India Zooms Past Germany as Fourth Largest Auto Market

India overtook Germany last year to become the world’s fourth-largest auto market in another sign of emerging countries’ growing importance to the industry.

According to data released by the Society of Indian Automobile Manufacturers full-year sales rose 10% to roughly 4.01 million vehicles, an all-time high, Asian Review reported.

Maruti Suzuki India, a subsidiary of Japan’s Suzuki Motor consolidated its lead in passenger vehicles. The company’s car sales jumped 15% to more than 1.6 million in 2017, boosting its market share by 2.6% points to 49.6%.

Emerging markets have become a major driver of global vehicle sales. They accounted for more than half the worldwide total for the first time back in 2010. According to the UK based financial services company IHS Markit, China has been the world’s largest market since 2009.

India has been a standout performer in recent years. Its auto market doubled in size in just a decade. IHS Markit sees it continuing to expand by nearly 10% a year, surpassing third-place Japan’s as early as 2020.

This owes largely to a growing economy that has lifted consumer incomes. Gross domestic product per capita shot up about 70% between 2007 and 2016 to just over $1,700, World Bank data shows.