State of Automation in the Indian Car Industry I’ve always aspired to see Indian auto industry, compete globally through products designed and manufactured in India. Now that India in herself a big (3rd largest) market, this aspiration of mine has only been stoked more.
In order for a country to develop a new industry that can compete globally, a few key components are required:
1. Visionary business leaders: We can find examples of many auto companies from countries which were nothing in auto industry, but have become greats in global auto industry. Some of such companies are Hyundai, Toyota, Honda etc. All these companies were lead by visionaries during the key phase of growth.
2. A protectionist government policies to support the weak local players. Korea and Japan had protectionist policies to support their Auto industry during their development phase. IMO in India too, there are many supportive policies right from the liberalisation times. We have had many export promotion schemes like EEZs. Now we have FAME, PLI, make in India and more.
3. Availability of quality workers and engineers, who can learn newer technologies and business management best practices, adapt to our conditions and make them work.
India does have all these components. But still our auto companies are not selling products that can compete globally. I searched around for some data to refine the question that I had and to shed some light on answers.
I found some data on industrial robots, which I’m putting in the next post. Without automation, we cannot increase productivity, quality and reduce costs. Without these aspects nailed down, IMHO we cannot compete globally.
While government policies helped Japan and Korea, protect that nascent auto industries, no amount of policy interventions in India seem to be able to push our Auto industry to compete globally.
Regards,
Lsjey
Last edited by lsjey : 7th May 2023 at 18:11.
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