Shangliao Sun
Research expert covering India
Automotive components industry in India - statistics & facts
A modern car can have as many as 30,000 individual parts and automobile manufacturers, big and small, continue to rely heavily on suppliers of automotive components. As one of the biggest motor vehicle producers in the world, India also has a sizable automotive components industry. In the financial year 2024, India produced about 4.9 million units of passenger vehicles and exported a substantial amount as well.
India’s growing auto components market
Owing to a fast-developing economy, combined with increasing disposable incomes, the Indian automotive market has expanded rapidly in the last two decades. During this period, Maruti Suzuki came on top as the largest automaker in the country. Hyundai Group from Korea, with its Hyundai and Kia brands, also enjoyed success. As a result, more and more original equipment manufacturers (OEMs) and automotive components manufacturers emerged in the country to meet the demand. As of the financial year 2024, the automotive components industry has reached 74.1 billion U.S. dollars. The majority of the industry’s revenue came from Indian OEMs. Nevertheless, the export segment also saw stable growth.Samvardhana Motherson
With an operating revenue of nearly a trillion Indian rupees in the financial year 2024, Samvardhana Motherson leads the Indian automotive components industry. It was established in 1986 as a joint venture between the Indian cable manufacturer Motherson Group and Sumitomo Wiring Systems from Japan. It mainly produces wiring harnesses, vision systems, and plastic components for automobiles. Its customers include premium German brands like Mercedes-Benz and Audi, as well as Indian passenger car manufacturer Maruti Suzuki.Future of the industry
With the demand for automobiles in India on an upward trajectory, the automotive components industry is likely to see robust growth in the future. Noticeably, the used car market in India was projected to outpace the growth of the new car market. It was estimated to reach a market size of 70 billion dollars by the financial year 2028, more than four times the market value of 2020. This would further increase the demand for aftermarket parts, whose market size stood at around 11 billion dollars in 2024. In turn, the aftermarket segment, along with OEMs, will create new opportunities for the automotive components market, and boost its growth.
