According to a report by Arthur D Little, the Indian automobile industry has the potential to evolve into a $1 trillion export-driven sector by 2035. The report emphasises that this growth can be realised through advancements in manufacturing, innovation, and technology leadership. Barnik Chitran Maitra, the Managing Partner (India & South Asia) at Arthur D Little, highlighted India's capability to become a worldwide centre for automotive design, development, and production, catering to international markets.

To achieve this ambitious goal, industry players need to enhance their capabilities for reliable and competitive global manufacturing, Maitra added. He pointed out India's strengths in automotive software and engineering research and development (ER&D), suggesting that the country can excel by aligning solutions with emerging trends like zonal architecture and Advanced Driver Assistance Systems (ADAS). Maitra also emphasised India's potential to lead in automotive innovation, thanks to a thriving, well-funded startup ecosystem.

The report underscores the rapid pace of innovation within the Indian automotive sector and the changing landscape of disruption. If harnessed effectively, these trends could propel India to a position of global leadership in the automotive industry. Additionally, the global automotive research and development (R&D) and software market is anticipated to triple to $400 billion by 2030. India, being a software hub and a preferred offshore destination, can leverage its position in this market.

Maitra stressed that realising the full potential of India's automotive sector requires active collaboration and dialogue among all stakeholders, including the government. By driving investments and fostering collaboration, the industry can pave the way for India to emerge as a global automotive hub, with a vision of reaching $1 trillion by 2035.

Source: Business Standard