# Vehicles, ships, rail, aircraft

Stratum 3 · Complex manufacturing and the built world

Source page: https://www.materialinsights.org/industries/vehicles/

Stratum 3 · Complex manufacturing and the built world

## Vehicles, ships, rail, aircraft

Designs and builds cars, two-wheelers, trucks, buses, rolling stock, ships and aircraft, and sells, finances and services them. The world made about 96.4 million motor vehicles in 2025, up 3.9% on 2024, of which China made 34.5 million^[1](https://oica.net/auto-industry-growth-shifted-east-in-2025-amid-global-repositioning/); China also makes more than 70% of the world's electric cars^[2](https://www.iea.org/reports/global-ev-outlook-2025/executive-summary) and more than three-quarters of its batteries^[4](https://www.iea.org/commentaries/the-battery-industry-has-entered-a-new-phase).^[1](https://oica.net/auto-industry-growth-shifted-east-in-2025-amid-global-repositioning/)

**India.** India made about 6.5 million motor vehicles in 2025, fourth after China (34.5 million), the US (10.2 million) and Japan (8.4 million)^[1](https://oica.net/auto-industry-growth-shifted-east-in-2025-amid-global-repositioning/), and is one of the world's largest two-wheeler markets; the opportunity lies in EVs, components exports and rail and ship building, while batteries, chips and magnets remain import-dependent.
 Depends on 7 of 35 industries · 6 directly Relied on by 6 industries, directly or indirectly Enterprise types 13 in 6 stages Chokepoints 4 rated 5 of 5 Size about 96.4 million motor vehicles produced 2025

## [Where ₹100 of vehicles, ships, rail, aircraft output goes](https://www.materialinsights.org/industries/vehicles/cost-mix/)

Where ₹100 of vehicles, ships, rail, aircraft output goes Every rupee of sales is paid out to someone along the chain. This splits ₹100 of output by who finally receives it, so you can see how exposed the industry is to commodity, chemical and energy prices. Commodities ₹13.1 Chemicals ₹1.0 Energy…

## [Price links with supplier industries](https://www.materialinsights.org/industries/vehicles/price-links/)

Price links with supplier industries How the industries this one buys from shape its prices: the share of its costs they make up, and how their prices have moved together. Tap a row for the charts. Hover or tap ? for what each measure means. Supplier industry Cost share Raw-material mix…

## [Follow one offering through the chain](https://www.materialinsights.org/industries/vehicles/story/)

Follow one offering through the chain 3 Example story · 7 steps · India A Tata Nexon EV, from cell to charger Follow an Indian electric SUV from its battery cells and magnets to a crash test and a fast charger. 1 / 7 · Materials and battery supply A 45 kWh lithium-ion battery 20 GWh Agratas Sanand…

## [Buys directly from](https://www.materialinsights.org/industries/vehicles/linked-industries/)

Buys directly from Metal products Machinery and equipment Electrical equipment Plastic and rubber products Textiles and leather Semiconductors Depends on through its suppliers Water and sanitation Sells directly into Transport and logistics Aerospace and defence

## [Value chain, from upstream to the customer](https://www.materialinsights.org/industries/vehicles/value-chain/)

Value chain, from upstream to the customer Criticality to the chain: 5 · Chokepoint 4 · Critical 3 · Important 2 · Supporting 1 · Commodity service Stage 1 Materials and battery supply Flat-steel, aluminium and titanium producers 3 · Important Supply automotive sheet steel, aluminium sheet and…

## [What the whole chain draws on](https://www.materialinsights.org/industries/vehicles/materials/)

What the whole chain draws on Every commodity, chemical and energy tile named by the enterprises above; ×n shows how many of them depend on it. Open any tile for its full detail. Commodities (19) St Steel ×4 Al Aluminium ×4 Cu Copper ×4 Ni Nickel ×3 Ti Titanium ×2 Li Lithium Co Cobalt Gr Graphite…

## [Chokepoints and risks](https://www.materialinsights.org/industries/vehicles/risks/)

Chokepoints and risks China made 94% of sintered rare-earth magnets in 2024, and its April 2025 export licences sharply cut shipments in April and May 3 . China produces more than three-quarters of the world's batteries and over 70% of electric cars 2 , 4 . Mature-node auto chips have few…

