The industry’s growth was also aided by a 76% jump in exports, a major part of which was in the US market, where total revenue stood at Rs 68,746 crore in the April-September 2021 period as against Rs 39,003 crore in the year-ago period . , And which points to a credible recovery, the industry has exceeded turnover in the first quarter of this fiscal. production Also achieved in the same period of FY 2020, the year which was not affected by the pandemic.
“Despite slowdown in vehicle sales due to supply side issues, especially in the first quarter, the auto component industry exhibited a marked turnaround in the first half of FY 2022. We saw significant growth across all sectors – supply companies, exports, as well as the aftermarket,” Vinny Mehta, Director General Automotive Component Manufacturers Association (ACMA) said. Semiconductors shortage continues to be a major concern for the industry, as the issue has resulted in massive waiting periods in the passenger vehicles category, with the pending delivery backlog estimated at seven lakh units. Sunjay Kapur, President of ACMA, said the industry is cautiously optimistic.
“Despite resurgence of demand for vehicles, supply-side issues of the availability of semiconductors, rising input costs, rising logistics costs and availability of containers, the recovery in the automotive sector continues to be hindered.” ACMA has estimated the loss of business so far to the tune of around Rs 1,000 crore to the industry due to semiconductor shortage. However, both the office bearers of ACMA said that the business prospects are likely to be better despite the challenges on the supply side. Kapoor said, “There are indications that the demand for vehicles will improve in the coming months.
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