Pandemic struck: Auto parts industry's H1FY21 turnover de-grows 34%

NEW DELHI, DECEMBER 16 (IANS): The Automotive Component Manufacturers Association of India on Wednesday reported a de-growth of 34 per cent in industry's turnover during April to September 2020 period on a year-on-year basis.

Accordingly, the turnover of the automotive component industry stood at Rs 1.19 lakh crore (USD 15.9 billion) for the period April 2020 to September 2020.

"The auto industry witnessed a downturn in FY2019-20, the situation further aggravated with the outbreak of the pandemic and the lockdown," said Vinnie Mehta, Director General, ACMA.

"While the first quarter for FY20-21 was significantly stressed, however with unlocking of the economy, the sales of vehicles witnessed improvement, month-on-month, in the second quarter." However, for the first time ever, the industry witnessed a trade surplus with auto component exports at Rs 39,003 crore ($5.2 billion) and imports at Rs 37,710 crore ($5 billion); both exports and imports declined by 23.6 per cent and 32.7 per cent, respectively, he said.

"The aftermarket, estimated at Rs 31,116 crore, also witnessed de-growth of 15 per cent. Component sales to OEMs in the domestic market contracted the most to Rs 87,120 crore (USD 11.6 billion), declining 42 per cent."