## [Sources](https://www.materialinsights.org/industries/vehicles/sources/)

Sources Auto industry growth shifted east in 2025 amid global repositioning (2025 production statistics) OICA (International Organization of Motor Vehicle Manufacturers), 2026 Global EV Outlook 2025: executive summary International Energy Agency, 2025 Rare Earth Elements: executive summary…

## Relationship cards

- [Aerospace and defence](https://www.materialinsights.org/links/aerospace-and-defence-and-vehicles-ships-rail-aircraft/): Aircraft, warships and armoured vehicles sit in both industries, so the two share factories, suppliers and bottlenecks: aerospace and defence spends about ₹38.8 of each ₹100 of output with the vehicles industry, and engine and parts shortages have left a backlog above 17,000 aircraft. *(researched)*
- [Lithium](https://www.materialinsights.org/links/lithium-and-vehicles-ships-rail-aircraft/): Batteries take about 88% of the world's lithium and electric cars take most battery output, so EV sales now set lithium demand and its price cycle, which swung from an eightfold rise in 2021 to 2022 to a fall of over 80% between 2023 and early 2025. *(researched)*
- [Lithium iron phosphate batteries](https://www.materialinsights.org/links/lithium-iron-phosphate-batteries-and-vehicles-ships-rail-aircraft/): Lithium iron phosphate has become the main battery chemistry for electric vehicles, over 55% of EV batteries deployed in 2025, because it is much cheaper than nickel-based cells, but its supply chain is almost entirely Chinese, which shapes where affordable EVs are built. *(researched)*
- [Ship propulsion](https://www.materialinsights.org/links/ship-propulsion-and-vehicles-ships-rail-aircraft/): Engines and propulsion are the core bought-in system of every ship a yard builds, so fuel rules decide what shipbuilders install; with 91% of 2025 tonnage built in China, Korea and Japan and the IMO's net-zero rules still not adopted, India is using a ₹69,725 crore package to win a share of the build. *(researched)*
- [Aluminium](https://www.materialinsights.org/links/aluminium-and-vehicles-ships-rail-aircraft/): Transport is aluminium's largest market, about 28% of world use in 2025, and electric cars and faster trains raise the metal needed per vehicle, while high-strength steel competes part by part on cost. *(researched)*
- [Battery anode materials](https://www.materialinsights.org/links/battery-anode-materials-and-vehicles-ships-rail-aircraft/): Every lithium-ion cell in an electric vehicle needs an anode, almost always graphite, the largest active material in the cell by mass. China refines more than 90% of the world's graphite and has required licences for key graphite exports since December 2023, so carmakers' battery supply chains outside China depend on new anode plants that take years to qualify. *(researched)*
- [Battery cathode materials](https://www.materialinsights.org/links/battery-cathode-materials-and-vehicles-ships-rail-aircraft/): The cathode is the most expensive part of an EV battery cell and sets its range and cost, so carmakers' choice between nickel-rich NMC and cheaper iron phosphate (LFP) cathodes shapes both vehicle prices and metal demand. China makes almost all cathode material, and India's cell incentive scheme has so far delivered only a small part of its target. *(researched)*
- [Battery electrolytes](https://www.materialinsights.org/links/battery-electrolytes-and-vehicles-ships-rail-aircraft/): The liquid electrolyte, a lithium salt (usually LiPF6) dissolved in carbonate solvents, lets lithium ions move between the electrodes of every EV cell. Chinese suppliers provide most of it, its salt has swung through sharp price cycles, and its flammability and toxic decomposition products make it central to EV fire safety. *(researched)*
- [Cobalt](https://www.materialinsights.org/links/cobalt-and-vehicles-ships-rail-aircraft/): Electric vehicle batteries are now the largest use of cobalt, about 43% of demand in 2024, but makers have cut cobalt per kWh through LFP and high-nickel cathodes, so cobalt demand depends on chemistry mix as much as on EV sales, while Congo's export quotas set supply. *(researched)*
- [Electric motors and drives](https://www.materialinsights.org/links/electric-motors-and-drives-and-vehicles-ships-rail-aircraft/): Electric vehicles move on traction motors, and most of those motors use rare-earth permanent magnets made almost entirely in China, so the motor is where the vehicle industry's exposure to magnet supply sits, as 2025's export curbs showed. *(researched)*
- [Nickel](https://www.materialinsights.org/links/nickel-and-vehicles-ships-rail-aircraft/): Vehicles use nickel in two very different ways: in nickel-rich NMC and NCA battery cathodes, and in stainless steels and superalloys for engines, ships and aircraft. Battery demand for nickel has grown fast but is held back by the spread of nickel-free LFP cells, and most new nickel now comes from Indonesia. *(researched)*
