The Indian automotive components industry is transforming itself into a competitive industry characterized by world-class technology, driven by large and assured volumes, with strict adherence to component delivery schedules of global vehicle manufacturers.

This paper talks about the challenges that the automotive industry is facing worldwide, especially the one of constantly driving costs down. It further explores the strengths, weaknesses, opportunities, and threats for the Indian auto component industry and suggests a Risk-Mitigation strategy that automotive companies can adopt to succeed in sourcing auto-components from India.