Auto components industry grows 11% in H1 FY24

The automotive components industry recorded an 11% growth year-on-year, achieving a turnover of ₹3.32 lakh crore in the first half of FY2024-25. Exports rose by 7% to US$ 11.1 billion, while imports increased by 4% with a surplus of US$ 150 million. 

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The automotive components industry recorded an 11% year-on-year growth, reaching ₹3.32 lakh crore in turnover during the first half of the current fiscal, according to the Automotive Component Manufacturers Association of India (ACMA). In the same period last year, the industry’s turnover was ₹2.98 lakh crore.

“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 international markets in the first half of FY2024-25,” said ACMA President Shradha Suri Marwah. She highlighted that the festive season boosted sales across most vehicle categories, although passenger and commercial vehicles showed moderate growth compared to the promising rise in two-wheeler sales.

Marwah noted that geopolitical challenges have led to increased delivery times and freight costs for exports. “That said, in value terms, the industry remains in robust health, signalling stability and resilience amidst evolving market dynamics,” she added.

The sector continues investing in value addition, technology upgrades, and localisation to meet the needs of domestic and global markets. ACMA Director General Vinnie Mehta stated, “With vehicle sales and exports displaying steady performance, the auto component industry demonstrated a growth of 11.3 per cent scaling a turnover of ₹3.32 lakh crore in the first half of FY 2024-25.”

Exports grew by 7% to US$ 11.1 billion (₹93.34 lakh crore), while imports rose by 4% to US$ 11 billion (₹92.05 lakh crore), resulting in a surplus of US$ 150 million. The aftermarket segment, valued at ₹47,416 crore, saw a 5% year-on-year growth. Component supplies to domestic OEMs increased by 11% year-on-year, reaching ₹2.83 lakh crore, showcasing steady demand across all segments.