The auto component association also released a study, conducted by McKinsey & Co, on the theme of “Auto component industry in India: Preparing for the future” on the occasion
Automotive Component Manufacturers Association of India (ACMA) hosted its 58thAnnual Session in New Delhi on September 5, 2018. During the annual session, ACMA’s study conducted by McKinsey & Co on the theme of “Auto component industry in India: Preparing for the future” was released by the Chief Guest, Anant Geete, Minister for Heavy Industries and Public Sector Enterprises. The study reveals that there are tremendous opportunities that await the auto component industry in India on the back of the growing vehicle consumption in India on one hand and the introduction of next generation mobility on the other. In line with the global trend, autonomous, connected, electric and shared mobility (ACES) will also impact the dynamics of the Indian automotive industry and the opportunities in this space are contingent to Indian auto component industry scaling up on the technology front.
Nirmal Minda, President, ACMA, commented, “The auto and auto component industry, globally and in India, is undergoing a transformation across its entire supply chain; several factors such as new regulations on emission, safety & environment, fast changing customer preferences, shifting economic dynamics and trade policies are reshaping our industry. The case globally, e-mobility is fast catching the imagination of our policy makers; a definite policy delineating the road map for e-mobility in India is therefore the need of the hour. We are confident that as hybrid and electric technologies gains traction, vehicle manufacturers will support localisation of components.”
To reduce excess dependence on fossil fuels, the Government of India is exploring various means including alternatives fuels (bio-fuels, etc) and electric vehicles. To bolster this efforts, automotive industry must focus on developing next generation engines, said Nitin Gadkari, Minister of Road Transport and Highways, Government of India, at
He explained, “Our government is driving the agenda of promoting innovation, entrepreneurship, technology and research. The government is working towards various kinds of alternative fuels as an effort to reduce carbon footprint by introducing first generation bio ethanol. The industry should come forward to develop the technologies to power the new generation engines.”
According to Nitin Gadkari, the government is actively pursuing the policy of substituting imports and boosting exports to strengthen the economy. “I am pleased to see the auto component industry perform remarkable in turnover and exports. I believe there are immense possibilities for this sector to grow further,” he said.
According to Anant Geete, the automotive industry is the top contributor to the Government of India’s Make in India initiative and has accounted for maximum investments under the program. “Going forward, we would be framing the auto policy in accordance with the current state of the automotive industry and demands of the future. I assure the Ministry Of Heavy Industries will support the industry to resolve all issues and concerns,” he added.
Speaking on the future, Suresh Prabhu, Minister for Commerce & Industry and Civil Aviation, Government of India, said, “Government has set a vision of realising a national GDP of $ 5 trillion in next seven years with manufacturing sector accounting for $ 1 trillion. The auto and auto component industry will contribute significantly to this growth.”
The event also witnessed key note address by eminent leaders from the automotive industry including Kenichi Ayukawa, Managing Director, Maruti Suzuki India; Guenter Butschek MD and CEO, Tata Motors; Minoru Kato, President and CEO, Honda Motorcycle and Scooter India; Rakesh Bharti Mittal, President CII & Executive Vice Chairman, Bharti Enterprises; Dr Pawan Goenka, Managing Director, Mahindra & Mahindra; Dr Abhay Firodia, President SIAM & Chairman, Force Motors; and Ram Venkataramani, Vice President ACMA & MD, IP Rings.