STATUS OF THE INDIAN

AUTOMOTIVE AND
AUTO-COMPONENT
INDUSTRY
 INDIAN AUTO INDUSTRY :
MAJOR CONTRIBUTOR TO THE ECONOMY

10
in US $’000 Mln
Industry Output

0.47

Auto Finishe d Stee l Electronics Software

• It is large in size compared to other ‘priority’ industries

• Has great employment potential
• Has strong backward (component, basic material) and forward
linkages (Insurance, Financing, Oil Industry & Roads)
• Contributes 17% of the total indirect taxes collected by the
exchequer & is a driver of product and process technologies.
Source: A T Kearney Study, 1998
 RANGE OF VEHICLES MADE IN INDIA

I n d ia n A u t o m o b ile I n d u s t r y

T h r e e W h e e le r s M u lt i U t il ity C o m m e r c ia l P a sse n g e r T w o W h e e le r s
V e h ic l e s V e h ic le s C ars

M o to r C y c le s S c o o te r s M opeds
P a sse n g e r G oods
C a rrie rs C a rrie rs
 Passenger Cars “Made in India”
Engine Manufacturer Model
Displacement (cc)
 999 cc Daewoo Motors India Ltd Matiz (World Car)
Hyundai Motors India Ltd. Santro (World Car)
Maruti Suzuki 800
Zen
(LX/VX/AT/VXi
PS/Classic)
ALTO LX

1000 cc to  1300cc FIAT India Automobiles Ltd. UNO (EL/ELX)

Palio (World Car)
Siena (ED/EL/ELX SP)

Ford India Ltd. Ikon (CLXi/EXi/CLXi/PAS)

Maruti Suzuki Wagon R/ALTO (VX)/Esteem

(LX, VX,AX), Baleno, Versa
Contd..
 Passenger Cars “Made in India”
Engine Manufacturer Model
Displacement (cc)
1300cc to  1600cc Daewoo Motor India Ltd. Cielo
Nexia

FIAT India Automobile Ltd. Siena (ELX PS/Weekend

ELX SP PS)

Ford India Ltd. Ikon (World Car)

(ZXi, SXi)

Hindustan Motors Ltd. Ambassador Nova

Mitsubishi Lancer
(GLXi/SLXi/SFXi)
Contd..
 Passenger Cars “Made in India”
Engine Manufacturer Model
Displacement (cc)
1300cc to  1600cc Honda Siel Cars India Ltd. City (LXi/Exi/VTEC)
Accord
Hyundai Motors India Ltd. Accent (GLE/GLS/GLX
/DLS)

Maruti Suzuki Zen (D)

Baleno (Baleno/Altura)

General Motors India Ltd. Opel Astra

(AdvantagePetrol/
GLi/Club)
Corsa
(GL/GLS/GSI/Royale
Swing
Contd..
 Passenger Cars “Made in India”
Engine Manufacturer Model
Displacement (cc)

1300cc to < 1600cc Tata Engineering & Indica

Locomotive Company Ltd. (PC/LEi/LSR/LXi/DL/
DLE/LSR DLS/DLX)

 1600cc Fiat India Automobiles Ltd. UNO (EL)

Siena
(ELPS/ELX PS/
Weekend ELX/ELX SP)
Ford India Ltd. Ikon (ZXi)

Hyundai Motors India Ltd. Sonata

Contd..
 Passenger Cars “Made in India”
Engine Manufacturer Model
Displacement (cc)
 1600cc Hindustan Motors Ltd. Ambassador
(1800/2000 DSL)
Contessa
(Classic GLX/DL)
Mitsubishi Lancer
(SLX)

General Motors India Ltd. Opel Astra

(Advantage Diesel/TD/
GLD/Club Diesel)
Opel Corsa
Opel Swing

Mercedes-Benz India Ltd. Mercedes-Benz

(E 240/E 220/ S 320 L)
 VEHICLE PRODUCTION

PASSENGER CAR PRODUCTION

700000 (in Nos.)
600000 574369
500000 348146 401002
400000 507306
300000 407539 390355
200000
100000
0
1995-96 1996-97 1997-98 1998-99 1999- 2000-01
2000
 VEHICLE PRODUCTION

