The turnover of the automotive component industry stood at Rs 3.49 lakh crore (US$ 49.2 billion) for the fiscal year 2019-20, registering de-growth of 11.7 per cent over the previous year,” informs Automotive Component Manufacturers Association of India (ACMA). Commenting on the performance of the auto component industry in India, Vinnie Mehta, Director General, ACMA said, “The overall vehicle industry witnessed a severe downturn in 2019-20 that saw its sales slump by 18 per cent. Auto Component aftermarket at Rs 69,381 crore (US$ 9.8 billion) remained stable while sales to OEMs in the domestic market at Rs 2.87 lakh crore (US$ 40.5 billion) declined 17 per cent. Both imports and exports declined by 11.4 per cent and 3.2 per cent respectively; imports stood at Rs 1.09 lakh crore (US$ 15.4 billion), while exports at Rs 1.02 lakh crore (US$ 14.5 billion)”.
Sharing his insights on the performance of the auto component industry in the year gone by, Deepak Jain, President, ACMA said, “The automotive industry faced a prolonged slowdown in FY 2019-20 with vehicle sales in all segments plummeting significantly. Subdued vehicle demand, investments made for transition from BSIV to BSVI, liquidity crunch, lack of clarity on policy for electrification of vehicles and slow-down in key export markets, among others, had an adverse impact on the performance of the components sector in India as also on its expansion plans.”