The United States President, Donald Trump, announced a new set of tariffs as part of its ‘Liberation Day’ initiative on 2 April 2025. This new rate of tariffs is part of Trump’s administration to boost national production and what he claimed is to resolve ‘trade imbalances.’

A statement issued by ACMA India mentioned that as per an order by Trump on 26 March 2025, Section 232 charges 25 percent tariffs, but there is no mention of ‘Autos & auto parts and steel & aluminium articles.’

The industry body stated that the detailed list of auto components that will be subject to 25 percent import tariff in the United States was awaited.

Rajesh Menon, Director General, SIAM, said, “Commenting on the recent announcement by US Govt on Reciprocal Tariffs, it is to be noted that autos are not covered in this order since they are already subject to Section 232 tariffs at 25 percent, announced earlier in President Trump’s order on March 26, 2025.  We don't expect any significant impact on the Indian automobile industry since there are limited exports to US, but we will continue to monitor the situation."

Shradha Suri Marwah, President, ACMA and CMD, Subros, said, “ACMA remains hopeful that the ongoing bilateral negotiations between the Indian and U.S. governments will lead to a balanced resolution that benefits both economies. We believe that the strong trade relationship between India and the United States, especially in the auto components sector, will encourage continued dialogue to mitigate the impacts of these measures. ACMA is committed to engaging with all stakeholders to ensure the long-term interests of the Indian auto component industry.”

A statement from the White House mentioned that President Trump was working to level the playing field for American businesses and workers by confronting the unfair tariff disparities and non-tariff barriers imposed by other countries.

‘For generations, countries have taken advantage of the United States, tariffing us at higher rates. For example: The United States imposes a 2.5 percent tariff on passenger vehicle imports (with internal combustion engines), while the European Union (10 percent) and India (70 percent) impose much higher duties on the same product.’

For FY2024, India exported USD 6.79 billion worth of auto components, which translates to 27 percent of the total exports from India. On the other hand, India’s automotive component imports from the United States was valued at USD 1.63 billion or 7 percent of the total imports.

Saurabh Agarwal, Partner & Automotive Tax Leader at EY India, stated, “With US automotive tariffs rising, India's electric vehicle sector has a prime opportunity to capture a larger share of the US market, especially in the budget car segment. China's 2023 auto and component exports to the US stood at USD 17.99 billion, while India's were only USD 2.1 billion in 2024, highlighting the potential for growth. To accelerate this, the government should enhance the PLI scheme by including more auto components, opening it to new players, and extending it by two years."

Arun Agarwal, VP – Fundamental Research – Automobiles, Kotak Securities, said, “US has imposed 25 percent tariffs on imported cars, light trucks and select auto parts sourced from outside of North America. Further, almost 150 auto parts will face tariffs at similar rate. This move could result into increase in car prices in the US and cost pressure for component suppliers. In the event of car prices going up, the US car market may witness a steep volume decline and that can impact revenue for component players supplying parts to the US car/light truck industry. Further, margins of suppliers may come under pressure as they may need to partly absorb cost pressures. We believe there will be some impact, which the suppliers will have to bear, leading to negative implications on margins. Having said that, it needs to be seen on how higher tariffs are absorbed across the supply chain that includes customers, OEMs and suppliers. The extent of impact for Indian players will also depend on the US-India bilateral agreement over the next few months.”

American tier 1 supplier BorgWarner has further strengthened its business with two new orders from a Chinese transmission manufacturer and an extension from a German OEM in China for its dual clutch modules used in dual clutch transmissions (DCT).

Isabelle McKenzie, Vice-President, BorgWarner, said, “Our success in securing new projects in the Chinese market underscores BorgWarner's commitment to delivering innovative solutions in the region. We are dedicated to helping our customers grow their business in China and succeed in international markets.”

The seven-year extension with a German OEM in China follows a decade of successful collaboration. Compared to conventional longitudinal wet DCTs, the clutch assembly produced in BorgWarner’s Tianjin facility provides superior performance by reducing rotational inertia and minimising friction losses and leakage. These not only reduces drag torque but enhances transmission efficiency and provides a smoother responsive driving experience.

The company’s new business for supplying DCT clutch to a Chinese transmission manufacturer, will see the product being used in Chinese OEM’s SUVs and sedans, which will be sold in China and export markets. The clutch module will be produced in BorgWarner’s Taicang facility, features multiple key advantages – a compact design, superior thermal robustness and outstanding cost-effectiveness. Mass production is scheduled to commence by the end of 2025.

Bosch Group reported EUR 90.3 billion in revenue for 2024, down 1.4 percent YoY, with operating EBIT falling to EUR 3.1 billion. Despite the decline, the company remains committed to its Strategy 2030, targeting 6–8 percent annual growth and a 7 percent EBIT margin by 2026.

Chairman Stefan Hartung confirmed ongoing cost optimisation, structural adjustments, and job cuts in Europe to improve competitiveness. Bosch posted a 4 percent YoY sales increase in Q1 2025.

