Auto Components Up 6.8 Per Cent In H1 FY26

20 Jan 2026 CW Team

India’s auto component industry grew 6.8 per cent year-on-year to Rs 3.56 trillion (USD 42.7 billion) during April–September FY26, compared with Rs 3.33 trillion (USD 40.0 billion) in the same period last year, according to the Automotive Component Manufacturers Association (ACMA). The expansion was supported by steady domestic demand, a resilient aftermarket and continued investment in capacity, localisation and technology upgrades.

Sales to OEMs rose 7.3 per cent to Rs 3.04 trillion (USD 36.5 billion), driven largely by passenger vehicles and light commercial vehicles. The aftermarket posted robust 9 per cent growth to Rs 531.6 billion (USD 6.4 billion), aided by a rising vehicle parc, greater formalisation in repairs and deeper penetration of organised service networks.

On external trade, component exports increased 9.3 per cent to USD 12.1 billion, while imports climbed about 12.5 per cent to USD 12.3 billion, resulting in a trade deficit of USD 180 million versus a USD 150 million surplus in H1 FY25. ACMA noted that export gains came despite global supply-chain disruptions, raw material cost pressures and weaker demand in key markets. The US and Germany remained leading export destinations, while China, Japan and Germany were the primary import sources.

Electric vehicles accounted for 4.6 per cent of total OEM supplies, highlighting the sector’s gradual shift towards new mobility. ACMA Director General Vinnie Mehta said the industry’s H1 FY26 performance reflects the strength of India’s automotive ecosystem, with growth across OEM and aftermarket segments. Although imports rose faster than exports, he added that manufacturers are responding through deeper localisation, capacity expansion and stronger collaboration as they prepare for the next phase driven by emerging mobility technologies.

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