- [Nickel-rich lithium-ion batteries](https://www.materialinsights.org/links/nickel-rich-lithium-ion-batteries-and-vehicles-ships-rail-aircraft/): Nickel-rich cells are the battery of choice for long-range and premium electric cars, and almost 80% of EV batteries outside China still used nickel chemistries in 2025, but cheaper LFP now takes over half of the world market, so carmakers' chemistry choices decide nickel and cobalt demand. *(researched)*
- [Rare earths](https://www.materialinsights.org/links/rare-earths-and-vehicles-ships-rail-aircraft/): Most electric cars, and many ships, aircraft and weapons, run on neodymium magnets whose heavy rare earths China separates almost alone, so Chinese export licensing can stop vehicle lines within weeks. *(researched)*
- [Steel](https://www.materialinsights.org/links/steel-and-vehicles-ships-rail-aircraft/): Steel makes up most of a car's body and chassis and the hulls of ships and bogies of trains, so vehicle makers are among the largest buyers of flat and plate steel. The contest is now over grade and carbon: thinner high-strength steel against aluminium, and low-carbon steel at a premium. *(researched)*
- [Aviation propulsion](https://www.materialinsights.org/links/aviation-propulsion-and-vehicles-ships-rail-aircraft/): Aircraft builders cannot deliver without engines, and narrowbody engines come from very few suppliers, mainly CFM and Pratt & Whitney, so engine output and engine faults now set how many aircraft reach airlines. *(researched)*
- [Copper](https://www.materialinsights.org/links/copper-and-vehicles-ships-rail-aircraft/): A battery electric car used roughly three to four times the copper of a petrol car in 2017 estimates, in motor windings, battery foils, busbars and wiring, so electrification raises copper demand per vehicle, while high copper prices are pushing carmakers towards aluminium wiring. *(researched)*
- [Graphite](https://www.materialinsights.org/links/graphite-and-vehicles-ships-rail-aircraft/): Almost every electric vehicle battery uses a graphite anode, and graphite is the largest material in a lithium-ion cell by weight, while China makes over 95% of battery-grade graphite and has licensed its exports since December 2023, so anode supply is a direct risk for carmakers. *(researched)*
- [Manganese](https://www.materialinsights.org/links/manganese-and-vehicles-ships-rail-aircraft/): Vehicles take manganese two ways: inside the steel of every car, ship and rail wagon, as steel takes about 90% of manganese, and in a small but growing amount used in battery cathodes, where the high-purity sulphate comes almost entirely from China. *(researched)*
- [Paints and coatings](https://www.materialinsights.org/links/paints-and-coatings-and-vehicles-ships-rail-aircraft/): Every vehicle body passes through a multi-layer paint shop and every hull needs anti-fouling paint, so coating makers sell into vehicle and ship production and then again into repair: at Axalta, a leading supplier, refinish for body shops was 40% of 2025 sales against 36% for light and commercial vehicle makers. *(researched)*
- [Polypropylene](https://www.materialinsights.org/links/polypropylene-and-vehicles-ships-rail-aircraft/): Polypropylene is the plastic used most in cars, moulded into bumpers, dashboards, door panels and trims because it is light, cheap and easy to mould; lightweighting raised its use, and EU rules agreed in 2025 will require new cars to carry recycled plastic, which is likely to raise demand for recovered PP. *(researched)*
- [Rail traction](https://www.materialinsights.org/links/rail-traction-and-vehicles-ships-rail-aircraft/): Rail traction is what rolling-stock builders sell: locomotives and trainsets with their motors, transformers and converters. In India, near-complete electrification of the network has turned locomotive demand almost entirely electric and pulled Siemens and Alstom into large localised factories. *(researched)*
- [Finance: banking, insurance, markets](https://www.materialinsights.org/links/finance-banking-insurance-markets-and-vehicles-ships-rail-aircraft/): Finance: banking, insurance, markets buys from Vehicles, ships, rail, aircraft; vehicles, ships, rail, aircraft buys from Finance: banking, insurance, markets; vehicles, ships, rail, aircraft depends on finance: banking, insurance, markets; finance: banking, insurance, markets depends on vehicles, ships, rail, aircraft.
- [Public administration, defence and security](https://www.materialinsights.org/links/public-administration-defence-and-security-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Public administration, defence and security; public administration, defence and security buys from Vehicles, ships, rail, aircraft; vehicles, ships, rail, aircraft depends on public administration, defence and security; public administration, defence and security depends on vehicles, ships, rail, aircraft.
