India: why invest in the automotive industry

Octagona supports the business of Italian companies operating in the automotive industry sector

India, the third Asian economy, after the slowdown experienced in recent years is returning to growth at high rates, thanks also to the election of Narendra Modi which took place last year and to the reforms implemented by the Government.

Among the most interesting sectors in which to start business activities for Italian companies there is undoubtedly the automotive industry: the industry represents about 22% of the entire national GDP and constitutes itself as one of the main sectors capable of creating Work; moreover, the Indian automotive market will become the third largest globally by 2020, configuring itself as one of the main production hubs.

Currently, local vehicle production, which averages around 17.5 million units per year, is dominated by the two-wheeler segment (around 13.5 million units sold in 2014), followed by commercial vehicles, passenger vehicles and three wheels. To view charts for vehicle production and sales in India Click here.

The auto components sector is also going through a phase of strong expansion: the sector could triple its value by 2020, thus representing 3.5% of the national GDP; if the “Make in India” campaign inaugurated by the Government last September (aimed at attracting productive investments in India) is added to all these elements, it is easy to understand how the business opportunities for Italian companies are enormous.

Octagona, which can boast an experience of over ten years in corporate internationalization and in particular in the Indian market, having a direct office in New Delhi, is able to assist companies in the sector interested in selling in the Subcontinent.

If you are interested in accessing one of the most important emerging markets in the world, capable of offering enormous growth potential, call us on 059.9770184 or send an email to octagona@octagona.com: you will meet one of our consultants to build, together with you, the best internationalization path.

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