The number of passenger vehicles (PV) sold in the Financial Year 2024 registered a 8.45 per cent jump with 3,948,143 units sold as compared to the Financial Year 2023, a recent data by the Federation of Automobile Dealers Associations (FADA) said.

In the last fiscal, the total number of PVs sold was at 3,640,399 units.

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The PV retail sales witnessed a milestone year due to improved vehicle availability, a compelling model mix, and the launch of new models.

The association added that the sales also rose due to enhanced supply dynamics, strategic marketing efforts, and expansion in road infrastructure.

FADA also said that for the first time in India, SUVs now hold a market share of 50 per cent. The year also witnessed high demand for sports utility vehicles (SUVs).

In March, however, the PV sales dipped by 6 per cent compared to March 2023 due to heavy discounting and selective financing.

It was further impacted by economic worries and the electoral climate. A total of 322,345 PVs were sold in the month compared to 343,527 units last year.

Compared to 330,107 units in February 2024, the PV sales were down by 2.35 per cent, the data said.

Auto retail sales in India increased by 10.29 per cent in FY24. A total of 24,530,334 units were sold, including PVs, commercial vehicles, two-wheelers, three-wheelers, and tractors, compared to 22,241,361 units in FY23.

The highest increase in sales was witnessed in three-wheelers, which saw a jump of 48.83 per cent. It was followed by two-wheelers (9.3 per cent) and PVs.

For two-wheelers, sales increased due to enhanced model availability, new product introduction, and positive market sentiment. It was further helped by special schemes and the rural market’s recovery after the Covid-19 pandemic.

Commercial vehicles saw the lowest growth of 4.82 per cent in retail sales during the year.

In March, total auto sales jumped by a modest 3.14 per cent at 2,127,177 units compared to 2,062,409 units last year. Three-wheelers and two-wheelers witnessed growth of 17.13 per cent and 5.44 per cent, respectively.

However, all other categories, PVs, commercial vehicles (CVs), and tractors, saw their sales shrink during the month. CV sales were down by 5.87 per cent, and tractor sales dropped by 3.33 per cent

The month was, however, positive for electric two-wheelers.