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Ford has given a boost to its Asia segment with the announcement of launching 8 new models in India by 2015 and an investment of $350 million in Mazda Motor Co's Thailand pick-up truck plant. Mr. Joe Hinrichs Ford President (Asia Pacific and Africa) said, "We have massive expansion across the region. We believe the Indian market at the end of the decade will be the third largest auto market in the world behind China and the US."
India is following the same cycle as China. India currently is a similar market as China was a decade ago. People had started getting salary which was enough to buy a car, providing auto sector a sudden boom. But this boom is only in major cities, it will take years for car manufacturers to make accountable sales in II and III tier Indian cities. Another setback car manufacturer's face is that more than 70% Indian buyers prefer small cars whereas in China people prefer all sorts of cars.
Ford has already invested around $500 million in India and has announced plans to invest more. Though they did not give any figure, they did say that the investments would be significant.
