India is targeting $1 trillion in goods and services exports this year, with the government calling upon the automobile industry to deepen localisation, expand capacity and aggressively pursue global markets as the country seeks to build a more resilient and globally competitive automotive ecosystem.
Addressing the 66th Society of Indian Automobile Manufacturers (SIAM) Annual Convention on Thursday, Union Commerce and Industry Minister Piyush Goyal said India’s automotive industry would be central to the country’s ambitions of becoming a major manufacturing and export hub, while urging companies to use new trade agreements and international partnerships to expand their global presence.
Goyal said India recorded $863 billion in exports of goods and services last year but has set a significantly more ambitious target of $1 trillion for the current year, leaving the country with about $137 billion to add to reach the goal. He urged businesses to set ambitious targets rather than settle for easier ones, saying, “Set an export ambition worthy of each of the ladies and gentlemen involved in this sector. Compete with the best in the world.”
For automakers and component manufacturers, the minister’s message was straightforward: reduce import dependence and build stronger domestic supply chains, particularly for critical inputs. He urged the industry to deepen localisation, improve quality and set export targets that match the scale of India’s automotive sector, adding that companies should compete with the best manufacturers globally rather than focus only on domestic demand.
Goyal stressed that supply-chain resilience should not mean cutting India off from global markets, pointing to India’s growing engagement with Japan and markets across Europe as routes for Indian companies to access technology, produce locally and eventually serve customers overseas. He said global companies were increasingly looking for Indian partners, creating opportunities for domestic manufacturers to bring technology into India and expand local production.
The government is also focusing on securing supplies of critical minerals and other materials needed for the next phase of mobility, including rare earths, permanent magnets and battery-related inputs.