The company has also announced EUR 250 million investment in startups via Bosch Ventures and plans to double its Scope 3 emissions reduction target to 30 percent by 2030.

Bosch expects modest global growth in 2025 (2.25–2.75 percent) and aims for 1–3 percent organic sales growth. Acquisitions of Johnson Controls and Hitachi’s HVAC businesses may further boost sales by up to 2 percent.

Mobility: Sales fell 0.7 percent to EUR 55.8 billion. Bosch is expanding in hydrogen and EV technologies.

Consumer Goods: Sales rose 1.6 percent to EUR 20.3 billion. Bosch is increasing product launches and regional manufacturing.

Industrial Technology: Sales declined 13 percent to EUR 6.4 billion amid weak global demand.

Energy & Building: Sales dropped 2.7 percent to EUR 7.5 billion, with growth expected from new HVAC acquisitions.

Regional sales fell in Europe but grew in the Americas (+4.8 percent) and Asia Pacific (+0.7 percent). R&D spend reached EUR 7.8 billion, with free cash flow at EUR 0.9 billion.

Bharat Forge, one of India’s leading automotive component suppliers, has demonstrated resilience in its standalone financial performance for the fourth quarter and full fiscal year 2025, navigating global headwinds while capitalising on robust growth in its defence sector business.  The company showcased a steady performance despite challenges in certain international markets.

For Q4 FY2025, Bharat Forge recorded standalone revenues of INR 21 billion, with an EBITDA of INR 6 billion, translating to a healthy EBITDA margin of 29.1 percent. The company also reported a Profit Before Tax (PBT) of INR 4.9 billion.

For FY2025, Bharat Forge reported standalone revenues of INR 88 billion, a marginal dip of 1.4 percent compared to the INR 89 billion recorded in FY2024. Despite this slight decrease in revenue, the company managed to improve its profitability, with EBITDA at INR 25 billion (EBITDA margin of 28.5 percent) and PBT at INR 19 billion, both showing a marginal improvement compared to the previous fiscal year. The company also highlighted a strong balance sheet with cash on books of INR 26 billion.

The company stated that FY25 Revenues remained flat despite weakness in European CVs, mixed performance in export PV business. Oil & Gas recouped from the lows of FY24 while Defence displayed steady growth.

At a consolidated level, Bharat Forge reported revenues of INR 15.1 billion in FY2025, remaining relatively flat compared to the INR 15.6 billion in FY24. However, the company saw a significant improvement in consolidated EBITDA margins, rising from 16.4 percent to 18.2 percent.

A significant highlight of the year was the strong order inflow, particularly in the defence sector. During Q4 FY25, the company secured new orders worth INR 43 billion, including a substantial INR 34 billion towards the ATAGS order. As of March 2025, the defence order book stood at a robust INR 94 billion. For the entire fiscal year, the Bharat Forge group secured new orders worth INR 69 billion, with the defence sector accounting for an impressive 70 percent of these new wins.

The company also highlighted the strong performance of its ferrous castings business, which witnessed significant growth with revenues increasing by 23 percent, EBITDA by 35 percent, and a doubling of profits compared to FY2024. Key return ratios for this segment exceeded 20 percent.

Looking ahead to FY2026, Bharat Forge outlined its strategic focus on improving consolidated profitability through several internal actions. These include reducing losses in the e-mobility vertical, evaluating options for the steel business in Europe, improving operational performance in the aluminium business, leveraging North American manufacturing footprint and focusing on new business wins across traditional forgings, defence, aerospace and castings. The company also anticipates the integration of the AAM India business in FY2026, which is expected to further enhance its product portfolio and presence in the Indian market.

German technology company Continental has achieved a new 200 million radar sensors production milestone, highlighting its leading position in automotive safety technology with over 20 percent market share. This achievement the company states reflects the increasing adoption of advanced driver assistance systems (ADAS) towards autonomous driving.

The company reached 100 million units between 1999 and 2021, doubling this figure in just four years. This rapid growth signifies technological advancements and strong demand for vehicle safety features. Continental has also secured major new orders for radar sensors worth around EUR 1.5 billion, with production starting in 2026 and 2027.

Ismail Dagli, head of Autonomous Mobility at Continental, said, “The mark of 200 million sensors produced – and the major series orders – emphasise that Continental stands for high-tech engineering, pioneering spirit and customised technology solutions for every application in the automotive market. Radar sensors are a key component for the mobility of today and tomorrow. Without a differentiated portfolio of various radar systems, such as those from Continental, autonomous driving would not be possible.”

The rise in radar sensor sales is due to their essential role in modern driver assistance systems, enhancing safety and comfort. Modern vehicles can utilise nine or more radar sensors for functions like adaptive cruise control, emergency braking and blind spot detection, often combined with other sensors. Radar systems are also vital for highly automated and autonomous vehicles, providing crucial 360-degree environmental awareness.