- [Building materials](https://www.materialinsights.org/links/building-materials-and-vehicles-ships-rail-aircraft/): Building materials buys from Vehicles, ships, rail, aircraft; building materials depends on vehicles, ships, rail, aircraft.
- [Computers and electronics](https://www.materialinsights.org/links/computers-and-electronics-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Computers and electronics; vehicles, ships, rail, aircraft depends on computers and electronics.
- [E-commerce and digital marketplaces](https://www.materialinsights.org/links/e-commerce-and-digital-marketplaces-and-vehicles-ships-rail-aircraft/): E-commerce and digital marketplaces buys from Vehicles, ships, rail, aircraft; E-commerce and digital marketplaces depends on vehicles, ships, rail, aircraft.
- [Electrical equipment](https://www.materialinsights.org/links/electrical-equipment-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Electrical equipment; vehicles, ships, rail, aircraft depends on electrical equipment.
- [Hospitality and tourism](https://www.materialinsights.org/links/hospitality-and-tourism-and-vehicles-ships-rail-aircraft/): Hospitality and tourism buys from Vehicles, ships, rail, aircraft; hospitality and tourism depends on vehicles, ships, rail, aircraft.
- [Machinery and equipment](https://www.materialinsights.org/links/machinery-and-equipment-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Machinery and equipment; vehicles, ships, rail, aircraft depends on machinery and equipment.
- [Metal products](https://www.materialinsights.org/links/metal-products-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Metal products; vehicles, ships, rail, aircraft depends on metal products.
- [Plastic and rubber products](https://www.materialinsights.org/links/plastic-and-rubber-products-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Plastic and rubber products; vehicles, ships, rail, aircraft depends on plastic and rubber products.
- [Real estate](https://www.materialinsights.org/links/real-estate-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Real estate; vehicles, ships, rail, aircraft depends on real estate.
- [Semiconductors](https://www.materialinsights.org/links/semiconductors-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Semiconductors; vehicles, ships, rail, aircraft depends on semiconductors.
- [Software and IT services](https://www.materialinsights.org/links/software-and-it-services-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Software and IT services; vehicles, ships, rail, aircraft depends on software and IT services.
- [Textiles and leather](https://www.materialinsights.org/links/textiles-and-leather-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft buys from Textiles and leather; vehicles, ships, rail, aircraft depends on textiles and leather.
- [Transport and logistics](https://www.materialinsights.org/links/transport-and-logistics-and-vehicles-ships-rail-aircraft/): Transport and logistics buys from Vehicles, ships, rail, aircraft; transport and logistics depends on vehicles, ships, rail, aircraft.
- [Waste and recycling](https://www.materialinsights.org/links/vehicles-ships-rail-aircraft-and-waste-and-recycling/): Waste and recycling buys from Vehicles, ships, rail, aircraft; waste and recycling depends on vehicles, ships, rail, aircraft.
- [Water and sanitation](https://www.materialinsights.org/links/vehicles-ships-rail-aircraft-and-water-and-sanitation/): Water and sanitation buys from Vehicles, ships, rail, aircraft; water and sanitation depends on vehicles, ships, rail, aircraft.
- [Wholesale and retail trade](https://www.materialinsights.org/links/vehicles-ships-rail-aircraft-and-wholesale-and-retail-trade/): Vehicles, ships, rail, aircraft buys from Wholesale and retail trade; vehicles, ships, rail, aircraft depends on wholesale and retail trade.
- [ABS](https://www.materialinsights.org/links/abs-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on ABS.
- [Adhesives and sealants](https://www.materialinsights.org/links/adhesives-and-sealants-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on adhesives and sealants.
- [Autocatalysts](https://www.materialinsights.org/links/autocatalysts-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on autocatalysts.
- [Boron](https://www.materialinsights.org/links/boron-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on boron.
- [CNG, LPG and biogas distribution](https://www.materialinsights.org/links/cng-lpg-and-biogas-distribution-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on CNG, LPG and biogas distribution.
- [Carbon black](https://www.materialinsights.org/links/carbon-black-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on carbon black.
