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India Sets Sights on $60 Billion Auto Exports and 2.5 Million Jobs by 2030

Automotive

Business Honor
17 April, 2025

Government aims to boost auto exports, jobs, and EV growth by 2030.

With a clear goal for 2030, India's automotive sector is set to undergo a significant transformation. Based on a recent government report, if the country receives proper policies and assistance, it can triple its car exports to $60 billion, record a trade surplus of $25 billion, and create more than 2 to 2.5 million direct job opportunities in the sector.

Currently, the automobile sector is a major economic engine in the country, contributing 49% of the manufacturing GDP and 7.1% of the Indian GDP. Since India is the world's fourth-largest car-producing nation, the opportunity to dominate the auto vehicle value chain across the world lies with the country, the NITI Aayog report states.

India manufactured over 28 million automobiles during the financial year 2023–24. India's contribution to global automobile component trade, however, amounts to only 3%, indicating significant scope for improvement. The government plans to bring the share to 8% by 2030.

Electric vehicles (EVs) are a rapidly growing area of focus. The US, China, and the EU are going for EVs at an incredibly fast pace through policy and incentives. Shift to EVs is also increasing demand for batteries, chips, and new materials.

To facilitate this transition, international car manufacturers are making investments in intelligent factories by employing technologies such as AI, IoT, robots, and 3D printing. India, along with its strategic partners in the region and other countries that are following their lead, intends to achieve its goals through an investment of production targets of $145 billion, and programs like FAME, PM E-Drive, and the PLI scheme, for which over ₹66,000 crore has already been utilized in favor of EVs and local manufacturing.

In collaboration, India plans to establish itself as a class one world hub for new age mobility and smart manufacturing by the end of this decade.