India’s automobile industry is in the spotlight, with government leaders and industry representatives setting the agenda for its future. At SIAM’s annual convention today, Prime Minister Narendra Modi emphasized the need for government and industry to work together to achieve “true self-reliance” across the value chain. SIAM President Shailesh Chandra welcomed the recent GST cuts on automobiles as a landmark decision that will improve affordability and inject fresh growth momentum. A day earlier, at FADA’s 7th Auto Retail Conclave, Union Minister Piyush Goyal highlighted the role of auto retailers as the interface between companies and consumers, stressing the importance of after-sales service, fair financing, and ethical practices.

Illustration showing Prime Minister Narendra Modi and Union Minister Piyush Goyal with the Indian flag and map in the background. Modi is associated with the message “Call for self-reliant auto sector” and Goyal with “Focus on consumers.” Cars are placed in the foreground to represent the automobile industry.

PM Modi’s Message
• Government and industry must collaborate to build resilience across the supply chain
• India is advancing towards leadership in green and smart transportation
• The auto sector is a Make in India torchbearer and key economic driver

SIAM’s Perspective
• GST cuts on automobiles will make vehicles more affordable and expand mobility access
• The decision is expected to inject fresh growth momentum into the industry
• Procedural changes will support ease of doing business for manufacturers

Goyal’s Call to Retailers
• Retailers are the bridge between companies and consumers, shaping credibility
• Fair financing, quality service, and continued after-sales support are critical
• Companies must commit to supporting customers before exiting the Indian market

Policy Push
• GST cuts effective September 22 will lower vehicle prices
• Government invites suggestions to reduce compliance requirements and simplify laws
• Free Trade Agreements are expected to bring in global competition and wider consumer choice while promoting swadeshi

Why It Matters
For manufacturers: Stronger growth prospects supported by tax relief and government backing
For retailers: Greater accountability in ensuring consumer satisfaction and long-term trust
For consumers: More affordable vehicles, stronger protections, and wider choices

The Bigger Picture
India’s auto sector is entering a new phase where affordability, resilience, and consumer trust converge. With tax reforms, global investments, and policy direction aligning, the industry is being positioned not only as a growth engine but also as a symbol of India’s vision for Viksit Bharat.

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