Automobile sector in India to witness technological revolution
As per reports, it is anticipated that 2025, India will displace Japan to become the world's third-largest auto market. With investments by the government in planned infrastructure projects and correct policies, additional private sector investments will pour in.
Furthermore, rising exports signifies auto industry's expansion, also, it is expected to reach $ 300 billion by 2026. With rising environmental awareness, future of vehicles will be electric, easier and safer further driving sustainability. The automobile sector in India is positioned correctly to witness technological revolution.
Indian players are investing extensively in automation, digitisation and ecosystems associated with electric vehicles. In fact, the adoption of Bharat Stage Emission Standards (BSVI or BS6) norms by the Indian auto industry sets an example for the rest of the world. The resilience and agility showcased by the industry has put India ahead of the curve in a record time of three years. Recent investment by automotive giants and a series of planned launches to help the industry become greener highlight that India's growth story is yet to be charted.
India is expected to become a $ 5 Tn by 2025-26 and an $ 8-10 Tn within the next 10 to 12 years despite COVID playing havoc and causing disruption. The major driver of the economy will be manufacturing and is attributed to contribute over 20 per cent of India's GDP by 2025 implying that over the next five years, India's manufacturing sector will need to grow by more than 12 per cent and the auto sector will also need to grow faster.
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