The Electrifying Future: Amitabh Kant's Vision for India's Auto Industry
Amitabh Kant, renowned for his influential role as a sherpa during the G-20 summit, delivered a powerful message at the 63rd Annual Session of the Automotive Component Manufacturers Association of India (AMCA).
Kant's words echoed a clear vision for the future of India's automobile industry: "Those who don't go electric will lose market share."
Kant firmly believes that the path to success for India's auto sector lies in embracing electric vehicles (EVs). In his address, he emphasised that India has the potential to meet the global demand for auto manufacturing by pivoting towards electrification.
He underlined that the success of the G-20 summit had demonstrated unanimous consensus among participants, even on complex issues such as the Russia-Ukraine crisis.
Highlighting the role of manufacturing in India's growth story, Kant stated that the nation's manufacturing sector is steadily growing at a remarkable rate of 8–10 percent annually.
He made a compelling argument that no country has achieved sustained growth solely through services, reinforcing the importance of manufacturing in India's economic landscape.
In the context of manufacturing, the automotive and component sectors have been the heart and soul of India's industrial progress. Kant pointed out that India possesses the capability to boost its export of electric buses to cater to global demand, positioning the country as a key player in the international EV market.
Acknowledging India's historical dominance in the internal combustion engine (ICE) market, Kant stressed that times are changing rapidly. He cited the example of Tesla, a company that has eclipsed the market capitalisation of over 13 traditional ICE-based companies combined.
Kant predicted that the commercial vehicle segment would soon be dominated by battery-powered vehicles, leading to an anticipated 80 per cent surge in manufacturing demand.
Furthermore, Kant expressed optimism about India's potential to produce hydrogen, given its favourable climate conditions. He highlighted that India's unique environmental attributes make it well-suited for hydrogen production, which could become a significant asset in the country's clean energy landscape.
Amitabh Kant delivered a resounding message to India's automobile industry: the future is electric, and digital transformation is imperative. He cautioned that those who resist this shift will inevitably lose market share.
As the global automotive landscape evolves towards sustainability and electrification, India stands at a critical juncture, poised to become a major player in the world of electric vehicles.
