India’s landmark trade agreement with the United States has been welcomed across the auto and auto components industry, with leaders calling it a major boost for exports, investment, and global integration.
Industry leaders said that the deal signals India’s growing credibility on the global stage and is expected to drive innovation, deepen supply-chain integration, and attract long-term investments in advanced manufacturing and clean mobility.
Anish Shah, CEO & MD of Mahindra Group, said that the immediate reduction in reciprocal tariffs from 50 per cent to 18 per cent, along with commitments to progressively lower trade barriers, “will boost growth momentum and improve the predictability businesses need to invest with confidence. This deal adds meaningful momentum to India’s growth ambitions”.
“The tariff cut improves export competitiveness and reinforces confidence in long-term bilateral ties, supporting PM Modi’s vision of Viksit Bharat 2047. Predictability and openness in trade help Indian industry scale, innovate, and create jobs,” said TVS Motor Company Chairman Sudarshan Venu.
Vikrampati Singhania, President, the Automotive Component Manufacturers Association of India (ACMA) said that the agreement enhances the competitiveness of Indian auto components in the US, encourages technology-led partnerships, and strengthens India’s role as a trusted global manufacturing hub.
Ravi Mehra, MD of Uno Minda, described the deal as “a defining moment for the Indian economy and the auto components industry, unlocking export-led growth, deeper market access, and global integration. For Uno Minda, it opens opportunities to scale our footprint, strengthen supply chains, and expand in the US market, while reinforcing India’s position as a world-class manufacturing hub”.
