Top 10 Automobile Companies in India 2024

Automobile Industry plays a major role in the growth of the Indian economy. The contributions of the Industry cannot be ignored as it contributes nearly 7% of the GDP. In this blog, we have compiled a list of the top 10 automobile companies in India that serve a beneficial role in the growth of our nation. 

“The Indian automotive industry will have the highest contribution to the country’s rise as the third-largest economy.”

Mahendra Nath Pandey, Minister for Heavy Industries.

Growth of Automobile Industry in India for Last 10 Years

Automobile production began in India in the early 1900s, shortly after the invention of the car. The 150-hp, 12-cylinder Fiat model was the first car to leave an Indian assembly plant in 1897. It was built by The Lorraine Company in Gujarat. Over the following decades, the business produced a few more luxury cars for wealthy Indians. 

However, economic liberalization in 1991 changed everything. The Indian government abolished licensing for automobile production. It also reduced import duties to entice global firms. This provided a significant boost to the “automobile industry in India”. Maruti Suzuki established a joint venture with Suzuki, marking Suzuki’s entry into India. Hyundai, Toyota, Ford, Honda, and others quickly followed suit. From that time, the “automobile industry in India” has grown significantly. The Top 10 Automobile Companies in India make considerable contributions to the economy through employment, taxation, exports, and technological adoption. 

Evolving customer needs, a growing middle class, increased urbanization, and regulatory reforms all present opportunities. However, concerns about high costs, infrastructure shortages, environmental pressures, and technological advancement persist. To remain competitive, the industry is currently focusing on electric mobility, connectivity, and shared transportation. If obstacles and disruptions are effectively addressed, the Indian automobile industry has the potential to become a global manufacturing leader over the next several decades. Its experience so far demonstrates the industry’s tenacity and ability to adapt over time, both of which will be beneficial to its future success.

Top 10 Automobile Companies in India and the Indian Economy

The booming automobile industry serves as a crucial co-pilot in India’s economic growth. This dynamic sector is a significant contributor to the nation’s economic well-being, currently employing over 37 million people directly and indirectly, accounting for 7.1% of India’s GDP as of 2023. 

“I say with confidence that in our third term, India will become the third largest economy in the world.” – Narendra Modi

Indian Automobile Industry: Employment Powerhouse

The auto sector including the Top 10 Automobile Companies in India creates millions of jobs directly and indirectly through production, dealerships, and services. It employs a varied workforce that includes experienced engineers as well as assembly line labourers. According to a recent Invest India report, the business expects to double in size by 2024, offering even more job prospects.

From Manufacturing Facility to Global Exports

The Top 10 Automobile Companies in India acts as a magnet for other sectors, prompting the demand for steel, rubber, and various components. This creates a strong ecosystem, encouraging growth across and boosting infrastructure development. For instance, the recent Production Linked Incentive (PLI) scheme by the government is expected to attract ₹67,690 crore of investment and create significant demand for auto components.

Noteworthy Growth in GDP 

The Top 10 Automobile Companies in India contributes significantly to India’s GDP, accounting for a significant part of the nation’s industrial output. The wave of auto industry across the economy generates tax revenue, further boosting national development. In 2022-23, India exported over 4.7 million vehicles, showcasing its increasing global footprint and contribution to foreign exchange earnings.

Increased Exporting Capacity

Indian-made vehicles are increasingly revving up international markets. This not only earns valuable foreign exchange but also positions India as a competitive player in the global automotive scenario. The government’s focus on electric vehicles (EVs) through initiatives like FAME India Phase II further positions India to capitalize on the growing global EV market, estimated to reach $823.74 billion by 2030.

Encouraging Technological Advancements

The Top 10 Automobile Companies in India are adopting advancements like electric vehicles and connected cars, marking the way for a sustainable and technologically advanced future. This opens doors for further growth and attracts foreign investment. Leading manufacturers like Maruti Suzuki and Tata Motors are already investing heavily in EVs, showcasing India’s commitment to innovation and a greener future.

