However, since Hyundai is expecting to grow by 3-5% in 2009-10 as against the estimated over 50% growth by Tata Motors with the launch of Nano, industry experts feel that Hyundai might have trouble in retaining its lead over Tata as the company has no new product lined up for this year. Eventually, while Hyundai is expected to end the current financial year at around 2,50,000 units, Tata Motors may achieve similar volumes, even if sales of its other cars remain constant.
Assuming that the passenger car industry will largely remain flat in 2009-10, for all players, and that there could be a some shift from two-wheelers to four-wheelers to the Nano, Tata Motors have a chance to surpass Hyundai in terms of total passenger car sales in the current financial year, says Abdul Majeed, analyst and partner, Price Waterhouse.
While Tata Motors marketshare will go up significantly this year because of Nano, Hyundai i20 will face a tough competition from the soon-to-be launched Ritz from Maruti. Since Hyundai has no new product slated for launch this year, it is possible that the company slips behind Tata Motors, says another analyst. We want to retain our marketshare, for which our sales have to grow according to the industry growth. Since industry has been projected to grow by 3-5%, we will also grow by the same rate, Arvind Saxena, senior V-P (sales and marketing), Hyundai Motor India, had said last week.