in India The Indian automotive components industry - Teknikföretagen

International trade scenarioExportsAs global OEMs and Tier 1 companies have identified India as a leading countryfor sourcing their automotive components for their global production, the exportscenario in the industry is quite optimistic. Between 2003–2004 and 2006–2007 theautomotive components industry has more than doubled its exports. In the year2006–2007 alone, the industry achieved a growth rate in exports of 15 per cent.Not only is the growth of exports impressive, the fact that exports are made to mostof the western countries is demonstrative of the fact that automotive componentsbeing manufactured in India are of high quality. 22DESTINATION OF Components EXPORTS ARE MAINLY EUROPE AND NORTH AMERICAThe table below is representative of destinations of exports as of 2006–2007.North America 26.9 %Asia 12.4 %Africa 10.8 %Europe 38.7 %Middle East 7.1 %South America 2.8 %Oceania 1.2 %Others 0.1 %Source: Automotive Components Manufacturers Association (2007)USA is the biggest market for international trade and is the world’s largest importerof automotive components. Countries like Brazil and Mexico have reaped rich benefitsof being in close proximity to USA. However, India, China and Thailand havealso been trading with USA, and more trade with USA in future will be a big driverfor growth in the automotive industry.22) Reference has been made to Ministry of Heavy Industries and Public Enterprises (2006b) and Ministry of HeavyIndustries and Public Enterprises (2008)19