The Indian automotive component sector is projected to expand by approximately 8-9 percent in FY2027, according to a report by CareEdge Ratings. The market size is forecasted to reach INR 10,681 billion in FY2027, rising from INR 9,835 billion in FY2026.

The anticipated expansion is supported by domestic vehicle manufacturing, higher component content per vehicle, aftermarket replacement demand and ongoing integration with international supply chains.

The report states that total vehicle production in India increased from 23 million units in FY2022 to 34.7 million units in FY2026. Original equipment manufacturers (OEMs) generated 67 percent of sector revenues in FY2026, while exports and the aftermarket accounted for 22 percent and 11 percent, respectively.

On the other hand, auto component exports grew from INR 987 billion in FY2021 to INR 2,122 billion in FY2026, with expectations to reach INR 2,300 billion in FY2027. Component imports increased from INR 1,024 billion in FY2021 to INR 2,243 billion in FY2026, and are projected to rise to INR 2,431 billion in FY2027 due to continued reliance on semiconductors, battery cells and electronic systems.

Engine parts represented the largest product category at 24 percent of the component mix in FY2026, followed by suspension and braking at 17 percent and drive transmission and steering at 14 percent. However, product value is gradually shifting toward electronics, software systems and electric vehicle architectures. Total electric vehicle registrations rose from 170,000 in FY2020 to 2.45 million in FY2026, increasing electric vehicle penetration from 0.71 percent to 8.28 percent.

Ranjan Sharma, Senior Director at CareEdge Ratings, said, "India's auto component industry has emerged as an increasingly important part of the global automotive supply chain, supported by its manufacturing competitiveness, engineering capabilities, and expanding domestic market. With the auto ancillary industry market size expected to surpass Rs 10.6 trillion in FY27, the sector is well positioned to capture a larger share of global sourcing opportunities. Continued progress in localisation of critical components and development of advanced manufacturing capabilities will be key to enhancing value addition and strengthening India's long-term position in the global automotive ecosystem."

The aggregate revenue of the top 50 listed auto ancillary companies in India is expected to increase from INR 4,325 billion in FY2026 to INR 4,714 billion in FY2027. Sector capital expenditure is projected to reach INR 282 billion in FY2027 to support automation, capacity expansion and technology upgrades. Operating margins are expected to remain stable, managed through contractual cost pass-through mechanisms with vehicle manufacturers.

Government policy initiatives continue to influence capacity creation. The PLI-Auto Scheme recorded cumulative investments of INR 443.26 billion against an incentive outlay of INR 259.38 billion by FY2026. The PLI-ACC scheme for battery cell manufacturing attracted INR 51.80 billion in investments as of 31 May 2026, against an outlay of INR 181 billion. Additional demand support stems from the PM E-DRIVE scheme and the PM e-Bus Sewa scheme.

Geopolitical issues, freight rate fluctuations, and trade policies remain factors for export performance. The US represents the largest export destination, taking approximately 26 percent of Indian auto component exports, valued at INR 552 billion in FY2026.

Arti Roy, Associate Director at CareEdge Ratings, added, "CareEdge Ratings expects the Indian auto ancillary industry to grow by around 8-9% in FY27, supported by healthy OEM demand across major segments, increasing component content per vehicle, resilient replacement demand, higher localisation, and expanding global sourcing opportunities. The industry's ongoing transition towards electronics-intensive and cleaner mobility platforms is creating new opportunities across EV-linked components, advanced electronics, powertrain technologies, and other high-value automotive systems. Profitability is expected to remain broadly stable, although returns from ongoing investments in new capacities and advanced technologies are likely to materialise gradually. Companies with diversified customer relationships and geographical reach, wider product portfolios, strong engineering capabilities, prudent capital allocation, and the ability to adapt to the evolving component value pool are expected to remain better positioned."

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Highway Roop Precision Technologies, a Carlyle-backed manufacturer of precision torque and control components, has completed the acquisition of Chamundi Die Cast, which manufactures complex aluminium die-cast components for automotive and industrial applications.

The transaction adds integrated aluminium die-casting and machining capabilities to Highway Roop's existing forging and precision-machining operations across steering, transmission and powertrain systems.

The acquisition expands Highway Roop’s product portfolio into lightweight vehicle solutions and electric vehicle components, while establishing a manufacturing footprint in South India alongside Chamundi's existing customer base in India, North America and Europe.

At present, Chamundi exports 60 percent of its products to global markets, while domestic business accounts for 40 percent. Interestingly, 98 percent of its business comes from the automotive industry, while the remaining comes from non-automotive sector.

Mohit Oswal, Chairman, Highway Roop, said, “This acquisition is an important milestone in our journey to build Highway Roop into a scaled, diversified precision manufacturing platform anchored in mission-critical torque and control applications. Chamundi’s capabilities and customer relationships complement our existing strengths and strengthen our ability to serve customers across automotive and industrial applications. Together, we are building a stronger platform for the next phase of growth.”

Dharmesh Arora, Group CEO and Director, Highway Roop, said, “Chamundi meaningfully strengthens Highway Roop’s capabilities around our core focus on torque and control applications. Its integrated aluminum die-casting and precision-machining capabilities expand our ability to deliver complex, lightweight engineered solutions across vehicle technologies. Its South India manufacturing base also diversifies our footprint, brings us closer to key customers, and strengthens the resilience of our manufacturing network and supply chain. We are delighted to welcome the Chamundi team to Highway Roop and look forward to building a stronger platform together.”

