Growing Capabilities of Indian Auto Component Industry & Its Sustainability

Automotive Component Manufacturers Association of India

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Contents

1 2 3 4 5

The Indian Economy The Automotive Industry Auto Component Industry of India Capabilities & Challenges of Component Suppliers About ACMA

India: A Vibrant Economy

1. 2. 3. 4. 5. 6. 7. 8.

Largest Democracy 1.2 billion people, Growing Middle Class 4th largest GDP (PPP) and 10th largest GDP (Nominal, USD 1.5 trillion) One of the fastest growing economies - Estimates for 2011-12: 8% 3rd largest investor base in the World Robust Legal and Banking Infrastructure Demographics Advantage Youth driven economy Suburbanization & Rural to Urban Migration 2nd largest pool of Certified Professionals and highest number of Qualified Engineers in

the world

Contents

1 2 3 4 5

The Indian Economy The Automotive Industry Auto Component Industry of India Capabilities & Challenges of Component Suppliers About ACMA

Auto Investments & Their Spread

WEST
New Hub : Uttaranchal

NORTH

EAST

SOUTH

Large number of Indian & Global OEMs across the country Large number of Indian & Global OEMs across the country

Vehicle Industry Projected Growth

Domestic vehicle production (000 units)

5,700 2,823

9,700 10,800

33,100 24,200 36,300 12,780

1,800 2,000

1,200 390 PVs SCV/LCVs 330

800 580 900

1,100 1,200

525

810

170 47 100 190

M&HCVs

2W&3Ws

Tractors

Construction equipments*

2010

2015(E)

2020(E)

Contents
1 2 3 4 5

The Indian Economy The Automotive Industry Auto Component Industry of India Capabilities & Challenges of Component Suppliers About ACMA

Auto Component Industry Profile

Turnover
120 100 80
USD billion

113*
CAGR 2007-11: 14.6% CAGR 2011-21: 11%*

66.3*

60 40 20 0 2007-08 2008-09 2009-10 2010-11 2015-16 2020-21

Figures for financial year April to March (* Estimates)

39.9 26.5 23 30.1

Comprehensive Product Range

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Auto Component Industry Profile

Exports
CAGR 2007-11: 11%
USD billion

CAGR 2011-21: 18.8%* *

Export Destinations

Figures for financial year April to March (* Estimates)

OEM/Tier 1 account for 80%; Aftermarket for 20%

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Auto Component Industry Profile

Imports
40 30
USD billion

35*
CAGR 2007-11: 11% CAGR 2011-21: 15.2%*

20 10 0 2007-08 2008-09 2009-10 2010-11 6.2 6.8 6.5 8.5

17.5*

2015-16

2020-21

Figures for financial year April to March (* Estimates)

Sources of Imports

1010

Increased Component Outsourcing from India

Indian Components already Driving on your Roads Indian Components already Driving on your Roads

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Contents
1 2 3 4 5

The Indian Economy The Automotive Industry Auto Component Industry of India Capabilities & Challenges of Component Suppliers About ACMA

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Indian Auto Component Industry Focus: Global Best Practices

Focus on Quality Industry fast embracing modern shop-floor practices:
5-S; 7-W Kaizen TQM TPM 6 Sigma Lean Manufacturing

Deming Award - 12

Japan Quality Medal - 1

TPM Award - 15

Shingo Silver Medallion - 1

JIPM - 3

Largest no. of Deming Award winning companies outside Japan

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Indian Component Industry Development Capability

During the development process, Tata Motors asked suppliers to think out of the box and innovate products and process design. This approach has resulted in 37 patents being filed to cover innovations in the car and has given Indian Engineers a canvas to showcase their skills and capabilities.

Hyundai i20, Made in India with European Design feel Hyundai exported 286K cars last year with a focus on Europe

Indigenization levels for high volume cars are at 80-90%

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Some Design & Research Centers in India

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Challenges India is Committed to Address

1 2 3 4 5 6 7

Infrastructure Deficit Talent Crunch Scaling-Up the industry Access to World-class Technology and Quality Practices Remaining cost competitive Access to and availability of cost-effective capital Trade Policy

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Contents
1 2 3 4 5

The Indian Economy The Automotive Industry Auto Component Industry of India Capabilities & Challenges of Component Suppliers About ACMA

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Introduction
Automotive Component Manufacturers Association of India
Role An apex agency of the Indian Automotive Industry

auto component output in the organized sector

600+ companies forming majority of the

Members

Quality System

ACMA operates on Quality System based on ISO 9001:2008

As Automotive Component Manufacturers Association of India in the year 1982

Re-Christened

Inception In the year 1959 as The All India Automobile & Ancillary Industries Association (AIA & AIA)

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ACMA and Its Services

Promotes Indian Automotive Component Industry

Trade Promotion

Technology Up-gradation

Quality Enhancement

Collection & Dissemination of Information

Vital Catalyst for Industrial Development

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International Business Development

Promote India Promote India as a Brand as a Brand Organize Business Organize Business Development Delegation Development Delegation Overseas Overseas

Undertake Export Undertake Export Promotional Promotional Projects Projects

Organize Participation Organize Participation in Overseas in Overseas Automobile Automobile Exhibitions & Fairs Exhibitions & Fairs

Global Interaction Global Interaction through through Counterpart Association Counterpart Association

Facilitate potential Facilitate potential Business Partnership of Business Partnership of JV / Strategic Alliance JV / Strategic Alliance

Organize Private Organize Private Exhibitions & Exhibitions & Suppliers Conference Suppliers Conference

Providing Providing International International Sourcing Forums Sourcing Forums

Working closely Working closely with IPOs in India with IPOs in India

Dissemination of Dissemination of Export Enquiries Export Enquiries

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7th to 11th January 2012 Pragati Maidan, New Delhi

Be a part of it

Thank You
for any assistance contact
ACMA The Capital Court, 6th Floor, Olof Palme Marg, Munirka, New Delhi 110 067 Tel: 011-26160315, Fax: 011-26160317 E-mail: acma@acma.in, Website: www.acmainfo.com

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