Indian Auto Component Industry Records 11% Growth to ₹3.32 Lakh Crore in H1
The Indian auto component industry posted a strong performance in the first half of FY 2025, with turnover reaching approximately ₹3.32 lakh crore, an increase of about 11% year-on-year. The Economic Times Growth was driven by robust domestic supplies to OEMs and a steady aftermarket segment, while exports also expanded despite global supply-chain hurdles.
According to the Automotive Component Manufacturers Association of India (ACMA), supplies to domestic OEMs amounted to about ₹2.83 lakh crore, reflecting growth close to 11%. The aftermarket segment too showed resilience, registering approximately 5% growth to roughly ₹47,416 crore.
Despite lingering challenges such as freight cost inflation, input-price pressures, and export timing delays, industry leaders indicate the sector remains in “robust health.” Investments in technology up-gradation, localisation, and value-addition are underway to support future momentum. Motor India Online+1
Editor’s View
For the tyre industry, the growth in the auto component sector is a positive signal. As component makers ramp up production and localisation, the supply ecosystem gains strength, which indirectly supports tyre companies in terms of reliability, compatibility, and new vehicle programmes. Tyre manufacturers should monitor upstream component growth closely because strong auto-component momentum often coincides with increased vehicle production. Better vehicle output often means more tyre replacement cycles and aftermarket potential.
