Auto Component Manufacturers
The next big thing to happen in India after software, textiles, pharmaceuticals and BPO would undoubtedly be the auto component manufacturing industry.
The global automotive component manufacturing industry is estimated to have a market size of around $1trillion. Ford Motors, Delphi Corporation, Caterpillar, Cummins, International Truck and Engine Corporation and last but not the least General Motors (GM) are some of the leading global automobile components manufacturers of the world. With importations of components worth $69 billion a year, the US stands at the top of all the auto component markets the world over.
Auto Component Manufacturing Hubs
The main automobile components manufacturing hubs in India are situated in Chennai, Pune and Gurgaon. The magnitude of the Indian auto component manufacturing industry stands at Rs 25,000 crore ($5 mn approx.). Though relatively small, the Indian automotive component manufacturing industry due to a huge talent pool of skilled automotive engineers and access to the latest technologies has a great potential to emerge as a big player in the near future.
Used Car Component Manufacturers:
Those customers eager to buy used cars can revamp their car with used car components. Used car components include Engine Parts, Steering Parts, Suspension and Brake Parts and Electrical Parts. There are a number ways to sell a used car i.e. through car owners, car dealerships, car agents, car rental companies at nominal rates.
According to the Automotive Component Manufacturers' Association of India (ACMA), the domestic Indian auto component manufacturing industry is heading for a whopping 18% growth in the coming years compared to the export market which is estimated to reach $2.7 bn by the year 2010.
Lacking the required infrastructure, the Indian auto component manufacturing industry falls way behind the major global players in terms of production capacities. Due to this fact, it also lags behind other nations in getting large manufacturing orders. Or even if it manages to get one, it ranges below the $100 mn mark, which is considered a mere figure as per the automotive industry standards. Though striving to better its standards, the Indian auto component manufacturing industry has registered a robust growth in the recent past. The three main factors providing impetus to this industry are the ever increasing domestic automobile industry (two-wheelers, commercial vehicles and passenger cars), the aftermarket sales and servicing industry and the outsourcing of component manufacturing to India and China by the global titans to cut down on their cost of productivity and thereby laughing all the way to the banks. To improve upon the auto component industry in India, the need of the hour is to focus on its competitiveness, learn the best manufacturing practices, be quality conscious and at the same time inculcate a prompt delivery culture.