Yasin Khan, Managing Director, Chamundi, said, “Over four decades, Chamundi has built a strong business anchored in engineering excellence, a committed workforce and long-standing customer relationships. We are pleased to partner with Highway Roop for the next phase of our journey and will continue to hold a stake in the combined entity. Highway Roop’s complementary capabilities and scale will enable us to build on this foundation, deepen our relationships with customers, and create new opportunities for our employees, as we grow together.”

Amit Jain, Partner and Head, Carlyle India Advisors, said, “This transaction reflects Carlyle’s continued commitment to building a scaled, differentiated precision manufacturing platform in India. Highway Roop has established itself as a trusted partner to global OEMs for mission-critical torque and control components, and Chamundi adds complementary capabilities that further strengthen its customer proposition. We remain focused on supporting Highway Roop as it scales its capabilities and builds towards becoming one of India’s leading precision manufacturing companies serving automotive and industrial customers globally.”

Following the completion of the acquisition, Chamundi's leadership will retain an equity stake in the combined entity as part of the integration into Highway Roop's global supply platform.

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American component supplier Stoneridge has appointed Uwe Brandenburg as its Global Vice-President, Engineering and Innovation, effective 2 November 2026. Brandenburg will report to President and Chief Executive Officer Natalia Noblet and join the company’s executive management team.

In his new role, Brandenburg will oversee Stoneridge’s global engineering division, managing product development, technology innovation and product roadmaps across vision systems, safety technology, vehicle intelligence and connectivity platforms for commercial vehicles and off-highway equipment.

Natalia Noblet said, "Uwe is a recognised voice in automotive electronics and engineering leadership, with a proven track record of building world-class engineering teams and delivering breakthrough innovations in ADAS, autonomous driving and software-defined vehicles. His extensive experience bringing next-generation radar, camera, safety electronics and AI-powered platforms to market, combined with his strategic vision and commitment to operational excellence, make him an exceptional addition to our Executive Team. We are excited to leverage his expertise to accelerate Stoneridge’s technology roadmap and strengthen our competitive position in vehicle intelligence and safety.”

Brandenburg comes with over 25 years of experience in Tier 1 automotive electronics, software engineering and vehicle systems. Prior to joining Stoneridge, he served as Chief Technology Officer and Senior Vice-President for Automotive and Manufacturing at DXC Technology.

His previous positions include Global Head of Engineering and Chief Technology Officer for advanced driver assistance systems at Valeo, alongside engineering leadership roles at Continental, Autoliv and TRW Automotive focused on radar, camera and safety electronics systems.

Uwe Brandenburg said, “Stoneridge has a clear technology strategy, a highly talented engineering organisation, and a mission centred on improving safety, reducing emissions and increasing vehicle efficiency for our customers. When cutting-edge technology is paired with the right team and a purpose that truly matters, we have what it takes to create strong value for our customers. I look forward to building on this strong foundation and helping the team deliver the next generation of vision and safety solutions.”

Brandenburg holds a degree in Electrical and Telecommunications Engineering from the University of Applied Sciences Constance and currently serves on the board of directors of BlincVision.

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Imperial Auto Industries Limited has appointed James Gaylord as Managing Director & Chief Executive Officer of its subsidiary, Imperial Auto USA Corp. In his new role, Gaylord will lead Imperial Auto’s operations across the Americas and drive the company’s next phase of growth in the region. He will report to Vikram Wagh, Managing Director & CEO, Imperial Auto Industries Limited.

Gaylord's mandate would include expanding Imperial Auto’s presence into new markets across the American region while driving significant revenue growth over the coming years. He will also focus on strengthening the company’s product engineering and new product development capabilities in the Americas, while leading initiatives to localise the supply chain, enhance purchasing capabilities and build strategic partnerships with suppliers to support the company’s regional growth.

With nearly three decades of experience across the automotive and manufacturing sectors, Gaylord brings with him proven expertise in business development, operational excellence, transformation and growth. Prior to joining Imperial Auto, he served as the Global Sales Director at Gentex. He has also held leadership roles at organisations including Johnson Controls, ATI and Tenneco.
 

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JK Tyre & Industries Ltd launched four new OTR tyres at Bauma Conexpo India 2026. These include the 12.5/80-18 MPT 45 16PR TL for self-loading concrete mixers (SLCM) and backhoe loaders. The 16/70-20 MPT117 14PR TL for SLCM and telehandler applications. The 18-19.5 MPT117 18PR TL for SLCM applications, and the 12.00R20 JDO XD OTR 22PR 156/153F TT for mining tippers. The latest additions further strengthen JK Tyre’s premium OTR portfolio with application-engineered solutions developed for the evolving requirements of India’s construction, infrastructure and mining sectors.
 “India’s infrastructure and industrial growth is creating a growing need for high-performance, reliable and application-specific mobility solutions. At JK Tyre, we are committed to developing OTR solutions that address the specific needs of our customers and the demanding conditions in which their equipment operates. Our latest range combines durability, reliability and performance to help customers maximise equipment uptime and operational efficiency. As we continue to strengthen our premium OTR portfolio, we remain committed to delivering solutions that create value for our customers and support the growth of India’s construction, infrastructure and mining sectors,” said Srinivasu Allaphan, Director - Sales & Marketing, JK Tyre & Industries Ltd.  
He pointed at the MPT 45 pattern and mentioned that it has been developed to deliver strong traction and stability, making it suitable for SLCMs and backhoe loaders operating across mixed terrain. “The MPT117 pattern has been designed for versatile construction and material-handling operations, offering strong grip, improved durability and reliable performance for SLCMs and telehandlers,” Allaphan explained. 
The new products have been developed keeping Indian operating conditions in mind and are designed to help customers maximise machine performance while improving operational efficiency. The focus is on durability, high load-carrying capability and extended service life. 

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