India's automobile exports rise 24% in 2025, driven by robust demand
- IBEF
- January 19, 2026
India’s automobile exports increased by 24% in calendar year 2025, reflecting strong global demand and the growing competitiveness of the country’s automotive manufacturing base, according to data reported by The Economic Times. The increase was driven by higher export shipments across multiple vehicle categories, including passenger vehicles, two-wheelers, and commercial vehicles, as Indian automobile manufacturers expanded their presence in diversified overseas markets and benefited from improving supply chain stability. Industry executives cited rising demand from regions such as Africa, Latin America, and parts of Asia, along with increasing acceptance of vehicles manufactured in India in developed markets. The growth in automobile exports also underscores the sector’s ability to scale production efficiently and maintain cost competitiveness, even amid ongoing global economic volatility.
The sustained export momentum in 2025 was supported by increased localisation, capacity expansion, and a favourable policy environment that encouraged manufacturers to strengthen their global footprint. Automakers continued to invest in improving product quality, meeting international safety and emission standards, and expanding model offerings to cater to diverse market requirements. The growth in automobile exports underscores India’s emergence as a key global automotive hub, with rising shipments contributing to higher foreign exchange earnings and improved trade performance. Industry stakeholders noted that continued demand from overseas markets, along with investments in electric vehicles and advanced manufacturing technologies, is expected to support export growth in the coming years. The strong performance in 2025 also reflects the resilience of the automotive sector and its role as a significant contributor to India’s manufacturing output and external trade.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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