Everyone is aware that the world economy is on the halt and this can be proved to anyone by showing him any international business news channel where many companies are showing the annual or quarterly loss and getting merge with some other company to protect itself, some are selling the funds to arrange for the funds to stick in the market, while some are registering the bankruptcy. The biggest example of the world's financial decline is the recent cases of General Motors which has taken it to the bankrupt stage.
This shows that besides aviation and steel industry, Auto sector is also very badly affected by the recession as many other auto majors around the world are also recording the big loss and is looking for some strategic partners. But is this fact falls true in the Indian auto sector also? This is a big question as this is been analysed that the recession is prevailing in India also but it does not look like the same thing when I saw the annual results of Indian auto companies which shows the profit in the middle of the global economic downturn.
Amid recession the largest auto maker of India Maruti Suzuki has posted the growth in the profits in comparison with last year's calculations, TVS has also shown the profit with a good rise and the Yamaha sales in India is also on the green side.
In the middle of these rise in profits the profit posted by Hyundai is the one prevailing on the red side and this also affects the international auto company as Hyundai is a multi national.
With this good results posted by the India auto majors and those international companies which operates in India and the international auto majors showing the loss, I think that Indian market is going to become most important for the overseas companies. I think India will see the good financial time ahead.