NEW DELHI: Auto industry bodies on Friday emphasized the need for closer collaboration with the Government to secure critical raw materials, including rare earth magnets, semiconductors, and battery inputs, amid shifting geopolitical dynamics and evolving trade agreements.
Speaking at the annual session of the Automotive Component Manufacturers Association of India (ACMA), ACMA President Shradha Suri Marwah said the industry is committed to transforming challenges into opportunities and positioning India as a reliable and competitive global hub for mobility components. “Critical raw materials and technologies are becoming strategic issues that demand national focus,” she noted.
Marwah highlighted the hurdles facing the industry, including geopolitical volatility, trade wars, tariff escalations, and export restrictions, which are redefining supply chains. She stressed the importance of closer Government partnerships to secure essential materials, deepen international alliances, access new markets, and strengthen the competitiveness of India’s automotive sector.
Echoing similar concerns, Society of Indian Automobile Manufacturers (SIAM) President Shailesh Chandra said supply chains must evolve beyond cost efficiency to become agile, diversified, and resilient against disruptions. “This requires creating alternative supply chains through partnerships with resource-rich countries,” he explained, adding that governmental support on both sides is critical to facilitate such collaborations.
Chandra also pointed out that these partnerships should leverage each country’s strengths, whether in raw materials or technology. He noted that global trade and manufacturing have been undergoing significant transformations over the past few years due to changing geopolitical alignments, evolving trade agreements, and rapid technological shifts.
“The Indian automotive industry, deeply integrated with global networks, is both impacted by and actively responding to these changes,” Chandra added.
