27% of exports at risk as US plans to slap 25% tariff, 4 cos most exposed – US Auto tariffs
The US has announced a 25% tariff on fully assembled vehicles starting April 3, which will extend to auto parts from May 3. These tariffs aim to boost local manufacturing but may result in higher vehicle prices and weakened demand in the US market.
The US is India’s second-largest export destination for auto parts, with exports worth $6.79 billion in FY24—about one-third of India’s total auto parts exports. As nearly 27% of Indian auto component exports are US-bound, this move could significantly impact Indian firms. The following data, collated by ET Bureau, shows major companies’ revenue share coming from the US:
