Automobile part gross sales to automobile companies down 3%

CHENNAI: Vehicle component sector shrank 3% in FY21 $45.9 billion as it battled the pandemic shortages and desire pinch in both equally domestic and export marketplaces. According to the Automotive Element Suppliers Association of India (ACMA), the apex physique representing India’s automobile component manufacturing sector, component revenue to vehicle producers have been down 3% in FY21 when aftermarket profits were down 7%.
Vinnie Mehta, director common, ACMA, claimed: “In the domestic market, vehicle part income to OEMs at Rs 2.79 lakh crore ($37.7 billion) declined by 3% though the aftermarket at Rs 64,524 crore ($8.7 billion) declined by 7%. Exports and imports stood at Rs .98 lakh crore ($13.3 billion) and Rs 1.02 lakh crore ($13.8 billion) respectively, so lessening the trade stability to $500 million, the cheapest ever. Exports ended up down 8% and imports have been down 11%.”
Deepak Jain, president, ACMA, stated: “With economy progressively returning to standard the difficulties on the front of availability of semiconductors, escalating charges as also availability of raw resources, difficulties on the front of logistics which includes non-availability and higher costs of containers, carry on to hinder a smooth recovery. We are also cautious of a third wave of the pandemic.”
According to ACMA the lower imports is thanks to the slowdown in the domestic demand from customers. Element imports fell by 11% to Rs 1.02 lakh crore ($13.8 billion) in 2020-21 from Rs 1.09 lakh crore ($15.4 billion) in 2019-20. Asia accounted for 66% of imports with China dominating that pie. This is followed by Europe and North The usa at 25% and 7% respectively. Imports from Asia declined by 9%, whilst those from Europe by 13% and from North The us by 17%.