In 2018, the Indian auto market is improving, which will boost the polymeric MDI

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In 2018, India sold 3.99 million commercial and passenger vehicles, a year-on-year increase of 8.3%, replacing Germany as the world's fourth largest auto market. It is estimated that within three years, India will overtake Japan and become the world's third largest auto market by maintaining an annual growth rate of 7% in auto sales. However, while car sales in India have surged, cars are selling at lower prices. This is related to the general spending power of Indian citizens. At present, the proportion of mid-to-high-end cars in the Indian market is very low, mainly low-end models.

Also, car sales in India are not outstanding compared to motorcycle sales. Sales of motorcycles and scooters in India reached 20.2 million units in 2018.

The Indian government is vigorously popularizing electric vehicles. It is hoped that by 2030, the cars sold in India will be 100% pure electric vehicles. A few days ago, the Indian government has decided to reduce the tariff on related parts and components from 15% to 10% due to the local assembly of electric car manufacturers.

In 2018, the consumption of polymerized MDI in India was more than 100,000 tons, a year-on-year increase of about 5%. The vigorous development of India's automobile and motorcycle industries will also bring more growth to the development of the local polyurethane industry. It is expected that in 2019, India's polymeric MDI will still maintain a growth rate of more than 5%.