List of Top 10 Indian Automobile Companies in India [2024]

The Indian Automobile Industry has been growing rapidly over the years, and it is no surprise that our country is now home to some of the Top 10 Automobile Companies in India. 

Maruti Suzuki India Limited

• A joint venture between the Indian government and Suzuki Motor Corporation of Japan
• Dominant position in the Indian passenger car market with a market share of over 40%
• Popular Car Models include the Maruti Suzuki Swift, Dzire, and Ertiga
• Ranked among the Top 10 Automobile Companies in India

Hyundai Motor India Limited

• Subsidiary of the South Korean automotive giant Hyundai Motor Company
• Popular for its stylish and feature-packed vehicles, especially in the SUV segment
• Popular car models include Hyundai Creta, Venue, and i20

Tata Motors Limited

• Counted among the Top 10 Automobile Companies in India by revenue
• Wide range of vehicles, including passenger cars, commercial vehicles, and electric vehicles
• Popular car models include Tata Nexon, Tiago, and Tigor

Mahindra & Mahindra Limited

• Strong presence in the SUV and tractor segments
• Manufacturers of electric vehicles and farm equipment as well
• Popular car models include Mahindra Bolero, Scorpio, XUV700, Thar

Honda Cars India Limited

• Subsidiary of Japanese automaker Honda
• Known for its fuel-efficient and reliable vehicles
• Popular car models include Honda City, Amaze, and WR-V

Kia India

• Newcomer in the Indian market, but has quickly gained popularity
• Known for its stylish and feature-rich SUVs
• Popular car models include Kia Seltos and Sonet

MG Motor India

• British automotive brand owned by SAIC Motor of China
• Offers electric and gasoline-powered SUVs
• Popular car models include MG ZS EV and Hector

Skoda Auto India Private Limited

• Subsidiary of the Czech Republic-based Skoda Auto
• Known for its premium sedans and SUVs
• Popular car models include Skoda Octavia, Rapid, and Kushaq

Renault India Private Limited

• Subsidiary of the French automaker Renault
• Known for a wide range of hatchback and SUV models
• Popular car models include Renault Kwid, Triber, and Duster

Toyota Kirloskar Motor Private Limited

• Joint venture between the Toyota Motor Corporation of Japan and Kirloskar Group of India.
• Known for its fuel-efficient vehicles, especially in the SUV segment.
• Popular car models include Toyota Fortuner, Innova Crysta, and Glanza

Emerging Trends & Future of India Automotive Industry

The Indian automotive industry is continuously evolving thanks to technological advancements, changing consumer preferences, and government initiatives. 

Here are some of the key emerging trends shaping the future:

Rise of Electric Vehicles (EVs)

• Government push through FAME-II scheme and PLI incentives accelerating EV adoption.
• Growing range of electric two-wheelers and four-wheelers available from both domestic and global players.
• Focus on developing charging infrastructure and battery-swapping networks.
• Expected to reach 30% market share for passenger vehicles by 2030.

Connected and Autonomous Vehicles

• Integration of advanced driver-assistance systems (ADAS) for safety and convenience.
• Growing adoption of telematics and connected car features.
• Development of semi-autonomous and autonomous driving technologies.
• Collaboration between automakers, tech companies, and startups is crucial for progress.

Shared Mobility and Subscription Services

• Increasing popularity of car rental, carpooling, and ride-hailing services.
• Growth of subscription models offering flexible access to vehicles without ownership.
• Potential to reduce personal vehicle ownership and traffic congestion.

In conclusion, the Indian automobile industry stands as an essential pillar of economic growth, representing strength and adaptability. From its beginning to the present day, the sector has evolved significantly, promoted by liberalization reforms and technological advancements. The top 10 automobile companies in India highlighted demonstrate India’s power in manufacturing and innovation, causing employment, GDP growth, and global exports. Despite challenges, including infrastructure limitations and environmental concerns, the industry remains balanced for exponential growth, driven by electric mobility, connectivity, and shared transportation initiatives. As the nation navigates toward becoming the world’s third-largest economy, the automotive sector stands as an icon of progress, promising a sustainable and prosperous future.

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