Global & India Automotive Composites Market to 2031

India’s automotive composites market is witnessing consistent growth, driven by the rising demand for lightweight and fuel-efficient vehicles. As the nation moves toward electric mobility and adopts more stringent environmental regulations, the use of composite materials such as fiberglass, carbon fiber, and natural fiber composites is becoming increasingly prevalent. India’s emphasis on sustainability, combined with a rapidly growing domestic automotive sector, is fostering advancements in composite technology and positioning the country as an emerging player in the global automotive composites space.

The Indian automotive industry is one of the largest in the world and continues to expand, bolstered by significant foreign direct investment. According to the India Brand Equity Foundation, India leads globally in tractor manufacturing, ranks second in bus production, and is third in heavy truck output. In FY22, India produced 22.93 million vehicles, and in FY23, passenger vehicle sales reached 3.89 million units. Furthermore, the country exported 4.7 million vehicles in FY23, underscoring its importance as both a manufacturing and export hub.

The automotive sector’s contribution to India’s GDP has grown significantly—from 2.77% in 1992–1993 to approximately 7.1% by 2023. Recognizing the importance of clean and sustainable transportation, the Indian government has set ambitious goals, including the electrification of 30% of the national vehicle fleet by 2030. It has introduced a range of supportive policies and incentives to encourage EV adoption and promote alternative fuels such as hydrogen. The FY24 Union Budget placed a strong emphasis on developing electric vehicles, advancing hydrogen fuel technologies, and adopting innovative automotive technologies.

As India accelerates its transition toward electric vehicles, the demand for lightweight and high-performance materials is rising. Composites play a critical role in reducing vehicle weight and enhancing performance, making them well-suited for both traditional and electric vehicle applications. Show more