India’s automobile sector is valued at ₹9.2 trillion (2023-24), contributing 7.5% to GDP and 50% to manufacturing GDP.
Why Invest in the Automobile Sector
- Growing Market: Set to become the third-largest by 2030.
- Government Support: FAME scheme accelerating electric vehicle adoption.
- Technological Advancements: Innovation in EVs, autonomous, and connected vehicles.
Incentives & Schemes
- PLI Scheme: ₹26,000 crore for manufacturing and exports.
- FAME II Scheme: ₹10,000 crore for electric vehicle growth.
- Scrappage Policy: Encourages replacing outdated vehicles.
Highlights
- Strong Manufacturing Base: India is a global leader in automobile production.
- Growing Exports: Competitive costs drive India's position as an export hub.
- Cleaner Vehicles: Initiatives like FAME II promote EV adoption.
- Sustainability: Focus on hybrid and alternative fuel technologies.
Automobile Sector Data
| Category |
Details |
| Registered Vehicles |
326+ million (FY 2020) |
| Two-Wheeler Sales |
17.97 million units (FY 2024) |
| Passenger Vehicle Exports |
577,875 to 662,891 units (Apr 2022 - Mar 2023) |
| Production Capacity Forecast |
6.8 million units (2023) to 10 million by 2031 |
| Market Size Projection |
$121.5B (2024) to $247.4B by 2033, CAGR: 7.13% |
| Electric Vehicle Market |
Projected CAGR of 49%, reaching $150 billion by 2030 |
| FDI in Automobile Sector |
Over $25 billion in cumulative FDI since 2000 |
| Automobile Employment |
37 million people employed |
| Exports |
$23.3 billion in 2023 |
| OEMs in India |
20+ major OEMs with production plants in India |