JEEPS/MUVs PRODUCTION
(in Nos.)
160000
140000 134594 113440 125938
120000
134613
100000 124310
80000 67643
60000
40000
20000
0
1995-96 1996-97 1997-98 1998-99 1999- 2000-01
2000
 VEHICLE PRODUCTION

M & HCVs PRODUCTION

(in Nos.)
160000
140000 129731
120000 152185 114068
100000 88185
80000
60000 95895 80452
40000
20000
0
1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01
 VEHICLE PRODUCTION

LCVs PRODUCTION
(in Nos.)
140000
120000
100000 129417
80000
65069
61213 63869
60000 85069
40000 55371
20000
0
1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01
 VEHICLE PRODUCTION

MOTORCYCLES PRODUCTION
2500000
(in Nos.)
2000000
2183430
1500000 1794093
1125958
1000000
809097 1387276
500000 988709
0
1995-96 1996-97 1997-98 1998-99 1999- 2000-01
2000
 VEHICLE PRODUCTION

SCOOTERS PRODUCTION
1400000
(in Nos.)
1200000 1259408
1322928 1279549 1315055
1000000 1225895
800000
600000 879707
400000
200000
0
1995-96 1996-97 1997-98 1998-99 1999- 2000-01
2000
 VEHICLE PRODUCTION

MOPEDS PRODUCTION
740000
(in Nos.)
720000
700000
668666 672167 724510
680000 694974
660000
640000 667242
620000
600000 623114
580000
560000
1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01
 VEHICLE PRODUCTION

3 WHEELERS PRODUCTION
(in Nos.)
250000

200000 190259
161679 221679 234867 209033
203234
150000

100000

50000

0
1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01
 VEHICLE PRODUCTION

TRACTORS PRODUCTION
300000
(in Nos.)
256254 257112
250000
191311 253850
200000
225525 231292
150000

100000

50000

0
1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01
 ENVIRONMENT - FRIENDLY VEHICLES

=> CURRENTLY CONFORMING TO EURO 2

NORMS -- CALLED BHARAT STAGE II

=> EURO 3 NORMS TO BE INTRODUCED SOON

 AUTO COMPONENT INDUSTRY
VITAL STATISTICS
(1999-2000)


Key Players 402
 Investment US $ 2.3 billion
 Output US $ 4 billion
 Exports US $ 417 million
 Employment 250,000 persons
(Direct)
 GEOGRAPHICAL SPREAD
 Western Region 123
 Southern Region 91
 Northern Region 161
 Eastern Region 27
TOTAL 402

A MAJORITY OF THESE SUPPLY DIRECTLY TO

VEHICLE MANUFACTURERS
 N INDIAN AUTOMOTIVE MAP
OEMs.

SOME KEY PLAYERS DAEWOO

EICHER
- CARS
- TRACTORS
W E ESCORTS
HERO HONDA
- TRACTORS/MCYCLES
- MCYCLES
HMT - TRACTORS
HONDA - CARS
ITL - TRACTORS
S LML
MARUTI
- SCOOTERS
- CARS/MUVS
NEW HOLLAND - TRACTORS
OEMs PTL - TRACTORS
BAJAJ AUTO - SCOOTERS/MCYCLES/ SWARAJ MAZDA - LCVS
3-WHEELERS
BAJAJ TEMPO - MUVS/TRACTORS/LCVS/3-
WHEELERS NR
EICHER - LCVS/TRACTORS 160 VENDORS
FIAT - CARS
GM - CARS
GREAVES - 3 WHEELERS
GTL - TRACTORS
KINETIC - SCOOTERS/MCYCLES NORTH OEMs
M&M - TRACTORS/MUVS HM - CARS/MUVS
MERCEDES BENZ. - CARS TELCO - TRUCKS
SKODA - CARS (AWAITED)
TELCO - TRUCKS/CARS/MUVS
ER
EAST 28 VENDORS
WR
120 VENDORS
.
WEST
OEMs.
ASHOK LEYLAND - TRUCKS
FORD - CARS
HYUNDAI - CARS
MITSUBISHI - CARS
SOUTH ROYAL ENFIELD - MCYCLES
TAFE - TRACTORS
TATRA UDYOG - HCVS
TOYOTA - MUVS
TVS-SUZUKI - MCYCLES
VOLVO - TRUCKS

