India's Auto Component Sector Targeting $100 Billion in Exports by 2030: Commerce Minister

Commerce Minister Piyush Goyal is optimistic that India's auto component sector will achieve $100 billion in exports by 2030. He highlighted India's potential as a global leader while urging industry leaders to leverage the Anusandhan National Research Foundation fund and focus on new-age technologies like electric vehicles and industrial smart cities.

Commerce Minister Piyush Goyal expressed confidence that the auto component sector will reach the $100 billion export target by 2030, marking it as one of the nation's largest job creators. His remarks came during the annual session of the Automotive Component Manufacturers Association of India (ACMA) held in the national capital on Monday.

Reports indicate that auto component exports for 2023-24 amounted to $21 billion. Goyal emphasized that as India climbs to the third-largest economy globally in terms of GDP, the auto sector must also aim to become a world leader, moving beyond its current status as the third-largest auto market.

The minister urged industry leaders to develop a roadmap to achieve this target, combining organic growth with global outreach and technological advancements. He highlighted the importance of research and development (R&D) and encouraged the use of the Rs 1 lakh crore Anusandhan National Research Foundation (ANRF) fund to support public-private academia partnerships in the auto sector.

Goyal noted that India's auto sector is well-positioned to attract foreign investment and advised exploring opportunities from EFTA countries. He also emphasized the importance of new-age technologies like electric vehicles (EVs) and their ecosystems, as well as emerging sectors like bicycles. He invited industry members to utilize the government's recent 'industrial smart cities' initiative for development and export promotion.

The minister called on the industry to become indigenous suppliers and manufacturers to bolster their export capabilities. Highlighting the advantage of India's 1.4 billion aspirational citizens, he stated that the domestic market offers a significant opportunity to achieve economies of scale.

Goyal also urged stakeholders to educate customers, particularly commercial vehicle owners, on the benefits of using original equipment manufacturer (OEM) products for their cost-effectiveness, quality, and longevity. Union Minister of State for Commerce and Industry Jitin Prasada, who also attended the event, encouraged the sector to promote exports and create more jobs within the country.

(With inputs from agencies.)