car imports soared to $X in 2021. Over the period under review, imports, however, showed a abrupt decline. Imports peaked at $X in 2012; however, from 2013 to 2021, imports failed to regain momentum.

Imports by Country

In 2021, Japan (X units) constituted the largest passenger car supplier to India, with a 27% share of total imports. Moreover, passenger car imports from Japan exceeded the figures recorded by the second-largest supplier, Germany (X units), threefold. The third position in this ranking was held by Sweden (X units), with a 7.5% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from Japan stood at +28.4%. The remaining supplying countries recorded the following average annual rates of imports growth: Germany (-21.1% per year) and Sweden (+0.4% per year).

In value terms, Germany ($X), Japan ($X) and the UK ($X) appeared to be the largest passenger car suppliers to India, with a combined 62% share of total imports. These countries were followed by Sweden, Singapore, the United States, Spain and China, which together accounted for a further 26%.

Singapore, with a CAGR of +62.7%, saw the highest growth rate of the value of imports, among the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

In 2021, the average passenger car import price amounted to $X per unit, reducing by -33.9% against the previous year. Overall, the import price recorded a deep reduction. The most prominent rate of growth was recorded in 2014 when the average import price increased by 255%. The import price peaked at $X per unit in 2012; however, from 2013 to 2021, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was the UK ($X per unit), while the price for China ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Singapore (+12.1%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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