CASE as the Next Competitive Frontier
Connected, Autonomous, Shared and Electric (CASE) mobility represents the next structural shift for India’s automotive sector. Its importance is amplified by the sector’s expanding economic weight: the auto component industry reached a ₹6.73 lakh crore turnover in FY25, growing 9.6% YoY, with exports rising to US$22.9 billion (≈₹1.95 lakh crore). India even posted a US$453 million trade surplus, a rare structural advantage as global supply chains diversify.
From a financial standpoint, these numbers underscore why CASE readiness is no longer optional. Without alignment to global tech standards, India risks losing share in the next wave of electronics-heavy automotive exports.
Regulatory Complexity Slowing CASE Adoption
Electric mobility remains the most advanced pillar, but regulatory fragmentation continues to create friction. India’s battery safety, testing and homologation rules—updated repeatedly through 2024-25—are still aligning with global norms. For Tier-2 suppliers with limited compliance infrastructure, frequent regulatory updates translate into higher certification costs and more complex audit cycles.
Connectivity faces an even larger gap. India does not yet have a unified framework for V2X and V2I communication protocols, nor standardised cybersecurity certification for connected vehicles. From a financial reporting viewpoint, this creates ambiguity around capitalisation of software development costs, embedded warranty liabilities, and digital risk provisioning.
Infrastructure Gaps Weakening Utilisation and ROI
While EV adoption is rising, infrastructure continues to lag. Although the NITI Aayog EV Mission targets ~30% EV penetration in new sales by 2030, utilisation levels remain constrained by limited charger density in high-demand urban zones.
Autonomous mobility faces the steepest challenge—India lacks HD-mapping standards, clear liability rules, and structured testing corridors. For consulting and finance professionals, this means risk assessment models must incorporate higher uncertainty bands, longer payback cycles and conservative R&D amortisation schedules.
Shared mobility—which constitutes a critical component of CASE—continues to expand. India’s shared mobility market is projected to grow at ~6.7% CAGR through 2033. However, scaling remains dependent on consistent municipal policy, EV-ready infrastructure, and digital compliance standards. Without these, OEMs and fleet operators face unpredictable operating costs and demand volatility.
Export Competitiveness and Financial Implications
With global OEMs shifting toward software-defined, electronics-intensive vehicles, the implications for India are significant. Delays in CASE alignment risk eroding India’s ability to capture high-value export categories—ADAS modules, power electronics, connectivity chips and battery systems.
For finance and consulting professionals, the decade ahead requires:
⦿ Scenario-based forecasting aligned to regulatory uncertainty.
⦿ Re-evaluation of depreciation schedules for electronics-rich vehicles.
⦿ Stronger controls for cybersecurity, battery traceability and digital compliance.
⦿ Supplier risk diagnostics, given rising testing and certification costs.
Looking Ahead
CASE is not merely a technological evolution—it is a regulatory, financial and infrastructure transition. The winners in this decade will be those who align capital, compliance and capability with the direction of policy, not just the pace of demand.
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