Ford’s partial retreat confirms severity of India challenge

India's new vehicle market is a sizeable one with considerable potential for additional growth, but it is not an easy nut to crack. The likes of Chevrolet, Fiat and MAN have all cut all their losses and withdrawn after a prolonged struggle. Others could very likely follow. "Due to the economic slowdown, the auto market scenario continues to worsen, leaving most automakers with piling inventory and forcing the industry to cut down production," noted Bhasker Canagaradjou, Head of Ipsos Business Consulting, India. Leading local players Ashok Leyland, Tata and Maruti Suzuki have all scaled back output significantly in recent weeks as demand slows.