Even a tiny nut on the hub of a wheel in an automobile matters a lot. There is no second opinion that in its absence, the vehicle will malfunction. This fact reiterates the importance of the automotive components suppliers in India and that their products not only matter the most as OEMs (original equipment manufacturers) but also as replacements. One may also include the process of cannibalisation practised by companies owning fleet of vehicles as and when necessary.
The replenishment of a part in a vehicle is very crucial, be it during preventive maintenance or due to wear-n-tear and also mishaps. According to the Automotive Component Manufacturers Association of India (ACMA), the nodal agency for automotive parts manufacturers, the compound annual growth rate (CAGR) in this industry for the five-year period of 2009-13 was set at 18%.
During this period, the growth rate in the spare parts manufacture (including supplies to OEMs, aftermarket sales and exports) experienced trends of ups and downs. The OEM/TIER 1 accounted for 80% while the aftermarket slot was for 20%. A fair share in these progressive signs was contributed by the auto exhaust system manufacturers.
It also revealed that the Indian manufacturers have a good share in the international market for their products. Among these, the following command a good demand around the world:
- Auto exhaust parts including mufflers
- Hydraulic power steering systems and steering gear systems and parts
- Suspension systems and parts thereof
- Gear boxes and parts thereof
- Air-conditioning equipment
- Wheels and components for construction and earthmoving equipments
- Road wheels and parts & accessories thereof
- Drive-axles and parts thereof
- Starter motors & generators
- Gas compressors: Turbo chargers
- Parts-air conditioning machines
- Crank shaft for engines
- Brake linings & pads
- Parts for automobiles and earthmoving equipment
- Valves, inlet and exhaust
- Brakes and servo-brakes; parts thereof
- Head lamps and other lighting equipments
- Spark Ignition
- Radiators & parts thereof
- Toothed wheels, other transmission parts
- Injection pumps for diesel engines