The Indian automotive component industry registered a turnover of INR 2.65 lakh crore ($33.8 billion) in the first half of the current fiscal, a growth of 34.8% over the corresponding period in FY22.
A report shared by the Automotive Component Manufacturers Association of India (ACMA) noted that auto components exports grew by 8.6% to $10.1 billion (INR 79,033 crore) in H1FY23, up from $9.3 billion (INR 68,746 crore) in H1FY22.
The North American market accounted for 33% of exports, which was 12% higher from a year earlier, while Europe and Asia accounted for 30% and 26% respectively, with respective growth of 4% and 11%.
Sunjay Kapur, President, ACMA, and Chairman, Sona Comstar, said, “The components industry is making steady investments as well as acquiring technology companies. For a medium to long term outlook, we need to be wary of the impending recession in Europe and the US as also the supply chain issues, which are not fully behind us.”
India Imported More Auto Components
Imports of auto components by the Indian industry also grew 17.2% YoY, from $8.7 billion (INR 64,310 crore) in H1FY22 to $10.1 billion (INR 79,815 crore) in H1FY23.
Imports from Asia grew by 21% for a total contribution of 65% in H1FY23, followed by Europe and North America with 26% and 8% respectively. Imports from these regions grew 6% and 29% respectively.
“With vehicle sales across all segments reaching the pre-pandemic levels and moderation in the supply-side issues such as availability of semiconductors, high input raw-material costs, and non-availability of containers, the auto components sector witnessed a steady growth in both domestic and the international markets in the first half of FY23. With domestic manufacturing of vehicles and components gathering pace, imports also witnessed an uptick,” Kapur added.
The aftermarket components market in H1FY23 also witnessed a growth of 8% to INR 42,007 crore ($5.4 billion) from INR 38,895 crore ($5.3 billion) in H1FY22.
Vinnie Mehta, Director General, ACMA said, “Component sales to OEMs in the domestic market grew by 46% to INR 2.23 lakh crore.”
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