Opportunity is bigger than challenge

In 2011, the Tata Group achieved satisfactory results in the Chinese market. The Group’s sales in China were approximately US$5 billion and the purchases in China were approximately US$700 million. The Tata Group's business in China has grown rapidly along with the development of the Chinese economy.

In addition to the Jaguar Land Rover brand vehicle sales business, Tata Group's main businesses in China include software, steel and automotive parts and other fields. Although the Chinese economy has maintained cautious optimism in 2012, the economic situation is still not clear, and it is difficult to make judgments in the short term. Many aspects of the development situation cannot be controlled. For example, in the iron and steel industry, the entire industry is currently facing severe challenges. It is closely related to real estate and infrastructure construction. It is still difficult to say whether these two aspects can generate sustained demand. The same is true for the automotive industry. One of the key tasks of Tata Group in 2012 was the development of Jaguar Land Rover in the Chinese market. The introduction of relevant policies will also have an important impact on the development of the automotive industry. However, the other side of the coin is that although the environment is not very good for the time being, there are still a lot of things that can be done in small areas, such as improving the quality of our management, strengthening the workforce, and promoting the localization process. We believe that economic uncertainty is a short-term process and that the market needs quality products at all times. We will insist on doing our own thing well.

In 2012, Tata Group's sales in China will continue to grow steadily. The purchase amount may be flat. Due to the current economic weakness in Europe, companies pay more attention to cost control, and products from China are even more dominant. In the long run, China's domestic market is full of vitality. Although the Tata Group’s market share in China is smaller than that in the United States and the United Kingdom, the company is formulating corresponding development plans for China and expanding its business in China.