SR
91 VENDORS
.
INDUSTRY STRUCTURE

Turnover No. of Companies

(In $ Mln.)

<1 101
1- 10 202
10- 20 50
20- 30 21
> 30 28
 INVESTMENTS
INDIAN AUTO COMPONENT
(in US $ mln.)
2263
2500
2000
1705 1813 1850
2000
1500
1000
500
0
* Estimated
COMPONENT PRODUCTION
INDIAN AUTO COMPONENT
(in US $ mln.) 4000
3804
4000 3278
3249
3008
3000

2000

1000

* Estimated
 COMPONENT WISE PRODUCTION

• Engine Parts : 32%

• Drive & Transmission Parts : 17%
• Suspension & Braking Parts : 16%
• Electrical Parts : 8%
• Equipment : 7%
• Others : 20%
 QUALITY CERTIFICATION
INDIAN AUTO COMPONENT INDUSTRY

> 244 Companies with ISO-9000 Certification

> 11 Companies with ISO 14000 Certification

> 107 Companies with QS-9000 Certification

> 4 Company with TS 16949

> 2 Deming Prize winning companies

 EXPORTS
INDIAN AUTO COMPONENT
(in US $ mln.)
500 417
387
400 330 350
291
300
200
100
0

* Estimated
 EXPORTS
KEY OEM CUSTOMERS
GM USA
FORD USA
DAIMLER CHRYSLER USA
BMW GERMANY
AUDI GERMANY
MERCEDEZ BENZ GERMANY
VOLVO SWEDEN
ISUZU JAPAN
NISSAN JAPAN, UK
PIAGGIO ITALY
NEW HOLLAND ITALY
 EXPORTS
TOTAL NO OF COMPANIES SUPPLYING
TO OEMS / TIER 1 CUSTOMERS

Total Exporting Companies = 240

Total OEM / Tier 1 Exporters = 88

 EXPORTS
KEY DESTINATIONS
1999-2000

America Europe
27% 36%

Others
8%
Africa Asia
13% 16%
 EXPORTS
COMPONENT WISE SHARE
1999-2000
Engine & Engine Parts

Electrical Parts
24%
35%

Drive Transmission &

Steering Parts
7%
Equipments

10%
Other Parts and Accessories
19%
Suspension & Braking
1 Parts
 ADVANTAGE INDIA
KEY ADVANTAGES
 Highly-skilled and educated workforce and
primarily English-speaking Managers
 Quality conscious manufacturers
 Low-cost manufacturing base
 Partnering linkages with global supply chain
INDIA PRODUCES A 90% - 100 % LOCAL CONTENT
CAR AND EXPORTS IT WORLDWIDE AT $ 4,000
 ADVANTAGE INDIA
Excellent Source for Auto Components :
=> High Quality

=> Reasonable Price

=> Special capability in Supplying Smaller Volumes

 ADVANTAGE INDIA
Excellent Technology Base :
=> Indian Industry Widely Use Global
Technologies :
> Japanese
> European
> American
> Korean
HENCE COMPANIES CAN ACCESS MOST
INTERNATIONAL TECHNOLOGIES THROUGH JVs
WITH INDIAN COMPANIES
 ADVANTAGE INDIA
High Level of Expertise in
Global Automotive Standards :
=> Indian Component Companies are well Versed with
Most Global Automotive Standards
<> JISC
<> ASTM
<> EU
<> DIN
Others…...
CAPABILITY TO MAKE COMPONENTS AS PER
MULTIFEROUS STANDARDS
 ADVANTAGE INDIA
INDIA OFFERS ……...

