Sales of vehicles in the Indian auto sector – across all vehicle segments – grew 17.72% in August 2022 over a year earlier, as per data released by the Society of Indian Automobile Manufacturers (SIAM). It must, however, be noted that data of commercial vehicle sales is released only at the end of every quarter.
The growth in August was triggered by a 21.09% growth in passenger vehicles, 16.34% growth in two-wheelers and a robust 62.54% growth in the three-wheeler segment.
Notably, over production across these three segments grew by over 14% YoY last month to 2,275,407 units, but exports fell by 12.68% from the 461,188 units in August 2021 to 402,693 units this year. The industry has also been performing well over the current financial year, starting April 2022. Across all segments, barring CVs, the industry grew 33.32% with total sales of 8,294,975 units as against 6,221,691 units in the same period last fiscal.
This has largely been driven by some staggering growth numbers in quadricycles – 4,200% growth YoY – of course, on a very small base of 5 units as well as a very healthy 120.32% growth in three-wheelers, which has accounted for a total of 145,986units in the given period compared to the 66,260 it had sold in the corresponding period last fiscal.
The two other primary vehicle segments – four-wheelers and two-wheelers – have returned positive growth as well. While the 4W segment grew 29.97% to close the Apr-Aug 2022 period with 1,485,506 units, the 2W segment grew 32.93% to 6,663,265 units.
Passenger Vehicles – August Sales
Among passenger vehicles, passenger cars grew 23.01% to 133,477 units in August 2022 over the 108,508 units the segment had accounted for last August. Production of passenger cars also grew YOY to 160,708 units, resulting in a 27.29% growth from the 126,252 units the industry had produced in August last year.
Passenger car exports, meanwhile, dropped marginally to 30,409 units in August this year from 32,245 units in August 2021 – falling 5.69% YoY.
Utility Vehicles (UVs) too posted a healthy 20.05% YoY growth to close August 2022 with sales of 135,497 units, as against 112,863 units in August last year. Production of UVs also grew 23.60% YoY to 160,643 units last month, while exports grew from 18,802 units in August 2021 to 24,280 in August 2022, resulting in a 29.14% growth YoY.
Likewise, the vans segment also saw positive growth. While domestic sales grew 12.74% for an overall sales of 12,236 units, over the 10,853 units sold a year before, production of vans also increased 15.21% to 12,133 units in August 2022. Exports, on the other hand, saw a significant fall to just 44 units, which meant a fall of 70.47% from the 149 units the industry had accounted for a year earlier.
Overall, in August 2022, passenger vehicles accounted for 281,210 units in the domestic market and 54,733 units in exports. Collectively, passenger vehicles grew 18.53% YoY selling 335,943 units in the month of August 2022.
Two-Wheelers – August Sales
In the two-wheeler segment, while scooters and motorcycles grew at 9.53% and 23.12% respectively, the sales of moped fell 30.64% YoY. Despite this fall, the overall 2W segment grew 16.34%. Motorcycles topped the one million mark, selling 1,016,794 units in August 2022, while scooters remained a distant second with total sales of 504,146 units last month.
Exports of two-wheelers, meanwhile, continue to remain in the negative territory. Barring scooter exports, which grew 32.13% in August 2022 to 45,578 units, exports of motorcycles and mopeds dropped significantly. The industry exported 258,048 motorcycles last month against 336,979 units it had exported in the corresponding month last year. Mopeds dropped 92.31% to export just 66 units in August last year. Overall, two-wheeler exports dropped 18.44% YoY to close August 2022 with 303,692 units.
Cumulatively though – domestic and exports put together – August 2022 remained a positive month for the two-wheeler segment, with growth of 8.77% for a total of 1,861,121 units as against 1,711,073 units in August last year.
Three-Wheelers – August Sales
In August 2022, the three-wheeler industry reported domestic sales of 38,369 units, which is a growth of 62.54% as against the 23,606 units they had sold in the corresponding month last year. Exports too grew a handsome 19.64% to 44,166 units as compared to August 2021’s figure of 36,915 units.
A deeper look at the sub-segments portray a healthy growth overall, barring goods carriers. Passenger carriers accounted for 29,105 units, leading to a 93.45% YoY growth. Good carriers, however, fell 9.85% YoY to close the month with sales of 7,007 units.
Interestingly, SIAM also took into account sales of e-rickshaws and e-carts in the August data. While e-rickshaws grew 180.83% YoY to 2,095 units, e-carts grew 285.71% to 162 units. It must be noted that these growth figures are based on a relatively lower base from August 2021.
From an exports perspective, three-wheeler passenger carriers grew 21.07% YoY to close the month with exports of 43,930 units, while exports of 3W goods carriers fell 62.48% YoY to just 236 units.
In Conclusion
In a release issued by the industry body, Rajesh Menon, Director General, SIAM said, “While good monsoon and the upcoming festive season is likely to increase demand, SIAM is keeping a close watch on the dynamic supply-side challenges.”
Further, the high CNG prices is a big challenge for the industry, Menon said, adding SIAM is keenly looking forward to the kind interventions and support from the Government.
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