world is news

Passenger automobile gross sales grew in double-digit numbers in December

Spread the news

Passenger automobile gross sales in India grew in robust double digits for the fifth straight month in December, because the market continued to witness pent-up demand and choice for private mobility options amid the coronavirus pandemic. Industry estimates put gross sales final month at round 2.78 lakh passenger autos, practically 18% greater in contrast with 2.36 lakh items a 12 months earlier. These are dispatches from factories to dealerships, as automakers in India don’t report month-to-month retail gross sales to prospects. The nation’s largest carmaker, Maruti Suzuki, reported development of 14.6%, promoting 140,754 items in December.

While the wholesale quantity of mini automobiles Alto and S-Presso elevated 4.4% to 24,927 items, these of compact autos (WagonR, Swift, Celerio, Ignis, Baleno, DZire and Tour S) rose 18.2% to 77,641 items and utility autos (Vitara Brezza, Ertiga, XL6 and S-Cross) grew 8% to 25,701 items. The firm bought 1,270 items of the midsize Ciaz sedan, in contrast with 1,786 items within the year-earlier month.

Volumes at Korean rival Hyundai Motor grew 25% to 47,400 items – the all-time December gross sales for the corporate in India – serving to it enhance its market share. “Looking towards the future, we are proceeding with cautious optimism and positively anticipate green shoots of recovery in 2021,” Hyundai Motor India managing director SS Kim mentioned.

At Tata Motors, gross sales of passenger autos practically doubled to 24,545 items final month, as towards 12,785 items a 12 months earlier. Shailesh Chandra, president of its passenger automobile enterprise unit, mentioned: “Retail sales was 18% higher than wholesale for the month and pipeline inventory remains thin. We are continuing to debottleneck the supply chain and ramp up our output to meet the increased demand while addressing the availability of electronic components.” In the October-December quarter, gross sales rose 89%.

Naveen Soni, senior vice-president at Toyota Kirloskar, mentioned buyer orders had been rising considerably and retail gross sales had additionally been “very encouraging”. “At TKM, we strongly believe that the current economic revival is likely to help sustain the sales momentum in 2021 and we are hopeful that 2021 will see a V-shaped recovery of the economy, thereby helping the industry to bounce back,” he mentioned.

The firm plans to develop its product line-up “in a sustainable and phased manner,” he mentioned. Toyota bought 7,487 items final month, a rise of 14% from December 2019. Honda Cars India registered a rise of two.9% in gross sales at 8,638 items in December. Despite the beneficial demand atmosphere, some automakers are involved about insufficient availability of parts which can influence gross sales within the quick time period.

Veejay Nakra, chief government of the automotive division at Mahindra & Mahindra, mentioned whereas demand continued to stay robust even after the festive season, the corporate’s “overall sales have been affected due to the continuing supply-chain challenges related to the constantly changing global environment, more specifically the supply shortage of microprocessors (semiconductors) used in electronic control units”. The firm registered development of three% in gross sales at 16,182 items in December.

New entrant MG Motor India mentioned it will be taking preventive annual upkeep shutdown at its Halol manufacturing facility in Gujarat throughout the first 10 days of this month, which might have an effect on its manufacturing in January. “This coupled with lockdown restrictions could hamper supply chain as well,” the corporate mentioned.

In the business automobile section, market chief Tata Motors noticed gross sales slide by 5% to 29,885 items final month, whereas rival Ashok Leyland reported a rise of 14% at 11,857 items.

Meanwhile, robust traction in rural markets continued to spice up gross sales of farm gear. At Mahindra Tractors, gross sales grew 23% to 21,173 items. Hemant Sikka, president of Mahindra’s farm gear sector, mentioned the wholesale volumes continued to be robust, fuelled by restoration of channel stock publish the festive season, in addition to elements like anticipation of sustained demand on the again of upper rabi acreage, authorities help for kharif procurement and rural improvement schemes.

Spread the news