The sensible incentive offered in the European car market, cash-for-clinkers scheme, boosted the net sale in the global car market. But recently the scheme was scrapped in the European Union to have a deep hit on the car industry. Scrappage scheme came to the existence with the governments of European Union offered incentives for vehicles worn out and replaced by new ones. The purpose was to induce twin purpose- tuning the automobile industry and wiping out inefficient, high-emissive vehicles on the run. The scheme saw a good response in the European Union with more governments promoted it for economic stimulation. The scheme came as a great relief for the industries which faced global recession.
Hyundai India is one among the worst sufferers in this regard. Last calendar year the company could export 270000 units to its potential countries and there has been a makeshift policy to retain the same figures for this year too. The company’s director for marketing and sales disclosed that the market has become challenging to retain the similar output volume that of last year. There is, he added, a hope to clinch the single-digit growth this year. He further added that the lapse in the export market would be compensated with new export regions of 10 countries. The company is pinning hope on i20 which has been making a tremendous stint all over the globe and there is a possible growth of the company in this year.
While Maruti Suzuki is the sole dominant in the domestic market of India, Hyundai has the reputation as the largest exporter of cars in the Indian scenario. By exporting 270000 units (68%of the market share and 50% went to the European Union) , the company induced great demand for its vehicles. The EU has been providing a good platform for Hyundai’s compact cars. As of now, Hyundai has been exporting cars to 110countries – Columbia to Vietnam- besides the European countries like Germany, Spain, Italy and the UK. Accent is making a good run in Algeria while in Australia i20 is making news.