India’s auto sector poised to gain bigger share of $2.2 trillion global export pie: NITI Aayog

New Delhi, Jan 6 Though India has done well in specific segments of the automotive export market, there are significant opportunities to increase market share in the $2.2 trillion global automotive export market, which is growing, according to the latest 'Trade Watch Quarterly' released by NITI Aayog on Tuesday.

The publication highlights emerging structural shifts in India’s trade profile, including the rising contribution of technology-intensive exports, the continued strength of services-led growth, and changes in import composition reflecting deeper integration into global value chains.

The thematic section of this quarter’s edition focuses on India’s automotive exports, a sector with rising global relevance, strong domestic production capabilities, and expanding international market presence. India has achieved notable gains in auto components and in vehicle segments such as motorcycles and tractors, reflecting growing manufacturing depth and competitiveness.

With increasing integration into global value chains and a broad export footprint across advanced and emerging markets, the auto sector is well positioned to scale further through continued value-chain integration, improved logistics, and closer alignment with global demand, the publication states.

The analysis, based on mapping of global automotive exports, India’s exports, and stakeholder consultations, suggests specific policy steps to enhance competitiveness, global positioning, two-way trade, and to reorient production toward high-demand segments. Further, suggestions include strengthening quality standards, certification systems, technology adoption and market diversification alongside fostering forward linkages in global automotive supply chains.

The latest edition of the ‘Trade Watch Quarterly’ for Quarter I of FY 2025–26 (April–June 2025) was released by NITI Aayog member Arvind Virmani, in the presence of senior officials and other members.

Speaking on the occasion, Virmani emphasised that strengthening India’s export competitiveness, particularly in sectors such as automobiles, will be critical for sustaining long-term growth and employment generation.

“The Trade Watch Quarterly offers a comprehensive and data-driven assessment of India’s trade performance amid evolving global conditions, with a special focus on the structure and competitiveness of India’s automotive exports,” Virmani said.

The publication serves as a valuable reference for policymakers, industry stakeholders, researchers, and academia by offering evidence-based insights and forward-looking policy recommendations to strengthen India’s trade performance in a rapidly changing global environment.

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