Released on = June 10, 2007, 10:25 pm

Press Release Author = Shushmul Maheshwari

Industry = Automotive

Press Release Summary = In India, car sales showed remarkable growth during the
month of April 2007 and this trend is expected to continue throughout the year.

Press Release Body = As per a recent report “Passenger Car Market: A Global
Review (2006)\" published by RNCOS it has been found that increasing incomes combined
with affordable prices, reduced ownership costs, attractive financing packages, and
increased buyer incentives will continue to spur demand in India. Also, the growth
in car sales is expected to average nearly 12.9% per year during 2007-08 and 11.6%
during 2009-10.

Indian car industry continued to ride on the path of success in April 2007 as well,
in spite of the fears of market’s susceptibility to suffer slowdown owing to
spiking interest rates. Vehicle market grew by 23.7% in India and reached 1,847,580
units in the FY that ended on March 2007. SIAM (Society of Indian Automobile
Manufacturers) revealed this data.

Growing openness of India, new & existing models’ arrival, easy availability
of funds at relatively low interest rates, and price-discounts that the dealers &
manufacturers keep offering from time to time, all these factors have stimulated the
demand for vehicles & a strong growth in the automobile industry in India.

Maruti Udyog – leader in Indian car market – posted a growth of 17% in
domestic market during this April over same month last year (2006). Hyundai Motor
India, India’s second largest carmaker and largest exporter of passenger car,
registered yearly growth of 4.8% in domestic and 4.6% growth in export markets
during the month of April this year.

As the govt. liberalized the standards for foreign investment & technology’s
import, it seems to have been particularly advantageous for the automobile sector.
Output of vehicles grew from 4.2 million during 1998-99 to reach 7.3 million during
the years 2003-04. And it is further expected to reach 10 million in the next couple
of years.

As per the RNCOS report “Passenger Car Market: A Global Review (2006)”,
“Automotive sector is amongst the largest and most rapidly growing
manufacturing sectors in India. Ongoing liberalization from the beginning of 1990s &
a vast domestic market have made India a key destination among global automotive
players. GDP share of this sector grew from 2.8% in the FY 1992-93 to 4% during
2004-05. Overall passenger car output reached around 1.36 million units during 2005,
whereas it was roughly 1.24 million units in prior year (2004). There were ten
companies that produced passenger vehicles during 2004-05.

Key questions answered in this report include: is the passenger car Industry in the
developed and emerging countries performing well, how attractive is the passenger
car industry for investors, what are the key challenges and driving forces in the
passenger car industry, and so on.

About RNCOS E-Services Pvt Ltd.:

RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of
industry experts who analyze data collected from credible sources. They provide
industry insights and analysis that helps corporations to take timely and accurate
business decision in today\'s globally competitive environment.

For more information visit: http://www.rncos.com/Report/IM071.htm
Current Industry News: http://www.rncos.com/blog


Web Site = http://www.rncos.com

Contact Details = RNCOS E-Services Pvt Ltd.
Shushmul Maheshwari
Head of Business Development
29, 1st Floor, Patparganj Industrial Area, Delhi 92
91-11-4214-1229
info@rncos.com