Car sales on ascending track ride on festive cheer, smooth chip stocks

Photo: Bloomberg

Solid festive demand coupled with improved production from the easing of semiconductor supplies helped the domestic passenger car sector achieve its best-ever monthly sales performance in September.

Industry volumes stood at 3,55,946 units in September, up 91 percent year-over-year, pushing second-quarter sales past the 10 lakh mark.

Leading automakers Maruti Suzuki, Hyundai and Tata Motors were able to improve their shipment to dealers last month thanks to improved production and a reduction in the chip shortage situation.

The country’s largest automaker, Maruti Suzuki India (MSI), said its total domestic passenger car wholesale business last month was 1,48,380 units, compared to 63,111 units in September last year.

“It is the second best month for the company in 42 months,” MSI Senior Executive Director (Marketing & Sales) Shashank Srivastava told reporters. The best month for the auto major was October 2020, when it shipped 1.63,000 units domestically, he added.

Srivastava said the company’s market share was 42 percent last month, up 7.8 percent from September 2021.

He noted that the industry has crossed the 10 lakh sales mark in a quarter for the first time in the July-September period.

“It is the first time the sector has crossed the one million sales mark in a quarter. Even the wholesale trade in the first six months is the best ever for the industry with sales of 19.37 lakh units,” he added. ready.

Mini-car sales, comprising Alto and S-Presso, rose to 29,574 units, compared to 14,936 in the same month last year, MSI reported.

Similarly, sales in the compact segment, including models such as Swift, Celerio, Ignis, Baleno and Dzire, rose to 72,176 units, from 20,891 cars in September 2021.

Similarly, sales of commercial vehicles, including Grand Vitara, Brezza and Ertiga, rose to 32,574 units, compared with 18,459 vehicles in the same month a year ago, MSI said.

Rival Hyundai Motor India reported domestic wholesale sales of 49,700 units last month, 50 percent more than 33,087 units sold in September 2021.

“With the outstanding resilience that the Indian economy has shown in recent quarters, the holiday season has fueled demand even further,” said Tarun Garg, Hyundai Motor India President (Sales, Marketing & Service).

Tata Motors Passenger Vehicles Managing Director Shailesh Chandra said the company achieved all-time highs of 47,654 monthly sales last month, led by record sales from Nexon and Punch.

“Going forward, we expect the holiday season to be strong in retail as a result of improving vehicle supply,” he added.

Similarly, Kia India also reported its best-ever sales performance last month with shipments of 25,857 units to dealers.

Japanese automaker Honda Cars India said its domestic wholesalers jumped 29 percent last month to 8,714 units, compared to 6,765 units in September 2021.

Festive demand was strong and continues to show good momentum. On the supply side, we were able to increase our factory output compared to last month, which is also positive for festive sales in terms of better availability of Honda cars during the Navratras, Dussehra and Diwali period,” said Yuichi Murata, director of Honda Cars India (Marketing and Sales).

Similarly, Toyota Kirloskar Motor reported a 66 percent increase in wholesale sales of 15,378 units last month.

The Bengaluru-based automaker had shipped 9,284 units to its dealers by September 2021.

Similarly, Skoda Auto India said sales rose 17 percent in September to 3,543 units.

Volkswagen Passenger Cars India reported a 60 percent increase in September with 4,103 units.

In the two-wheeler segment, Hero MotoCorp said domestic sales were 5,07,690 units in September, compared to 5,05,462 units in the year-ago period.

TVS Motor Company said domestic sales of two-wheelers rose 16 percent last month to 2,83,878 units, from 2,44,084 units in September 2021.

(Only the headline and image of this report may have been reworked by Business Standard staff; the rest of the content was automatically generated from a syndicated feed.)