India, China, Brazil and Russia will account for one in three global car sales within the next four years, according to a new report from a US analyst, Boston Consulting Group.
By 2014 collective sales in the four countries (known as BRIC) are predicted to rise to around 25 million, says BCG, a continued increase from last year’s 19 million sales. By contrast, the developed markets in the West will have barely recovered by then to pre-economic crisis levels of 55 million units.
“This is a radical shift,” said Xavier Mosquet, head of BCG’s Detroit-based automotive practice. “For those car makers who still ask if you can avoid [the BRIC], you can’t.”
But increasing globalisation of models isn’t necessarily the way to tackle the BRIC markets, says BCG, and global models such as the new Ford Focus may not be suitable for all markets.
“There is no [single] BRIC car,” said BCG’s Nikolus Lang. Each market is distinct - and demanding - so while China’s emerging middle class may want cars with well equipped rear seats for being chauffeured to work, added Lang, India’s future lies with super-cheap cars like the Tata Nano.