Passenger Vehicles' Domestic Sales Stand At 3,00,795 Units In May The Indian automobile industry, a significant contributor to the nation's economy, has shown mixed performance across different vehicle segments in May 2024, reports SIAM
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Passenger vehicles, commercial vehicles, two-wheelers and three-wheelers have posted growth in May 2024, compared to May 2023. Primarily owing to a high base effect of the previous year, passenger vehicles have only witnessed a moderate growth. However, two wheelers and three wheelers have posted growth in double digits. Commenting on sales data of May 2024, Vinod Aggarwal, president, Society of Indian Automobile Manufacturers (SIAM) said, "With expectations of above normal monsoon and continued emphasis on economic development by the new government, as it pursues its goal of Viksit Bharat by 2047, the auto industry is optimistic of steady growth in 2024-25 as well."
Passenger Vehicles
Passenger vehicles witnessed an overall growth of seven per cent in production, reaching 3,69,648 units in May 2024 compared to 3,45,567 units in May 2023. However, domestic sales showed a modest increase of 4.2 per cent, from 2,88,659 units to 3,00,795 units. Exports remained relatively stable with a slight growth of 1.4 per cent, from 53,237 units to 53,991 units.
Subsegment Analysis
- Passenger Cars: This segment saw a decline in both production and domestic sales. Production dropped by 13 per cent to 1,42,367 units, and domestic sales decreased by 11.1 per cent to 1, 06,952 units.
- Utility Vehicles: A significant growth was observed in this segment, with a 26.9 per cent increase in production to 2,13,462 units and a 17.6 per cent rise in domestic sales to 1,82,883 units in May 2024. Exports also surged by 50.5 per cent to 24,490 units in the same period.
- Vans: The production of vans slightly increased by 0.4 per cent, but domestic sales fell by 14.5 per cent to 10,960 units. Exports also saw a sharp decline of 39.6 per cent to 699 units.
Three Wheelers
The three-wheeler segment experienced an overall growth of 4.4 per cent in production, totaling 74,879 units. Domestic sales rose significantly by 14.7 per cent to 55,763 units, although exports declined by 11.3 per cent to 22,740 units in May 2024
Subsegment Analysis
- Passenger Carrier: Production increased by three per cent to 63,637 units, and domestic sales jumped by 18.2 per cent to 45,445 units. However, exports decreased by 11.8 per cent to 22,448 units.
- Goods Carrier: This segment showed a 23.6 per cent increase in production and a 17.5 per cent rise in domestic sales. Exports grew by 49 per cent to 292 units.
- E-Rickshaw and E-Cart: Both segments, production and domestic sales, saw declines in E-Rickshaw production falling by 28.7 per cent and 48 per cent, respectively. E-Cart production also decreased by 41.1 per cent in May 2024.
Two Wheelers
Two-wheelers recorded a robust growth of 17.8 per cent in production, reaching 20,10,446 units in May 2024. Domestic sales increased by 10.1 per cent to 16,20,084 units, and exports surged by 20.2 per cent to 3,12,418 units in the same period.
Subsegment Analysis
- Scooters: This segment grew by 23.5 per cent in production to 6,05,114 units from 4,90,007 in May 2023, and domestic sales increased by 21.1 per cent to 5,40,866 units in May 2024. Exports rose by 25 per cent to 50,844 units.
- Motorcycles: Production of motorcycles increased by 15.8 per cent to 13,64,299 units, with domestic sales rising by five per cent to 10,38,824 units. Exports also saw a significant increase of 19.2 per cent to 2,61,310 units.
- Mopeds: Mopeds saw a modest growth in production and domestic sales, with an exceptional rise in exports by 388.9 per cent to 264 units from 54 units in May 2023.
Quadricycle
This small segment experienced a substantial growth in production by 81.9 per cent to 664 units. However, domestic sales slightly declined by 8.6 per cent, and exports rose by 110.3 per cent to 656 units in May 2024, indicating a significant demand in international markets.
The Indian automobile industry displayed varied performance across different segments in May 2024. While the utility vehicles and two-wheelers segments demonstrated significant growth, the passenger cars and three-wheeler segments faced challenges. The overall positive trend in production and exports suggests a resilient industry poised for future growth.
