India’s automobile industry achieved a record-breaking milestone in passenger vehicle exports in FY25, underlining the country's emergence as a global car manufacturing hub. According to industry estimates, India exported between 7,55,000 and 7,65,000 units in the fiscal year ending March 31, 2025, reflecting a 12-14% growth compared to 6,72,000 units in FY24.

Maruti Suzuki Leads India's Car Export Boom

Among Indian automakers, Maruti Suzuki emerged as the leader in car exports, shipping 3,32,585 units to various global markets. Notably, Japan became a key destination, where models like the five-door Jimny and Fronx gained significant popularity. Hyundai Motor India Limited (HMIL) followed closely, exporting 1,63,000 units to critical international markets, including Saudi Arabia, South Africa, Mexico, Chile, and Peru.

Together, Maruti Suzuki and Hyundai accounted for nearly two-thirds of India’s total car exports, underscoring their pivotal role in strengthening the Indian automobile sector’s global reach.

India's Export Ambitions and Government Initiatives

As India cements its position in the global automotive trade, manufacturers are ramping up their export-oriented operations. Maruti Suzuki has set an ambitious goal to triple its exports by 2030, backed by a massive Rs. 45,000 crore (US$ 5.27 billion) investment to double its annual production capacity to four million units. Out of this, 8,00,000 units are expected to be designated for exports.

Hyundai Motor India is also expanding its export capabilities. The company's Talegaon factory, set to become operational soon, is expected to further boost Hyundai’s shipments to global markets.

The Indian government has encouraged the auto industry to increase exports to at least 25% of total vehicle production by 2030, compared to 14% in FY23. This push aligns with the country’s broader strategy to enhance its global automotive footprint.

India vs. China: Competitive Global Auto Market

Despite India's record-breaking performance in vehicle exports, the country faces stiff competition from China, which surged ahead with an unprecedented 5.86 million vehicle exports in 2024. A significant driver of China's success has been the rising global demand for new energy vehicles (NEVs), particularly electric cars.

To maintain its growth momentum, India's automobile industry must scale up production, enhance supply chain efficiencies, and focus on innovative vehicle technologies to stay competitive in the global automotive export market.

Future of India’s Automobile Industry in the Export Market

With the rapid expansion of India's automotive industry, key players such as Maruti Suzuki, Hyundai, Tata Motors, and Mahindra & Mahindra are working towards making India a top automobile export hub. Efforts to improve logistics infrastructure, streamline export policies, and increase investments in EVs are expected to drive further growth.

Additionally, India’s focus on free trade agreements (FTAs) with emerging economies will play a crucial role in enhancing its global car exports. As the country moves towards sustainable mobility solutions, investments in electric and hybrid vehicles are also expected to contribute significantly to future export figures.

Conclusion

India’s record-breaking car exports in FY25 reinforce its emerging dominance in the global automobile sector. With industry leaders like Maruti Suzuki and Hyundai Motor India driving growth, the country is well-positioned to achieve its long-term automotive export targets. As global competition intensifies, India’s auto sector will need to innovate, expand, and embrace new technologies to maintain its upward trajectory in international markets.

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