Indian car makers in a tight spot

While this is an alarming call for the car manufacturers of our country, as being in the lime light and at the same time expecting a lot from their products. This rat race has made the makers produce a lot more than the market consumes, creating enormous problems for them. The Indian Auto-makers are a little apprehensive right now, as they might be in a lot of trouble in the coming days. They have been producing bulky numbers of their cars currently, expecting a bit too much from them.

 

 

Car makers managed to trade just 3.22 million out the huge number of 4.96 million of cars during the fiscal 2014-2015, that counts to about 65 percent of the complete capacity. Mr. Vikram Kirloskar the President of the Society of Indian Automobile Manufacturers reportedly quoted that on various events as he was anxious about the new units and production facilities being set up by the companies while the overall sales at the Indian market is going slow. The manufacturers are presently looking forward to intensifying their production capability hopeful that the market would enhance soon, regardless of the concentrated demand owing to a stretched economic deceleration.

 

Mr. Kirloskar, the vice-chairman of Toyota reported on the 10th of July 2015 that there is a lot of surplus capacity with the company. Sales are going down. And the numbers are practically going down when compared to the year 2012-13. Putting n the efforts while getting a facility constructed, can actually steal away the profit from the company all the more. This news was practically on display while General Motors announced to shut two of their ware-houses in India. While Maruti and Hyundai are the only two names in the market who managed to sell at least 80 percent of what they make. At present there are just three companies who are surviving well, namely Maruti Suzuki, Hyundai and Mahindra.