Dear Stakeholders,
The Indian automotive and auto component industry has navigated a
complex yet promising landscape over the past year. While global uncertainties, raw
material price volatility, and persistent supply chain constraints posed significant
challenges, the sector displayed admirable resilience. Domestic demand rebounded with
vigour across segments, led by increased infrastructure spending, rural recovery, and
sustained consumer interest in personal mobility.
India?s position as a reliable manufacturing and export hub
continues to strengthen, driven by geopolitical realignments, sourcing strategies, and the
Government?s thrust on Atmanirbhar Bharat. These macro trends have opened new doors
for Indian auto component manufacturers to cater to global OEMs and Tier-1 suppliers,
especially in advanced markets seeking cost-e_ective and quality-conscious partners.
Favourable FTAs, PLI schemes, and a shift towards localisation and digitalisation further
reinforce India?s competitiveness.
Looking ahead, the outlook for the automotive and auto component
industry remains optimistic. The sector is projected to witness double-digit growth in FY
2025, with robust traction expected in EV components, off-highway vehicles, premium
two-wheelers, and passenger cars. Export momentum is likely to remain strong, particularly
in forged, machined, and transmission-related components. As global OEMs diversify
sourcing bases, Indian suppliers are expected to capture a larger share of the
international market.
A particularly promising segment is electric mobility, where India has
emerged as a global leader in two-wheeler EV adoption. With supportive policy incentives,
growing consumer acceptance, and rapidly expanding charging infrastructure, the electric
two-wheeler market is expected to maintain its high growth trajectory. EV penetration in
India reached approximately 6.7% of overall vehicle sales in FY 2024–25, and this
figure is expected to rise steadily with a national target of 30% EV adoption by 2030.
This presents significant opportunities for agile and forward-looking component
manufacturers to cater to evolving drivetrain, braking, and lightweighting requirements.
At Munjal Showa, we are strategically aligning our capabilities to harness this momentum.
We have successfully developed and supplied world class shockers to the customers in two
wheelers and four wheeler segment.
Sustainability is not an isolated initiative but a core pillar of our
long-term strategy at Munjal Showa. We are committed to reducing our environmental
footprint through energy-e_cient manufacturing, responsible resource use, and adoption of
renewable energy to power our operations. Our focus extends to enhancing process
sustainability, adopting cleaner technologies, and aligning with the automotive
industry?s shift towards circularity. Munjal Showa is actively exploring materials
and methods that minimise emissions and support our customers? sustainability goals
with a commitment to enhanced ESG transparency and reporting in the years ahead. Going
forward, we aim to embed ESG considerations deeper into our operations—building a
future-ready organisation that contributes positively to people, planet, and performance.
Munjal Showa has thoughtfully mapped and accounted for various
extrinsic and intrinsic factors in its long-term strategic roadmap. We are well-positioned
to capitalise on emerging opportunities and drive renewed growth, while further
consolidating our market leadership. At the same time, we remain committed to maintaining
rigorous fiscal discipline, optimising operations, and controlling costs to strengthen our
competitive edge and enhance financial performance.
Our people have demonstrated to us that resilience, creativity, and
collaboration can overcome the most challenging of situations. I am confident that with
this foundation and collective commitment, Munjal Showa will continue to deliver enduring
value, drive innovation and remain a trusted partner in India?s industrial
transformation. We appreciate your continued trust and look forward to achieving new
milestones together. Thank you.
Yogesh Chander Munjal
Chairman & Managing Director