The present scenario of the Indian car market conveys us that Indian could overtake China any time. There are a numerous car manufacturers that have forayed into the Indian automobile market.

India has become the platform for global car makers to produce small cars. It also seems that the big names in the car industry have been enchanted with the sub-continent for this sole purpose.

We have witnessed Suzuki Motor Corporation coming to India in a partnership business with erstwhile Maruti Udyog to become Maruti Suzuki India. This happened twenty-five years before, when India didn’t have an open economy. Now Maruti Suzuki India has emerged as the largest car manufacturer of India. In the same way, Hyundai Motor India takes the second position. It is the Indian arm of the Korean car maker Hyundai-Kia. Hyundai-Kia has climbed to the fourth position of the global chart of largest car maker. Hyundai Motor India makes cars in India and exports cars to European countries from India.

In the same way, the world’s largest car maker Toyota Motor Corporation has joint hands with the Kirloskar Group in India. Toyota Kirloskar Motor has begun making cars a decade ago. Now the car company is planning to start a production unit for small car factory by 2011. Toyota Motor Corporation feels that the Indian operations of the company have been intact in spite of the global recession.

General Motors which filed for bankruptcy stood firm during this global economic turnover. The company has been badly affected in the US and other countries. General Motors functions in India through its Chevrolet brand.

Other global car majors such as Honda, Ford, Mitsubishi, BMW, Mercedes-Benz, Fiat and SkodaAuto all have their production units in India. Moreover, car makers like Audi, Nissan, Renault and PSA Peugeot-Citroen are planning to have production units in India very soon.

This big rush of global car manufacturers to India can be attributed to a number of factors. The first and the foremost reason is there is a high-quality vendor base that is also cost-effective, leading to globally-competitive pricing. In this pace, we can see Indian becoming the “Detroit of the East” in near future.