Now the government is going to give a big relief to the auto sector to take advantage of the PLI scheme. Image Credit source: Representative Photo
India is the third largest auto industry in the world after China and America. Any such company which is not present in India. Those who are not there are also eager to come to India. In which a new name has been added and that is Tesla’s. Whose talks are going on with the Government of India. In such a situation, the question is whether India can leave America and China behind in the auto sector, especially in the EV segment. The question is also big because at present the shortage of semiconductor is not being fulfilled.
The biggest company is lagging behind in meeting the manufacturing capacity. On the other hand, there are thick clouds of recession in Europe, Britain and America. Jobs are going. Because of which the chances of reducing demand have increased. In such a situation, there are a lot of challenges in front of this industry. By the way, the chairman of Maruti Suzuki recently said that India’s auto industry can become the world’s largest auto industry before the year 2030.
India can leave America and China behind
In recent years, India has emerged as a main market for vehicle makers. Continuous expansion of manufacturing units has been seen in India. New units and investments are being seen. Now even Tesla is being talked about. Which is on a very positive mode. In such a situation, the country can leave behind big markets like America and China in the coming years. This has also been predicted by RC Bhargava, Chairman of Maruti Suzuki India. He says that within the next five years, India will become the world’s number one car market, beating both the US and China.
How can China be left behind
Currently, China is the largest car market in the world. Most of the cars are sold here. In such a situation, it is difficult for India to leave China behind, but it is not impossible. Talking about the figures, in the year 2022, the sales of all category vehicles in India were 20.75 million units. China has sold 26.86 million automobiles in the same year. With taking many measures, India can leave China behind. RC Bhargava believes that if India increases its manufacturing capacity to increase its production facility at the local level, then India can leave behind both China and America.
70 thousand crore rupees can be invested in the next five years
In the next five years, there can be an investment of more than 70 thousand crore rupees in auto manufacturing. Maruti Suzuki itself is going to invest Rs 18,000 crore. It will set up a production unit in Sonipat, Haryana. This is expected to be the biggest production unit of the company till date. Apart from Maruti Suzuki, other car makers have also made up their mind to invest in expanding their production.
Hyundai has announced to set up a production unit in the country with an investment of Rs 20,000 crore. So that exports can be increased by increasing production. On the other hand, MG Motors can also invest Rs 5,000 crore in the country. The world’s largest EV company is ready to enter India. If the government deals, then according to estimates, Tesla can also invest Rs 30 to 35 thousand crores in India.