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Domestic passenger vehicle sales down 7.61%, automobile dispatches falls 19.8% amid economic slowdown: SIAM

Vehicle sales across categories stood at 16,46,332 units last month as against 20,34,597 units in February 2019, SIAM data showed.

SNS | New Delhi |

Society of Indian Automobile Manufacturers’ (SIAM) monthly auto sales data reveled negative results in February, giving no sign of improvement in the industry. India’s domestic passenger vehicle sales declined 7.61 cent to 2,51,516 units in February from 2,72,243 units in the year-ago month.

Passenger car sales last month were also down 8.77 per cent at 1,56,285 units as against 1,71,307 units in February last year, the auto industry said.

According to SIAM, automobile sales in the country across categories declined 19.08 per cent in February as economic slowdown continued to hit demand. Wholesale dispatches were also affected by the lower production in view of transition to BS-VI emission norms.

Vehicle sales across categories stood at 16,46,332 units last month as against 20,34,597 units in February 2019, SIAM data showed.

SIAM President Rajan Wadhera said, “the decline in wholesale dispatches is primarily due to economic slowdown and lower production of BS-IV vehicles. Some upside on the registration numbers of VAHAN can be attributed to last-minute purchase by customers trying to advance purchase of BS-IV vehicles.”

The production is also affected in February due to the lack of availability of spare parts that are majorly supplied from neighbouring coronavirus-affected China, which has imposed extreme lockdown on its citizens.

He further said, “Supply chain disruptions from China is also a concern, which may impact the production plans for companies going forward” while welcoming the government’s step to issue a “notification of Force Majeure for coronavirus and 24×7 clearance of shipments at all customs formations”.

Market leader Maruti Suzuki India’s passenger vehicles sales declined by 2.34 per cent last month at 1,33,702 units. Rival Hyundai Motor India also witnessed decline of 7.19 per cent at 40,010 units, while new entrant Kia Motors took the third position during the month selling a total of 15,644 units.

Total two-wheeler sales in February fell by 19.82 per cent to 12,94,791 units as compared to 16,14,941 units in the same month last year, SIAM added.

Market leader Hero MotoCorp reported total two-wheeler sales of 4,80,196 units last month, down 20.05 per cent. Rival Honda Motorcycle & Scooter India also saw a decline of 22.83 per cent at 3,15,285 units last month.

Similarly, Chennai-based TVS Motor Co also suffered a drop of 26.73 per cent at 1,69,684 units last month, SIAM said.

Overall motorcycle sales last month declined by 22.02 per cent at 8,16,679 units as against 10,47,356 units in the year-ago period. Scooter sales were down 14.27 per cent at 4,22,310 units last month as compared to 4,92,584 units in February last year.

Sales of commercial vehicles were down 32.9 per cent to 58,670 units in February as against 87,436 units in the same month last year, the data stated.

(With input from agencies)