The Automotive Component Manufacturers Association of India (ACMA) has forecasted the Indian auto component sector to experience year-on-year growth of 8%-11% during the April 2024-March 2025 period, driven by increased value addition and export demand.
Shradha Suri Marwah, President of ACMA and CMD of Subros, commented, “The auto component industry is expected to grow between 8%-11% in the coming year. While government support remains positive, adapting to geopolitical challenges will be crucial moving forward.
When asked about the potential challenges ahead, Marwah highlighted supply chain disruptions caused by the Red Sea crisis. “Time to market increases, inventory needs to be held longer, and working capital gets tied up,” she explained.
In FY24, the turnover of the automotive component industry reached INR 6.14 lakh crore (USD 74.1 billion), marking a 9.8% growth compared to INR 5.59 lakh crore in FY23. Even in the previous year, companies faced difficulties related to the Red Sea, Singapore port, and other global locations. This turnover encompasses all supplies from the auto component industry to vehicle manufacturers, the aftermarket in India, and exports. It also includes components supplied captive to OEMs as well as by smaller and unorganized players.
Typically, automobile OEMs account for 65%-70% of the total revenue of automotive component manufacturers, with exports and replacement demand contributing to the remaining share.
Auto Expo – The Components Show concluded on Tuesday, having been held from January 18 to 21 at the Yashobhoomi Convention Centre in Dwarka. This was the first time the event took place at this venue. Vinnie Mehta, Director General of ACMA, praised the venue for its excellent infrastructure and accessibility but noted that the telecom network was poor, stressing the need for improvements to enhance business operations and facilitate smoother exhibitions in the country.
This year, the number of exhibitors exceeded 1,000, up from 800 last year, with over 75,000 visitors attending the event. The visitor base included key delegations from Japan, the UK, South Korea, Mexico, and Germany.
The Auto Components Show was part of the Bharat Mobility Global Expo 2025, which featured nine shows, each highlighting different aspects of the mobility ecosystem. The Expo took place at three locations: Bharat Mandapam in New Delhi, Yashobhoomi in Dwarka, Delhi, and the India Expo Centre & Mart in Greater Noida.
