New Delhi: Retail vehicle sales Strong growth seen across all vehicle categories across India JanuaryOverall the market expanded by 15 percent.
Two-wheeler (2W) sales grew by 15 per cent, followed by three-wheelers (3W) by 37 per cent, passenger vehicles (PV) by 13 per cent, tractors by 21 per cent and commercial vehicles (CV) by a marginal 0.1 per cent. . Percent.
The Federation of Automobile Dealers Associations said in a release on Tuesday that demand for two-wheelers remains strong. rural market,
The two-wheeler segment is likely to benefit from the government’s good crop production projections and continued support to the rural economy, the association said.
The passenger vehicle segment hit a new all-time high in January, retailing 393,250 vehicles and surpassing the previous record set in November 2023. However, a persistent concern remains high list The level, which is still hovering in the 50-55-day range, is a challenge for auto dealers.
Tractor segment sales also witnessed positive growth after a slowdown in the previous months, possibly due to expectations of good Rabi crop production and favorable weather conditions for wheat cultivation.
The association stressed that the commercial vehicle segment may see a slight decline in demand in the fourth quarter due to high base effect and upcoming elections. However, it added that long-term fundamentals remain positive, as it is expected to improve as the tender process resumes in industries after the elections.
The government’s optimistic crop production projections and continued support measures are expected to boost the rural economy, potentially leading to even higher tractor demand and increased sales of the entry-level 2W in rural areas, the association said.
Faced with high inventory levels, Manish Raj Singhania, President, FADA, suggested recalibration of production in line with market demand.
“However, despite this achievement, serious concerns remain over PV inventory levels, which are now in the range of 50-55 days,” Singhania said.
“This demands immediate recalibration of production from OEMs to better align with actual market demand and avoid oversupply issues in the future. Since adaptability is critical in this dynamic industry, OEMs need to ensure continued success. And must balance innovation with strategic production planning to ensure overall market stability.” ” He said.
Talking about the outlook, the association said the ongoing wedding season and anticipated income from agricultural sales provide a positive base for continued consumer spending, thereby supporting growth in the two-wheeler segment.
It said increased vehicle availability and successful new model launches across segments are likely to boost market demand.
Two-wheeler (2W) sales grew by 15 per cent, followed by three-wheelers (3W) by 37 per cent, passenger vehicles (PV) by 13 per cent, tractors by 21 per cent and commercial vehicles (CV) by a marginal 0.1 per cent. . Percent.
The Federation of Automobile Dealers Associations said in a release on Tuesday that demand for two-wheelers remains strong. rural market,
The two-wheeler segment is likely to benefit from the government’s good crop production projections and continued support to the rural economy, the association said.
The passenger vehicle segment hit a new all-time high in January, retailing 393,250 vehicles and surpassing the previous record set in November 2023. However, a persistent concern remains high list The level, which is still hovering in the 50-55-day range, is a challenge for auto dealers.
Tractor segment sales also witnessed positive growth after a slowdown in the previous months, possibly due to expectations of good Rabi crop production and favorable weather conditions for wheat cultivation.
The association stressed that the commercial vehicle segment may see a slight decline in demand in the fourth quarter due to high base effect and upcoming elections. However, it added that long-term fundamentals remain positive, as it is expected to improve as the tender process resumes in industries after the elections.
The government’s optimistic crop production projections and continued support measures are expected to boost the rural economy, potentially leading to even higher tractor demand and increased sales of the entry-level 2W in rural areas, the association said.
Faced with high inventory levels, Manish Raj Singhania, President, FADA, suggested recalibration of production in line with market demand.
“However, despite this achievement, serious concerns remain over PV inventory levels, which are now in the range of 50-55 days,” Singhania said.
“This demands immediate recalibration of production from OEMs to better align with actual market demand and avoid oversupply issues in the future. Since adaptability is critical in this dynamic industry, OEMs need to ensure continued success. And must balance innovation with strategic production planning to ensure overall market stability.” ” He said.
Talking about the outlook, the association said the ongoing wedding season and anticipated income from agricultural sales provide a positive base for continued consumer spending, thereby supporting growth in the two-wheeler segment.
It said increased vehicle availability and successful new model launches across segments are likely to boost market demand.
(TagstoTranslate)Business News(T)Automobile Sales(T)Rural Markets(T)January(T)High Inventory(T)Auto Retail Sales