Retail passenger vehicle sales up 26% in Nov; second-highest on festive boost

The federation of automobile dealers association (FADA) on Friday said that the retail sales for passenger vehicles in the domestic market witnessed an overall growth of 25.71% year-on-year (YoY) to 23,80,465 units in November as compared to 18,93,647 units in the same period last year. With this, the Indian automobile industry clocked the highest-ever sales during the month, with March 2020 being an exception as the retail passenger sales were higher due to transition of BS-IV emissions to BS-VI emissions. 

Manish Raj Singhania, the president of FADA said, “November 2022 has clocked highest retails in the history of Indian Automobile Industry with March’20 as an exception when retails were higher due to BS-4 to BS-6 transition. Auto Retail in November’22 saw an overall growth of 26%. The baton was passed by the positive run of festive sales to the Great Indian Wedding Season (from 14th November to 14th December) where around 32 lakh weddings will be solemnised across the country.”

In November, the two-wheeler passenger vehicle retail sales was up 24% YoY to 18,47,708 units as compared to 14,94,797 units in the same period last year. In the two-wheeler segment, Hero Motocorp Ltd grabbed the largest market share at 34.42% and sold 6,36,064 units during the month, followed by Honda Motorcycle, which held the second-largest market share at 25.01% and sold 4,62,163 units. TVS Motor company held the third-largest market share at 14.64% and sold 2,70,551 units, whereas Bajaj Auto Ltd held the 11.38% market share and sold 2,10,251 units during the month. 

“The 2W segment showed a huge growth of 24% YoY but fell marginally by 0.9%, when compared to Nov’19, a pre-covid year. This segment is slowly turning the tides from negative to positive as the same can be witnessed from retail sales due to the ongoing wedding season,” Singhania said. 

Meanwhile, the retail sales for passenger vehicles witnessed a surge of 80.34% at 74,473 units during the month, as compared to 41,296 units in the same period last year. In the three-wheeler segment, Bajaj Auto Ltd grabbed the largest market share at 36% and sold 26,652 units during the month, followed by Piaggio Vehicles Pvt Ltd which grabbed held a market share of 7% and sold 5,364 units. 

“The 3W segment showed a massive growth of 80% YoY and 4% when compared to 2019, a pre-covid year. The category which was witnessing low demand during covid has now emerged as the highest growing category due to positive sentiments and fear of lockdowns out of mind. Also, electrification in the category continues at its highest pace,” Singhania said.

Moreover, the retail sales of the four-wheeler passenger vehicle and commercial vehicles witnessed a surge of 21% and 33% to 3,00,922 units and 79,369 units, respectively. In November 2021, the passenger vehicles witnessed sales of 2,48,052 units, whereas commercial vehicles witnessed sales of 59,765 units.

In November, Maruti Suzuki grabbed the largest market share of 41.01% in the passenger vehicle segment and sold 1,23,409 units, followed by Hyundai Motor India, which held a market share of 14.91% and sold 44,859 units. Tata Motors held the third-largest market share of 13.53% and sold 40,723 units, whereas Mahindra and Mahindra held the fourth-largest market share of 9.59% and sold 28,849 units.

“The PV segment showed a growth of 21% YoY and 5% when compared to 2019. Better availability of model mixes from past months, new launches, and an increase in rural demand continue to keep the segment in healthy condition. Compact SUV and SUV category coupled with higher variant models continues to rule to roost,” the FADA president said.

In the commercial vehicle segment, Tata Motors held the largest market share of 38.15% and sold 30,282 units during the month, followed by Mahindra & Mahindra which held the market share of 25.30% and sold 20,081 units.

“The CV witnessed a growth of 33% YoY and 6% compared to 2019. With the Government's continued focus in the infrastructure space and new mining projects, replacement demand continued to pour in along with healthy inter-state passenger movement enabling bus sales,” the FADA president said.