The domestic passenger vehicle sales grew marginally by 2.6% year-on-year to 3,02,521 units in July this year as against 2,93,865 units in the same period last year, according to the latest factory dispatch data from the Society of Indian Automobile Manufacturers (SIAM). The two-wheeler sales, however, declined by 7.2% during the month under review to 16,08,414 units as against 17,70,676 units sold in the same period last year. The two-wheelers sales have been the slowest in July in FY24.
Meanwhile, the three-wheeler sales witnessed the second highest-ever growth of 78.9% year-on-year to 56,034 units as against 31,324 units sold in the same period last year.
"Though the Passenger Vehicle and Three-Wheeler segments are performing well, there has been a de[1]growth of Two-Wheelers in July 2023, compared to July 2022. Overall, we expect that the positive economic environment, good monsoons, and upcoming festive season will support continued growth in the Auto Industry," says Vinod Aggarwal, president, SIAM.
The passenger vehicle segment was led by utility vehicles, which accounted for 40.9% of the total sales to 1,80,625 units during the month under review. Maruti Suzuki led the utility vehicles segment by selling 42,360 units in July, followed by Mahindra and Mahindra that sold 36,205 utility vehicle units.
Amongst the passenger vehicles sales, Maruti Suzuki led the segment by selling 1,52,126 units, up 6.4% year-on-year in the domestic market against 1,42,850 units sold in the same period last year. The country’s largest automobile manufacturer produced 1,82,733 units in July this year against 1,79,792 units in the same period the previous year.
This was followed by Hyundai Motor India, which witnessed a marginal growth of 0.39% to 50,701 units against 50,500 units in the same period last year. The South Korean automobile manufacturer produced 69,188 units in July, up 7.6% in July as against 69,188 units in the same period last year.
The sales of Mahindra and Mahindra were up 29% to 28,053 units against 36,205 units in the same period last year. The manufacturer of Scorpio and XUV700 produced 38,966 units, up 40.5% year-on-year as against 27,716 units in the same period last year.
The domestic sales of Tata Motors are not included in SIAM data.
According to the Federation of Automobiles Dealers Association (FADA), retail vehicle sales surged 4% YoY to 2,84,064 units in July but fell 3.8% when compared with the previous month. The month saw a surge in orders and timely OEM supplies, especially with the introduction of new products, FADA president Manish Raj Singhania said earlier.
According to FADA, the inventory for passenger vehicles surpassed the 50-day mark and currently hovers between 50 and 55 days, suggesting an inventory build-up in anticipation of the forthcoming festive season.
