The automotive aftermarket in India is anticipated to reach approximately $14 billion by 2028, according to a Global Automotive Aftermarket Research Report by the Automotive Component Manufacturers Association (ACMA) in collaboration with Ernst & Young (EY). The study, covering 39 countries across six continents, indicates that the global aftermarket represents an export opportunity of over $35 billion for India.
The report focuses on seven product categories: engine parts, suspension and braking parts, transmission parts, braking parts, rubber components, cooling systems and filters. It estimates that the Indian automotive aftermarket, valued at $10 billion in 2023, is expected to grow by nearly 1.4 times to reach $14 billion by 2028. However, ACMA said the study does not include tires and consumables such as batteries, coolants and lubricants.
The growth of the Indian aftermarket is driven by a steady increase in the vehicle parc, which currently stands at 340 million and is projected to grow at a Compound Annual Growth Rate (CAGR) of over 8% for the next five years. Two-wheelers and passenger vehicles are expected to show robust growth in their parcs, reaching 365 million and over 72 million units, respectively, by 2028.
On the international front, the study identifies export opportunities in 10 major markets, with matured aftermarket conditions in countries like Indonesia, LATAM, Poland, Brazil, Columbia and Bangladesh and high-growth potential in North Africa, South Africa, East Africa, West Africa and UAE. The combined export potential to these markets is expected to exceed $35 billion by 2028.
Shradha Suri Marwah, president of the ACMA, emphasized the unique opportunities for Indian auto component aftermarket players and urged a focus on building partnerships, marketing, branding, digital presence and collaboration within the industry to tap into global market opportunities.
The 5th ACMA Automechanika New Delhi, scheduled from February 1-3, will showcase over 500 exhibitors from more than twelve countries, highlighting aftermarket innovations, technological advancements and sustainable mobility solutions. The event provides a platform for industry players to connect, exhibit capabilities and explore business collaborations within the global automotive aftermarket sector.
