The Indian automobile industry is one of the prime movers of the manufacturing sector and a significant driver of macroeconomic growth, technological development and the Make in India initiative. It aims to increase vehicle exports by five times and is projected to be the world’s third-largest automotive market in terms of volume by 2026. According to the Grant Thornton Bharat Auto Bytes report, the industry is poised to receive an impetus from the total budgetary allocation of INR 3300.06 crore for the financial year 2022-23 towards the Ministry of Heavy Industries.
Saket Mehra, Partner and Automotive Sector Leader, Grant Thornton Bharat says, “To meet the future needs of customers (including the electrical vehicles) and stay ahead of the competition, Indian manufacturers are now catching up on upgradation, digitisation and automation. The promotion of exports has consistently been part of the OEMs’ business strategies for better utilisation of installed capacities. Companies which have had partnerships with foreign players or received FDI have benefitted in terms of engagement in global value chains (GVCs).”
Auto Bytes May 2022 delves deep into the automotive industry’s readiness towards going local and making investments