India's automobile components industry saw its turnover grow 11.3 percent to Rs 3.32 lakh crore ($39.6 billion) for the first half of 2024-25 (April-September 2024), compared with Rs 2.98 lakh crore ($36.1 billion) earned in the corresponding period of FY24. This was according to the Industry Performance Review for 2024-25, brought out by the Automotive Component Manufacturers Association of India (ACMA).
Commenting on the performance, Vinnie Mehta, Director General, ACMA said, “With vehicle sales and exports displaying steady performance, the auto component industry demonstrated a growth of 11.3 percent scaling a turnover of Rs. 3.32 lakh crore ($39.6 billion) in the first-half of FY 2024-25.”
He also stated that auto component supplies to all segments of the industry i.e., to OEMs, exports as also the aftermarket remained steadfast.
As per ACMA's findings, component supplies to OEMs in the domestic market grew by 11 percent year-on-year to Rs 2.83 lakh crore ($33.8 billion) during H1 FY 2024-25. The aftermarket, estimated at Rs 47,416 crore ($5.7 billion), also witnessed a year-on-year growth of 5 percent from Rs 45,158 crore ($5.5 billion) in H1FY24.
Sharing insights on the performance of the auto component industry, Shradha Suri Marwah, President, ACMA & CMD, Subros noted, “With vehicle sales across all segments reaching pre-pandemic levels and despite geopolitical challenges on the exports front, the auto components sector witnessed a steady growth in both domestic and the international markets in the first-half of FY2024-25.”
The ACMA president also stated that the festive season brought significant sales across most segments of the vehicle industry. “However, reflecting on the past eight months of this fiscal year, while two-wheelers have shown promising growth, sales of passenger vehicles (PVs) and commercial vehicles (CVs) has been relatively moderate,” she added.
Exports grew by 7 percent to $11.1 billion (Rs 93.34 lakh crore) while imports grew by 4 percent to $11 billion (Rs 92.05 lakh crore) with $150 million in surplus, the auto parts industry body stated.
On exports front, with geological challenges, delivery time and freight costs have once again gone up, according to Marwah. “That said, in value terms, the industry remains in robust health, signaling stability and resilience amidst evolving market dynamics. The components industry continues to make investments for purposes of higher value-addition, technology upgradation and localisation to stay relevant to both domestic and international customers,” Marwah further added.
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