Indian automobile industry flourishes with a valuation of $108 billion in 2022-23

By OEM Update Editorial June 28, 2023 5:12 pm

Emphasising the significant contribution of the automobile industry to the economy, with an impressive employment figure of over 19 million, the report highlights the industry’s evolution due to factors like electrification, electronic components, autonomous driving, and shared mobility, and provides insights into the value and growth trends in the Indian market.

Primus Partners Pvt. Ltd. (Primus), a renowned management consulting firm, has released a report highlighting the significant contribution of the automobile industry to the economy. The report reveals that the industry has generated an impressive employment figure of over 19 million, indicating its crucial role in the workforce. With a comprehensive approach that includes policy and business perspectives, Primus Partners conducted the survey to evaluate the value generated by the automobile industry.

The industry is being reshaped due to unprecedented changes brought about by electrification / alternative green power trains, rise of electronic components & software, autonomous driving & shared mobility. It is important to understand the value, where it lies and how it will change. Primus Partners has done a ground up study to arrive at the value of the Indian automobile industry and its segments.

While electrification has progressed well in 2 wheelers & 3 wheelers, it is still nascent compared to many countries. The Government as well as the Private sector are putting up massive investments & efforts to develop the value chain. A lot of factories are being constructed, and can expect to catch up very quickly with the leading countries.

Sharing the report titled India’s Automobile Industry is Valued at INR 8.7 Lac Crore, Anurag Singh, Managing Director, Primus Partners, said, “Our ground up study on Automobile industry value is leading to a lot of insights, for example the Indian market is bypassing the lower priced products &  more value is being created at in feature rich higher priced vehicles. We believe that the value growth is happening faster than volume growth”