NEW DELHI: Backed by robust demand for passenger vehicles (PVs), India’s automotive component industry turnover grew by nearly 35 per cent in the first half of the financial year 2023 (H1FY23) to Rs 2.65 lakh crore (USD 33.8 billion) as against Rs 1.97 lakh crore (USD 26.6 billion) in the corresponding six month period of previous fiscal (H1FY22), Automotive Component Manufacturers Association of India (ACMA) said on Wednesday.
“In the first half, 47 per cent of our revenue to the supply to the OEMs, which is USD 28.6 billion, came from passenger vehicles. Interestingly, in the first half of last fiscal, the PVs accounted for about 38 per cent of our revenue from the OEM,” said ACMA Director General Vinnie Mehta. There has been a demand shift towards SUVs, and the value proposition has also been enhanced, he added.
However, the two-wheeler industry was under pressure and it accounted for about 18 per cent of the revenue against 21 per cent in the first half of the last fiscal. Imports of auto components grew by 17.2 per cent to USD 10.1 billion (Rs 79,815 crore) in H1FY23 from USD 8.7 billion (Rs 64,310 crore) in H1FY22. Asia, mainly China, accounted for 65 per cent of imports, followed by Europe and North America, with 26 per cent and 8 per cent, respectively. Imports from Asia grew by 21 per cent during the April-September FY2023 period.
Mehta said while the components industry closed the last fiscal with a trade surplus of USD 700 million, in the current fiscal, it has become neutral with exports and imports finely balanced. “The sharper growth in the import has been because of the uptick in the domestic market, very much correlated to growth in the domestic market for the OEM segment,” he added.
On the export front, ACMA said it grew by 8.6 per cnet to USD 10.1 billion (Rs 79,033 crore) in H1FY23 from USD 9.3 billion (Rs 68,746 crore) in H1FY22.
Auto components industry performance
Size of industry in (Gcr)
Export (in USD)
Import (in USD)