Automotive industry is a highly diversified sector. The automobile and automotive parts & components manufacturers constitute a major part of the industry. The turnover of the auto component industry was estimated to over US$ 18 billion in 2007-08. This records an increase of 27.2 per cent since 2002-2003. This turnover is likely to touch US$ 40 billion by 2015-16. In addition to this, global automobile manufacturers see India as the next major auto components manufacturing hub and rapidly increasing their investment for the same.
The automotive industry has been witnessing tremendous and unprecedented changes. Most of the major automotive players are shifting their production facilities in these emerging markets. Further they are outsourcing most of their production work to their parties in order to focus on marketing and reduce costs. Auto components amount to 31.5% share of the global automobile industry. The global automotive component industry is highly diverse and comprises of various product segments like: