Shakti Hi-Tech, a prominent Indian manufacturer of precision auto components, has announced a substantial 22% growth in EV component exports to Europe over the past financial year. This milestone underscores India’s expanding footprint in the global electric vehicle (EV) supply chain and reinforces Shakti Hi-Tech’s position as a reliable partner in the transition to cleaner mobility solutions.
Surge in EV Component Export Boosts India’s Position
The EV component export boost reported by Shakti Hi-Tech reflects a broader trend of rising international confidence in Indian engineering capabilities. Europe, with its aggressive shift toward electric mobility, has become a key market for advanced EV parts. Shakti Hi-Tech’s strategic alignment with European automakers and Tier 1 suppliers has allowed the company to tap into this growing demand.
From powertrain systems to thermal management modules, the company supplies a diverse range of components tailored to meet Europe’s stringent quality and environmental standards. This consistent performance and product reliability have cemented long-term partnerships with multiple OEMs across Germany, France, and the Nordic countries.
Why European Markets Are Turning to Indian Suppliers
Several factors are driving European manufacturers to increasingly source from Indian companies:
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Cost-efficiency with High Quality: Indian manufacturers offer a unique value proposition — competitive pricing without compromising on precision and quality.
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Robust Technical Capabilities: Companies like Shakti Hi-Tech have invested in state-of-the-art CNC machinery, digital manufacturing systems, and clean energy-powered production lines, aligning with global ESG benchmarks.
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Supply Chain Resilience: Amid geopolitical uncertainties and supply chain disruptions, European buyers are diversifying suppliers. India’s stable manufacturing ecosystem provides a dependable alternative to traditional hubs like China.
This shift is not just a short-term trend but a long-term realignment in the Indian auto parts global demand landscape.
Investments Driving Export Growth
Shakti Hi-Tech’s export growth is the result of both strategic foresight and sustained investments. Over the past two years, the company has:
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Expanded Production Capacity: Added 30% more production lines exclusively for EV components.
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Strengthened R&D: Established an in-house EV innovation cell focused on lightweight materials, battery enclosures, and thermal management.
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Achieved International Certifications: Secured ISO/TS 16949 and IATF 16949 certifications, which are critical for European market access.
Additionally, the firm has embraced Industry 4.0 standards, including IoT-based machine monitoring, predictive maintenance systems, and AI-driven quality inspections. These upgrades have enabled faster turnaround times, reduced defects, and improved export-readiness.
EV Component Export Boost and Policy Synergy
India’s policy framework has also played a supportive role in Shakti Hi-Tech’s export performance. Government schemes such as the Production Linked Incentive (PLI) for Auto and Auto Components and Make in India have incentivized manufacturers to innovate and scale up exports.
Exporters have also benefited from duty drawbacks and GST refund mechanisms that improve liquidity and reduce cost overheads. Combined with favorable trade treaties with EU countries, these enablers are catalyzing sustained growth.
Future Outlook: Sustained Momentum Expected
Looking ahead, Shakti Hi-Tech projects another 15–18% rise in EV component exports for the coming fiscal year, driven by new product lines in battery thermal management and drive control units. The company is also exploring potential partnerships with emerging EV startups in Scandinavia and Eastern Europe.
In parallel, global demand for Indian auto parts — especially in the EV segment — is forecast to increase sharply, as environmental regulations tighten and local sourcing within Europe becomes less viable due to cost pressures.
With India’s deepening role in global clean mobility, firms like Shakti Hi-Tech are poised to lead this transformation.
Frequently Asked Questions (FAQ)
Q1: What is driving the EV component export boost from India?
India offers cost-effective, high-quality manufacturing backed by advanced engineering and reliable supply chains. Government support and a strong base of skilled labor make Indian firms competitive in global EV markets.
Q2: Which EV components are exported by Shakti Hi-Tech?
Shakti Hi-Tech exports powertrain assemblies, thermal management systems, aluminum casings for batteries, and precision-machined parts used in electric drivetrains.
Q3: How is Shakti Hi-Tech ensuring product quality for international markets?
The company uses ISO-certified production processes, AI-based inspection systems, and maintains a zero-defect policy aligned with European compliance standards.
Q4: Is the export growth expected to continue?
Yes. With increasing global demand for clean mobility solutions and expanding capacity at Shakti Hi-Tech, export growth is projected to rise by another 15–18% in the next fiscal year.
Q5: How does this trend impact the Indian auto industry?
It boosts India’s credibility as a global EV component hub, attracts foreign investments, and encourages more Indian firms to innovate for export-driven growth.
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