Sales of Automobiles grows around 11 pc in October-December period

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By Ashish Mitra --
Friday, 15 Jan, 2021

Although sales of passenger vehicles (PVs) and two-wheelers grew in December as also in the October-December quarter, the same from April-December saw a decline virtually in every segment of the auto sector. Sales of PVs dropped to a 10-year low during the nine-month period.

“We are at a seven-year low in the two-wheeler segment and a ten-year low in PVs. We are behind ten years in the commercial vehicle segment and 20 years for three-wheelers. This means the auto industry will have to work hard to regain better volumes and business health,”Society of Indian Automobile Manufacturers (SIAM) president Kenichi Ayukawa observed while speaking to reporters in a virtual press conference yesterday. Ayukawa said that the 2019-20 fiscal had been a year of big de-growth for the auto industry. Hence, using it as the base to calculate percentage growth for the current fiscal would be misleading.

“The sales growth we saw during October-December quarter of the current fiscal contains some of the pent up demand from the first quarter, so standalone sales performance of the third quarter may not be a true reflection of the industry’s overall sales,” Ayukawa added.

On the sales outlook, Ayukawa said while the industry expected 2021 to be better than 2020, it is tough to predict the future with the pandemic still there.

During the October-December quarter, sales of passenger vehicle increased 14.44 per cent y-o-y and two-wheeler sales rose 13.37 per cent. However, sales of commercial vehicle saw a fall of 1.12 per cent. Vehicle sales across categories rose by 10.61 per cent.

However, the nine-month period of April-December shows a contrasting scenario. PV sales was down by 16.06 per cent, sales of two-wheeler sales saw a decline of 22.63 per cent and CV sales witnessed a decline of 37.23 per cent. Vehicle sales across categories declined by 24 per cent.

Sales of Automobiles grows around 11 pc in October-December period. Although sales of passenger vehicles (PVs) and two-wheelers grew in December as also in the October-December quarter, the same from April-December saw a decline virtually in every segment of the auto sector. Sales of PVs dropped to a 10-year low during the nine-month period.

“We are at a seven-year low in the two-wheeler segment and a ten-year low in PVs. We are behind ten years in the commercial vehicle segment and 20 years for three-wheelers. This means the auto industry will have to work hard to regain better volumes and business health,”Society of Indian Automobile Manufacturers (SIAM) president Kenichi Ayukawa observed while speaking to reporters in a virtual press conference yesterday. Ayukawa said that the 2019-20 fiscal had been a year of big de-growth for the auto industry. Hence, using it as the base to calculate percentage growth for the current fiscal would be misleading.

“The sales growth we saw during October-December quarter of the current fiscal contains some of the pent up demand from the first quarter, so standalone sales performance of the third quarter may not be a true reflection of the industry’s overall sales,” Ayukawa added.

On the sales outlook, Ayukawa said while the industry expected 2021 to be better than 2020, it is tough to predict the future with the pandemic still there.

During the October-December quarter, sales of passenger vehicle increased 14.44 per cent y-o-y and two-wheeler sales rose 13.37 per cent. However, sales of commercial vehicle saw a fall of 1.12 per cent. Vehicle sales across categories rose by 10.61 per cent. 
 
However, the nine-month period of April-December shows a contrasting scenario. PV sales was down by 16.06 per cent, sales of two-wheeler sales saw a decline of 22.63 per cent and CV sales witnessed a decline of 37.23 per cent. Vehicle sales across categories declined by 24 per cent.