The automotive industry in India is the fourth-largest by production in the world as per 2021 statistics. In 2022, India became fourth largest country in the world by valuation of automotive industry. As of 2022, India is the 3rd largest automobile market in the world, surpassing Japan and Germany in terms of sales. Currently India's auto industry is worth of more than US$100 billion and contributes 8% of the country's total export and accounts for 2.3% of India's GDP. India's major automobile manufacturing companies includes Maruti Suzuki, Tata Motors, Ashok Leyland, Mahindra & Mahindra, Force Motors, Tractors and Farm Equipment Limited, Eicher Motors, Royal Enfield, Sonalika Tractors, Hindustan Motors, Hradyesh, ICML, Kerala Automobiles Limited, Reva, Pravaig Dynamics, Premier, Tara International and Vehicle Factory Jabalpur. History In 1897, the first car ran on an Indian road. Through the 1930s, cars were imports only, and in small numbers. An embryonic automotive industry emerged in India in the 1940s. Hindustan Motors was launched in 1942 building Morris products, long-time competitor Premier in 1944, building Chrysler Corporation products such as Dodge and Plymouth, and beginning in the 1960's, Fiat products. Mahindra & Mahindra was established by two brothers in 1945, and began assembly of Jeep CJ-3A utility vehicles. In the same years, J. R. D. Tata, the chairman of Tata Group founded TATA Engineering and Locomotive Company (now Tata Motors) in Jamshedpur. Following independence in 1947, the Government of India and the private sector launched efforts to create an automotive-component manufacturing industry to supply to the automobile industry. In 1953, an import substitution programme was launched, and the import of fully built-up cars began to be restricted. 1947–1970 The 1952 Tariff Commission In 1952, the government appointed the first Tariff Commission, one of whose purposes was to come out with a feasibility plan for the indigenization of the Indian automobile industry. In 1953, the commission submitted their report, which recommended categorizing existing Indian car companies according to their manufacturing infrastructure, with licensed capacity to manufacture a certain number of vehicles, with capacity increases allowable, as per demands, in the future. The Tariff Commission recommendations were implemented with new policies that would eventually exclude companies that only imported parts for assembly, as well as those with no Indian partner. In 1954, following the Tariff Commission implementation, General Motors, Ford, and Rootes Group, which had assembly-only plants in Mumbai, decided to move out of India. The