Indian auto component exports are expected to increase by up to four times to touch USD 40 billion by 2020, according to a joint report by Automotive Component Manufacturers Association of India (ACMA) and McKinsey.
The report titled 'Capturing the global opportunity, The next imperative for the Indian auto component industry' pointed out that globalisation in the auto-suppliers industry is an irreversible trend and is likely to increase.
It added Indian suppliers are well positioned to benefit from these global trends and can significantly accelerate their international presence in the next few years.
The Indian suppliers, it said, can look at increasing exports from the current USD 10 billion to USD 35-40 billion, increasing revenue from overseas assets from the current USD 6 billion to USD 20-22 billion and increasing count of Indian suppliers in global top 100 from the current lone figure to five by 2020.
It said the year gone by has been one of the most challenging in the history of automotive industry in India.
During the trying times, each one of the players have had to go back to the drawing board, revisit strategies, reorient their organisations, streamline processes and revitalise their companies to gear up and deal with the challenges.
"This has helped the component manufacturers to evolve into stronger entities with better capabilities to be globally competitive," it added.
