Auto Component Sector Records 34.8 Per Cent Sales Growth In H1 FY2023: ACMA

The Automotive Component Manufacturers Association of India (ACMA) has shared the industry's performance in the first half of Fiscal Year 2023. The total sales of the auto component industry stood at Rs. 2.65 lakh crore or USD 33.8 billion in the April - September 2022 period, recording a growth of 34.8 per cent over the corresponding period last year. 

In the same period, exports went up by 8.6 per cent to Rs. 79,033 crore or USD 10.1 billion in H1 2022-23 from Rs. 68,746 crore in H1 2021-22 or USD 9.3 billion. North America accounting for 33 per cent of exports, saw an increase of 12 percent, while Europe and Asia accounting for 30 per cent and 26 per cent respectively, also registered increase of 4 per cent and 11 per cent respectively.

As far as imports are concerned, it witnessed an uptick of 17.2 per cent from Rs. 64,310 crore or USD 8.7 billion in H1 2021-22 to Rs. 79,815 crore USD 10.1 billion in H1 2022-23. Asia 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, from Europe by 6 per cent and from North America by 29 per cent.

Sharing his insights on the performance of the auto component industry, Sunjay Kapur, President, ACMA and Chairman, Sona Comstar, said, "With vehicle sales across all segments, reaching the pre-pandemic levels and moderation in the supply-side issues such as availability of semiconductors, high input raw-material costs and non-availability of containers, the auto components sector witnessed a steady growth in both domestic and the international markets in the first-half of FY2022-23. With domestic manufacturing of vehicles and components gathering pace, imports also witnessed an uptick. 

"Going forward, I am optimistic that the current fiscal year will witness another good performance from the auto components sector. Further, with growth in consumption of EVs, we are witnessing fast transformation of the auto components sector to be an integral part of the EV manufacturing supply chain. The components industry is making steady investments as also acquiring technology companies. For medium to long term outlook, we need to be wary of the Automotive Component Manufacturers Association of India impending recession in Europe and the US as also the supply chain issues which are not fully behind us."

The aftermarket sector in H1 2022-23 witnessed a growth of 8 per cent at Rs. 42,007 crore or USD 5.4 billion from Rs. 38,895 crore or USD 5.3 billion in H1 2021-22.