The condition of auto component industry is not good. This industry says that total business has fallen by 10 per cent in the first half of the current financial year. At the same time, the jobs of about 1 lakh temporary people have gone.
According to news agency PTI, the Automotive Component Manufacturers Association (EXMA), the organization of this industry, said that the decline in the auto market has also affected the components manufacturers. According to Acma, in the first half of the current financial year, the auto component industry did a total business of Rs 1.79 lakh crore. If we compare it from a year ago, there is a decline of 10 percent. The total turnover of the auto component industry was Rs 1.99 lakh crore in the same period of the last financial year.
Loss of $ 2 Billion Investment
According to ACMA, the slowdown in the business has also affected the investment and the auto component industry has lost investment of up to $ 2 billion. Deepak Jain, president of Acma, said, “The auto industry has been facing lethargy for a long time. For the last one year, there has been a decline in car sales of all categories. “
According to Jain, from October last year to July this year a large number of people have been fired. According to him, about one lakh temporary workers had to be removed from work during this period. He further said that the growth of auto component industry depends on the auto sector. But due to 15 to 20 per cent decline in vehicle production in the current period, the auto component industry has been badly affected.
Let us tell you that the auto sector has been going through a period of lethargy. There has been a decline in sales of every big company in this sector. In these conditions, many big companies including Maruti Suzuki, Ashok Leyland have cut production.