Strong uptick in August vehicle sales, SIAM data indicates PV and two-wheeler sales improve over July performance | The Financial Express

Strong uptick in August vehicle sales, SIAM data indicates PV and two-wheeler sales improve over July performance

SIAM is keeping a close watch on the dynamic supply-side challenges and consider high CNG prices as a big challenge for the industry.

Strong uptick in August vehicle sales, SIAM data indicates PV and two-wheeler sales improve over July performance
Representational image courtesy: Bosch.

In encouraging news ahead of the festive time kicking off in October, SIAM data indicates that the August vehicle sales continue the positive momentum seen at the beginning of the second quarter. Total sales have come in at 1,877,072 vehicles, up 17 percent from 1,594,573 vehicles sold last year. Even on a month-on-month comparison, the August sales are 9 percent higher than the 1,706,545 vehicles sold the previous month i.e. July.

Looking at individual segments, the passenger vehicles no doubt lead the race to revival. In August the segment clocked a total sales of 281,210 units, up 21 percent from 232,224 units sold in last August. On a month-on-month comparison, however August sales have dipped marginally from the 293,865 vehicles sold in July. Maruti Suzuki continues to maintain lead with sales of 134,166 vehicles, up 30 percent from last August. In terms of specific segments, UVs and the compact sedans continue to attract maximum buyers.

The two-wheeler segment, one of the key areas of concern for the auto industry, too is beginning to display certain positive traction. The August sales have come in at 1,557,429 vehicles, up 16 percent from the 1,338,740 vehicles sold last August. What’s particularly significant is the month-on-month gain in two-wheeler sales. The August numbers are up 12 percent from 1,381,303 vehicles sold in July 2022.

While erratic monsoon and flood like situation in certain parts have been a point of concern, the easing supply chain headwinds are beginning to have positive rub-off effect. The steady upmove in the entry level segments indicate some improvement in the rural demand dynamics. That coupled with growing scooter sales, especially the electric ones and demand for the premium bikes across urban India helped the two-wheeler segment clock robust sales. Ease of financing also helped boost demand.

The three-wheeler segment also maintained a steady upmove, August sales came in at 38,369 units, up a whopping 62 percent from 23,606 three-wheelers retailed in August last year. With the fear about the pandemic waning, shared mobility is seeing significantly better traction in this fiscal compared to the previous one. passenger carriers are the big winners in this category.

Commenting on the August 2022 sales data, Rajesh Menon, Director General, SIAM said “ While good monsoon and the upcoming festive season is likely to increase demand, SIAM is keeping a close watch on the dynamic supply-side challenges. High CNG prices is a big challenge for the industry and we keenly look forward to the kind interventions and support from the Government.”

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