By Pritish Raj
Hyundai Motor India has reclaimed its position as a top car exporter from Ford India, after a gap of two years, in the April-May period on the back of its newly launched compact SUV, the Venue.
Ford India had beaten Hyundai as a top vehicle exporter in FY18 and FY19. Hyundai had maintained the top exporter status from FY2005 till FY2017.
While Hyundai outnumbered Ford in Q1FY19, Ford again surpassed the former by shipping more made-in-India cars to overseas markets.
Hyundai, which exports vehicles to more than 80 destinations from India, managed to clock a 39% year-on-year (y-o-y) growth in shipments during the April-May period, while Ford India’s shipments declined 10.68%.
Exports of passenger vehicles have been under pressure since the last two fiscals, hit by stringent import regulations of several countries and more emphasis by OEMs in the subdued domestic market. For the first time in seven years, passenger vehicle exports declined by 1.51% y-o-y during fiscal 2017-18. The last time exports was down was in FY2010-11, when shipments fell by 0.4%. In FY19 too, shipments fell 9.64%.
Earlier, Rajan Wadhera, automotive sector president, Mahindra & Mahindra, had said increase in import tariffs and demand for more investment in respective countries led to dip in shipments.
“There are markets like Sri Lanka, Indonesia and Nepal, who are pressing the automakers to build a CKD (completely knocked down) plant in their countries, which require investment and therefore discourage the companies,” Wadhera had said.