Auto component industry set to log in double-digit growth next fiscal: ACMA

Speaking at an event here, ACMA President Deepak Jain said that the next financial year is going to be a year of rebound for the Indian automotive industry.

New Delhi: The domestic auto component industry is expected to log in double-digit growth next fiscal, as demand picks up month on month after a prolonged period of downturn, according to industry body Automotive Component Manufacturers Association of India (ACMA).

Speaking at an event here, ACMA President Deepak Jain said that the next financial year is going to be a year of rebound for the Indian automotive industry.

“With strong growth prospects for all segments of the vehicle industry, the auto component industry is also expected to clock double digit growth,” Jain said. He, however, noted that the industry remains cautiously optimistic about immediate future prospects as headwinds like high commodity prices, shortage of semiconductors and shortage of containers and increasing freight costs could impede growth.

Jain, while thanking the government for its initiatives like supply side interventions and change in definition of the MSME sector, said the industry as a whole was tested hard last year owing to the Covid-19 pandemic.