Archive · 29 Jan 2026
India's automotive industry sees significant growth
India's car and bike industry is growing a lot.
They made 33% more vehicles in the last ten years.
They also sell a lot of vehicles to other countries.
The government is helping with special plans to make more electric cars.
This industry gives jobs to over 30 million people and helps the country make a lot of money.
The Economic Survey 2025-26 says all these things are good for India's economy.
India's automotive industry has seen a 33% growth in production over the last decade (FY15 to FY25).
Vehicle exports have surged, with over 53 lakh vehicles shipped in FY25, reflecting global acceptance of India-made vehicles.
The industry provides direct and indirect employment to over 30 million people and contributes nearly 15% of the country's GST collections.
Government initiatives like the PLI Scheme and PM E-DRIVE Scheme have driven significant growth in electric vehicle registrations.
The Economic Survey 2025-26 highlights the robust demand-side recovery post-pandemic, driving both production growth and sales.
- Who
- Indian automotive industry, government, and global markets
- What
- Significant growth in production, sales, and exports of vehicles
- When
- Post-pandemic period, FY25, and first half of 2025-26
- Where
- India and global markets
- Why
- Robust demand-side recovery and government initiatives
- Growth in production
- 33% over the last decade (FY15 to FY25)
- Employment in the sector
- Over 30 million people
- GST collections from the sector
- Nearly 15% of the country's total
- Vehicle exports in FY25
- More than 53 lakh vehicles
- Government initiatives
- PLI Scheme, PM E-DRIVE Scheme, PM e-Bus Sewa-PSM Scheme, SMEC
Sources
Niti Aayog plans to advocate 90% EV share in private vehicles by 2047
India-made cars now popular across global markets: Economic Survey
Pharma sector shifting from volume-driven to value-driven approach: Eco Survey
Economic Survey 2026 projects India’s data centre boom to 8 GW by 2030
Economic Survey 2025 26: India’s clean energy push has crossed a critical milestone
Draft Electricity (Amendment) Bill 2025 in consultation stages