Auto ancillary stocks belong to companies that manufacture components and spare parts used in automobiles, such as batteries, tires, brakes, engine parts, and electronics. These companies support the automotive industry by supplying essential components to original equipment manufacturers (OEMs) and the aftermarket. The sector’s performance is closely linked to automobile sales, technological advancements, and industry trends like electric vehicles (EVs) and automation.
Auto ancillary stocks are influenced by vehicle demand, technological advancements, and regulatory changes. Growth drivers include EV adoption, export potential, and evolving supply chains in the automotive sector.