India is one of the fastest-growing automotive markets in the world. It is the world’s second largest two-wheeler manufacturer and one 
of the top 10 car manufacturers. Not only does it house leading international brands like Honda, Toyota, General Motors, Ford, Hyundai, Suzuki, etc., India is also the site for frugal innovation, with wholly ‘Made in India’ cars for as low as $2500. With newer varieties, the share of electronics in automobiles is also steadily growing.
The robust growth in the automobile industry has benefited the semi-conductor market. In 2005, the automotive electronics market accounted for around 5.1 per cent of the total available market (TAM) for semi-conductors in India.
The Bangalore-based TE Connectivity recently commissioned a study on “Electronics Manufacturing in India, in Pursuit of Greater Localisation.” The study findings reveal that the Indian automobile industry has experienced significant growth in the last decade. The automobile industry was valued at $92.12 billion in 2011-12, and is estimated to grow to around $130 billion by 2020-21. Proportionally, the share of electronics in automobiles is estimated to rise from the present $9 billion to $26 billion by 2020.
Apart from other findings, the report analyses the automotive electronics industry in India and offers insights regarding the electronic components used in automobiles. It is broadly estimated that the average share of electronics in an Indian car today is in the range of $1000 to $1500 per car. Electronic components used in the automotive industry are estimated at 10 per cent of the total bill of materials, and this is expected to increase by about 10 per cent over the next 10 years.
The report also emphasizes the challenges faced by the automobile industry and states that the dynamics of crude oil prices and domestic policies have adversely affected the demand of automobiles in the last two years. Reduced exports and domestic demand since 2008 have also been a challenge for large-scale producers in India and therefore, there is a widening supply-demand gap in automotive electronics.
Commercial vehicles in India endure one of the harshest road environments in the world. Although the third-largest road network globally, India has less than 0.07 km of quality, all season, four or more lane highways per 1,000 people – one of the lowest highway densities in the world.
Indian roads are ranked 87th in terms of road quality and the worst in terms of road safety, with a road traffic fatality rate of 16.8 deaths per 100,000 people. In this context, improvising automobiles, especially high-wear commercial vehicles, to withstand the stress of harsh environments is an imperative.
TE Connectivity’s bulkhead systems, mounted on the firewalls of vehicles, provide a robust and reliable solution that meets the harsher environments that commercial vehicles have to endure. Bulkheads are used for protecting the various electrical systems on board from fire and damage from electromagnetic interference, but typically come in a less-than-ideal design.
For instance, many bulkheads have holes that allow passage of electric wires and connectors to the other side, compromising on fire resistance.
TE Connectivity’s bulkhead systems are fully sealed, providing a centralised access to interconnections across the firewall to systems inside the cabin and in the engine compartment. Easy to service and maintain, their design can be customised to accommodate the electrical architecture of different vehicles by different OEMs.
Designed using locally-available material, and engineered to deliver high standards that match European norms, TE’s bulkheads are representative of the perpetual innovation that characterises electronics manufacturing in India.
The report is available at www.te.com/india.