The past three years have been a chequered ride for the auto sector. The economic slowdown in fiscal 2020 was followed by pandemic-induced lockdowns that severely restricted mobility. Rise in vehicle prices in the subsequent two years also took a toll on automobile volumes. Even as demand started recovering in fiscal 2022, semiconductors shortages and rising commodity prices dealt a double whammy.
The worst seemed to be behind, with the economic outlook brightening and supply side challenges gradually resolving. But the Russia-Ukraine conflict and surging oil prices are posing renewed challenges. Moreover, input inflation, particularly in steel and aluminium remains persistent.
Meanwhile, electric vehicle penetration looks set to accelerate with strong government support. Players are planning significant investments to take advantage of the Production Linked Incentive (PLI) scheme and drive the transition.
The outlook on the auto sector is also key for the Rs 3-3.5 lakh crore auto component sector, which derives almost two-thirds of its revenue from sales to original equipment manufacturers (OEMs).
In this milieu, CRISIL is hosting a webinar on April 28, 2022, where its experts will offer a deep-dive through a presentation that will cover:
Growth expectations across automotive segments in fiscal 2023
Demand drivers and outlook of automotive component suppliers
Impact of PLI on the auto and auto-component industry
Profitability and capital spending trends
Credit quality expectations of auto and auto component manufacturers
Disclaimer: This event and its content are intellectual property and confidential information of CRISIL. Any use of the same without written permission of CRISIL is illegal and hence punishable. Recording the webinar in any form in full or part or copying, altering, distributing or streaming the webinar is strictly prohibited and violation will attract legal action.
