The history of the Indian automobile industry instigated about 4,000 years ago when the first wheel was used for transportation. However, it was by the 1600s that the steam powered engines were developed. Later in the 18th century the first car rolled on to the streets what we now call as ‘vintage cars’. Automobiles became a revolution in itself and transportation became easier and faster. The automobile industry became a source of employment for many people. Buses, cars, bikes were manufactured at a large scale. Some of the major car manufacturers which have contributed significantly to the automobile industry in India are Fiat India Private Ltd, Hindustan Motors, Maruti Udyog, General Motors India Pvt. Ltd, Ford India Ltd, Hyundai Motors India Ltd, Honda Siel Cars India Ltd, Toyota Kirloskar Motor Ltd, Mahindra & Mahindra, Tata Motors, Skoda India Private Ltd etc. The two-wheeler manufacturers like TVS, Hero Honda, Yamaha, Bajaj, Honda Motorcycle & Scooter India (Pvt.) Ltd etc have also contributed a lot. Ambassador, Fiat and Maruti were three cars that were very successful in the 80s and the early 90s.

The Indian car bazaar has boomed post liberalization and globalization. A variety of automobiles of new designs and colors are being seen on India roads. With easy loan and credit facilities available, the numbers of automobile units sold in India are on an ever increasing high! Indian automobile manufacturers have collaborated with global automobile companies of international stature such as Ford to launch new cars. The automobile companies are now trying to capture the rural markets by manufacturing vehicles to suit the needs of specific customers and Indian road quality.

Small new cars in India like Hyundai Santro, Tata Indica, Swift, Getz, and Maruti Alto are a common scene on the roads. Indian middle class incomes are on a rise and automobile companies have left no stone unturned to capture this market with attractive schemes and policies. Tata safari, Hyundai Terracan, Ford Endeavour, GM Forester, Toyota Land Cruiser, Mahindra and Mahindra’s Scorpio, Honda CRV are some of the popular SUVs seen in India. Accord, Ford Ikon, Honda City, Sonata, Verna, Indigo, Elantra are other mid sized cars popular on urban Indian roads.

Used cars still have a big market in India. Second hand cars are bought and sold all over the country by known car dealers and individual businessmen. There is tremendous scope in India as far as used cars are concerned because Indian customers are always sensitive on the monetary issue and prefer value for money. All types of car accessories and other spare parts are available across the country with high concentration in the metros. Various service stations are spread all across the country.

Even with so much of physical diversity in India, the country has an excellent road network that binds the country together. The automobile industry has also contributed greatly to facilitate easy transport of men and material. The sector is further developing to provide comfortable economic means of communication. .