Higher discounts, new models and lower base have helped the passenger vehicle industry to register high double-digit growth in December, thereby continuing the growth momentum of the last eight-nine months. This comes at a time when the Motown is buzzing with several new launches and concept cars at the 10th Auto Expo here.

According to the Society of Indian Automobile Manufacturers (Siam), sales of passenger vehicles jumped by 49.9% in December 2009 at 1,49,097 units compared with 99,440 units in the corresponding month in 2008.

The cumulative sales of passenger vehicles between April and December last year went up by 23.8% at 13,67,986 units against 11,04,999 during the same period in the preceding year, the third highest growth worldwide.

?In fact, in the passenger vehicle segment, India was the third highest growing market in the world after China and Germany in 2009,? Pawan Goenka, president, Siam, said, adding that sales in 2009 were also boosted by new launches totalling 11, the highest in recent years.

While India?s passenger vehicle sales went up by 18%, China registered a growth of 42%, propelled by a tax cut on cars announced in January 2009. Germany registered a growth of 25% growth, buoyed by the incentives given for buying new vehicles in exchange of old ones.

?Sales also zoomed last month as companies were hinting at a price hike in January, citing increasing raw material costs. So, most people decided to buy a vehicle in December, especially if it?s a family car with not resale in mind,? a Delhi-based analyst said, adding that huge discounts attracted large number of buyers.

In the passenger car segment, sales of Maruti Suzuki India increased by 35.4% at 62,653 units in December 2009 compared with 46,262 units in December 2008. Hyundai Motor India registered a growth of 42.6% at 22,252 units vis-?-vis 15,600 units in the corresponding month of 2008. Sales of Tata Motors? went up by 53.7% at 12,944 units compared with 8,422 units in December 2008.

Meanwhile, Siam feels that the implementation of new emission norms scheduled to be effective from April 1, 2010 should be postponed by up to six months if there is no clarity on the availability of upgraded fuel by January-end. ?There is a serious concern that fuel may not be available in all parts of the country to implement the new emission norms,? Goenka said, adding that the industry has already made representations to the government on the same.

Starting April this year, 11 cities across India, where the Bharat Stage (BS) III norms are currently in place, will upgrade to BS-IV while the rest of the country is expected to adopt BS-III norms.