India's car sales jump 29 percent in December

Car sales in India jumped nearly 29 percent in December from a year earlier, industry data showed Tuesday, as customers piled into showrooms heartened by the country's booming economy. Sales last month climbed to 148,681 cars from 115,337 a year earlier, according to a statement from the Society of Indian Automobile Manufacturers (SIAM).
Motorcycle sales in the same period grew by 27 percent to 753,358 units from 592,589, while sales of commercial vehicles - a key economic indicator - also grew by 27 percent. India has turned into a major battleground for global vehicle manufacturers such as Ford, Renault-Nissan, General Motors and Volkswagen, which have all launched new models in the country. Easy availability of finance and new models have kept vehicle sales growing strongly, but analysts say a likely hike in interest rates later this month may affect future growth. The Indian market, Asia's third-largest, is projected to triple over the next decade to six million cars a year from the current two million, according to industry estimates.