ACMA’s 65th Annual Session highlights supply chain resilience

The day-long program featured participation from Nitin Gadkari, Minister of Road Transport & Highways; H.D. Kumaraswamy, Minister of Heavy Industries & Steel; Piyush Goyal, Minister of Commerce & Industry and H.E. Maros Sefcovic, European Commissioner for Trade and Economic Security, alongside leading industry executives from India and abroad.

In her opening address, Shradha Suri Marwah, President, ACMA & Chairperson & Managing Director, Subros Ltd., emphasised the industry’s resilience in the face of global volatility: “India’s auto component sector expanded beyond $80 billion in FY25, with exports crossing $23 billion — a testament to our growing reputation as a trusted global partner. Yet the road ahead demands greater resilience as we navigate geopolitical headwinds, technology disruption, and sustainability imperatives. With initiatives such as the ACMA Mobility Foundation and the government’s strong policy support, I am confident that India will emerge as a globally competitive hub for mobility components.”

A key highlight of the session was the release of the ACMA–McKinsey Study on ‘Shaping the Future of India’s Auto Component Industry amid Global Trade Shifts.’ The study projects the industry to reach USD 200 billion by 2030, driven by robust domestic demand, an expanding export footprint, and opportunities in both traditional ICE components and next-generation EV and connected solutions. It also flagged risks from tariffs, carbon taxes, and concentrated reliance on imports of rare earths and semiconductors

Launching the study, H.D. Kumaraswamy noted the government’s strong policy push: “Bold reforms such as the PLI scheme have already attracted over Rs 29,500 crore in investments and created more than 45,000 jobs, far exceeding expectations. With the PM-eDRIVE programme giving a timely boost to e-mobility - from two- and three-wheelers to electric buses and trucks - we are ensuring clean mobility becomes accessible to all. The government remains committed to creating an ecosystem of resilience, innovation, and competitiveness that will establish India as a global leader in mobility supply chains.”

The exclusive leadership fireside chat and panel discussions that followed brought industry and policy insights into sharper focus, with participants from McKinsey & Company, Sona Comstar, Switch Mobility, VW Group India, Hero MotoCorp, Infineon Technologies, Brakes India, Bosch India, and ZF India highlighting strategies to de-risk supply chains, localize critical technologies, and enhance competitiveness.

At the valedictory session, Nitin Gadkari underlined the long-term vision: “Our goal is to make India the world’s leading hub for smart, safe, sustainable, and affordable mobility by 2030. With wider adoption of clean fuels such as electricity, ethanol, hydrogen, biofuels, LNG, and CNG, alongside advances in technology and innovation, we can build a cleaner and more competitive future. The government will continue to back the industry with reforms, incentives, and infrastructure to strengthen domestic manufacturing, boost exports, and create jobs.”

Piyush Goyal reaffirmed India’s growing role as a trusted global partner: “As global trade undergoes disruption, India and the EU are working towards a fair and balanced Free Trade Agreement that will strengthen our partnership for decades. The auto industry, as a torchbearer of Make in India, must now aim higher - driving innovation, resilience, and global competitiveness. The reduction of GST on auto parts to 18 percent is one such step to formalize supply chains and support growth, ensuring this sector continues to power India’s economic progress.”

Adding a global perspective, Sefcovic stressed the growing importance of India - EU collaboration: “As India’s largest trading partner, the EU already supports millions of jobs and $140 billion in trade. By combining Europe’s strengths in technology with India’s manufacturing scale, we can build resilient supply chains, drive innovation in next-generation vehicles, and advance our shared climate goals. A balanced Free Trade Agreement will be a win-win, unlocking greater market access, high-value investments, and new technologies for both regions.”

The Annual Session witnessed participation of over 1,200 delegates, including senior government functionaries, OEMs, component manufacturers, global suppliers, diplomats, and key stakeholders - underscoring ACMA’s role as the voice of India’s auto component industry and its growing relevance in international dialogues.