Auto Components

AUTO COMPONENTS:

* Indian auto component industry is robustly driven by the growth in demand for automobiles. The sector has become a lucrative business proposition for global players, majorly owing to two factors. First, the demand for automobiles is increasing day by day in the country. India, a market with high potential for the automobiles sector, is expected to witness a three-fold increase in demand for automobiles by 2020. Secondly, all major global auto-makers are establishing their bases here due to highly positive business environment, favorable policies and government support.

* The auto component industry can be segmented on the basis of the production of component types as below:

* Engine Parts

* Drive Transmission and Steering Parts

* Suspension and Brake Parts

* Electrical Parts

* Equipments

* Other Parts

* According to a recent study by the Automotive Component Manufacturers' Association of India (ACMA), the current size of Indian components business is US$ 39.9 Billion for the year 2010-11.

* The Indian auto component industry is widespread and highly fragmented. According to ACMA, a large market in Indian spares business is dominated by organized, semi-organized and a number of small, unorganized players. The number of production units in the unorganized sector (5800) outnumbers those in the organized one (600).

* Some of the major players in the Indian automotive market are – Jay Bharat Maruti, Rico Auto, Asahi India, Sona Koyo, Subros, Amtek Auto, Bharat Forge, Omax Autos, Motherson Sumi, Lumax Industries, Federal-Mogul, etc. There are different industry players in different segments of auto component industry; hence it is difficult to provide the shares, prices etc of all of them.

* The Indian auto component industry has kept pace with technological developments and is today catering not only to OEM and Tier I auto makers in India but abroad as well. Many Indian auto part makers have today also...