Special Strengths in the Field of :

> Commercial Vehicles

> Two Wheelers

> Tractors

AND THEIR COMPONENTS

 ADVANTAGE INDIA
Excellent Manufacturing Base :
=> High Machine Tool Capability
=> Improving Tooling Capability
=> Extremely Capable Component Industry
=> Most Raw Material Locally Produced
 Little Known Facts About India
 2nd Largest Two-Wheeler Manufacturer in the World

 2nd Largest Tractor Manufacturer in the World

 5th Largest Commercial Vehicle Manufacturer in the

World

 3rd Largest Car Market in Asia - 600,000 Vehicles in 1999

Surpassed China
 Little Known Facts About India --
Indian Auto Component Industry
 2 Deming Prize Winners in the Indian Auto
Component Industry, out of the 5 in the world
outside Japan.

 GM Supplier of The Year Award Bagged 5

Consecutive Times By an Indian Company

 Ford Exports CKDs/SKDs of Ikon From India With

More Than 80% Local Content

 Fiat Plans To Source US $200 mn. Worth Of

Components From India Per Annum
 Little Known Facts About India --
Indian Auto Component Industry
 Cummins USA Is Already Sourcing Engine Parts
From India For Cummins Global Operations

 Multi National such as DELPHI and VISTEON have

started exporting components made in India to their
various other plants around the world- Investing
further to make India as a manufacturing base.

 GM is Sourcing Parts From India

 Mercedes Benz (Daimler Chrysler) Has Set Up 7

Component JVs In India For Global Sourcing Of Parts.
 Little Known Facts About India --
Indian Auto Component Industry
 Toyota MuV Made In India Is Now Being Exported to
Neighboring Countries.

 The Largest Number Of ISO/QS Certified Companies :

 More than 60% ISO Certified
 More than 26% QS Certified
 11 Companies Certified for ISO 14001
 4 Companies Certified for ISO/TS16949
 Little Known Facts About India --
Indian Auto Component Industry
• Many “World Cars” being manufactured in India :
=> Matiz (Daewoo)
=> Santro (Hyundai)
=> Ikon (Ford)
=> Palio (Fiat)

• Most Vehicles Have Greater Than 70% Locally

Produced Parts
 ACMA/ACT and Industry
Quality, Productivity and Technology development
>Training on ISO/QS 9000
> Benchmarking Services with ITC, Geneva
> Sharing of successful company experiences
 3-year Joint Project with CII for Productivity
Improvement in Component industry
 Technology Development Projects with UNIDO,
and JETRO
 Quality and Productivity Missions to other
countries
 ACMA AND INDUSTRY---
Exports and International image-building
 MoUs with counterpart organisations worldwide
 Taking Trade Delegations worldwide
 Group participation in overseas exhibitions --
Automechanika, Big I, Equip Auto, etc.
 Organising Auto Expo series of Fairs in India
 Organising Automechanika India show for the first time
 Global dissemination of information on Indian industry
 Building linkages with OEMs worldwide
 ACMA AND INDUSTRY ---

Shaping Government policy

 Interacting with Government on policy matters

 Participation in technical meetings for auto
standards
 ACMA AND INDUSTRY---

Networking with other support industries

and customers

 Interaction with suppliers of Raw Materials

 Regular dialogue with OEM customers
 Organisation of Buyer-Seller meets
 Focussed discussions with vehicle makers to
enhance local content
 ACMA IS YOUR CONTACT

AUTOMOTIVE COMPONENT MANUFACTURERS ASSOCIATION OF INDIA

The Capital Court, 6th Floor, Olof Palme Marg, Munirka, New Delhi 110 067
Tel.:+91-11-6160315, 6175873-74, 6184479
Fax: +91-11-6160317; E-Mail : [email protected]