US auto strike puts Indian ancillary hubs on the edge

This is the first time UAW has launched a simultaneous strike against all 3 automakers

- Alisha Sachdev

Automotive component manufacturing hubs in India are feeling the heat of the strike call by the American automotive workers’ union, United Auto Workers (UAW), against the Big Three—Ford, General Motors and Stellantis—in distant Detroit.

Around a third of India’s automotive component exports is to North America. Thousands of UAW members are engaged in a ‘stand-up strike’ against the US auto majors.

They have staged walkouts from one factory of each of these automakers across the US, and plan to escalate their protests across multiple locations.

However, negotiations are on with the automakers to reach a consensus over workers’ demands for a wage hike.

This is the first time UAW has launched a simultaneous strike against all three automakers, according to the Financial Times. The strikes led to factory shutdowns in Michigan, Ohio, and Missouri.

In FY23, exports to North America accounted for 30% of the Indian auto ancillary sector’s export revenue of $6.5 billion, positioning it as the single largest market for India.