- [Coking coal](https://www.materialinsights.org/links/coking-coal-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on coking coal.
- [Combustion road vehicles](https://www.materialinsights.org/links/combustion-road-vehicles-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on combustion road vehicles.
- [Crude oil](https://www.materialinsights.org/links/crude-oil-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on crude oil.
- [Distribution grids, mini-grids and interconnectors](https://www.materialinsights.org/links/distribution-grids-mini-grids-and-interconnectors-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on distribution grids, mini-grids and interconnectors.
- [Electric and hybrid vehicles](https://www.materialinsights.org/links/electric-and-hybrid-vehicles-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on electric and hybrid vehicles.
- [Electronic specialty gases](https://www.materialinsights.org/links/electronic-specialty-gases-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on electronic specialty gases.
- [Energy in buildings](https://www.materialinsights.org/links/energy-in-buildings-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on energy in buildings.
- [Energy-intensive industry](https://www.materialinsights.org/links/energy-intensive-industry-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on energy-intensive industry.
- [Epoxy resins](https://www.materialinsights.org/links/epoxy-resins-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on epoxy resins.
- [Fluoropolymers (PTFE, PVDF)](https://www.materialinsights.org/links/fluoropolymers-ptfe-pvdf-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on fluoropolymers (PTFE, PVDF).
- [Gallium](https://www.materialinsights.org/links/gallium-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on gallium.
- [Lubricant additives](https://www.materialinsights.org/links/lubricant-additives-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on lubricant additives.
- [Natural gas](https://www.materialinsights.org/links/natural-gas-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on natural gas.
- [Natural rubber](https://www.materialinsights.org/links/natural-rubber-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on natural rubber.
- [Nylon (PA6, PA66)](https://www.materialinsights.org/links/nylon-pa6-pa66-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on nylon (PA6, PA66).
- [Oxygen](https://www.materialinsights.org/links/oxygen-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on oxygen.
- [Palladium](https://www.materialinsights.org/links/palladium-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on palladium.
- [Platinum](https://www.materialinsights.org/links/platinum-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on platinum.
- [Polybutadiene rubber](https://www.materialinsights.org/links/polybutadiene-rubber-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on polybutadiene rubber.
- [Polyester fibre](https://www.materialinsights.org/links/polyester-fibre-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on polyester fibre.
- [Polysilicon](https://www.materialinsights.org/links/polysilicon-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on polysilicon.
- [Silica sand](https://www.materialinsights.org/links/silica-sand-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on silica sand.
- [Silicon](https://www.materialinsights.org/links/silicon-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on silicon.
- [Soda ash](https://www.materialinsights.org/links/soda-ash-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on soda ash.
- [Styrene-butadiene rubber](https://www.materialinsights.org/links/styrene-butadiene-rubber-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on styrene-butadiene rubber.
- [Titanium](https://www.materialinsights.org/links/titanium-and-vehicles-ships-rail-aircraft/): Vehicles, ships, rail, aircraft depends on titanium.
- [Zinc](https://www.materialinsights.org/links/vehicles-ships-rail-aircraft-and-zinc/): Vehicles, ships, rail, aircraft depends on zinc.

## Other sections

- [Where ₹100 goes](https://www.materialinsights.org/industries/vehicles/cost-mix/index.md)
- [Price links with suppliers](https://www.materialinsights.org/industries/vehicles/price-links/index.md)
- [Example story](https://www.materialinsights.org/industries/vehicles/story/index.md)
- [Linked industries](https://www.materialinsights.org/industries/vehicles/linked-industries/index.md)
- [Value chain](https://www.materialinsights.org/industries/vehicles/value-chain/index.md)
- [Materials drawn on](https://www.materialinsights.org/industries/vehicles/materials/index.md)
- [Chokepoints and risks](https://www.materialinsights.org/industries/vehicles/risks/index.md)
- [Sources](https://www.materialinsights.org/industries/vehicles/sources/index.md)