India’s Automobile Production and Export Results in the First Half 2023

Automobile production in India in the first half of 2023 increased by 8.5% year-on-year to 2.89 million units, marking the second consecutive year at a record high. Supply disruptions in semiconductors and other parts, which had been a bottleneck for automobile production, have eased, and progress has been made in clearing the backlog of vehicle orders that had accumulated during the slump in automobile supply. Automobile exports in the first half of 2023 were sluggish, down 1.3% year on year to 356,000 units. If the growth in domestic automobile demand picks up steam in the second half of the year, it is quite possible for sales to exceed 6 million units for the full year.