Auto components & tyres.

Auto components and tyres are the larger half of India's automotive economy, adding an estimated ₹1.5 lakh crore of value in FY26 (0.48% of national GVA, 3.2% of manufacturing GVA) - more than vehicle assembly itself, since a car's assembler adds only about a quarter of its ex-factory value while its suppliers add most of the rest. Industry turnover is about US$85 billion (₹7.4 lakh crore), 28% of which is exported, and India runs a broadly balanced components trade (exports roughly equal imports at US$24 billion each) but a structural deficit in the electronics and battery content that is growing fastest. The industry is highly fragmented (top-10 domestic suppliers hold only ~20% of turnover, HHI under 200) except in tyres, where five firms hold about 80% of the market, and its trajectory depends heavily on rising content per vehicle (electronics, safety, ADAS) and on whether the lithium-ion cell supply chain localises before electrification erodes the domestic value added embedded in engines and gearboxes.

Estimated GVA

1.5 ₹ lakh crore · FY26

Industry turnover

~85 US$ bn (~₹7.4 lakh crore) · FY26

Exports

~24 US$ bn (28% of turnover) · FY26

Imports

~24 US$ bn (~30% from China) · FY26

Listed PAT (~50 makers)

~0.30 ₹ lakh crore · FY26

Listed market cap

~9 ₹ lakh crore · Jul-2026 spot

Employment

~2.5 mn (~1.5 mn organised + ~1 mn tier-2/3) · FY26

Capex

~45,000 ₹ crore (~6% of turnover) · FY26