Emerging markets are increasingly in the focus of the global automotive industry due to declining sales in home markets.This is particularly true for China as the world‘s largest market and India as the second largest growth market. New vehicle concepts for local requirements in the emerging markets such as robustness, budget price and emission standard compliance make simplification of the product portfolio or new product developments necessary.
There is also strong localization pressure from international automotive OEMs for tier 1 & 2 suppliers to benefit from low-cost local resources in competition with local players in growth markets. Internationalization efforts of automotive OEMs in the emerging markets are increasing the quality standards for components and systems as well as the necessity to establish global supplier partnerships.