As India prepares for the Auto Expo beginning next week in the capital New Delhi's Pragati Maidan, the car companies are finalizing their models too. Big names like Audi, Mercedes and BMW are expected to showcase their luxury models, along with the compact cars being displayed by Toyota, Honda, General Motors, Volkswagen and Skoda.

There seems to be little effect of the global slowdown on car sales in the Indian Sub-continent. New models were successfully launched this year across the price spectrum. The cheapest car by Tata Motors - Nano, the Rs 37.5-million (about $750,000) Phantom and the Rs 25-million ($250,000) Ghost (both from Rolls Royce), Volkswagen's famed Beetle, priced at Rs 2 million ($40,000), among so many others.

The emphasis however was on the hatchbacks in the B+ segment that "will make up three quarters of car sales" feels Neeraj Garg, Sales Director, Volkswagen India Group. In fact, according to Ernst & Young, there will be a 12% annual growth over the next 5 years in the Indian passenger car market. That means India will be the third largest auto industry worldwide by 2030 right behind China and the US.

Apart from the new models, the innovative products expected will be the 'green, Hybrid' cars and engines like the Chevrolet-Reva tie-up's 'Electric Spark'. There are rumors of a Harley Davidson surprise too.