Automotive Aftermarket Size

The Indian automotive aftermarket is not just an industry; it's an economic behemoth. The Automotive Aftermarket Market Size, which measures the total annual revenue from all parts, accessories, and services, is a staggering figure, valued at well over ₹5 Lakh Crore (approximately $60-70 billion USD). As of late 2025, this colossal market continues to expand at a healthy pace, driven by the ever-growing number of vehicles on our roads and their increasing complexity. This valuation highlights the immense economic activity that happens after a vehicle is sold, making the aftermarket one of the most important and resilient sectors of the Indian economy.

The Components of the Market Size

The total market valuation is a combination of two primary streams:

1. Component Sales (approx. 75-80% of the market): The sale of physical goods makes up the lion's share of the market's revenue. This is a huge category that includes:

   • Spare Parts: The core of the market. This includes high-turnover service parts (filters, spark plugs), mechanical parts (clutches, suspension), and collision parts (bumpers, fenders).

   • Accessories: Everything from seat covers to infotainment systems.

   • Tires: A massive market in its own right, the sale of replacement tires is a major contributor to the overall aftermarket size.

2. Service and Labour (approx. 20-25% of the market): This represents the value of the labour charges for all maintenance and repair work performed by technicians across the country.

Key Segments Driving the Value

• Two-Wheelers vs. Passenger Cars: While passenger cars have a higher value per unit, the sheer, overwhelming volume of two-wheelers in India makes this segment a massive contributor to the total market size, especially for fast-moving parts like spark plugs, chains, and tires.

• Organized vs. Unorganized: The "unorganized" sector, consisting of independent garages and local parts shops, still commands the largest portion of the market's value, though the "organized" sector (authorized dealers, branded workshop chains, e-commerce) is growing at a much faster rate.

• Regional Hubs: The market size is also geographically concentrated. Major automotive and population centers like the Delhi-NCR region, Mumbai, Bengaluru, and our own city of Pune, with its high vehicle density, are massive contributors to the national market size.

Frequently Asked Questions (FAQ)

Q1: How big is the automotive aftermarket in India? A1: As of 2025, the Indian automotive aftermarket is a massive industry, with its total market size valued at well over ₹5 Lakh Crore (approximately $60-70 billion USD) and continuing to grow strongly.

Q2: Which is a bigger part of the market: selling parts or providing services? A2: The sale of components (spare parts, accessories, tires) is the larger part of the market, accounting for roughly 75-80% of the total revenue. The remaining 20-25% comes from the labour charges for services and repairs.

Q3: Does the market size include sales for trucks and buses? A3: Yes. The total market size is a comprehensive figure that includes the aftermarket for all vehicle segments: two-wheelers, three-wheelers, passenger cars, and commercial vehicles (trucks and buses).