Scenario of Automobile Production in India

January 4, 2016

Author: Surendra

Automobile Production in India increased significantly after the liberalization of the Indian Economy. Particularly, Automobile Production has increased by leaps and bounds during 2001-02 to 2012-13. Numerous choices are available to the users in terms of type, capacity, brands, models etc with regard to the automobiles. India is the one of the largest producers of automobiles in the world. India is also a prominent auto exporter.

Production of Passenger and Commercial Vehicles in India from 2001-02 to 2012-13

Automobile Production is undertaken in India at a large scale. Different types of vehicles are manufactured in India. Some of the major categories of automobile production are Passenger Vehicles and Commercial Vehicles.

The total production of Passenger Vehicles (PVs) was 669719 in the year 2001-02. It increased to 3233561 in the year 2012-13, recording an absolute growth of 2563842 Passenger Vehicles as compared to the year 2001-02. In percentage terms, the total growth recorded is 382.82% during the period from 2001-02 to 2012-13 i.e. the annual growth of 34.8%. The total production of Commercial Vehicles (CVs) was 162508 in the year 2001-02. It increased to 831744 in the year 2012-13, recording an absolute growth of 669236 Commercial Vehicles as compared to the year 2001-02. In percentage terms, the total growth recorded is 411.82% during the period from 2001-02 to 2012-13 i.e. the annual growth of 37.44%. ( VoD URL: https://visualize.data.gov.in/?inst=8b9b6e8b-12bc-4f05-8508-df05e1eb3974&vid=40881 ; Dataset URL: https://data.gov.in/catalog/category-wise-automobile-production )

Passenger vehicle production during 2001-02 to 2012-13

The production of passenger cars in India was 500301 in 2001-02. It has increased to 2668633 in 2012-13, registering an absolute growth of 2168332 passenger cars. In percentage terms, the growth was 433.4%. The production of Multi-Utility Vehicles in India was 169418 in 2001-02. It has increased to 564928 in 2012-13, registering an absolute growth of 395510 Multi-Utility Vehicles. In percentage terms, the growth was 233.5%.

Thus, production of Total Passenger Vehicles in India was 669719 in 2001-02. It increased to 3233561 in 2012-13, registering an absolute growth of 2563842 Passenger Vehicles i.e. 382.8%. ( VoD URL: https://visualize.data.gov.in/?inst=8b9b6e8b-12bc-4f05-8508-df05e1eb3974&vid=41061 ; Dataset URL: https://data.gov.in/catalog/category-wise-automobile-production )

Production of Commercial Vehicles during 2001-02 to 2012-13

A commercial vehicle is any type of motor vehicle used for transporting goods or paid passengers. Light commercial Vehicles(LCVs) are the carrier vehicle with gross vehicle weight of not more than 3.5 tonnes. Heavy commercial vehicles are any goods vehicle which has an operating weight exceeding 7.5 tonnes. The production of Medium and Heavy Commercial Vehicle (M & HCVs) in India was 96752 in 2001-02. It has increased to 278560 in 2012-13, registering an absolute growth of 181808 M & HCVs. In percentage terms, the growth was 188%. Thus the compound annual growth rate is 10.1%. The maximum growth rate of 38% was recorded in year 2003-04. There was decline in production by 35% in 2008-09 and 28% in 2012-13. The production of Light Commercial Vehicles (LCVs) in India was 65756 in 2001-02. It has increased to 553184 in 2012-13, registering an absolute growth of 487428 LCVs. In percentage terms, the growth was 741%. Thus the compound annual growth rate is 21.4%. The maximum growth rate of 41% was recorded in year 2009-10. There was decline in production by 12% in 2008-09. ( VoD URL: https://visualize.data.gov.in/?inst=8b9b6e8b-12bc-4f05-8508-df05e1eb3974&vid=40961 ; Dataset URL: https://data.gov.in/catalog/category-wise-automobile-production )

Production of Two Wheeler and Three Wheeler during 2001-02 to 2012-13

The production of Two Wheeler in India was 4271327 in 2001-02. It has increased to 15721180 in 2012-13, registering an absolute growth of 11449853 in two wheeler. In percentage terms, the growth was 268%. The average annual growth rate was 24%. The maximum growth rate of 27% was recorded in year 2010-11. There was decline in production by 5% in 2007-08. The production of Three Wheeler in India was 212748 in 2001-02. It has increased to 839742 in 2012-13, registering an absolute growth of 626994. In percentage terms, the growth was 295%. The average annual growth rate was 27%. The maximum growth rate of 30% was recorded in year 2002-03. There was decline in production by 10% in 2007-08, 1% in 2008-09 and 4% in 2012-13. ( VoD URL: https://visualize.data.gov.in/?inst=8b9b6e8b-12bc-4f05-8508-df05e1eb3974&vid=40901 ; Dataset URL: https://data.gov.in/catalog/category-wise-automobile-production )

Production of Two Wheelers in India from 2001-02 to 2012-13

Automobile Production is undertaken in India at a large scale. Different types of vehicles are manufactured in India. One of the major categories of automobile production is Two Wheelers.

The total production of Two Wheelers was 4271327 in the year 2001-02. It increased to 15721180 in the year 2012-13, recording an absolute growth of 11449853 Two Wheelers as compared to the year 2001-02. In percentage terms, the total growth recorded is 268.06% during the period from 2001-02 to 2012-13 i.e. the annual growth of 24.37%.

The total production of Scooter/Scooterettee was 937506 in the year 2001-02. It increased to 3025014 in the year 2012-13, recording an absolute growth of 2087508 Scooter/Scooterettee as compared to the year 2001-02. In percentage terms, the total growth recorded is 222.67% during the period from 2001-02 to 2012-13 i.e. the annual growth of 20.24%.

The total production of Motorcycles/Step-Throughs was 2906323 in the year 2001-02. It increased to 11904212 in 2012-13, recording an absolute growth of 8997889 Motorcycles/Step-Throughs as compared to the year 2001-02. In percentage terms, the total growth recorded is 309.6% during the period from 2001-02 to 2012-13 i.e. the annual growth of 28.15%.

The total production of Mopeds was 427498 in the year 2001-02. It increased to 791954 in the year 2012-13, recording an absolute growth of 364456 Mopeds as compared to the year 2001-02. In percentage terms, the total growth recorded is 85.25% during the period from 2001-02 to 2012-13 i.e. the annual growth of 7.75%. ( VoD URL: https://visualize.data.gov.in/?inst=8b9b6e8b-12bc-4f05-8508-df05e1eb3974&vid=40881 ; Dataset URL: https://data.gov.in/catalog/category-wise-automobile-production )

Pollution and Emission norms

But this proliferation of automobile production has had a negative fall-out namely pollution particularly in metro cities. Delhi has become infamous for the same.

In 2000, in tune with international standards to reduce vehicular pollution, the central government unveiled standards known as Bharat stages. These standards are quite similar to the stringent European standards, and have been implemented in a phased manner. Bharat Stage IV has been imposed in major cities including Delhi (NCR), Mumbai, Kolkata, Chennai etc.; while the smaller cities are under Bharat Stage III.

The Government plans to promote eco-friendly cars in the country i.e. CNG based vehicle, hybrid vehicle, and electric vehicles. The government has formulated a Scheme for Faster Adoption and Manufacturing of Electric and Hybrid Vehicles in India, under the National Electric Mobility Mission 2020.

Sources: Data Portal India – data.gov.in, Ministry of Statistics & Programme Implementation. Note: Original Source: Society of Indian Automobile Manufacturers, New Delhi and also published in statistical year book 2015 by MOSPI.