Auto parts, engines take pole position in UK's India drive

UK eyes $240 million auto parts exports to India as trade deal shifts focus from luxury cars

- Ayaan Kartik & Manas Pimpalkhare

The UK government expects bigger inroads of up to $240 million (about 2,076 crore) in auto parts and engine exports to India, surpassing luxury cars, after its free-trade agreement with India.

The pact opens up the Indian market for companies including GKN Automotive, Cosworth and Ricardo Plc, among others. According to the UK government's assessment, auto component exports will jump by about £190 million or 150%, suggesting that auto parts and engines to be a key winner for Britain as part of the trade deal.

While the auto component industry in India doesn't see it as a challenge, the UK's assessment suggests that there will be a spike in imports from India over the next few years.