Truck Rentals Rebound In July, Used Vehicle Market Sees Mixed Trends

T Murrali
08 Aug 2024
11:30 AM
1 Min Read

The Shriram Mobility Bulletin data highlights the dynamic vehicle and transportation market, reflecting both challenges and opportunities in the current economic climate.


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After a sluggish two months, truck rentals across key trunk routes rebounded in July. Data from the Shriram Mobility Bulletin indicated that manufacturers, anticipating strong festival demand, began moving goods to key commercial hubs, increasing truck demand. Fleet occupancy levels also rose, with the Kolkata-Guwahati-Kolkata route experiencing a significant 3.9% increase in trip rentals.

Used Vehicles

The used commercial vehicles (UCVs) market showed healthy year-on-year growth across all weight categories. Prices for two to 3.5-tonne 4-wheeler UCVs increased by as much as 47%, followed by a 36% growth in the 1.5 to two-tonne category.

Conversely, used passenger vehicle prices saw a decline, particularly in sedans and compact SUVs. Year-on-year, prices fell between 6% to 10%. Specifically, the resale prices of the Maruti Swift and Maruti Ertiga dropped by 10%, while the Mahindra Scorpio and Hyundai Creta decreased by 6%. In the used two-wheeler market, most categories saw a price rise except for the Honda Shine and Bajaj Pulsar, which declined by 3% and 2% respectively.

New Vehicles

Sales of new vehicles showed an upward trend as discounts returned to the market after a prolonged absence. Car sales increased by 11% month-on-month (MoM) and 9% year-on-year (YoY) in July. Two-wheeler sales rose by 5% MoM and 17% YoY. Commercial vehicle sales also saw an increase, with E-Rickshaws with carts registering an 87% YoY growth and commercial tractors a 19% MoM increase.

Fuel Consumption

Fuel consumption trends were mixed, with petrol consumption remaining unchanged in July, while diesel consumption dropped by 10% compared to June 2024 levels. Similarly, intra-state and inter-state E-Way bill generation, the number of suppliers, and E-Way bill value all decreased on a MoM basis in June 2024. FASTag toll collections remained flat compared to June 2024.

YS Chakravarti, MD & CEO of Shriram Finance Ltd., said, “With the Kharif harvest around the corner and abundant water stored in reservoirs due to good monsoon rains, rural activity will gain momentum in the coming months. Manufacturers are ramping up supplies to commercial hubs in anticipation of higher festive offtake across product categories. We are witnessing sentiment turning positive. Two-wheeler sales, which form the backbone of rural transportation, are expected to do well. Two-wheeler sales during the D2D (Dussehra to Dhanteras) period may reach 54 lakh to 55 lakh units, up from nearly 45 lakh last year.”

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