In the world of the auto component industry, an exciting journey is on the horizon as this sector aims to achieve double-digit growth for the current year. The previous financial cycle witnessed an impressive feat with a staggering turnover of Rs. 5.6 lakh crore.
Thriving Amidst Challenges
Pinnacle Performance: Auto Component Industry Skyrocketing Sales at Rs. 4.76 Lakh Crore
Venturing into the domestic market, the auto component sales surged by an astonishing 39.5%, amounting to a substantial Rs. 4.76 lakh crore. The fiscal year of 2023 brought forth the finest showcase of the auto component industry’s prowess, with multiple factors contributing to this extraordinary feat. Notably, the nation witnessed robust vehicle sales, alongside resilient and consistent exports. Notwithstanding the sluggish trends observed in the European and US markets—significant strongholds for the auto component industry—the exports showcased an impressive stability.
Shaping a Promising Horizon
Anticipating Triumph: Factors Aiding Future Growth
The impending fiscal year of 2024 holds the promise of witnessing a remarkable performance within the vehicle industry. The constraints that previously hindered progress—ranging from raw material availability and costs to logistical challenges—are expected to ease significantly, paving the way for a prosperous era within the auto component sector.
Dynamic Shifts on the Global Stage
Balancing Act: Export and Import Dynamics
In a dynamic dance of exports and imports, the numbers portray an intriguing narrative. Exports, surging ahead with resilience, marked a 5% rise, culminating at Rs. 1.61 lakh crore. On the flip side, imports demonstrated an 11% surge, reaching Rs. 1.63 lakh crore. The market, with a resounding presence at Rs. 85,333 crore, showcased a consistent growth of 15%. Furthermore, the sales to Original Equipment Manufacturers (OEMs) surged impressively by 39.5%, reaching a remarkable Rs. 4.76 lakh crore during the fiscal year of 2022-23.
Propelled by Vision and Momentum
Driving Forces: ACMA’s Optimism and Industry Triumph
The Automotive Component Manufacturers Association (ACMA), fueled by a visionary outlook, envisions a growth trajectory characterized by double-digit sales expansion for the nation’s auto component industry. This optimism stems from a compelling backdrop of resounding demand, following the monumental achievement of the highest turnover in the year 2022-23. Evidently, the sector surpassed all expectations, notching a turnover of Rs. 5.6 lakh crore—an awe-inspiring surge of 33% when juxtaposed with the previous year’s Rs. 4.2 lakh crore.
In essence, the auto component industry is positioned on the cusp of unprecedented growth, driven by its unwavering resolve, market dynamism, and unrelenting pursuit of excellence. The path ahead is illuminated with the promise of double-digit expansion, a testament to the sector’s resilience, innovation, and relentless pursuit of excellence.