Commerce & Industry Minister Shri Piyush Goyal Calls Upon Auto Component Industry To Go Global
Union Minister Piyush Goyal addressed the 66th Annual Session of ACMA, calling upon India's auto component industry to expand globally, strengthen supply chains, and move up the value chain. He highlighted India's nine trade agreements covering 38 developed countries with USD 60 trillion GDP, and emphasized government support through various industrial programmes and infrastructure development.
Why It Matters
Relevant for UPSC and state-PSC candidates studying Indian trade policy, government economic initiatives, and international relations. Also pertinent for banking and other competitive exams covering current economic developments and government schemes.
In Simple Words
Commerce Minister Piyush Goyal urged India's auto component industry (ACMA) to go global — expanding manufacturing into developed countries, moving up the value chain, and strengthening supply chains — pointing to 9 trade agreements signed since 2014 that give India access to markets worth USD 60 trillion in combined GDP, versus USD 10 trillion from pre-2014 agreements.
He cited India's 7.8% GDP growth, strong auto sector demand (five million passenger cars expected to sell this year), and government support through PLI schemes for auto components, speciality steel and semiconductors, as the industry works toward a USD 500 billion target.
Key Points
- Commerce Minister Piyush Goyal addressed ACMA's 66th Annual Session in New Delhi
- Auto component industry's international trade is nearly USD 50 billion, evenly divided between imports and exports
- India has finalized nine trade agreements in last four to five years covering 38 developed countries with USD 60 trillion collective GDP
- Previous FTAs (pre-2014) covered USD 10 trillion GDP; current government's nine agreements cover USD 60 trillion GDP
- India's growth rate is 7.8%; ACMA and auto sector growing at double-digit rates
- Five million passenger cars expected to be sold this year
- Government creating 20 smart cities and industrial cities; Minister proposed dedicated auto component parks
- India-UK CETA came into force on 15 July 2026 with 99% UK and 90% Indian tariff lines at zero or very low duties
Exam Angle
A. The 9 post-2014 agreements cover economies representing USD 60 trillion GDP, compared to USD 10 trillion covered by FTAs concluded before 2014.
Source: Press Information Bureau