Airbag industry in India to grow

29 Dec 2022 CW Team

According to ratings agency Icra, India's market for airbags, a crucial automotive safety component, is predicted to increase from its present levels of roughly 25,000 million to up to 70,000 million by FY2027.

Icra said in a statement that the increase in content per vehicle brought on by stricter regulatory requirements and the voluntary increase in the number of airbags per vehicle for the purpose of enhancing safety are expected to fuel the growth of the airbag industry, one of the fastest growing auto component segments.

Icra noted that the cushion and other components make up the remaining 50% of the cost of an airbag, with the inflator making up the remainder.

Due to a lack of suitable volumes and indigenous technological capacity, the sector now imports 60–70% of its components, mostly from foreign parents or joint venture partners.

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