At a time when India advancing towards becoming a developed nation, Union Minister for Heavy Industries and Steel HD Kumaraswamy has pointed that the auto component industry will play a central role in shaping next-generation supply chains. He noted that innovation in areas such as electronics, power electronics, light, lightweight materials and intelligent systems will be key to maintaining global competitiveness. He assured that the government remains committed to providing a stable policy environment, encouraging technology adoption and working closely with industry stakeholders to support scale, quality and exports.

He highlighted that the government is driving with a clear objective of enabling the Indian manufacturers to participate and lead the global value chains. He mentioned that India's automotive industry stands among the fastest-growing in the world. He said that vehicle production has increased from 28.4 million units in 2023-24 to nearly 31 million units in 2024-25 while exports have grown from 4.5 million to over 5.3 million vehicles during the same period.

Besides, he said the government is providing support to the automotive sector by bringing in various initiatives, including rare earth manufacturing and creation of corridors for the same. He added that Union Budget has announced around Rs 13,000 crore for the enhancement of construction and infrastructure equipment, reinforcing India's capabilities in heavy engineering, infrastructure development, and complementing demand-side measures. Further, the deal with the European Union is focused on addressing non-tariff barriers, regulatory cooperation and standard alignment, particularly in emissions sustainability and advanced and automotive technologies. He also pointed that the recent India-US trade agreement will provide preferential access for select automotive components in US.