The Creta and S-Cross join a segment whose top sellers currently are the Mahindra Scorpio and Ford EcoSport. Other compact SUVs on the Indian market include the Renault Duster, Nissan Terrano and Mazda CX-3.
The alliance introduced its CFA architecture in 2013 with the all-new ’14 Nissan Rogue CUV. It and other CFA models are sold in developed markets, but CMF-A designates affordable vehicles destined for emerging markets such as India.
Naomi Ishii wants Toyota to address challenges facing India. This includes improving fuel economy and reducing both pollution and road fatalities. The assumption is that an automaker helping solve these problems will increase sales.
Hyundai had a 21.2% share of India’s car market in the year’s first three months, but its lack of light trucks left its share of total light-vehicle sales at 13.7%. New utility vehicles are meant to raise overall market share to 20% by 2020.
GMI’s shrinking market share and capacity utilization caught the attention of parent company CEO Mary Barra, who visited India in September to assess the affiliate’s options. She conceded GM did not have the right focus.
The automaker’s small-car offerings were not competitively priced owing to a low level of parts localization and the need to import relatively costly components, exacerbated by the depreciation of the Indian rupee against the U.S. dollar.
The agreement includes tariff-elimination schedules and rules of origin for the automotive sector. It also details what proportion of an automobile or a part must be made in a partnership member country for duty reductions to apply....More