Indian auto component industry clocks a turnover of ₹6.7L crore
What's the story
India's auto component industry has recorded a turnover of ₹6.73 lakh crore ($80.2 billion) for the fiscal year 2024-25, according to the Automotive Component Manufacturers Association of India (ACMA). This figure marks a year-on-year growth of 9.6% and a compound annual growth rate (CAGR) of 14% from FY20 to FY25, almost doubling the size of the industry over five years.
Trade balance
Exports up by 8% to ₹1.92L crore
The ACMA report also highlighted an 8% rise in auto component exports, amounting to ₹1.92 lakh crore ($22.9 billion). Meanwhile, imports rose by 7.3% to $22.4 billion. The industry recorded a trade surplus of $453 million, up from last year's surplus of $300 million. ACMA Director General Vinnie Mehta attributed the industry's growth to positive trends in OEM sales, exports, and aftermarket segments.
Market performance
Supplies to OEMs stand at ₹5.7L crore
In the domestic market, auto component supplies to original equipment manufacturers (OEMs) stood at ₹5.70 lakh crore, up by 10% year-on-year. This growth was aided by an 8% jump in vehicle production, and increased use of higher value-added components in larger vehicles. The aftermarket segment also surged by 6% to ₹99,948 crore ($11.8 billion), driven by the expansion of the used vehicle market and formalization of vehicle repair services.
Export dynamics
Export trends varied across regions
The export trends showed mixed performance across different regions. North America, which accounted for 32% of exports, saw an 8.4% rise. Asia, contributing 26%, posted a 15.1% growth while Europe (29.5% share) witnessed a slight decline of 2.1%. Major export categories included drive transmission and steering systems, engine parts, suspensions/braking systems as well as body/chassis components.