India’s automotive industry is currently valued at USD 222 billion and is expected to reach USD 300 billion by 2026. It accounts for 8% of the country’s total exports and 7.1% of GDP. With 100% FDI allowed for the industry under the automatic route, it was the second largest FDI attracting industry in the country, accounting for 15.8% of total FDI between 2021-22.

As the industry pivots towards sustainable mobility steered by government focus, the EV (projected to grow at a CAGR of 49% between 2022-2030) and alternative fuel technology markets, such as green hydrogen cells, clean energy and mobility solutions are expected to attract immense investor interest. Additionally, as per IEA, this transition to clean energy- including renewable batteries, green hydrogen, and other clean technologies is expected to create a market of USD 80 billion in India by 2030- out of which USD 19 billion (~24%) is expected to be attributable to green hydrogen.

Industry insights

Our team of industry experts bring diverse perspectives, technical expertise and a commitment to excellence.

Global presence

We assist in leveraging international markets through our extensive global network.

Defining strategy

Our experts help you strategise and implement business plans to ensure sustainable growth.

Transformation consulting

Transformation consulting

1.
Problem statement
The client was an apex body representing the interest of the Indian auto component industry, having a member base of more than 800 manufacturers contributing >85% of the auto component industry’s turnover in the organised sector.
2.
Our Solution
Basis our initial hypothesis, extensive primary (OEMs, auto component manufacturers, and industry associations) and secondary research was conducted that enabled us to baseline the relevant product categories.
3.
Impact
This engagement explored the relevance of various automotive electronic products in the Indian market, considering current regulations and demand trends.
Tax, regulatory, and finance consulting

Tax, regulatory, and finance consulting

1.
Problem statement
The client was a multinational auto component group with over 100 years of experience in operations, extensively focused on green technology and energy conservation systems.
2.
Our Solution
The approach included steps such as understanding the scheme and eligibility of the clients’ products for the incentive under the scheme, understanding the eligibility of expenditure on fixed assets for its consideration as an eligible...
3.
Impact
Our outreach activities with the ministry officials, coupled with prior experience in similar schemes, helped the client immensely.
Risk consulting

Risk consulting

1.
Problem statement
The client was a leading Tier-I supplier of auto components and solutions to original component manufacturers (OCMs) globally. They required coverage of all business verticals once a year for internal audit as against once in two years,...
2.
Our Solution
We focused on smart collaboration by forming a team with representation from risk advisory, ERP advisory, technical resources, and tax professionals. This helped structure a comprehensive coverage of the scope and operations of the group....
3.
Impact
Our assistance in strengthening controls and horizontal deployment/implementation of best practices across the group resulted in consistency in business processes across various business verticals. Over the years, the client’s internal...

    Our insights

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    Automotive Dealtracker: Q1 2026

    Thought leadership

    Explore M&A and investment activity in India’s automotive sector for Q1 2026, with insights on EV trends, deal activity and evolving market dynamics.

    24 Apr 2026

    Pre-Budget expectations 2026

    Follow #BudgetWithGT

    Explore Grant Thornton Bharat’s pre-Budget 2026 insights across sectors including automotive, banking, technology, infrastructure, healthcare, taxation, and investment priorities shaping India’s economic, regulatory, and policy landscape.

    01 Feb 2026

    Auto industry gets multi-layer boost in Budget 2026

    Article

    Budget 2026 outlines decisive policy shifts for India’s auto and EV sector, focusing on battery cost reduction, semiconductor localisation, cleaner logistics and stronger domestic value addition to support resilient, climate-aligned growth.

    4 min read | 01 Feb 2026
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      Our leaders

      Saket Mehra

      Partner and Auto & EV Industry Leader
      Gurugram  Office
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      Sumeet Abrol

      Partner and Deals Lifecycle Leader
      Gurugram  Office
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      Sridhar V.

      Partner, Due Diligence
      Chennai  Office
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        Our resources

        Driving change

        Enhancing road safety through technology and partnerships

        The report highlights the need for AI-driven traffic monitoring, improved infrastructure, vehicle safety, and strict enforcement to reduce road accidents.