§1What this business is
Steel sheet is sheared, pressed into tubes, rolled, gas-welded and spot-welded with internal baffles, assembled, painted where needed and tested for noise reduction. Silencers are made to suit each vehicle model. The KVIC profile is a small unit with a rented shed; the Samadhan report is a larger rented unit.
Capacity: KVIC: 12,000 silencers a year. Samadhan: not printed in units; the plan runs at 35% capacity in year 1 rising to 55% in year 5.
§2Is it right for you?
Who it is for
A sheet-metal fabricator or welder who knows the vehicle spare-parts trade.
Who it is not for
Someone who cannot handle welding, pressing and design for many vehicle models.
Advantages
- Every petrol and diesel vehicle has a silencer that rusts and needs replacing
- Sheet-metal machines are simple and widely available
- Can start small (KVIC model ₹12 L)
- Can also make exhaust pipes and other sheet-metal parts
Drawbacks
- Each vehicle model needs its own design and dies
- Steel sheet price changes hit margins
- Competition from established component makers
- Electric vehicles do not need silencers
Skills you need
- Sheet cutting, pressing and rolling
- Gas and spot welding
- Reading vehicle-specific designs
- Selling to spare-parts dealers and garages
Why difficulty 3/5: Simple sheet-metal machines, but many vehicle models and quality norms to meet.
§3Market
Who buys
- Vehicle owners replacing rusted silencers
- Garages and service workshops
- Vehicle and component makers
How it sells
- Auto spare-parts dealers
- Direct supply to garages
- Supply to component makers
Good to know
- The Samadhan report says silencers should be designed to ISO 14163:1998 guidelines for noise control.
- The report lists baffle, wave-cancellation, resonance and absorber types; multiple-baffle silencers are the usual choice in vehicles.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| KVIC equipment set: shearing machine (4' blade, 16 SWG, 5 HP), power press 30 MT, power press 5 MT, fly press no. 18, sheet bending roll (2 HP), 8" bench grinder, edge folding machine, spot and gas welding equipment, work benches and racks, measuring instruments, tools, jigs and fixtures, office equipment, electrification and installation at 15% | 1 set | ₹6,30,000 |
| Sheet metal shearing machine (4 blades, 16 SWG, 5 HP) | — | — |
| Power press, 30 tons, 3 HP | — | — |
| Edge folding machine | — | — |
| Three-roller sheet bending machine | — | — |
| Oxy-acetylene gas welding kit | — | — |
| Spot welding machine | — | — |
| Samadhan total plant and machinery (no item-wise prices printed) | — | ₹14.00 lakh |
From: KVIC Project Profile — Automobile Silencer (PMEGP) · PMEGP sample project report — Automobile Silencer (prepared by Udyami/Samadhan)
- Aluminised steel sheetthe most common silencer material; holds strength up to 677°C and resists oxidation
- Stainless steel sheetgood strength and heat dissipation; easy to gas weld
- MS tubingwelded to the silencer halves as required
- Raw material (all)₹12,00,000 a year in the KVIC profile, plus labels and packing ₹75,000
From: PMEGP sample project report — Automobile Silencer (prepared by Udyami/Samadhan) · KVIC Project Profile — Automobile Silencer (PMEGP)
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§5Licences & registration
- MSME Udyam registration
- BIS certification
- ISO certification
- Factory licence
- GST registration
- Fire safety NOC
- Pollution control NOC
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP (both reports were prepared for it), MUDRA up to ₹20 L and CGTMSE for a collateral-free loan.
§7Money
How the investment is worked out: KVIC profile: equipment ₹6.30 L + working capital ₹5.70 L = ₹12.00 L (rented shed). Samadhan report: plant and machinery ₹14.00 L + furniture ₹0.25 L + other assets ₹1.00 L + working capital ₹5.00 L = ₹20.25 L (land and building rented).
Working capital: KVIC: working capital ₹5.70 L. Samadhan: ₹5.00 L, of which ₹4.50 L is a bank working capital loan.
Years not printed on these reports — check current machinery and raw-material prices.
§8Export potential
Export council / board: EEPC India
- The project report prints no HS code; look up the 8-digit ITC(HS) line on the DGFT website or with a customs broker before exporting.
- You need an Import Export Code (IEC) from DGFT before the first shipment.
§9Risks — where people fail
- Shift to electric vehicles
- Steel price rise
- Quality complaints on noise or leaks
- Many models mean high stock
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working automobile silencer manufacturing unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (MSME Udyam registration, BIS certification), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
Associations, clusters and training institutes — the directory is being built. Connect
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Automobile Silencer Manufacturing?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
- KVIC Project Profile — Automobile Silencer (PMEGP)
- PMEGP sample project report — Automobile Silencer (prepared by Udyami/Samadhan)
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.