The report warns that automakers and suppliers must change how they work together to meet the challenges of the coming decade, especially with the shift to electric vehicles (EVs).
Delhi NCR [India], June 11: Minda Corporation Limited ("Minda Corp" or the "Company"; NSE: MINDACORP, BSE: 538962), the flagship company of the Spark Minda Group, today announced a Joint Venture with Japan-based Toyodenso Co. for Advance automotive switches for the Indian market.
The Indian automobile industry is expected to face disruptions following China's decision to tighten export controls on rare earth elements (REEs), which are critical in manufacturing chips used in automobiles, according to a report by Emkay Research.
The Indian auto sector will witness a low single-digit growth in the Financial Year 2026 (FY26E) for commercial vehicle (CV) players, said a report by Axis Security.
According to Hyundai, setting new benchmarks for the SUV segment in the country, CRETA also maintained its leadership as India's best-selling SUV from January - April 2025, with a cumulative sale of 69,914 units.
The rating agency estimates that the tariff-related impact could erode operating profits by Rs2,700-4,500 crore, equivalent to 10-15 per cent of the operating profits of auto component exporters and 3-6 per cent of the overall industry's operating profits.
As more consumers in India opt for higher-end vehicles and premium features (like sunroofs, ADAS, etc.), the demand for advanced and higher-value auto components will see a sustained growth, said a report by Ambit Capital.
Speaking exclusively to ANI, Ajai Sahai, Director General and CEO of FIEO, said car exports to the US are insignificant, so it won't have much impact on Indian automakers.
The auto component industry in the country is facing export challenges due to the ongoing overhang of tariffs by the USA. In addition, currency depreciation has led to demand weakness in a few Middle Eastern countries and a major slowdown in the European region, says a report by DAM Capital
India's electronics sector has experienced rapid growth in recent years, with production increasing at a compound annual growth rate (CAGR) of 15 per cent from FY16 to FY24, reaching USD 115 billion.
Revenue in the Indian auto component industry is expected to expand by 8-10 per cent in the upcoming financial year 2025-26, according to rating agency ICRA.
The Indian automobile industry is witnessing a remarkable transformation, with electric vehicles (EVs), flex-fuel models, and CNG-powered vehicles taking center stage in recent launches.