Indian auto components industry grew 6.8% in Apr-Sept FY26
- IBEF
- January 15, 2026
The Indian auto component industry remained composed during the first six months of FY26, with continuous growth, expanding by 6.8% from last year, reaching Rs. 3.56 lakh crores (US$ 40.0 billion) during the period from April to September, up from Rs. 3.33 lakh crores (US$ 37.4 billion) during the first half of FY25. It remained primarily due to the increased sales in the domestic market, resulting in an increase in revenue. OEM sales increased by 7.3% to Rs. 3.04 lakh crores (US$ 34.2 billion), led by the passenger vehicles, LCV, and other categories. This is supplemented by the healthy growth in the aftermarket segment, which registered an increase of 9% to Rs. 53,160 crores (US$ 5.97 billion), primarily due to the increased number of vehicles on the road.
Globally, exports remained positive, with a growth of 9.3% to US$ 12.1 billion in auto component exports, even as it faced challenges like increasing supply chain risks and prices. However, growth in imports, which rose 12.5% to US$ 12.3 billion, outpaced exports. Consequently, the balance of trade shrank to a minimal deficit of US$ 180 million from a surplus a year ago. Some of the key destinations of exports remained the US and Germany, while China, Japan, and Germany accounted for imports. The adoption of electric vehicles, which comprise 4.6% of overall supplies to OEMs, is expected to mark a transition toward new mobility technology.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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